Flokk Looks to Expand in the North American market / Eames House threatened as 1,000's of buildings destroyed in LA fire / Studio TK Commits to a Collaborative Partnership with Outdoor Furniture Brand POINT / JPMorgan Chase Mulls Full Office Return for Employees / Marketing Moments - Herman Miller on Facebook / CDW about to get the Sandow makeover / Office Leasing Surges, Vacancy Rate Plateaus in San Francisco / JPMorgan To Call The Rest Of Its Staff Back 5 Days A Week / Over 500 Amazon Employees Push Back Against 5-Day Office Mandate / AT&T’s RTO Creates Chaos With Desk Shortages And Parking Issues / Bringing Spaces to Life: The Integral Role of Service Design in the Design Process / Inside a DE&I office design / Room & Board and Gensler Debut Their First Product Collaboration with Human-Centric Lincoln Desk Collection / and much more…


The Working Space

Monday, January 13, 2025

Industry News

Flokk Eyes North American Growth with Expansion and Potential M&A Opportunities

Flokk, a European maker of office seating, is making a bold move into the U.S. market with the establishment of Flokk US, a new parent company for its U.S. brands, Stylex and 9to5 Seating. This expansion marks a significant step in Flokk’s strategy to secure a major foothold in North America, with leadership hinting at the potential for mergers and acquisitions (M&A) to further solidify its presence. The move comes at a time when the North American contract furniture market in 2025 is ripe for consolidation, driven by the contraction of the traditional distribution channels.

Flokk’s new U.S. operations are supported by an experienced leadership team: Frederik Fogstad as CEO, Randi Pastrovic as Chief Creative Officer, and Rich Oliver as Chief Commercial Officer. Each brings extensive industry expertise to steer the company’s ambitious plans. Fogstad, with over a decade at Flokk and a track record at global giants like Kellogg’s and Coca-Cola, previously led 9to5 Seating. Pastrovic, a veteran with over 20 years in commercial interiors, will focus on shaping product and marketing strategies. Oliver, with 25 years in the contract furniture industry, is charged with driving revenue growth and building high-performing sales teams

Flokk US is poised to be a cornerstone of the company’s global growth, with North America projected to contribute one-third of Flokk’s total revenue—making it the company’s largest revenue-generating division. With the market primed for transformation, Flokk sees not only organic growth opportunities but also potential acquisitions to strengthen its portfolio and streamline operations in the face of evolving market dynamics.

“This new Flokk US leadership team brings valuable global insights and a deep understanding of our portfolio’s brand identities,” said Fogstad. “I am eager to build Flokk US as a curated collection of the industry’s best commercial brands and work alongside this exceptional team.”

Flokk’s global portfolio already includes leading brands such as HÅG, RH, Giroflex, BMA, Offecct, Profim, Malmstolen, and Connection. With manufacturing hubs in Norway, Sweden, Poland, the UK, China, and the U.S., Flokk distributes its products in over 80 countries.

By uniting Stylex’s innovative designs with 9to5 Seating’s ergonomic solutions, Flokk aims to maintain the distinct identities of its brands while leveraging global resources to drive growth. The U.S. expansion and potential M&A opportunities, could position Flokk as a key player in reshaping the North American contract furniture market.

Flokk revenues worldwide following the acquisition of Stylex were projected to reach US$412 million for 2024 with more than $130 million of that from North America.

Eames House threatened by California Fires
The iconic Eames House, a landmark of mid-century modern architecture, is facing a potential catastrophic threat as the rapidly spreading Palisades fire continues to rage through Southern California's rugged landscape.

The historic home, designed by legendary architects Charles and Ray Eames in 1949, stands precariously within a dense eucalyptus grove that has become a tinderbox of potential destruction. Foundation officials confirmed they evacuated the site on January 8th, carefully removing precious artifacts and taking emergency preservation steps to protect the architectural treasure.

As flames have already consumed over 15,000 acres and destroyed numerous nearby structures, the Eames House remains in a critical zone of danger. High winds and dry conditions have dramatically increased the fire's unpredictability, leaving conservationists and architectural historians holding their breath.

The Case Study House No. 8, as it is formally known, represents a pivotal moment in American architectural design and is considered a near-sacred site for design professionals worldwide. Its potential loss would be an irreplaceable cultural tragedy.

While the house remains intact as of today, the next 48 hours will be crucial in determining its ultimate fate against the relentless wildfire.

Studio TK Commits to a Collaborative Partnership with Outdoor Furniture Brand POINT
Studio TK has partnered with outdoor furniture brand POINT to promote a collaborative approach to design, innovation, and sustainability. This partnership acknowledges the evolving nature of workspaces, highlighting the importance of blending indoor and outdoor environments. Koorosh Sharghi, President of Studio TK, emphasizes the idea of furniture as a tool that supports various working styles, including outdoor work. POINT, with over a century of experience in outdoor furniture, is known for its commitment to craftsmanship and sustainability. The collaboration aims to create flexible outdoor furniture that meets aesthetic and functional needs while fostering a sense of belonging among users. This integration of indoor and outdoor designs enhances workplace cohesion and brand identity.

