The financial workplace revolution: banking’s real estate strategy in the AI era

CHICAGO, Aug. 19, 2025 – Amid economic shifts, increased AI adoption and a global race for top talent, the financial services industry is on the cusp of significant transformation. JLL’s (NYSE: JLL) latest report, the Financial Services Portfolio of Tomorrow, outlines how corporate real estate (CRE) functions are increasingly vital to financial institutions as they reconsider not only how but where they work to support workforce agility, organizational productivity and long-term resilience.

New York remains the top global financial center followed by London, according to the Global Financial Centers Index. Looking at employment trends, JLL research finds New York leading with 627,500 financial services jobs (up 5.2% since 2022), while cities such as Vancouver (up 22.1%) and Warsaw (up 19.8%) are emerging as important markets for financial firms as business leaders seek to align portfolio strategy with talent requirements and future-proof operations. These markets emphasize key trends in how the financial services industry is evolving, underscoring rapid shifts in the labor mix towards tech roles; investments in purpose-driven design and strategic talent hubs; infrastructure that supports collaboration and AI; and positioning CRE as a strategic partner to technology, HR and business units in finance.

“CRE professionals can serve as crucial partners to the financial services industry’s transformation by embedding talent demands into asset planning, optimizing assets for productivity and regularly reviewing corporate real estate portfolios to ensure they are future proof,” said Bobby Magnano, Global President, Financial Services at JLL. “With increasing demand for AI, advisory and hybrid tech roles in finance, industry leaders looking to reevaluate their asset portfolios can draw on key lessons learned from the tech sector and further leverage the existing trust and financial stability in the industry.” 

For AI investments to create returns, banks need to acquire the right talent to help manage these technologies. Financial services employers are now racing to attract talent with digital skills in areas such as Agentic and Responsible AI, as well as advanced data analytics. According to the Evident AI Index, one in 50 banking professionals globally now works in AI or data-related roles, marking a shift toward intelligence-led capabilities. In the U.S. specifically, the financial services industry saw a 99% increase in employment in Computer and Information Systems Managers and 98% in Business Operations Specialists from 2019 to 2025. Conversely, operational roles in finance like office clerks, bookkeepers, loan officers and tellers declined due to automation and workflow redesign.

These trends show no sign of slowing. According to The World Economic Forum’s 2025 Future of Jobs report, 95% of financial services employers identified skills in AI and Big Data to be growing in importance for their workforce, leading 71% of financial institutions to making investments in upskilling employees to prepare for AI transformation. Lloyds Banking Group, for example, has partnered with Cambridge University to send more than 200 senior bankers to an 80-hour “AI bootcamp.” To continue succeeding with talent, financial institutions will need to create a workplace in which tech talent can thrive.

“AI has become a business-critical capability helping businesses cut costs, drive innovation and boost productivity, but simply investing in technology does not guarantee a path to efficiency or reduced real estate needs,” said Sarah Bouzarouata, Research Director, Work Dynamics and Industries, Americas at JLL. “Reimagined workplaces and operating models are essential to unlocking productivity from tech, along with recognition that technology adoption must go hand-in-hand with cultural and workplace transformation.”

Further, JLL’s 2025 Occupancy Planning Benchmarking Survey found that financial services firms cite improving employee experience as their top hybrid work goal, ahead of cost reduction and footprint cuts.

Some key friction points in financial services workplaces specifically include dispersed teams and rigid seating models. However, as work norms change, leading institutions are rethinking real estate footprints by consolidating and relocating offices to reach talent pools, identifying cost efficiencies and retrofitting spaces to meet new ways of working.

“Financial leaders are reconsidering where their businesses are located to meet talent and AI needs, shifting from traditional monolithic financial headquarters to more dynamic networks of hubs that offer the best combination of talent, innovation, cost efficiency and quality of life,” said Peter Riguardi, Chairman and President, New York Region, at JLL.

Though New York remains unmatched in pulling deep finance and technology talent, research finds that Singapore, Toronto and Atlanta represent additional hubs with growing talent pools, innovation and university pipelines over the past three years.

Additionally, Dallas had large-scale investments from a leading global investment bank for a new Dallas campus with an 800,000-square-foot office slated for completion in 2028 and JP Morgan Chase expanded 31,000 square feet of its downtown office. Investments like these provide a pathway for long-term innovation capacity in markets.

“Within the EMEA region, Warsaw is rapidly emerging as key growth center for talent and a magnet for shared services, automation, risk, compliance and data analytics for global banks,” said Jonathan Steel, Managing Director, Financial Services EMEA. “Paris, Madrid, Milan and Frankfurt are also highly sought-after front-office hubs due to their regulatory clarity and digital readiness. These cities offer bilingual talent pools, expanding digital infrastructure and favourable business climates, making them attractive front-office customer facing locations.”

Together with financial institutions, CRE leaders should consider factors including talent availability, connectivity, the regulatory environment, cost efficiency, infrastructure quality and academic partnerships when assessing the right locations to conduct operations. In the competition for talent, leading banks are reaching into secondary tech centers like Seattle, Austin and Bangalore to attract engineers as well as partner with academic institutions to establish talent pipelines.

An established real estate strategy is a necessary component to ensure financial services institutions can reach their full potential as they seek to attract a new talent pool, adopt digital technologies at scale and remain resilient. Firms deploying robust AI and digital strategies in tandem with upgrading workspaces to empower and attract talent will maintain a competitive edge.