Ahrend UK and Techo UK to merge / Current exec at Office Interiors of Virginia makes bid to buy company out of bankruptcy / Herman Miller Launches NYC Pop-Up to Celebrate 100 Years / Office furniture company commits to downtown Denver / Some Key Office Markets Hit Hardest by Tech Wreck / NYC skyscrapers sit vacant, exposing risk city never predicted / Demand for Creative Office Space Buoys Industrial-To-Office Conversions / The return to the office has stalled / Zombie Office Buildings Set to Invade Many Gateway Cities / A lot of offices are still empty — and it’s becoming a major risk for the economy / Why Employees Hate Hot-Desking / ExxonMobil is ending its executive office "god pod" / and much more…


The Working Space
Monday, May 22, 2023

Industry News

Ahrend UK and Techo UK are merging on July 1st and will operate under the global name Royal Ahrend. The joint showroom will open during Clerkenwell Design Week in London from May 23rd to 25th, 2023. The Techo name will continue to exist as a distinctive product brand under the Royal Ahrend brand portfolio. The newly formed organization will have strong leadership and dedicated focus on both direct and dealer customer segments. At the event, Ahrend and Techo will showcase informative workshops on new trends, innovative designs, and pioneering techniques, including Sustainability and Digital Transformation. Jelle van der Kolk, Commercial Director Western Europe, is delighted with the collaboration and the strengthening of the team and services. Andy Barnard, Managing Director of the new Ahrend UK company, is excited to lead the newly formed team and provide innovative and sustainable solutions for the workplace.
William Ray Miller, COO of the bankrupt Office Interiors of Virginia (OIVA), is bidding to buy the company for $1.37 million. The bid includes taking on $1.25 million in debt and $150,000 in cash. Miller is not the owner of OIVA, but is personally obligated on some of the company's debts. If approved, Miller's bid would be the "stalking horse bid", which would set a minimum price that could be increased by other bidders at an auction to be held on June 14. OIVA sought bankruptcy protection on April 16, citing pandemic-related financial struggles. The company has reported assets of $1.8 million and $3.84 million in liabilities. OIVA was founded in Ashland in 1988 and offers office furniture, office space design and construction, office moving and other services. It has around 35 employees and reported revenue of $4.57 million in 2021, $7.8 million in 2022 and $845,000 through the first quarter of 2023. OIVA's current owner, Othniel Glenwood Jordan, who is also its CEO, owns 100% of the company.

