Colliers has developed this repository of best practices for your consideration as the impacts of COVID-19 continue to escalate. We will be releasing updates as conditions unfold and our global professionals stand ready to help with solutions as your needs evolve over the coming days and weeks.
Employee Support
- Provide recommendation and help for remote workspace: Many employees who do not normally work remotely are now doing just that. Ensuring they are supported is important to ongoing engagement and productivity. Colliers has provided recommendations for improving success of remote work. A study by Stanford University revealed that there are increased levels of productivity resulting from a shift to remote work. The study analysed those who worked remotely and in traditional settings and concluded that the productivity among home-based workers was equivalent to adding a full day’s work to each week.
- Advice for remote workers on ergonomic/comfortable workspace: Ergonomically designed home offices maximize comfort and productivity. Employees that do not have home offices may need assistance creating a work environment that allows them to work remotely. Furniture, seating position, lighting, noise levels, and internet bandwidth are important considerations. Have a plan to support and supply employees in need.
- Contingency for employees if their home does not support remote work: Some employees may not have an environment to support remote work. This is an evolving concern and one that requires close coordination with the business units and HR, depending on the work being performed. Options to consider include flexible workspace solutions that are close to residential areas.
- Communication plans, up-to-date contact lists and access to information: The International Facilities Management Association (IFMA) has developed the Coronavirus Preparedness Resource Center to assist with facilities and real estate management practices.
Real estate strategy and transaction advisory
- Space tours, when transactions must get done, and space fit-outs: Plan on utilizing video, 3D rendering tools and virtual space tours, such as Colliers’ Office Expert.
- Investigate your risks with flexible workspaces: Do you have less control and transparency regarding who else is occupying? Flex operators have recently issued direction to their tenants to communicate when their employees have come in contact or are infected. Questions to consider when collaborating with flex-operators include:
- How often is the office being cleaned and how? How about the building in general outside of the flex space?
- Are there time and people limits for conference rooms, common areas, etc. to minimize exposure?
- Flex provider business continuity plans (BCP) if the building is shut down? Are there other locations to access if needed?
- If the flex space is shut down, how will that affect your business continuity?
- Consider upcoming lease expirations for closure and remote work for the time being: Explore opportunities to work remotely for extended periods of time without negative impact to productivity.
- Short-term lease renewals, and/or reduce sizes of spaces leased: Landlords may be willing to consider month-to-month or short-term lease renewals/extensions, possibly at a discount as well versus no renewal at all.
- Evaluate existing lease agreements regarding rent abatement rights: Consult legal counsel for advice.
- Third-party logistics providers for supply chain solutions: For supply chain facilities with upcoming lease expirations, consider third-party logistics providers (3PLs) options at least as a stop gap until conditions are more stable. Many 3PLs specialize in integrated operations of warehousing and transportation services that can be scaled to customers’ needs. Some will also work on limited or short-term contracts.
VACANT COMMERCIAL PROPERTIES
- Across many parts of the globe, we are now approaching 30 days since companies started closing their premises for the current lockdown period. Colliers International can help and advise on vacant property management and maintenance during this period. Our facilities management team and contractors are available to assist at any time.
- To help you get started we have released our Best Practice Guidelines for Managing Vacant Commercial Properties During COVID-19 – click here to access them.
Business Continuity
- Consider risks to ongoing projects: Assess the status of all projects and the impact of delays or cancellations. Impacts to consider include:
- Schedule delays and occupancy options with landlords and business units served
- Extension provisions with current landlord if relocating to another location
- Business unit critical occupancy dates for production or customer service delivery requirements
- Capital expenditure availability due to status of business unit and enterprise
- Prioritize projects based on business value. Assess bandwidth and ability to maintain business continuity given the priorities.
- Stream-line operations during remote work periods: Assess occupancy requirements and prioritize essential services such as security, hospitality and concierge to maintain business continuity in a minimized operating state. Seek to consolidate mandatory functions within facilities if and where possible.
- CRE Business Continuity Plan: Ensure that your BCP is updated with accurate protocols and asset requirements. Ensure that communication templates are ready for immediate deployment.
- Optimize Inbound Shipment Capacity: Re-evaluate shipment projections and explore opportunities to decrease leased and/or 3PL spaces.
- Stagger shifts for social distancing: Remain current with product shipping stage information and maintain open communication with clients to manage expectations. Introduce staggered employee start/stop times to minimize common/shared space use. Develop guidelines for numbers of employees and time allotments for shared spaces.
- For more information on any of these considerations, please contact your trusted Colliers professional and visit our other content in Knowledge Leader, our APAC Insights on COVID-19 insights and recommendations.
If you have any questions, please get in touch with the contacts below or email us at emea@colliers.com.
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DISCLAIMER
The analysis and finding reported on this microsite is based primarily on Colliers International data, which may be helpful in anticipating trends in the property sector. However, no warranty is given as to the accuracy of, and no liability for negligence is accepted in relation to, the forecasts, figures or conclusions contained in this report and they must not be relied on for investment or any other purposes. The outbreak of the Novel Coronavirus (COVID-19), declared by the World Health Organisation as a “Global Pandemic” on the 11th March 2020, has impacted market activity in many sectors, creating an unprecedented set of circumstances on which to base a judgement. This report does not constitute and must not be treated as investment or valuation advice or an offer to buy or sell property. Given the unknown future impact that COVID-19 might have on real estate market supply, demand and pricing variables, we recommend that you recognise that our research and analysis is far more prone to market uncertainty, despite our endeavours to maintain our robust and objective reporting.
