The increase in online shopping and remote work in recent years has tremendously impacted the commercial real estate industry. Although office buildings and brick-and-mortar stores are seeing a decline in demand, commercial spaces are being adapted to fit current market needs. I’ve found three articles that cover law firm office structure changes, the abandonment of shopping malls, and how vacant office spaces could mean high taxes in some places.
Law Firms are Embracing Smaller Office Spaces
Law firms have become one of the countless industries that have started making changes to their workplace setups. Rather than the traditional hierarchy-based office layout, they are taking an egalitarian approach. This includes more natural lighting, standing desks, hybrid meetings, and overall smaller spaces.
The Abandonment of American Malls
Once a booming choice for retail, shopping malls are now experiencing a decline in popularity. This has caused many locations to become obsolete and, therefore, abandoned. As online shopping has slowly overtaken brick-and-mortar locations in recent years, shopping malls around America are being deserted.
More Hybrid Work Could Mean Higher Taxes in Boston
With hybrid and remote work at an all-time high, the commercial tax base for cities everywhere is falling short. In Boston, vacant office buildings are expected to create a cumulative budget downfall of over $1 billion within the next five years. Since the city once relied heavily on commercial property taxes, taxpayers will have to compensate for the lost revenue through local sales and income taxes.
