One fact is consistent for all commercial building owners: maximizing revenue generated by your building is priority number one.
Doing so requires two things:
- Fine-tuning your building’s ecosystem
- Diversifying your product offering to align with the market
Below, we explore how serviced office space can complement your traditional office offering to generate more profit and create the potential for longer-term tenancy.
The Glass Jar Analogy: How Serviced Office Space Maximizes Revenue in Commercial Buildings
In his TED Talk, Peak Office and the Age of Un-Building, Mark Galbraith provides an insightful analogy for how the ecosystem of buildings should look, and his ideas also help demonstrate how the incorporation of serviced office space into commercial properties can help supercharge revenue generation.
Imagine you’ve got a glass jar, a pile of rocks, and a bowl full of sand. How would you go about filling your jar most efficiently and effectively?
If you fill your jar solely with rocks, you wind up with wasted space. That’s where the sand comes into play.
Adding sand fills the empty spaces in your jar, working its way into the gaps left between the rocks.
The same applies to your commercial property.
Think of it this way:
- Your building is your glass jar
- Your traditional office space offering is the rocks
- One- to 25-person serviced office spaces are the sand
Filling your jar requires the right mix of rocks and sand. Maximizing your revenue requires the right split between traditional and serviced office space.
How to Fill the Gaps in Your Building with Serviced Office Space
Incorporating serviced office space into your portfolio is not an all-or-nothing endeavor. On the contrary, it should be something you do strategically.
Your core business is not the sand—it’s the rocks. Your goal shouldn’t be to make your entire building flex-focused.
However, if your entire building offers only traditional office space, you’re missing out on an opportunity to optimize revenue generation.
Not only does serviced office space allow you to more efficiently utilize the space you have available, but it also creates an incubator—one where the sand could eventually turn into rocks.
By providing an office building where your flex tenants can scale in place, they could eventually grow into longer-term tenants with larger workspaces as their businesses grow and evolve.
Serviced office space opens your building up to a brand-new market of tenants it might never have appealed to otherwise.
Diversifying the types of offerings in your commercial building can help maximize the revenue it generates, and a knowledgeable serviced office space partner can help bring out that potential.
Would you like to learn more about how incorporating serviced office space into your commercial portfolio can help mitigate risk and future-proof your asset? Contact us today to learn how we can work together to help you reach your goals and open opportunities for business growth through our shared office spaces and co-working spaces.