Herman Miller Launches NYC Pop-Up to Celebrate 100 Years
Herman Miller is celebrating its 100th anniversary by opening a vintage pop-up store in its New York flagship, featuring pieces from its archives and rare collectibles curated by New York’s Intramural Shop. Visitors can purchase unique pieces deaccessioned from Herman Miller’s archives and limited-edition products, including Alexander Girard Environmental Enrichment Posters and a special-edition Herman Miller: A Way of Living monograph.
Ergonomic seating manufacturer Aeris launched a new website aimed at the U.S. workplace market, including in-office and remote home offices. Their products promote movement and an active, healthy lifestyle. Aeris sees significant potential in the U.S. market and aims to help people live healthier lives with their products. Over 25 years ago, Aeris created the successful three-dimensional office stool, the Aeris Swopper, which has been shown in numerous studies to have positive effects on fitness, health, and performance.
Denver office furniture and design company, Workplace Resource, has leased two showroom spaces at Market Station, located on Market Street. The company will occupy 15,741 square feet on the second level to build a multipurpose showroom for clients and industry events, and another 3,000 square feet on the ground floor for a new showroom next to Water Grill. This move will bring the company closer to clients and businesses. Workplace Resource has been around since the mid-1980s and was once owned by Herman Miller, a brand Workplace Resource now carries as its dealer. The company currently employs 95 people and plans to open both spaces at Market Station in February 2024.
According to a report from Yardi's CommercialEdge, Seattle, Denver, and Austin are among the key office markets hit hardest by the tech industry's pullback, with rising vacancy rates. Meanwhile, emerging markets Salt Lake City and Oklahoma City are performing better than established markets, according to Moody's Analytics. The report also notes that tech firms are adding sublease space to the market as they push to "right-size" their businesses, putting further pressure on availabilities. As hybrid work continues to outnumber traditional in-office models, there is a possibility that struggling office vacancy rates could be amplified, but companies seeing great returns could take advantage of high vacant spaces and more cost-effective leases in tech-oriented cities.
Uber has listed its never-occupied 287K SF building in its San Francisco headquarters for sublease, as nearly a third of offices in the city are empty with a vacancy rate approaching 30% in Q1 2023. Salesforce has also announced subleasing the last 104K SF of space it was occupying in one of its namesake headquarters tower in San Francisco, as it embraces a hybrid/remote work strategy.
New York City is facing unprecedented amounts of unused office space, with a record vacancy rate of 22.7% this year. While residential rents and tourism are rebounding, offices remain a laggard, particularly in Lower Manhattan. This is a worry for city officials, as commercial property taxes contribute about 20% of the city’s total tax revenue, with office buildings contributing 10%. The city’s expenses are forecast to keep growing, creating challenges for Mayor Eric Adams’s agenda. To balance the budget, city agencies are being asked to cut spending, either by letting vacant positions go unfilled or trimming back services like library hours and meals for seniors.
Developers are finding that certain industrial properties that don't fit the profile for a modern warehouse are well-suited for office conversions, especially in areas with a lot of creative and media companies. Redcar Fund recently closed their second fund that focuses on industrial-to-office redevelopment in markets that are popular with content creation studios, gaming, music, fashion, and media. While the demand for creative office space is not as strong as it once was, industrial-to-creative office projects are still being pursued in markets like Los Angeles, Austin, Atlanta, and Nashville, where there is growth in creative industries.
Office-occupancy rates in cities have stalled at around 50% as companies adopt hybrid work strategies, with 58% of companies allowing employees to work from home part of the week, according to Scoop Technologies. Frustration is growing in cities with declining real-estate values, and some officials are experimenting with new policies to lure back workers. Financial-services companies are increasingly adopting hybrid workplace policies, while technology firms remain the most permissive for remote work. The stalled recovery seems to indicate that hybrid work will continue to be the norm.
Boston's office market continues to weaken, with a high vacancy rate and negative net absorption. Commercial real estate executives are concerned about the future of the city's office assets and call for officials to bring more workers back to the office and find solutions for older office buildings that aren't competitive today. The rise in space coming back on the market is partly due to companies moving into new offices, but it also comes from companies that are going into cost-saving mode and pushing a hybrid workforce. The city government plays an important role in revitalizing downtown, especially through updating zoning guidelines and reimagining specific buildings for new uses.
European businesses are missing out on the potential of hybrid working, according to a survey by Ricoh Europe. Only 53% of businesses have workers in a hybrid system, despite business leaders saying that workers are 4% more productive in a hybrid culture, equivalent to an additional €113 billion to the European economy compared with pre-pandemic ways of working. The report suggests that if the businesses that intend to shift towards hybrid work accelerated their plans, it could add €9 billion to Europe’s economy. Companies risk hampering future growth if they ignore the potential productivity uplift associated with hybrid working, and over half of decision makers would like to mandate a full-time return to the office, despite the majority of employees preferring some form of hybrid working set-up.
A new report from Eptura claims that the Asia Pacific market is leading a global wave of return to office bookings, with a 338% increase in collaborative room bookings, 76% room booking check-in rate, 35% increase in visitor check-ins, and 3% increase in site inspections. The report also explores four pre-eminent tensions organisations are navigating in today’s workplaces: freedom vs. connection; flexibility vs. certainty; value add vs. cost centre; and CO2 target vs. costs.
The work-from-home trend has led to a growing number of "Zombie" office buildings with utilization rates of 50% or less, causing vacancy rates to increase and building values to drop. A recent report by the Boston Consulting Group expects building values to drop by 40% from pre-pandemic levels over the next 12 to 36 months, leading to a wave of defaults that could turn lenders into owners and managers of office buildings. Residential conversion is a popular option, but tricky due to local rules and structural limitations. Gateway cities with a higher concentration of office buildings than residential and retail are most likely to be affected, and lenders will need to incorporate risk management strategies and develop marketplaces to sell defaulted loans.
Office owners are selling distressed properties at bargain prices due to rising vacancies, depressed rent growth, and challenges in refinancing. The trend is expected to continue as billions of dollars of office-backed mortgages come due, with the delinquency rate for office loans at its highest since August 2019. Funds targeting distressed office assets have emerged, and experts predict that sales at marked-down prices could be good for competition.
Industrial and office real estate sales have both been softening, but for different reasons. Industrial sales have been stronger due to more inventory coming online and robust occupancies, while office sales have fallen off due to decreased demand, resulting in increased vacancies and decreased effective rents. Delinquency rates for office space are on the rise, and job postings for office-using companies are down. Meanwhile, industrial vacancy rates are still below the 20-year average, with record growth in asking rents.

