Is Downsizing the future of Office Space?

Office downsizing, remote working, and online business – these are some of the biggest commercial trends of 2021

As the reality of lockdowns, the recent looting and unrest, and a weak economy sink in, more and more companies are deciding to move to smaller premises.

If you’re considering office downsizing this year, you’re not alone. Key Moves provides comprehensive business moves for clients across South Africa and the number of customers requesting office relocation quotes is definitely on the rise. 

In this article we look at the commercial property sector in South Africa, how it has performed during Covid, and what we can expect in the years to come.

Vacancies become the new normal

Commercial buildings have always relied on large corporate clients to rent or purchase a large percentage of their floor space. But this could be about to change. 

Since COVID-19 has changed the way we work, many businesses are questioning the need of having all their staff in the office five days a week.

Several large corporations have already announced plans to downsize their offices, with one of the country’s biggest banks leading the charge. 

  • Nedbank recently announced plans to cut down the number of on-site workers at their premises by 40%. This amounts to thousands of people working from home or other remote locations and a 69 000m2 reduction in floor space. 
  • To put this in perspective, many large commercial buildings in Sandton and the Cape Town CBD contain less than 50 000 m² of space in total. Nebank’s decision is the equivalent of an entire office block disappearing overnight. 

Is Nebank the exception to the rule? Recent announcements from other corporates indicate a similar trend in office downsizing. 

  • Sasol, Sanlam, and Discovery are set to follow suit with large reductions in office space. 
  • Traditional workspaces are being replaced by hybrid setups using technology to facilitate collaboration between team members. 

Small office moves? We’ve got you covered

Is your business paying high overheads for office space that you’re hardly using anymore? You may want to prioritise office downsizing this year and relocate to premises that better suit your needs. Small office moves are currently trending as companies downsize to a space big enough to maintain social distancing without looking like the place is abandoned. When choosing new premises, a convenient location close to major transportation links and other amenities will encourage workers to come in several days a week and still enable clients to visit your premises with ease once COVID subsides

Furniture disposal and relocation solutions for office downsizing

Downsizing your company can be a logistical headache. Key Moves offers a comprehensive packing, disposal, and moving service for corporate clients, small businesses, and individual homeowners alike that will take the stress out of any office relocation

The professional Key Moves team will work with you to pack the items you really need and can assist you in getting rid of and disposing of any unwanted office furniture, supplies and equipment that won’t be needed at your new premises.  To take the next step towards a successful relocation, request your free quote on our website today. 

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