Large Companies Dumping Real Estate as Remote Work Inflates Bottom Line

 
Many large companies across the U.S. are selling back their Real Estate options as remote work becomes more profitable and the recession looms. Companies that were once buying up office space in cities from New York to San Francisco, are now doing anything they can to make that money back and wiggle out of leases.

Eddie Martini, Real Estate Investment Advisor for Propertycashin, says that businesses are now seeing the lacking need for large expensive office spaces especially with the popularity of remote work. By giving these up and finding alternatives they’re only fattening the bottom line.

Eddie’s Thoughts:

“You’ve been paying attention to what many large corporations have been doing these past couple of months, you’re starting to notice a trend that they’re down scaling their real estate holdings. I believe that’s largely due to their lack of confidence and where the economy is headed in the near future.

I think everyone right now, especially these large corporations who do have the budgets to put into research and development, and seeing what trends are ahead of us; they’re able to have a lot more foresight than many of us do with less means. So, when they start seeing trends head in certain direct, they’re gonna definitely take action.

That’s exactly what we’re seeing right now. The action that they’re taking is to downsize as much as possible. Basically, an old saying would be, trim the fat, and they are going to see what they can do to lesser that overhead, lessen the carrying costs that they have currently, and see if they can still stay operational.”

Written by Michael Boyer

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