7 in 10 Apac business leaders expecting their commercial real estate budgets to increase between now and 2030: JLL
Strong momentum towards office-based work has raised expectations of increased use of office space, says report
BUSINESS leaders in Asia-Pacific (Apac) are optimistic about the future, with 7 in 10 anticipating their commercial real estate budgets to increase between now and 2030.
This is “despite the challenging commercial real estate landscape and mixed economic environment”, said real estate consultant JLL in a report on Wednesday (Sep 11).
The biennial report, which surveyed more than 2,300 business and commercial real estate decision-makers, found that strong momentum towards office-based work has raised expectations among respondents of an increased use of office space.
JLL noted that 49 per cent of Apac organisations are considered “office advocates”, hoping to see their staff in the office five days a week.
In addition, 85 per cent of Apac companies have a policy of working in office at least three days a week, with four in 10 expecting the number of in-office days to increase by 2030.
Neil Murray, global chief executive officer of Work Dynamics at JLL, said that the commercial real estate landscape is increasingly complex and dynamic, and evolving towards better office use.
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“Looking ahead, business and commercial real estate leaders working to drive talent and efficiency throughout their organisation must consider the unique needs of their organisation, and leverage tools such as technology, artificial intelligence (AI), and upskilling,” he added.
According to the report, Apac business leaders expect over 70 per cent of their activities to be partially supported by AI by 2030.
Also, 90 per cent of Apac companies plan to accelerate investments in AI, with half anticipating AI-enabled spaces by 2030.
Globally, the survey revealed that business leaders are prioritising three corporate goals over the next five years. They are: growing revenue through expansion as well as mergers and acquisitions (57 per cent); attracting and retaining talent (53 per cent); achieving organisational efficiency (54 per cent).
These leaders believe that commercial real estate “can add the most value by supporting business growth, enabling organisational efficiency and reducing operating costs”.
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