With work in flux, space must flex
Occupiers are thinking more strategically about how to best use their office space. In 2025, as pandemic patterns receded and employees began to return more regularly to the workplace, business leaders struggling to accommodate their people were asking themselves: ‘should we stay or should we go?’
Office space requirements
A year ago, almost a quarter of businesses (23%) considered quitting their premises to find more room to fit everyone in. Others were minded to expand their existing footprint, with a majority admitting they’d downsized too far. Still more were content to reconfigure their offices. In stark contrast, 28% of business decision-makers responded to our 2026 survey by stating they will retain the same office space.
That is a significant increase on the 18% who said the same last year. They are considering the key question: ‘how can we make our current space the best it can be?’
Prime office space is at a premium and moving is expensive. But availability and cost are not the only factors in decision-making.
Flux in the workforce – and employees’ demands about what they want from an office environment, which we explore in later sections – is forcing occupiers to scrutinise the space at their disposal and think very carefully about their next lease agreement.
What changes, if any, are you planning to make to your office space requirements in the next 12-18 months?
Reconfigurations are being used to meet business needs, including the best way to attract and retain talent.
Smarter use of space is key: 43% say they will reconfigure their offices. This is the most popular option among business decision-makers who say they will change their space during the next 12 to 18 months.
According to our latest research there is also a desire to build more flexible office portfolios (38%) rather than relocate to new premises (32%). This is another sign that occupiers are turning away from the hassle and expense of seeking alternative offices.
The wider survey data shows decisions are being taken based on financial caution, as costs continue to escalate against a backdrop of global economic uncertainty. This is a major factor in businesses opting to keep existing space, rather than seeking new premises at this time.
In parallel, investing in bigger premises is becoming a less attractive option. Last year’s survey revealed a substantial proportion of businesses wanted to increase their space: 45% vowed to take on more sq ft over a 12 to 18-month period. In 2026, that figure has dropped to 33%.
Taken together, the results show a clear shift: businesses are now making deliberate, strategic decisions about their office portfolios.
With reconfiguration and flexible models rising up the agenda — and appetite for relocation or expansion falling — occupiers are prioritising stability, cost control and long‑term value.
In this environment, working with external experts who can advise across the full lifecycle of real estate decisions, from lease negotiations and re‑gearing to portfolio optimisation and workplace redesign, will be essential.
