IDEAS home Printed from https://ideas.repec.org/a/eee/trapol/v130y2023icp184-195.html
   My bibliography  Save this article

The impact of COVID-19 and working from home on the workspace retained at the main location office space and the future use of satellite offices

Author

Listed:
  • Hensher, David A.
  • Wei, Edward
  • Beck, Matthew J.

Abstract

There exists a substantial amount of research on the impact that the COVID-19 pandemic has had on significant changes in the location at which work takes place, especially working from home (WFH). There has been, however, very little systematic consideration given to the relationship between the substantial increase in WFH and the responses taken by organisations in reviewing their office (workspace) capacity needs in the future, including a switch of the mix of utilising workspace in the main office(s) and satellite office locations. The main aim of this paper is to explore the extent to which levels of working from home and increased use of rented satellite office space will be linked to changes in the amount of workspace required at the main office that was used pre-COVID-19. Using data from 459 businesses for three periods for pre-COVID-19, April 2022 (25 months after the outbreak of the pandemic) and stated intentions for 2023, we develop a random effects regression model for the Greater Sydney Metropolitan Area in which we identify some of the influences on the downsizing or not of the main office(s) work space, and comment on what we see as the most likely scenario for WFH and work space in the main office and rented satellite office space under the ‘next normal’. The findings can be used to inform future commuting travel as well as changes in land use activity at specific locations, including possible reallocation of existing office space to other activity uses.

