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Originally Posted by Sunsfan87
Interesting article on office to housing conversions, it says Phoenix has eight office conversions: three currently underway and 5 proposed if I’m not mistaken. Is there a list or have these been discussed which projects these are?
https://www.businessinsider.com/remo...alypse-2022-12
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I’m not a fan of buisness insider their journalism is suspect and melodramatic and this article is for sure in that camp. It’s a bit over the top and reminds me of the proclamations that restaurants and concerts were forever doomed by Covid 19.
What’s going on in offices: white collar jobs that really only require internet access for emails and phone calls are much more likely to be done remotely. Most of them are now hybrid where the worker will come in some days but not every day. This transition likely would have occurred and could have occurred a decade ago but culture and tradition can take a while to overcome. This will not make offices obsolete but it very much changes how much space companies need to be leasing and that’s what we are seeing in these high vacancy numbers.
These towers will fill up again but with many more tenants. Much fewer huge leases across multiple floors and a lot more “executive” offices or specialty offices.
That being said I am still a firm believer that people do like
Interacting and while work from home is nice I think you’ll see over a few years that a lot of people will be going into the office more and more as things settle back to the norm.
What is nice is this newer idea of flexibility with where and when people working isn’t going anywhere as it just makes too much sense. And this will actually have very long term consequences where people can now work remote in small cities and towns and have much lower costs of living. Or even just in further afield suburbs. A long commute isn’t so daunting if it’s only a couple times a week or month. Birth rates went up for the first time in 2021 in 7 years. I would bet that had a lot to do with people being home more or leaving urban areas for Singtel family homes and smaller communities etc.