Search RBR: Home Office (`HO`), and its impact in the office

Published on On 22 June

The particular moment in which we are currently affects us all in different ways and according to our unique characteristics. Social distancing is caused by the COVID19, especially in the larger cities in the country, it has affected the way in which people relate to each other in the workplace, entertainment, and more. In addition to this sudden change in the relationship with the outside world, and within our own homes, there is a significant change from the routine of the family, for example, with the closure of schools and the lack of service that you usually they financially support the routine of the family.

As the real estate market is directly affected by the smallest number of people who are working in the office, we've been following many of the questions that have arisen about the potential impact on the market floor to corporate with the routine, - Home Office – “HO,” and we've already seen the questions in different forums, discussion, Blogs, specialized Journals, the Lives, the Reports of the Investment Funds, etc.

The offices are going to die?"
People are going to work 100% of the home Office.
The office will be on your layout-change?

For these and many other questions, we can see a lot of arguments in favor and against it. In the end, we understand that a change in the demand for offices is the sum of all of the damage.

The aspects that will generate a decrease in the demand for

Home-Office part of the people do not need to go to daily the business
The economic crisis: increase in the event of vacancy

The aspects that generate / increase / continuation of the demand for

The DNA / Culture of the Business: one of the great assets of the companies to be successful if it is based on the values of the company, in its very essence. We can see each other and work together as the factors that contribute to and accelerate the generation of the identity and distinction in the business.

A change in the Layout of the area: we are seeing an increase in the distance of the stations of the work that we currently follow a standard 1-to 7-meter quatrados to the layout, with the 1 person per 10 square meters. With that in mind, in an office where 140 people were employed in the new layout and it would fit just $ 100. Separately the impact would lead to an increased demand for office (shrink virtually to 30% of the firms)

The points to be considered.

The need for socialization of the individuals in the office, as well as a space professional, it is also an environment where people can meet to share their experiences: they go out to lunch, are meeting to discuss ideas in a general way. Even “coffee” is the moment of decompression sickness, which contributes to the productivity of the people, and this is the decompression it can be challenging to make work, Home, and Office.
There is also the factor of “double shift” (the work and the routine of the family), which generates a long-term challenge, but at the end of the distance, the normalization of the school and the staff in the homes, we see it as something that is adaptable to
Legal risks: we See the possibility of a labor employee reinvindicando that is part of the alugués and the fuel bills will be refunded partially, for companies as well as overtime,
The cost of the transaction: the return of the offices for the business involves a contractual penalties, and also in the continuation of the delivery of the spaces and in the same condition that you received it

At the beginning of this article, we're talking about the present moment affects people in different ways, and this is why we decided to to develop a proprietary search in to catch, as it measures the experience. We have conducted a series of questions that are specific to the Home Office between the 26/05/20 and 12/06/20, for a total of 231 people were divided in their feelings about the experience has to be “forced” in the Home and Office.

Questions asked:

You are a “manager” of the team?
Are you currently working on via the HO?
Have you ever practiced regularly, HO?
How do you appreciate your expertise in the HO?
How do you rate your productivity at the HO-x to an Office?
After a 2-month-of-HO, have you considered that your productivity, you must:
How many days a week do you have an interest in working in a HO. by the end of 2020?
Starting in 2021, on how many days a week do you have an interest in a HO?
If a vaccine is discovered, and are widely available in the shield, on how many days per week you would like to make a HO?
What is the biggest benefit of a Home Office.

Key findings

Home Office and approved by the 66,96% of the people
Frequency of publication: assessing the long-term thinking on the time that a vaccine is discovered, we can see that 70% of people are opting for a maximum of 2 times per week.
What are the benefits of working with HO?
Work productivity!

Take a hard look at the more micro, the data from the survey we have seen significant aspects of the agreement with the gender, leadership positions, and also on the previous experience of the work's Home and Office.

Female x male

The evaluation of the experience and productivity of women is higher than men's. This is reflected in the demand for the top-of-the HO-more than 2 times a week. The demand for “more than 2 times in a week for women is almost double that of the demand of the men in the non-Vaccinated. Already on the scene, with the vaccine in the fall, the most significant was observed in females (showing that they give greater emphasis on the risk of infection).

Leadership

To be in a position of leadership in general has led to a lower demand in the days of Home Office design. Much of the evaluation of the experience of the HO and the productivity of the work had its worst rates with the managers of more than 20 people in it (but still to be approved). These Managers also give greater emphasis on flexibility and managers with less than 20 people, they stress on the importance of the traffic to assess the main advantage for the Home and Office. What you see here is a clear indicator of just how challenging it is to keep with the times, “in the hand”, with the separation of the team. This item is closely related to the next item.

Previous experience in a Home Office

Professionals with previous experience in the HO-rated experience, and productivity-better than the ones that were not, and require up to 50% more than the HO. This could indicate a possible period of adaptation to remote working and its characteristics.

Conclusion

On the basis of the data of the survey, we see a clear sign of approval from the employee to work remotely and we have the green light for employers to understand that this type of work, it makes sense for their Organizations.

Added to that, the strong economic crisis, it will take a part of your business, the search for a reduction in costs, and a Home Office-can be a cost-efficient way to this reduction (temporary or permanent).

We are also an indication of strong people would like to have, on average, a limit that to the Home Office for 2 days a week, showing a breakdown of this kind of work, and consequently there is a limit to the reduction of space in the office.

In the opposite direction of the movement, the greater the distance of the stations of the work, and the consequent reduction to the virtual” size of the firms tend to “balance the scale” as set forth above.

Before we came to the conclusion, it is a look that is specific to the business of the St. Paul real Estate for sale on AAA in regions premium how JK Would do in Lima, Paulista Itaim. We see it in the regions, and might less than 10 per cent, and a lack of Supply for the relevant office in the next few years. For this factor a (low) is way to relevant in the present day of the period 2014-16 (at this time, the glut of Supply has been a key contributor to the imbalance).

On the fact that today, we can see that the expected reduction in the marginal demand for offices will not be enough to change the dynamics of the prices given on the balance of supply v demand prevailing in the region. On the contrary, in regions such as the JK, Itaim, it was like a scene from an imbalance with too much demand and prices are high, so important in the last 12 months.

In the event of COVID19, and the economic crisis tends to bring out the best balance of price in these places, but we understand that, we'll continue to see an increase in the amount of rental income in these regions, but to a lesser magnitude than that observed in the previous 12 months.

Taking into consideration that up to 2023 we will not be Offering a relevant, in São Paulo, in the new Buildings in the Business to AAA, we continue to see the industry with the best risk-return investment in current prices.

We find that the impact on the demand of the spaces that the business is in a neutral to slightly negative to a time horizon of 1 to 2 years, and we estimate the maximum impact on your peers in the real estate and AAA, in São Paulo (region premiumof up to 5% of the estate, B/C by about 10%, given the lower the resilience of the tenants of these buildings in general (especially in regions that are members of it).