NeoCon and Fulton Market

Fulton Market District Set to Welcome Design Professionals and Enthusiasts for Inaugural Fulton Market Design Days

Over 40,000 people from across the global design community gather in Chicago each June to celebrate the latest in design and architecture. From June 12 to June 14, the Fulton Market District will host the First Annual Fulton Market Design Days to welcome design professionals and enthusiasts. The event will feature product launches, exhibits, and events. The Fulton Market District has become a preeminent design destination and home to many notable design brands. A complimentary round-trip shuttle will run between the Merchandise Mart and the Fulton Design District to simplify transportation.

Visit FultonMarketDesignDays.com to learn more about the event's leading brands and design firms, the complimentary shuttle service, and other Design Day news.

Three H Reimagines its Mart Showroom in Advance of Major Rebrand Reveal
Canadian office furniture producer Three H has partnered with Kuchar Studio to redesign its showroom in the Merchandise Mart for NeoCon 2023. The space reflects the brand's values of purposeful, forward-looking, socially conscious, productive, and enriching design, with a focus on sustainable materials and longer product lifecycles. The showroom features immersive and enriching displays of Three H's furniture and will also offer a sneak peek of the company's upcoming rebrand.

NEW EXPERIENCE! Scandinavian Spaces looks to refine the trade show experience.
Scandinavian Spaces will debut its new showroom at NeoCon 2023 in June. The showroom will feature innovative products and contract furniture. The highlight of the showroom will be a café where attendees can enjoy coffee and pastries from the ScandiCafé while interacting with the furniture. The ScandiCafé will serve organic, fair-trade coffee and a selection of pastries, teacakes, and vegan cookies. The café will be open for the entire duration of the show and complimentary for NeoCon attendees. The concept behind the ScandiCafé is to provide an immersive, personalized experience. Scandinavian Spaces has been following trends in business-to-consumer commerce and applying them to B2B. The new showroom reflects these new methods to refine the trade show experience for the design community. Be sure to visit the new Scandinavian Spaces showroom and ScandiCafé suite #366.

Features

Hot-desking has some issues to work out. While it seems like a cost-saving measure, many employees dislike the inconvenience of having to hunt for a workspace every day, the lack of personalization, difficulties in finding suitable stations, and feeling disconnected from colleagues. Unfortunately, many companies have implemented hot-desking without much thought. Some of the problems are logistical, such as difficulty in finding the right workspace, while others are more personal, such as the inability to control social interactions and find quiet spaces for concentration. These problems can create stress, damage communication, and hurt recruitment and retention. However, research suggests that hot-desking doesn't have to be a disaster. Companies can adapt the basic model of hot-desking in ways that employees find attractive, such as offering a mix of spaces with different ambiences, providing lockers for storage, creating office rules, and involving employees in creating offices that fit their needs. Managers also play a critical role in making hot-desking work by being positive promoters of this new way of working and embracing and engaging with the space.

