Weddings, artists and mini-golf courses are finding their way into offices as landlords and corporates experiment with alternative ways to make more use of space.
Whether it’s generating better returns, creating social value, or simply finding ways to get the buzz back into a building, offices are opening up to new possibilities.
Here are five ways companies are breathing new life into under-utilized or vacant office space.
1. Strategic subleasing
Some owner-occupiers are now double-hatting as landlords, subleasing extra floors to other firms. Their aim, often in large flagship offices, is to recoup costs and generate better returns on investment.
Take one global insurance company, which recently turned their large U.S. headquarters into a multi-tenanted building. They capitalized on occupier demand for premium space by marketing the sustainability features such as LEED Platinum certification, electric-vehicle charging stations and rainwater recycling.
The company also boosted demand with a full-service cafeteria, theater, conference center, golf simulator, and fitness facilities.
They have since signed a long-term anchor tenant and additional businesses.
Turning unused square feet into managed space – a type of non-operator branded, flexible office space – is another way for building owners to generate income without the hassle of finding tenants themselves. A third-party flex operator does the heavy lift by leasing space from the owner, then custom fitting-out and subleasing at an all-inclusive monthly rent to tenants.
4. Leisure and entertainment
In efforts to breathe new life into central business districts and keep them buzzing after hours, local councils are starting to create mixed-used neighborhoods.
On London’s Fleet Street, a former bank branch is being transformed into a mini-golf venue aimed at recreating the back streets of Tokyo, complete with noodle bar and café.
Meanwhile, firms are offering their spaces out for hire to local groups for networking events or meet-ups for those with similar interests or hobbies. In some cases, they’re even hosting weddings.
Sofar Sounds, a global music community that connects artists and audiences in 400 cities around the world, uses non-traditional venues for unique live music performances, including intimate after-hours concerts in office spaces.