How we work has changed, affecting what businesses need from their space and in particular how to solve for the best utilization of office space. This post helps businesses understand their options in 2025. By knowing the basics of in-office, hybrid, and remote work, as well as coworking and traditional (including move-in ready) offices, companies can make the right choices for their success.

The Changing Workplace: What Influences Office Needs

More companies are using flexible work such as remote and hybrid setups, which are now common in options and in practice by employers. Data has shown 45% of full-time workers were partly or fully remote at the beginning of this year. Research indicates hybrid work benefits companies by improving employee retention without harming productivity, as demonstrated by a Stanford study, however employers are pushing back with return to office plans, particularly with larger companies. The divide between company and employee hinges on challenges like communication issues and potential divisions between remote and in-office staff, requiring careful management, not to mention significant investments made in office spaces to support productivity and culture.

The argument is pretty simple, while flexible work is popular, physical office spaces still matter for some things. They offer structure, direct communication, networking, resources, teamwork, and help build company culture. Offices are central for collaboration, new ideas, and strong company relationships. The idea of "destination workplaces" is growing, meaning offices need to be high-performing spaces that support a company's culture. There are concerns about training, mentoring, innovation, and culture if people aren't in the office enough, highlighting the need for a balance between remote and in-office work.

Your Office Space Options

Businesses in 2025 have several ways to organize work, each with its own advantages and disadvantages.

Remote Work: This model allows employees to work primarily from locations outside of a central office, such as their homes. 

• • • • • Pros: Can reduce overhead costs (office space, utilities), offers greater flexibility for employees, expands the talent pool geographically. 
        • Cons: Can pose challenges for communication, team cohesion, and maintaining company culture; requires robust technology infrastructure and management strategies for remote teams.

Hybrid Work: This model combines remote work with some in-office presence. The frequency and structure of in-office time can vary. 

• • • • • Pros: Offers a balance of flexibility and in-person collaboration, can improve employee morale and retention, may allow for a smaller office footprint. 
        • Cons: Requires careful coordination of schedules and office space, needs strategies to ensure equitable experiences for both remote and in-office employees, and necessitates clear communication protocols.

Coworking Spaces: Offering flexibility and community, coworking spaces provide shared office environments with flexible leases, networking opportunities, and included amenities, often appealing to startups, small businesses, and remote workers. 

• • • • • Pros: Flexible leases, cost-effective, networking opportunities, included amenities, community for remote workers. 
        • Cons: Less privacy/customization, potential for noise, weaker branding, varied security, shared resource limitations.

Quick-Move-In Suites (Spec Suites): These are ready-to-use office spaces that facilitate rapid occupancy by reducing upfront costs and ease of occupancy in traditional office buildings / suites, often located in well-amenitized buildings.

• • • • Pros: Rapid occupancy, lower upfront costs, more flexible leases than traditional, often in quality buildings, good for generic business needs. 
      • Cons: Limited customization, not as flexible as coworking for lease term, potentially higher per-foot cost, generic furnishings, limited availability, potentially lower long-term value.

Traditional Offices: These offer a professional setting, privacy, and control. They can boost a company's image and facilitate in-person collaboration. 

• • • • Pros: Provide a structured environment, support strong company culture and team building, offer dedicated space and resources. 
      • Cons: Can be more expensive, longer timelines complete transactions, have more stringent financial requirements, and typically require three or five year lease commitments.

Choosing the Right Office Space Option for Your Business

When determining the best space for your business, consider several key factors that impact your operations, employees, and productivity. Here are some considerations:

• • • Total Cost: Go beyond the base rent to understand all associated expenses, such as utilities, maintenance, build-out costs (for traditional leases), and any additional fees for amenities. Local experts can provide accurate cost comparisons for different space types in their area.
      
      
    • Flexibility and Scalability: Assess how well the lease terms and the space itself can adapt to your company's growth trajectory or potential need to downsize. Local market conditions often influence the flexibility offered by different landlords and coworking providers.
      
      
    • Location and Accessibility for a Distributed Workforce: Consider the commute for employees (if any), client access, and the overall desirability of the location. Local brokers can offer insights into transportation options and the attractiveness of various business districts within a specific city.
      
      
    • Technology Infrastructure: Ensure the availability of reliable high-speed internet and the potential for necessary IT infrastructure upgrades. Local building managers and IT service providers can offer specific details about connectivity options.
      
      
    • Culture and Branding: Think about how the office space reflects your company's identity and values. What is necessary to support your vision of attracting the right employees and customers.
      
      
    • Amenities and Services: Determine which amenities are essential for your team's productivity and well-being (e.g., meeting rooms, break areas, on-site support). Local coworking spaces and building management can detail the amenities they offer.
      
      
    • Lease Terms and Legalities: Carefully review lease agreements, understanding the commitments and any potential legal nuances specific to the state or locality. Local real estate attorneys can provide invaluable assistance in this area.

Key Resources to Engage:

To navigate the complexities of the nationwide commercial real estate market and make informed decisions, its important to connect with resources that can help you in your journey from search to lease.

• • • Commercial Real Estate Brokers: These local professionals specialize in office space and possess up-to-date market knowledge.
      
      
    • Online Commercial Real Estate Marketplaces (for Local Outreach): Use these to identify potential properties, but always follow up with local brokers for detailed information.
      
      
    • Coworking Space Providers: Contact local branches to explore their offerings, pricing, and community.
    • Local Business Development Organizations and Chambers of Commerce: These can offer connections and insights into the local business landscape.
      
      
    • Financing Consultants: Local financial advisors or consultants specializing in commercial real estate can help you understand financing options for build-outs, leasehold improvements, or even purchasing commercial property, providing guidance relevant to local lending practices.

In Conclusion

Choosing office space today means carefully considering various factors. Businesses must align their work style with their needs, employee preferences, and budget. With options like traditional leases, flexible coworking, and quick-move-in suites, there are solutions for all businesses. By carefully evaluating location, technology, networking, and scalability, businesses can make smart choices that support their teams and long-term success in the evolving business world of 2025.