Workspace News

According to a survey by Challenger, Gray & Christmas Inc., only 1.6% of job seekers relocated for new positions in Q1 2023, marking a record low and a significant decline from previous years. High housing costs, remote work preferences, and employers locating where talent pools are already situated are cited as reasons for this trend. This has implications for the office market as companies may struggle to convince workers to relocate, and may instead focus on locating where desired talent already lives.
According to CBRE's Spring 2023 U.S. Office Occupiers Sentiment Survey, 65% of companies now require employees to return to the office at least some of the time, up from 31% last year. Financial services lead with 71% of companies requiring in-office work, while tech companies lag behind at 56%. Office sentiment remains divided, with 45% of respondents wanting mostly in-person work and 22% wanting a mostly remote work schedule. Larger companies still report low office utilization, with over half expecting to decrease their office footprints as leases expire.
ExxonMobil is closing its extravagant executive suite, nicknamed the "god pod," in an effort to save costs and signal a shift towards more collaborative and democratized office spaces. Workspace designers and developers are rethinking executive offices to emphasize ways to connect and collaborate, such as shared collaborative rooms and co-working spaces. Exxon's new headquarters will feature transparent glass and open spaces to encourage collaboration.
AT&T, America's largest telecommunications company, will consolidate its office space into nine locations and require 60,000 managers to return to the office at least three days per week beginning in July. The company's cost-cutting program will result in 15,000 fewer employees this year than last, and the interview did not include an estimation of how much office space would be maintained versus vacated. Several major U.S. companies are mandating their workers return to the office, but actual office usage has yet to reflect such a shift.
Office tenants are seeking lease flexibility and cost savings due to the mainstreaming of remote work, according to a CBRE survey of 207 US companies. While 60% of tenants have a better idea of their space needs, 38% anticipate attendance levels may increase, making flexibility in space size and layout key. Over 53% expect to need less space over the next three years, and 49% are negotiating existing lease terms due to the changing office dynamic. However, 75% of companies still want employees in the office at least half the time, and 51% are interested in landlords offering access to shared amenities such as meeting space and tenant lounges.
BlackRock has announced that employees will be required to be in the office four days a week, joining other financial firms with similar policies. However, Placer.ai data shows that a full return to the office is unlikely, as office visits in 11 cities have plateaued at around 60% over the past six months. Despite a competitive job market, BlackRock's move could be a harbinger of more employee mandates coming down the pike, although executives tend to agree that hybrid work is the future.
Tech CEOs who once hailed remote work as the future are now expressing frustration with it, citing productivity concerns. Mark Zuckerberg and Marc Benioff are among those who have changed their tune, and research has shown that remote work can lead to missed learning opportunities and less idea generation. As labor shortages subside and layoffs occur, companies are no longer in a perk war to attract talent, making the drawbacks of remote work more apparent.

A new report from research firm Forrester found that the workplace potential of extended reality devices and metaverse applications has been exaggerated. Only 8% of the 10,000 employees surveyed used a VR headset for work on a weekly basis, while only 7% used an AR or mixed-reality device. The hardware of VR devices remains too cumbersome for people to comfortably use for a long stretch of time.

While expectations have fallen short, there are a few key use cases where VR and AR are making a difference in the way people work, such as enterprise training and remote assistance to frontline workers. However, the hype around the metaverse has been a distraction from some of the more practical and robust uses of the technology.

According to the Flex for Life 2023 report, low paid workers have the least flexible working arrangements, with just 51% of workers earning less than £20,000 a year working flexibly, compared to 80% of those earning more than £50,000. The gap between the number of flexible workers on the lowest and highest salaries has increased in the last year, with the report suggesting that the benefits of flexible working are skewed towards higher earners. The report encourages all employers to explore greater flexible working, as it improves employee mental health and wellbeing and boosts productivity, recruitment, and retention.
As remote work became more prevalent during the pandemic, many companies turned to tracking and surveillance software to monitor employee productivity. These tools range from monitoring keystrokes to using biometric data to track attention levels. While the data collected can be helpful for companies to improve policies and resource allocation, studies have shown that monitoring can lead to negative impacts on workers, such as decreased job satisfaction and increased stress. Experts recommend transparency and clear intent behind the use of monitoring technology to maintain trust with employees.
New data from Microsoft shows that workers spend an average of 8.8 hours a week on email and 7.5 hours in meetings, with the most active users spending two full workdays a week on these activities. This digital overload is hurting innovation and productivity, with nearly two out of three workers struggling to find time and energy to do their actual job. Companies like Slack and Dropbox are trying to tackle communications overload by prescribing dedicated times for meetings and focus time, while Microsoft is baking generative AI features into core workplace tools to remove the drudgery of some work tasks.

