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CHICAGO, June 24, 2025 – In a dramatic swing that signals evolving corporate real estate priorities, JLL’s 2025 Occupancy Planning Benchmark Report reveals portfolio optimization has surpassed cost-cutting as the primary focus for corporate real estate leaders and office utilization has increased as organizations tighten policies on hybrid work. Improving space data accuracy and reporting; increasing employee presence on site; and growing the use of utilization data for space planning round out the top five priorities.

Rather than simply slashing expenses, companies are now strategically reimagining their workspace footprints, with 73% of respondents identifying portfolio optimization as their top objective, overtaking improved reporting and cost reduction from last year. Additionally, sustainability continues as a key priority, with 74% of organizations reporting active sustainability programs integrating with occupancy planning through waste reduction initiatives, rightsizing scenarios and furniture reuse plans.

“JLL’s report highlights that workplaces are at a pivotal moment of transformation signalled by corporate real estate leaders changing their priorities,” said Paul Morgan, COO of Work Dynamics at JLL. “Data has become the critical factor in enabling organizations to better understand how their spaces are being used so they can best leverage their real estate portfolios and navigate new work styles. Forward-thinking companies are employing data to reimagine their workplaces as strategic assets that drive both organizational performance and employee satisfaction in the evolving hybrid-work era.”

Hybrid work displays signs of deceleration

The report shows hybrid work adoption declining by 10 percentage points year-over-year, and approximately half of employees now work in offices three to five days per week. As 37% of organizations reported increased in-office expectations, 68% of organizations are requiring either a defined number of in-office days or designating specific in-office days, up 7 percentage points from last year.

“The pendulum has swung toward structure in hybrid work arrangements, with nearly half of organizations mandating specific in-office days, almost double from 2023,” said Melissa Michalik, Global Leader of Occupancy Planning and Management at JLL. “Even more telling is the collapse of fully flexible arrangements, which have plummeted from 41% to 15% in the same timeframe, signalling a definitive shift as companies reclaim control of workplace attendance patterns to drive collaboration and culture.”

To facilitate effective hybrid environments, organizations continue investing in supporting technologies and facility modifications, with reservation systems (58%), collaboration spaces (56%) and minor facility reconfigurations (50%) being the most common adaptations.”