Can the ‘hotelification’ of the office beat working from home?
London offices are offering monogrammed towels and rooftop gardens to tempt staff back into work, says Alex Morgan
Some of the world’s largest companies are pulling the plug on hybrid working, but not without a hitch. In the US, Amazon’s return-to-office (RTO) mandate has been put on pause because of a shortage of desks in New York, Houston and Atlanta, raising the question whether corporates reacclimatising to in-person work have sufficiently ‘rightsized’ their space requirements.
While the examples set out by Trump’s federal buyout, JP Morgan, Salesforce and Barclays in the UK indicate a recent sea change in attitudes to RTO, the logistics of fitting everyone into an office floorplate misses the point that this really is the bare minimum in a series of steps needed to bring workers back in full-time. An environment that employees want to be in; that outguns the comfort of the no-commute or the glare of management, will be key in attracting and retaining talent over the longer-term.
Let me explain. According to KPMG’s CEO Outlook survey, 83 per cent of UK CEOs polled expect employees to work in-person five days a week within the next three years. This is a far cry from 2024 figures from JLL, where over half of all employees said they were commuting to the office fewer than three days a week, espousing – in particular – the greater flexibility afforded when working from home.
More profoundly, however, is that looking deeper into hybrid working policies reveals more leniency granted to high performers, who are more likely to think with their feet when the autonomy they have adjusted to is restricted, especially in highly competitive sectors like technology, or vocational work, like law, where demand for consistent in-person collaboration and the physical presence of high achievers – who also often make for good mentors to newer, less experienced employees – will require something in return. Something that dramatically outweighs that resistance to change, offering a reason for being at the office that is both a compelling alternative to working from home and an advantage.
To meet these expectations, office fitouts have changed to focus more on flexible layouts, high-quality finishes and an assortment of different meeting and workspaces to mix up the experience. This de-densification is a reversal of the pre-pandemic trend towards hot-desking – a workplace strategy that has always been reviewed poorly by the office workers on which it has been imposed. But this is not enough.
Make your office feel premium
For offices to feel premium they need to take a leaf from hotel operators, which have led the creation of the ‘home away from home’.
Convenience is an attractive reason to work in the office. On-site gyms, integrated café areas, roof top gardens, full shower and changing facilities, even down to finer details such as branded soap, book-end office hours with easy-to-access amenities that complete a healthy, diverse and active routine.
The right location also serves as a way to create additionality to the in-person working experience, especially if the office is close to social hubs. This is one of the reasons why London’s West End is currently one of the most in-demand localised office markets globally, with walking access to entertainment, heritage, eateries and leisure, while investors cherry-pick underappreciated office stock in areas like Shoreditch and Victoria with renovation potential.
London’s West End is currently one of the most in-demand localised office markets globally, with walking access to entertainment, heritage, eateries and leisure
New additions to London’s skyline are setting the pace of the ‘hotelification’ of the office, with specialist asset and property managers, ourselves included, playing a key role in shaping these spaces. The development at 21 Bloomsbury Street, an 85,000 sq ft refurbishment near Tottenham Court Road and the new home of entertainment and sports agency Creative Artists Agency (CAA), was once the building where the London Olympics were conceived. Completing this year, the building – an all-electric design – raises the bar with a rooftop clubhouse garden, a gym and fitness studio with live remote classes, and offers a hotel-like experience with extensive shower and changing facilities, complete with towel service.
20 Kirby Street is a similar affair – office refurbishment and extension in the heart of Farringdon but with a focus on small details like lighting and break-out spaces to replicate home comforts. Set for completion this year, the environment is designed to maximise flexibility in a nod to the convenience workers returning to the office are calling for to trade-off a longer commute.
As the workplace continues to evolve, expect to see growing demand for spaces that cater to both individual needs and collective goals. This goes beyond layout adjustments, requiring a holistic approach that integrates wellness, purpose and sustainability to create environments where employees feel engaged, valued and motivated.
Alex Morgan is founding partner at Morgan Real Estate