Design

The rise of co-working spaces and hybrid working has led to a trend called the 'hotelification' of the office, where businesses are renting out limited desks to employees who only come in a few days a week. To compete with co-working spaces and attract employees back to the office, businesses are reimagining their workspaces to include additional health, wellbeing, and recreational activities such as yoga classes, on-site gyms, and childcare options. Employers can work with experienced workplace suppliers to design floor plans, source inclusive furniture, and assist with new office installations.
Office design can leverage narrative design and storytelling to create an emotional connection between people and place. Narrative design follows a structure similar to storytelling, with plot, point of view, setting, characters, and conflict. By incorporating these elements, designers can create cohesive, well-thought-out spaces that are rooted in the form of a story and can be timeless. This approach can also create a more immersive branding experience within the property and enable the creation of emotional connections for employees, making them feel invited and productive. By creating story-driven spaces, office owners and designers remain relevant and competitive into the future.
Creating an outdoor workspace can boost employee morale and productivity, but it requires careful planning and maintenance. Tips include keeping an open mind to different configurations, planning for weather and environmental factors, choosing weather-resistant AV technology, selecting high-NIT displays for brightness, and having a designated storage system for loose components.

Trends

As hybrid, flexible work arrangements become the norm, workspaces need to prioritize sustainability, health, and comfort to remain relevant. Incorporating green spaces, promoting collaboration, providing comfortable furnishings, and reusing and recycling office elements are all important. Versatile spaces, productive isolation, and a home-like atmosphere are also desirable. The future of work will be more horizontal, transparent, and health-focused, with technology playing a key role. Creating sustainable, healthy, and enjoyable workspaces is vital to the success of companies and the well-being of employees.
As more companies adopt hybrid work and potentially move to a four-day work week, businesses are finding creative ways to share office space and maintain occupancy levels. Some companies are "timesharing" office space with others, while others are expanding their space to include hospitality, community, or other commercial functions. These changes can help maintain a lively culture and improve work-life balance for employees, while also reducing overhead costs for businesses.
The return to the office has been slow and inconsistent, and many office buildings are struggling beyond the impact of remote work. Delinquency rates for office loans are at their highest since the pandemic began, and office vacancy rates in America are at 18%. The value of offices around the country could decline about 40%, or $453 billion, as remote work lowers the demand for office space. The trend towards flexible working space and densification of office spaces is continuing. In time, more office space will go back to banks or be converted to other uses like housing, laboratories, or logistics.

Latest Products

Unika Vaev has launched the Pinnacle Modular Acoustic System, a customizable wall cladding system that combines texture, color, graphics, and LED lighting to transform interior environments. The system offers exceptional acoustic performance with an NRC rating of 0.95 and allows customers to choose from a selection of Wilsonart® patterns or provide their own. Developed in collaboration with Gensler, the system offers versatility in customization and enhances the acoustic performance of any space, providing a quieter and more comfortable environment.

MOS+ is Being Re-loaded and Re-Released to Benefit New Hybrid Workplaces
Three H is releasing MOS+, a collection of workstations designed for hybrid environments that prioritize collaboration, privacy, and focus. MOS+ features one-inch spine panels at various heights that blend seamlessly into each person's space, reducing material use and floor space requirements. The line offers fixed and height-adjustable workstations, private office applications, and customizable options for a variety of spaces and applications.
Luum has launched their Super Natural collection, featuring five sustainable and environmentally-conscious textiles by Suzanne Tick. The collection emphasizes natural, renewable, domestic, recycled, biodegradable, and circular fiber systems. The textiles include Rubric, Contrast Slub, Everyday Boucle, Barberpole Basket, and Biotope, each with unique characteristics such as renewable and recycled content, heavy metal-free, and REACH Regulation compliant. The collection is designed for contract and hospitality spaces and weaves patterns and textures into comfortable, classic, and technical textiles.
Kirei has launched the Tessellate Baffle and Tessellate Pendant, two cylindrical acoustic baffles composed of triangular planes that can be hung horizontally or vertically. The patent-pending designs diffuse and dampen sound waves for superior acoustic control while making a statement in any space. The products can also be custom printed with Kirei Ink, and designers can utilize Carnegie's Design Services for support. The products are handcrafted from Class A Fire Rated 12mm PET felt panels made from 60% post-consumer recycled PET and have numerous environmental certifications.
Architect Michael Hilgers designed a Sleep/Work/Meet hotel room concept for Häfele that includes hidden furniture to transform a small space into an ergonomic office setup within seconds. The concept includes a height-adjustable desk that folds out of a wall cabinet and a sitting-height desk that flips out of a sideboard and can double in size to become a meeting table.

