A new survey from CBRE reveals a significant year-on-year increase in office attendance across Europe.
The 2024 European Office Occupier Survey shows that the proportion of companies with average building utilization between 41% and 80% has jumped to 61%, up from 48% in 2023. Conversely, fewer companies report low utilization, with only a third experiencing 40% or less compared to almost half last year.
Larger companies (5,000 employees or more) are achieving the most success, with nearly two-thirds reporting utilization of 41% or higher, mainly due to natural momentum and increased use of office attendance mandates.
The percentage of employees going to the office at least three days a week has risen to 43%, up from 37% in 2023, as employees visit the office more frequently rather than companies downsizing their portfolios.
Companies with less than 5,000 employees have experienced an 18% rise in the four-to-five-day group, while those under 1,000 employees saw a remarkable 31% increase.
The use of attendance policies continues to grow, with 76% of companies implementing some form of policy. However, only 40% enforce mandatory attendance, while another 17% allow individual teams to make decisions.
CBRE’s head of European Office Research, Richard Holberton, said: ‘The findings of our survey tell us that offices are returning to vibrancy and, while many see the current levels of utilisation as stable, 30% of companies expect further increases. The general acceptance of hybrid working is widespread, but the challenge remains of matching employers’ expectations with that of their employees over the long-term.’
Despite increased momentum and higher utilization rates, 57% of companies plan to reduce their portfolio size over the next three years, 17% plan to maintain their current portfolio size, and 24% intend to expand. For those seeking growth, anticipated business growth is the primary driver.
The majority of companies looking to reduce their footprint plan to do so by letting existing leases expire, while 58% are also open to renewing leases when they remain suitable for their needs.
Anna Esteban, CBRE’s head of Advisory and Transaction Services for Europe, added: ‘Landlords have seen occupiers demanding, and expecting, better quality offices in recent years and if solutions can be achieved ahead of lease events, existing space can be just as desirable and efficient as a newly-developed office.’
