Home, Work, and Leisure: The Evolution of Modern Office Construction
Ryan Howard, Director of Construction at CP Group, brings more than twenty years of experience in architecture, construction, and real estate to his role, so there is no one better suited to discuss the evolving landscape of office construction.
In this wide-ranging interview, Ryan shares his perspectives on the changing demands of office users, the rise of flexible workspace solutions like worCPlaces, and how CP Group’s properties are strategically designed to fit the needs of modern organizations.
How have the demands of office users changed in terms of workspace flexibility?
The demands of office users are in a state of flux. While there has been a notable drop in office usage in the past few years, a rebound is taking place.
We have seen an uptick in small and medium-sized tenants taking on office space. It seems these businesses have deemed the office a critical asset.
As large companies and Fortune 500 organizations become increasingly transparent about their return-to-work policies, we will likely see more momentum across the board.
When it comes to workplace preference, there have always been three types of workers:
Those who prefer working from home
Those who prefer working in an office
Those who are happy to work in an office four or five days a week, as long as there are enough people in the space to create a sense of community.
The third group, we are finding, is the largest one, and as more workers return to the office, we are seeing the emergence of a critical mass in this group.
How do the evolving demands of businesses shape your approach to office construction projects?
The most notable shift we have seen lately is the market for “ready-to-go” office space.
Legacy office expectations were created in an environment completely different from the one we are in today, where we face higher expectations and a faster pace of life.
These factors influence the most significant trends in the modern office market:
Enterprise organizations are exploring new options
As their lease expirations approach, some large-scale office users are rethinking their willingness to commit to the same space long-term and are exploring alternative options.
In our fast-paced world, operational agility is a high priority, and many enterprise organizations recognize that it is easier to scale up as they need more space than it is to scale down if their needs change.
SMBs have unprecedented access to high-quality office space
Small and medium-sized businesses have greater access to office space now than ever before. These tenants often want a finished space rather than one they need to design and build.
Flexible office space is emerging as a viable solution
worCPlaces caters to each of these scenarios, offering short-term, single-user spaces; large spaces that can accommodate SMBs; and scalable options in between.
Our model provides an excellent platform for growing businesses, enabling them to scale without the risk of overcommitting to too much or too little space.
As the building owner, landlord, and manager, CP Group can be nimble with lease modifications to align with the needs of existing tenants.
What was the vision and strategic thinking behind worCPlaces' Spec Places program?
The pandemic accelerated the convergence of the different aspects of our lifestyles, blurring the lines between home, work, and leisure. As we think about workspace design, we consider how we can incorporate important components of each lifestyle phase.
Today, the most sought-after offices have some layer of formality, whether it is the reception area or a boardroom.
But as you progress deeper into the space, comfort and casualness become the theme.
This was the philosophy behind worCPlaces’ Spec Places.
How does CP Group ensure its office projects remain relevant and attractive to modern businesses?
In addition to observing the wins and losses of our peers, we study hospitality and institutional trends.
Staying current with hospitality trends helps us create environments where work, home, and leisure converge to meet consumer expectations. This extends beyond the office itself, influencing the amenities and common areas we provide.
Institutional trends, meanwhile, can tell us what office environments should look like for the next wave of the workforce.
For employers, it is essential to understand these trends and embody them in your workspace, especially as it pertains to attracting new talent out of colleges.
What is one example of how CP Group has modernized a building to meet the needs of today’s office users?
Our property at 5600 Glenridge Drive in Atlanta is an excellent example.
Tucked back off the road, this 1980s building spent decades as the headquarters of a large telecommunications company. It housed significant data and technology infrastructure and was not consumer-facing.
In the modern office market, it was unlikely that this 260,000-square-foot building would be occupied by a single user again.
With a capital improvement investment of nearly $20 million, CP Group made material changes to the building’s curb appeal and interior experience. This included:
Modifying the property’s approach boulevard to improve first impressions
Creating a top-floor amenity lounge with an outdoor terrace
Modifying portions of the curtain wall to bring in more natural light
Adding fitness and conferencing amenities in the lower, windowless level
Modernizing the interior finish palette.
As the prior owner exited the building, we had the opportunity to reposition the floor plates from single-tenant to multitenant, including a block of Spec Places that is currently leasing, with more on the way. Several other turnkey deals have infilled a floor, and we are reserving the remaining two floors for possible larger users.
How will office construction continue to evolve in response to the demands of the modern market?
Prebuilt space smooths out the flow of deals. It removes the risk from deal economics as the capital requirements are already known. As a result, office developers can be more dynamic on terms.
Flexible office space is not just about what the tenant needs; it is also about how landlords react to the market.
Our next stage of offerings will include not only pre-built space but also pre-furnished and, eventually, pre-connected space.
Our vision is to create a scenario where office users can enjoy “same-day delivery.” we see a world where a 15,000-square-foot tenant can sign their agreement, sit down, and connect to a network in their new office one hour later.
What differentiates CP Group and worCPlaces from other office space providers?
Not only is CP Group the operator of worCPlaces, we are also the owner, landlord, and manager of the building assets.
Through our Tenant Experience program, we offer high-touch hospitality and experiential event offerings, much like a first-class hotel. We can also offer the flexible terms that our tenants desire, since we directly control the asset.
The ability to be agile is a requirement in today's fast-paced world, and CP Group has built worCPlaces to do just that.
If you are in search of a customizable, innovative workspace that can be tailored to embody your brand, consider worCPlaces. We invite you to contact us to learn more about worCPlaces, or book a tour today.