Suggested Citation

  • Hensher, David A. & Wei, Edward & Beck, Matthew J., 2023. "The impact of COVID-19 and working from home on the workspace retained at the main location office space and the future use of satellite offices," Transport Policy, Elsevier, vol. 130(C), pages 184-195.
    • Handle: RePEc:eee:trapol:v:130:y:2023:i:c:p:184-195
    DOI: 10.1016/j.tranpol.2022.11.012
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0967070X22003249
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.tranpol.2022.11.012?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Barrero, Jose Maria & Bloom, Nick & Davis, Steven J., 2020. "Why Working From Home Will Stick," SocArXiv wfdbe, Center for Open Science.
    2. Arjun Ramani & Nicholas Bloom, 2021. "The Donut Effect of Covid-19 on Cities," NBER Working Papers 28876, National Bureau of Economic Research, Inc.
    3. Nick Clifton & Darja Reuschke, 2022. "The diverse coworking landscape and implications for commercial real estate provision: lessons from individual preferences and practice," Journal of Property Investment & Finance, Emerald Group Publishing Limited, vol. 40(5), pages 508-523, May.
    4. Nick Bloom & Tobias Kretschmer & John Van Reenan, 2009. "Work-Life Balance, Management Practices and Productivity," NBER Chapters, in: International Differences in the Business Practices and Productivity of Firms, pages 15-54, National Bureau of Economic Research, Inc.
    5. Fernanda Antunes Batista da Silva & Nan Liu & Norman Hutchison, 2022. "Flexible workspace providers as tenants: an analysis of the rental prices in the London market," Journal of Property Investment & Finance, Emerald Group Publishing Limited, vol. 40(5), pages 448-464, April.
    6. Beck, Matthew J. & Hensher, David A., 2022. "Working from home in Australia in 2020: Positives, negatives and the potential for future benefits to transport and society," Transportation Research Part A: Policy and Practice, Elsevier, vol. 158(C), pages 271-284.
    7. Julian Waters-Lynch & Jason Potts, 2017. "The social economy of coworking spaces: a focal point model of coordination," Review of Social Economy, Taylor & Francis Journals, vol. 75(4), pages 417-433, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Blanas, Sotiris & Oikonomou, Rigas, 2023. "COVID-induced economic uncertainty, tasks and occupational demand," Labour Economics, Elsevier, vol. 81(C).
    2. Bergeaud, Antonin & Eyméoud, Jean-Benoît & Garcia, Thomas & Henricot, Dorian, 2023. "Working from home and corporate real estate," Regional Science and Urban Economics, Elsevier, vol. 99(C).
    3. Alipour, Jean-Victor & Falck, Oliver & Schüller, Simone, 2023. "Germany’s capacity to work from home," European Economic Review, Elsevier, vol. 151(C).
    4. Brian J. Asquith & Margaret C. Bock, 2022. "The Case for Dynamic Cities," Upjohn Working Papers 22-373, W.E. Upjohn Institute for Employment Research.
    5. Redding, Stephen J., 2023. "The economics of cities: from theory to data," LSE Research Online Documents on Economics 121373, London School of Economics and Political Science, LSE Library.
    6. Arpit Gupta & Vrinda Mittal & Stijn Van Nieuwerburgh, 2022. "Work From Home and the Office Real Estate Apocalypse," NBER Working Papers 30526, National Bureau of Economic Research, Inc.
    7. Malik, Khyati & Kim, Sowon & Cultice, Brian J., 2023. "The Impact of Remote Work on Green Space Values in Regional Housing Markets," 2023 Annual Meeting, July 23-25, Washington D.C. 335486, Agricultural and Applied Economics Association.
    8. Althoff, Lukas & Eckert, Fabian & Ganapati, Sharat & Walsh, Conor, 2022. "The Geography of Remote Work," Regional Science and Urban Economics, Elsevier, vol. 93(C).
    9. Schulz, Rainer & Watson, Verity & Wersing, Martin, 2023. "Teleworking and housing demand," Regional Science and Urban Economics, Elsevier, vol. 101(C).
    10. Erdsiek, Daniel & Rost, Vincent, 2022. "Working from home after COVID-19: Firms expect a persistent and intensive shift," ZEW Expert Briefs 22-06, ZEW - Leibniz Centre for European Economic Research.
    11. Parkhomenko, Andrii & Delventhal, Matthew J, 2023. "Spatial Implications of Telecommuting in the United States," Institute of Transportation Studies, Working Paper Series qt97q6c2rg, Institute of Transportation Studies, UC Davis.
    12. Gilles Duranton & Jessie Handbury, 2023. "COVID and Cities, Thus Far," Economic Policy Review, Federal Reserve Bank of New York, vol. 29(2), pages 6-52, October.
    13. Battisti, Enrico & Alfiero, Simona & Leonidou, Erasmia, 2022. "Remote working and digital transformation during the COVID-19 pandemic: Economic–financial impacts and psychological drivers for employees," Journal of Business Research, Elsevier, vol. 150(C), pages 38-50.
    14. Fernando V. Ferreira & Maisy Wong, 2022. "Neighborhood Choice After COVID: The Role of Rents, Amenities, and Work-From-Home," NBER Working Papers 29960, National Bureau of Economic Research, Inc.
    15. Ferdinando Monte & Charly Porcher & Esteban Rossi-Hansberg, 2023. "Remote Work and City Structure," Working Papers 2023-016, Human Capital and Economic Opportunity Working Group.
    16. Jean-Victor Alipour & Oliver Falck & Simon Krause & Carla Krolage & Sebastian Wichert, 2022. "The Future of Work and Consumption in Cities after the Pandemic: Evidence from Germany," CESifo Working Paper Series 10000, CESifo.
    17. Hensher, David A. & Beck, Matthew J. & Balbontin, Camila, 2023. "Working from home 22 months on from the beginning of COVID-19: What have we learned for the future provision of transport services?," Research in Transportation Economics, Elsevier, vol. 98(C).
    18. Nicholas Bloom & Raffaella Sadun & John Van Reenen, 2015. "Do Private Equity Owned Firms Have Better Management Practices?," American Economic Review, American Economic Association, vol. 105(5), pages 442-446, May.
    19. Ro’i Zultan & Eldar Dadon, 2023. "Missing the forest for the trees: when monitoring quantitative measures distorts task prioritization," Working Papers 2319, Ben-Gurion University of the Negev, Department of Economics.
    20. Kato, Takao & Kodama, Naomi, 2015. "Work-Life Balance Practices, Performance-Related Pay, and Gender Equality in the Workplace: Evidence from Japan," IZA Discussion Papers 9379, Institute of Labor Economics (IZA).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:trapol:v:130:y:2023:i:c:p:184-195. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/30473/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.