QOR360 to Launch New Active Chair: The Tilt! at NeoCon in Chicago
QOR360 is launching a new active chair, the Tilt!, at NeoCon in Chicago. The chair features an organic buckwheat hull seat cushion, a natural rubber base, and 360 degrees of motion without a gas cylinder. The Tilt! retails at $350, making it more affordable than the brand's signature Ariel 2.0 chair. The presale ran through April and shipping is expected to begin in June 2023. The Tilt! encourages balanced posture, core engagement, and improved metabolic health, making it a great addition to any workspace.
The Col Chair, designed by Francesc Rifé, is a reinterpretation of European school chairs from the '80s and '90s. Made from steel tubes and bent plywood, the chairs have a simple elegance but also recall institutional furniture with their abrupt back support termination where it meets the legs.
Maharam introduces three new textiles in collaboration with British fashion designer Paul Smith: Metered Stripe, Concord Stripe, and Ribbed Weave. Metered Stripe features needlepoint-like stripes in nine colorways, while Concord Stripe reimagines vertical stripes in ten duo- and multitone colorways. Ribbed Weave is a nuanced solid with atmospheric striation achieved through precise tonal mixing. All three textiles are suitable for indoor and outdoor use.

Other News

Tokyo-based firm Nikken Sekkei has designed a mixed-use facility in Hamamatsu City, Japan, for sweet company Shunkado. The building, called Sweets Bank, features a set of giant wooden chairs and table, expanded by 13 times their actual size, and glass boxes that house offices, shops, a restaurant and a cafe. The design aims to create a large living room in the city where people can gather, and to enhance the image of both the town and the brand.
Ad agency Mother has designed a floating sofa called Bliss that doubles as a life raft, complete with a paddle, rocket flare, and emergency strobe. The sofa, which costs $100,000, is on show at the Tuleste Factory in Manhattan. Mother is selling Bliss as a one-off art piece, with 20% of the profits going to UNHCR, but the agency is not excluding the possibility of commercializing the sofa as a "donation mechanism" where a portion of the sales would go to UNHCR.
Blast from the past: DJ DePree was a servant leader who turned Herman Miller Furniture into an industry leader by practicing participative management and embracing the strengths of others. He introduced the Scanlon Plan, which rewarded employees for using their complementary gifts for the good of the whole, and welcomed people from all faith perspectives. His style of participative management guided by a moral foundation became what today we call “servant leadership.”

Fabrics have a wide range of uses, but certain properties limit their potential. For example, fabrics are not as useful as rigid materials for impact-resistant surfaces or electronic devices. However, advances in fabric technologies are expanding their material capacities in new directions.

One surprising capability of fabrics is their puncture resistance. Researchers at Tianjin University in China recently developed a stab-resistant material made from aramid fibers coated with polyacrylate and carbon nanotubes. The new textile is light and flexible while also solving previous limitations. In addition to puncture-resistant apparel and packaging, the new fabric has potential for robust architectural textiles.

Another surprising textile trait is their ability to conduct electricity. A new conductive organogel infused with liquid metal has been developed by engineers at Carnegie Mellon University. The new composite is highly elastic and possesses self-healing properties, making it ideal for soft robotics.

