Cushman & Wakefield: Five Ways To Maximize Office Relocation Opportunities

Cushman & Wakefield: Five Ways To Maximize Office Relocation Opportunities

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Chamber Member News Post Date: 04/28/17 Source: Cushman & Wakefield By: Dominic Brown
Summary

Globally, office markets are diversifying. The rise of new fringe markets, suburban markets and bespoke business parks have provided fierce competition to established central business districts (CBD) locations. Along with decisions surrounding country and city locations, occupiers now have to assess a range of potential locations within a city as well. While this presents a range of opportunities, each of the markets and sub-markets offer their own set of advantages and disadvantages.

Here are five key factors outlining a systematic approach to analyze office location strategy. All can be combined into a composite index with variables assigned different weightings based upon their level of importance.

1.) Define Market Catchment

While it is readily presumed a smaller market will draw workers from a smaller area, this in itself is inherently fuzzy and does not provide any formal delimitation. In the absence of reliable data, using an arbitrary buffer radius offers the simplest approach. However, a detailed analysis of journey to work patterns provides a far more comprehensive view that directly reflects commuter flows and highlights from where the largest volumes of workers are sourced.

2.) Identify Demographic Characteristics

Demographic characteristics of the catchment population are critically important. With today’s “war on talent,” access to a high-quality workforce, that reflects the needs of the company, is imperative. Whether it is relocating a head office, development of a new call center or consolidating back office functions – the need for quality staff is constant. The educational, occupational and demographic requirements of the staff, though, will vary.
In determining the target demographics of a workforce and their subsequent position, consideration should be given to factors such as the location of university campuses, areas with young families where parents may desire more flexible working conditions and concentrations of workers with tertiary education. Such information is readily available from government data. An understanding of your target employees is essential; with that each catchment can be assessed on whether it offers what is required. Read Full Article