Increase Your Business ROI by Renting Space in a Building with Amenities

Have you heard the term “trophy office space”? No? Well, have you heard about the tunnel slide in Google’s headquarters in Silicon Valley? How about the giant teepee swing on Facebook’s rooftop garden?

An office trophy space is basically a space that goes beyond your average cubicle. They offer fun spaces, plenty of décor, and stunning views for employees. These extra add-ons turn the office itself into a point of bragging rights, help with employee retention, and attract new, top talent to a company’s headquarters.

It turns out these office spaces aren’t just for the Googles and Facebooks of the world. They are becoming more and more accessible to small and medium-sized businesses. Today’s property owners are looking to keep pace with the changing face of the American workforce.

The Upsides of Trophy Office Spaces

A February 2016 study by one of the world’s leading commercial real estate advisory firms focused on whether these “trophy offices” were really helping with productivity . The answer is a resounding yes! They found there was an average 3% rise in productivity gained by occupying a trophy office. Best of all, the capital gained from this increase actually covered the cost of moving to a space with upscale amenities (Newmark Grubb Knight Frank).

Trophy properties are also a huge benefit when it comes to employee retention. A 2016 Workforce Study found that employees who are the most innovative “spend less time at their desks, instead collaborating and socializing from conference rooms, open meeting areas, and café spaces.” (Gensler).

Retaining top talent is increasingly important, especially because of the enormous cost of replacing employees.  A study by the Center for American Progress concluded that the cost of turnover could be up to 120% of a high-level employee salary.  There are soft costs, too, that can be a huge drain on productivity. The costs of training and having other employees picking up slack can run high.

Additionally, trophy offices spaces can also help companies looking to attract up-and-coming millennial talent.

“It’s all about looking at making office buildings much more attractive to millennials because companies are competing for workers,” said architect Ken Shuttleworth, from the international firm Make Architects. “You’ve got to have agile spaces, different fun settings and cool offices to attract the right people.”

The Workaround for Smaller Businesses

Fear not – you can get these benefits without installing a full swing set next to the office coffee machine. Trophy properties can offer a host of amenities that are a part of the whole building. That way you don’t have incorporate them into the actual office space.

  They can range from gyms and fitness centers to additional conference spaces, indoor and outdoor communal spaces, dining options, dry cleaning, salons, and more. The whole building is often outfitted for Wi-Fi as well. That way employees have the flexibility to work outside the office unit and within these amenities.

As the commercial landscape continues to grow and change, understand your needs. Office space is a game changer for many employees. The cost-benefit analysis of a trophy office might be more feasible than you think.

Like this blog? Read on to learn more about office best practices! 

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