Fabric innovations are also delivering unanticipated new products that support a circular economy. French company FabBRICK manufactures solid construction modules out of recycled textiles. These modules are used for interior partitions, furnishings, and surfaces. FabBRICK invites organizations to donate their textile waste to create new products, including decorative objects and wall coverings. The company’s contribution to the textile industry is not only to devise a novel application in need of greater resource efficiency but also to increase the resourcefulness of the sector itself.

Sustainability

Hines and LMN Architects transformed a former coworking space into Hines's new Seattle headquarters with a focus on reducing embodied carbon. The architects tracked the impact of every existing or new material down to the square foot in a spreadsheet, leading them to creative solutions such as reusing the existing carpet and repurposing discarded wood. The resulting design reduced embodied carbon by an estimated 65% versus a standard remodel of an empty shell.
Haworth has released its 2022 Corporate Social Responsibility Report, highlighting its commitment to sustainability, including net zero goals, Cradle to Cradle certification, and support for communities through volunteering and sustainable products. The report is available online and showcases Haworth's long tradition of sustainability and global perspectives.

STUDIOS Architecture Signs AIA Architecture & Design Materials Pledge
STUDIOS Architecture has signed the American Institute of Architects' (AIA) Architecture & Design Materials Pledge, committing to more meaningful product specification decisions and practices across its portfolio. The pledge strengthens the firm's approach to minimizing its impact through affirmations pertaining to human health, social health & equity, ecosystem health, climate health, and a circular economy. STUDIOS' adoption of the pledge builds on its long-time positioning with the AIA's broader sustainability frameworks, including the 2030 Commitment, and reinforces its commitment to championing whole-community health through environmentally conscious design.
As the year 2030 approaches, many countries, states, and cities are targeting greenhouse gas emissions, with commercial real estate being a priority. Local green building codes can create a ripple effect that leads to national change. Boston, Massachusetts, is implementing an ordinance that discourages the use of fossil fuels in new construction projects. Kansas City, Missouri, is making strides to adjust their building codes in order to reduce emissions, and Scottsdale, Arizona, has adopted the 2021 suite of building codes, including the International Green Construction Code, as a mandatory code. The green building movement suggests that sustainable design is key to creating sustainable, beneficial environments, and the real estate industry's efforts to reduce carbon emissions position green practices as a necessary response.

Coworking

WeWork CEO Mathrani Steps Down
WeWork CEO Sandeep Mathrani is stepping down and will be replaced by David Tolley on an interim basis. Mathrani helped the company survive the pandemic, but WeWork continues to lose money heavily, burning over $1 billion in 2022 and $343 million in Q1 2022. WeWork's stock fell 7.5% to 35 cents.
LiquidSpace and Kadence have partnered to provide employees with access to a global network of flexible workspaces and internal offices through a single platform, allowing companies and employees to instantly book on-demand desks, meeting rooms, and offices at coworking spaces worldwide, enabling teams to coordinate and meet up in person while reducing real estate costs. The collaboration offers a comprehensive solution for companies seeking agility and flexibility, empowering employees to choose where and how they work while coordinating schedules, spaces, and experiences.

Trends in Commercial Projects from Around the Globe

Software firm CentralReach recently opened a 25,000 square foot meeting hub in New Jersey's Bell Works campus designed by npz studio+. The space features biophilic touches, bold colors, and human-centric spaces to create an inspiring and productive work environment. The design philosophy connects to CentralReach's brand and values, with furniture and materials carefully selected for their acoustical properties and sustainability. The space aims to transition the employee base from remote to hybrid structure, with gathering spaces designed to encourage conversation and productivity.
Terminal Warehouse, a historic freight depot built in 1891, is being transformed into a 1.2 million-square-foot "Engine of Enterprise" for growth-oriented companies. Gensler developed a real estate and positioning strategy based on tenant needs and evaluated the existing architectural features to identify the best use for each area. They also aligned the building's unique industrial attributes with tenant preferences to create a compelling narrative and diverse experiences for those who work there.

Upcoming Industry Events

NeoCon 2023
June  12-14, 2023 | Chicago, IL
 
NeoCon has served as the world’s leading platform and most important event of the year for the commercial design industry since 1969. A launch pad for innovation—NeoCon offers ideas and introductions that shape the built environment today and into the future.  

