Corporate real estate portfolios are undergoing structural downsizing as long-term commercial leases signed prior to 2020 expire. Prime office space absorption in major financial hubs has contracted for the third consecutive quarter.
Capital Efficiency and Distributed Talent
Chief financial officers are leveraging hub-and-spoke office models to cut overhead expenses while accommodating hybrid working arrangements. The trend has diverted real estate capital expenditures toward mid-sized secondary markets, lowering cost-per-employee metrics.