Corporates may have discovered the viability of employees working from home (WFH) during the coronavirus pandemic as an alternative to occupying costly office spaces but it is not a one-size-fits-all workplace alternative, as many business verticals and functions still require employees to work in an office setting, an analysis has said.
A large chunk of work needs constant monitoring and professional infrastructure which only an office setting can provide, property consultant ANAROCK has said.
While it has several advantages, work from home cannot work for every type of company. Most major industries have functions which require a high level of centralized supervision as well as data security which are only available in a formal office setting.
Most employees depend on the infrastructure provided in their offices to do their work efficiently, and also require a formal office setting to get into ‘work mode’.
While WFH is not a one-size-fits-all workplace alternative, social distancing norms are likely to remain in place for a while to come and more and more companies will need to consider this option, said Ashutosh Limaye, Director and Head - Consulting, ANAROCK Property Consultants.
What is certain is that commercial space requirements are in for a major upheaval, as India Inc will not hit a ‘business as usual’ equation for quite a long time. Tenants will recalibrate their space requirements, and the effective average monthly per-desk rentals at Grade A office spaces in some of the major business cities will be a central consideration.
Monthly per-desk rentals
The average monthly rentals in Grade A office spaces in CBD (central business district) areas like South Mumbai and Bandra Kurla Complex are anywhere between Rs 18,000 to 27,000 per desk per month for coworking spaces and between Rs 24,500 to Rs 30,000 per desk per month for conventional commercial Grade A offices. All non-Grade A office spaces in CBD areas are lower by at least 15 percent to 20 percent.
In New Delhi, the average monthly rentals in Grade A office spaces in CBD areas like Connaught Place range between Rs 13,000 to Rs 19,000 per desk per month for co-working spaces and between Rs 20,000 to Rs 25,000 per desk per month for conventional commercial Grade A offices. Non-Grade A office spaces in the CBD areas are at least 15 per cent to 20 per cent cheaper.