Andy Babula, director of the real estate program at the University of St. Thomas Opus College of Business, recently spoke with Fox Business about how remote work is causing an increase in empty office space and a potential crisis for the commercial real estate industry.
From the story:
“People are working from home a lot more now. If they do want to go into the office, they’re going to want somewhere nearby,” Babula said about the decision to move to the suburbs where many employees tend to live.
According to CBRE Global Commercial Real Estate Services, in New York City there has been a 7.6% increase in empty office space since the pandemic. In Seattle, an 8.2% increase and in San Francisco, a whopping 25.4% increase.