OFFICE SPACE SECTOR IN POLAND IN THE FACE OF CORONAVIRUS The coronavirus pandemic has significantly influenced the preferences of office tenants, and the interest in flexible spaces in Poland does not slow down, it can even accelerate. This is just one of the takeaways on the future of offices from the debate entitled “Impacts of coronavirus on the office space market in Poland: The broker’s angle.”
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he event was hosted by Mindspace, a global operator of boutique flexible workspaces, included representatives of advisory agencies such as JLL, CBRE, Colliers International, and Cushman & Wakefield. As Yotam Alroy, Co-founder and CBO of Mindspace, said at the beginning of the debate, “The COVID-19 pandemic has caused significant changes in both our lives and work environment. As a result of the coronavirus, most of us started working remotely. Therefore, a number of real property players - advisory agencies, owners, operators and office managers - have been asking themselves questions about the future of offices for several months now. Our observations show that during the pandemic, many companies began to treat flexible office space as an alternative to a traditional office. This is evidenced, among other things, by the growing interest among potential clients in spaces offered by Mindspace. This trend is also visible at our Warsaw branch, which strengthens my belief that the demand for flexible office space will continue to grow in Poland. We are forecasting a marked shift from the traditional lease model to flexible partnership-based agreements between operators and building owners. We also expect a major consolidation in the industry, i.e. a number of mergers and acquisitions. In our opinion, this will happen over the next 12 to 24 months.” During the meeting, all speakers agreed that office tenants’ preferences were subject to change due to coronavirus. The experts’ observations show that numerous companies have already made or are considering a decision as regards moving some of their branch offices or even head offices to 22
Autumn 2020
flexible space with a view to optimizing their expenditures and the possibility of reducing or increasing the leased space at any time, without the need for long-term commitments. Adam Lis, Flexible Office Solutions Manager at JLL, commented: “Undoubtedly, in these times of pandemic, the flexibility of lease agreements has gained increasing importance, also for the SME sector and corporate clients. In these rather unpredictable times, short-term agreements, often with one month’s notice, have proved to be an ideal solution and can represent a lifeline for many companies. This illustrates the value of flexibility for tenants, both small and large, and strengthens the position of flexible solutions in the commercial real estate property market.”
Yotam Alroy, Co-founder and CBO of Mindspace
The Warsaw Voice
