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Analytics Firm Says Open Concept Offices Are Losing Popularity

Workspaces of today are getting it all wrong, according to Ottawa, Canada-based workspace analytics company Relogix.

The firm, which measures more than 20 million square feet of workspace globally, found that almost every organization has the wrong amount and wrong sized meeting rooms, and that almost every organization has a significant amount of space not being used effectively.

Additionally, the firm reports that almost every organization has employees that are negatively affected by the current provisioning of the workspace. This includes open concept offices that were once incredibly popular in the early 2010’s.

“The data has been staggering,” said Andrew Millar, CEO at Relogix. “In one case study, from a large-scale but traditional office-setting style client, we found a 52% vacancy rate for all workspaces during prime work hours, and of the team members present only a 25% occupancy rate for their dedicated desk spaces. This information illustrates patterns of usage and characterization of space which can save organizations hundreds of thousands of dollars per year.”

The findings are not surprising, especially given coworking company WeWork’s recent struggles , and could signify a changing office landscape nationwide.

Relogix, which secured $4 million in funding in October, recently scaled up with the addition of sensors installed across 20 million square feet of office space. The firm also launched a refreshed website and brand.

“The early data coming back from those projects makes for impactful case studies and shows real ROI,” said Millar. “It prompted us to refresh and refocus the brand, and set out a more aggressive growth plan.”

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Inside The Story

About David Cohen

David Cohen is Southeast Editorial Director at Connect Commercial Real Estate. David is a media veteran with more than 10 years of experience in journalism, copywriting and communications across a variety of roles. He is responsible for covering commercial real estate news and trends in the Southeast, Florida, Washington D.C. and Boston at Connect CRE as well as specializing in the Student Housing sector. Prior to joining Connect, David was the editor of Northeast Real Estate Business magazine and Student Housing Business magazine at France Media as well as spending time freelancing for ESPN and the Associated Press in the fast-paced field of live sports event production. He is also an owner and investor in multifamily real estate in Atlanta, GA. David currently resides in Atlanta and graduated from the College of Communication & Information at the University of Tennessee Knoxville.

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