Clerkenwell Design Week 2023
May 23-25, 2023 | London

Clerkenwell is home to more creative businesses and architects per square mile than anywhere else on the planet, making it truly one of the most important design hubs in the world. To celebrate this rich and diverse community, Clerkenwell Design Week has created a showcase of leading UK and international brands and companies presented in a series of showroom events, exhibitions and special installations that take place across the area.

Orgatec 2024
October 22-26, 2024 | Cologne, Germany

Orgatec is the International trade fair for office and property equipment. Held in Cologne, Germany.
Clerkenwell Design Week, the UK’s leading design festival, returns to London this week (May 23-25, 2023), with over 600 events across 11 venues showcasing more than 300 design brands and emerging talent. The festival will also feature showroom partners, site-specific installations, and brand activations. The OnOffice Sustainability Trail will spotlight sustainable products and talks, and OnOffice will host two talks during Conversations at Clerkenwell.

Industry Briefing

Emily Clingman, 52, Editor-in-Chief of The Business of Furniture
The Editor-in-Chief of The Business of Furniture (BOF), Emily Catherine Clingman, passed away on May 3rd as the result of a car accident. At the age of 52 and from Billings, Montana, Emily had built an impressive career as a writer in various fields, including the contract furniture industry. She was also known for her work as a mentor to young writers, her advocacy for women entering the business world, and her role model status to young women and girls. A celebration of life in her honor will be organized by her children, and donations can be made to local women's shelters.

UK-based by Bailey changes name to parent company Insidesource and launches showroom refresh
Workspace design and furniture provider by Bailey is changing its name to Insidesource to unify its brand identity globally and streamline operations. The name change reflects the merger between by Bailey and Insidesource in 2018 to create the first global furniture dealer. The company's London-based design team unveiled a new showroom concept during Clerkenwell Design Week, showcasing furniture collections from some of the world's best manufacturers.

The YE2022 Compensation Survey is Currently Underway
The Solomon Coyle YE2022 Compensation and Practices Survey is currently underway and covers dealer compensation, benefits, HR policies and practices. Participation is by invitation only, and the survey results will remain confidential. An orientation webinar is being offered on May 23rd, and access to the final report is complimentary for all dealers that submit a valid survey. Report webinars will be announced in July. Access to the final report is complimentary for all dealers that submit a valid YE2022 survey. Dealers that do not submit a valid survey will have the option to purchase the report at a cost of $2,400.

HON Announces Henricksen as 2022 Superior Sales Award Winner
Henricksen, a full-service contract furniture dealership, has won the Superior Sales Award at the 38th annual HON Team Up ceremony. HON recognized Henricksen's commitment to serving communities and creating work and learning environments with HON product solutions. Henricksen continues to grow as an industry-leading contract furniture dealership with 13 offices, 340 full-time employees, and annual sales topping $350 million.
Find the best Contract Furniture Industry jobs and hire the best talent.
Dear Stephen, I'm excited for #NeoCon this year. Last year was busy, and I remember it well because as soon as I got back from Chicago, I got COVID! I'm not expecting that to happen again this year, however. What do you think the vibe will be like this year at NeoCon?
We are a highly respected and leading European office furniture manufacturer with a rich legacy of providing innovative and high-quality solutions to our clients. With a strong presence in the European market, we are now expanding our operations to the United States. As part of this exciting growth journey, we are seeking Independent Sales Representatives to join our team and help establish our brand and products in the US market.
The Regional Sales Manager will be responsible for the sales and sales growth of The Senator Groups products in the region of the country outlined. The Regional Sales Manager works to ensure profitable growth in sales, revenue through planning, execution, and management of the independent sales organization they lead.
Build and maintain client relationships. Track and record metrics throughout sale process. Meet and exceed financial goals.
Indoff is expanding and in need of experienced outside sales professionals in your area. If you’re tired of missing out on money due to low commission rates or you’re sick of quotas, then Indoff is the perfect solution for you.
BiSemA Corporation and BiSemA USA LLC seek ambitious independent sales executives from Chicago. Self-managing, highly motivated, has extensive experience in the office furniture industry and can work remotely. 
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