RE: Pesky budget8 Nov 2024 10:57
Worth looking at what's happening in the US. A number of companies are putting pressure on for employees to move back to an office based model. Amazon is one. Sorry off the top of my head I can't recall them all. Some are basically saying come back 5 days a week or you're no longer going to be eligible for promotion, others that you risk having your contracts terminated, others that a 3 day office based hybrid will be enforced. That space will be interesting to watch. Recenlty 4 office buildings in London were listed for sale. The prices seemed high, I'm not sure if they were sold or not, but there's a fair chance that the prices will have to fall due to low occupancy. What's the point heating/lighting a huge space with no-one in it? I'm not convinced the WFH situation has been settled yet. When the office buildings are sold at massive losses, the banks take a massive hit (contracts permit those with the loans to return the property to the banks without paying the loan; if the property has dropped 70% then the banks are stuck with that loss). This is not speculation, its'happening. The damage done will depend on the scope of the problem. WFH is not a good thing in many cases.