HLW Benchmarking Index

HLW’s Benchmark Index Top Trends of 2019

Overview

Benchmark Index 300 +

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PROJECTS

11

SECTORS/ INDUSTRIES

84

GLOBAL LOCATIONS

17M

SQUARE FEET

At HLW, data is integral to design Our cutting-edge strategy team ensures HLW projects are informed by key metrics and data points like density, amenity ratios, and collaboration ratios.

Over time, we’ve built a rigorous database that spans sectors, office sizes, and locations. The Benchmark Index both provides our clients with the opportunity to understand how their real estate compares to others’ and serves as a firm-wide resource from which we draw insights.

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DEUTSCH LOS ANGELES, CA

Contents Working Smarter Meeting Patterns Reception Experience Food in the Workplace Inclusivity in the Workplace Finance vs Tech Global Workplace Trends Startup vs Big Tech Looking into the Future

GOOGLE NEW YORK, NY

Working

Smarter

Employers are finding more efficient ways to use their space. As part of this trend, workplace density is increasing, which means individual work seats receive less overall square footage.

Square footage per person has gone down 12% in the past 3 years.

Strategies to accomplish this include moving from offices to open plan and integrating new technology and infrastructure that enable more open environments.

Over half of today’s workforce uses mobile technology, which allows them to work in alternative ways.

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Average square foot per seat, per year 180

Density (sf/pp)

170 160 150 140

2016

2017

2018

Workplace computing distribution

18% Other

36%

Laptops

46%

Desktop PC

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YOUTUBE NEW YORK, NY

AVIVA DIGITAL GARAGE LONDON

Meeting

Patterns

As teams become more mobile and geographically dispersed, small meeting rooms have become increasingly desirable.

Further, our utilization studies show that across industries, highest demand is for small meeting rooms.

We’re building more and more small meeting rooms to meet demand.

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Average number of meeting rooms, per year

2014

2015

2016

2017

2018

Small (4-6ppl) Medium (8-10ppl) Large (12-14ppl)

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HOPELAB LOS ANGELES

915 WILTSHIRE BLVD LOS ANGELES, CA

Reception

Experience

Companies are focusing more on user experience, so the role of reception is becoming more important.

Reception is the first opportunity to display a company’s history, brand, and culture. To take advantage of this moment, our projects’ receptions often incorporate interactive design, digital displays, or catered services.

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Reception space has only grown since 2013.

Reception as a percentage of overall amenity space

2013

8

%

of overall amenity space is reception

2019

20

overall % ofamenity

space is reception

19

OMERS HQ LONDON

GAM LONDON

Food in the

Workplace

Over the last decade, the question around food and beverage in the workplace has shifted from ‘if’ to ‘what level’. Incorporating food programming can help boost productivity and overall employee satisfaction. It is considered one of the best ways that a company can show its employees that it cares about them.

Further, dining spaces have become more dynamic.

Gone are the days of sterile corporate cafeterias, cafés are now the heart of many offices, used socially and for work—not just for meals.

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We’re designing 3x as many cafés today as we were in 2013.

As a rule of thumb, back of house should be one third of overall food services footprint.

Annual number of in-house cafés built

2013

2014

2015

2016

2017

2018

Breakdown of café space

Back of house Space dedicated to kitchen and storage

Front of house

29 %

71%

Space dedicated to seating and servery 25

PRS FOR MUSIC LONDON

W2O LORHAM PARK NEW JERSEY

Inclusivity in the

Workplace

In recent years the conversation around inclusivity in the workplace has grown—and so has the jurisdiction around it.

Under the Affordable Care Act (2010), for example, US employers are required to provide Mothers’ Rooms in the workplace. In our work, we’ve also seen an increase in Prayer Rooms, Wellness Rooms, and other inclusive environments.

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We’re designing 3x as many wellness rooms today as we were in 2013.

Annual number of in-house wellness rooms built

2013

2014

2015

2016

2017

2018

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GOOGLE NEW YORK, NY

BAYERISCHE LANDESBANK W2O LORHAM PARK LONDON NEW JERSEY

Finance vs.

Tech

In today’s complex and growing global market, the sectors of Tech and Finance are frequently discussed.

Both industries have key workplace needs and differ in how and where they work best. These industries have seen remarkable growth, leading to the creation of new businesses and practices.

Finance allocates more space towards traditional offices.

Finance has a larger average desk space than Tech.

Tech fits 33% more meeting seats in a similar area.

Tech has the highest amenity provision.

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Finance vs. technology space allocation

Finance

Technology

Enclosed Offices

11%

6%

Desk Space

35sf

30sf

Meeting Space

16%

18%

Special Space

11%

16% 37

CAPITOL ONE LONDON

WILLIS DUBLIN

Global Workplace

Trends

The conversation around maximizing usable square footage is often a conversation of optimization. For many years, London has been leading the charge in creating flexible, agile work environments, while New York has focused on real estate efficiency. The Los Angeles market, meanwhile, services a creative workforce, so their spaces reflect those needs through larger amenity spaces, enhanced wellness, and active design principles.

In all these markets, optimizing overall square footage involves densifying the floor plate, blurring the line between meeting space and amenity space, and creating spaces than can adapt for various uses.

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London has the lowest workspace square footage.

Los Angeles has the highest amenity square footage.

2018 usable square footage distribution by location London

19 %

5%

18 %

13 % 8 %

17 %

14%

38 %

New York

7%

18 %

10 %

34%

Los Angeles

16 %

13 %

13 %

Offices

Amenity

Open office

Support

Meeting

Circulation

18 %

7%

33 %

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YOUTUBE LOS ANGELES, CA

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TWITTER NEW YORK, NY 46

Start Up vs.

Big Tech

The startup workplace requires extreme amounts of flexibility.

As their product or offering is being developed, a startup may need to grow, adding new work seats, meeting spaces, and amenities. These spaces should be multi-functional, and adapt with the company.

Big tech is able to provide more stability within their workplace, while still maintaining a spirit of innovation. With an established market, they have the ability to expand their workplace offerings and spaces. Big tech offices often include designated team neighborhoods, a variety of food offerings, lounges, and experiential amenity areas.

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Startup workspace focuses on flexibility and adaptability.

Big tech workspace focuses on neighborhood assets and amenity spaces.

Startup client Team Meeting Rooms Multi-Functional Lounge

Incubator Space Single Large Open Workspace

Big tech client

Food Program

Demo Space

Scattered Open Collaboration Established Neighborhoods

49

MICROSOFT LONDON

51

BOOKING.COM AMSTERDAM

Looking into the

Future

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Looking to the future, here are some key themes we see emerging that impact workplace style, culture and design.

Here are some key themes:

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Flexibility as a Standard Employers are putting a premium on giving employees choice. This means adaptable solutions like cafÊs with event and collaboration spaces close at hand. This push isn’t just to make the workplace more fun, it also increases worker satisfaction and productivity at the office.

Efficient and Seamless Experience Employers are constantly looking for new ways to optimize their building and workplace performance.

From check in and visitor experience modules to work ticket systems that track and resolve maintenance issues quickly, the priority is smarter work habits and employee engagement in the workplace.

Committing to Sustainability With the rise of environmental concerns and the introduction of Gen Z into the workplace, employers are prioritizing both sustainable and resilient design solutions in the workplace. In-house teams, living building standards, and showcasing sustainable decisions are all common strategies to accomplish this.

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New York New Jersey Los Angeles London Shanghai Stamford

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