Office Space Tenants are More likely to Choose based on Location & Facilities than Developer Portfolio.
The real estate industry internationally has undergone a number of dramatic changes in the last couple of years that have reflected a change in consumer or end user preferences. Changes in the office spaces real estate sector have appeared in the form of tenants becoming highly selective in their choices to lease properties based on multiple factors.
Whereas developer portfolio and aesthetic positioning were previously the most determinant factors affecting tenants’ decision to lease or buy office spaces, current trends in Egypt’s real estate market throughout 2018 and 2019 have indicated that this has in fact changed. Today’s office spaces market is dominantly affected by tenants’ demand for office spaces that can be easily accessible, offering facilities within the work-play-live model such as workout and meditation areas, retail outlets, and nearby residential units. Furthermore, the third determinant factor in today’s office spaces market in Egypt has been the sustainable development standards that projects can prove to follow in their construction materials, design, energy usage, and over-all identity.
Conclusive, as demand preferences shift supply always has to respond and follow, which ensures diversity of supply over the years that can cater to all tenant needs and preferences, ensuring that the market remains dynamically thriving. Finally, the office spaces sector in Egypt remains undersupplied and is therefore expected to continue growing in response to demand, especially as costs of acquiring and operating headquarters and remote offices in Egypt are highly competitive in comparison to other regional cities.
To learn more about the office spaces sector or market trends, consult our market experts at B2B to understand the full scope of our services and how we can help guide your investment choices.