MillerKnoll Earns Equality 100 Award in Human Rights Campaign Foundation’s 2025 Corporate Equality Index
MillerKnoll achieved a score of 100 on the Human Rights Campaign Foundation’s 2025 Corporate Equality Index, recognizing its commitment to LGBTQ+ workplace inclusion. This marks the second consecutive year of receiving the Equality 100 Award, reflecting ongoing efforts to foster an inclusive environment and support various LGBTQ+ nonprofit organizations.
In 2024, the flexible office sector experienced significant growth due to changing work preferences and advances in technology, a trend expected to continue into 2025. Suburban and tertiary markets are expanding as hybrid workers seek options closer to home, with notable increases in coworking spaces. Despite some companies urging employees back to the office, many workers still prefer flexible arrangements, which enhances engagement and well-being. Landlords are adapting by offering flexible office solutions to attract tenants, thereby repositioning struggling buildings. The concept of reimagining cities emphasizes the need for a balanced environment that integrates live, work, and play, highlighting the importance of flexible office spaces in this transformation.
The US office market has experienced its first positive net absorption since the fourth quarter of 2021, indicating a rebound in demand for office space following the COVID-19 pandemic. In the fourth quarter of 2024, leasing activity reached 52.9 million square feet, marking a 4.9% increase from the previous quarter and a 17.6% increase year-over-year, bringing levels to over 92% of pre-pandemic averages. The recovery is particularly strong in Sun Belt markets, which exceeded 95% of pre-pandemic activity, while gateway markets improved to 76% in the latter half of the year. This resurgence is attributed to companies enforcing regular office attendance, resulting in reduced downsizing rates.
JPMorgan Chase is preparing for a full return of employees to the office five days a week, which would end the hybrid work model for thousands. Currently, about 60% of staff, including managing directors and retail branch workers, have been following this directive since April 2023. This decision may impact the banking industry, especially as some competitors continue to offer more flexible work arrangements to attract talent.
Over 500 Amazon employees have expressed their concerns regarding the company's mandate requiring workers to return to the office five days a week. In a letter addressed to AWS chief Matt Garman, they voiced frustration over the lack of evidence supporting the idea that in-office work is more productive than a hybrid model. Many employees are questioning the necessity of this policy, especially since a significant percentage had indicated they would consider quitting if the mandate took effect. The return-to-office requirement represents a shift from the flexible work arrangements that many had adapted to during the pandemic, raising tensions in the tech industry as companies grapple with balancing remote work flexibility and the push for in-person collaboration.
Thousands of UK government staff are voting for industrial action against return-to-office plans, with nearly 4,000 members of the Public and Commercial Services Union opting for a work-to-rule strategy starting January 21, as management mandates 60% office attendance without agreement. Similar actions are being considered by other public sector workers.
WPP, a major advertising firm, has implemented a new policy requiring employees to work in the office at least four days a week starting in April. This decision comes as WPP is set to lose its title as the largest advertising company to French competitor Publicis. Employees must be in the office for at least two Fridays each month, while they can choose their other remote workdays. This policy positions WPP as the first major advertising holding company to mandate a four-day office workweek, surpassing rivals that follow a three-day in-office guideline. The leadership believes that increased office attendance will enhance employee engagement and client satisfaction, despite facing challenges from clients shifting their advertising to in-house and digital platforms.
Seattle's office market experienced a turning point in the last quarter of 2024, despite continuing negative demand with a net absorption of -194,000 square feet. The situation has improved over the past year, showing a decrease in negative absorption rates. The vacancy rate increased slightly to 30.1%, marking the smallest rise since 2019, while inventory grew to 65.23 million square feet. Tenant demand is described as uneven but increasing, with more companies searching for office space compared to a year ago. Notably, the largest new lease deal in five years was secured by Apple for nearly 193,000 square feet. The market is adapting by offering turnkey spaces and speculative suites as strategies to attract tenants amid high construction costs and delays.
In San Francisco, the office sector experienced a notable increase in leasing activity at the end of 2024, with over 2.2 million square feet leased in the fourth quarter. This marked a rise from 1.7 million square feet in the previous quarter and represented the highest leasing volume since the third quarter of 2019. Despite ongoing challenges, the plateauing of vacancy rates has sparked cautious optimism for a potential recovery by mid-2025.
Leasing activity in Portland's office market has experienced a significant decline, dropping 50 percent in the last quarter of 2024 to a record low of 524,000 square feet. The vacancy rate has also risen to a record high of 13.5 percent, indicating ongoing challenges in the market. Additionally, asking rents decreased to $28.44 per square foot, reflecting soft tenant demand and further difficulties for the office sector in the city.
Investors are seizing opportunities in Chicago's office market, purchasing properties at significant discounts after a slow transaction period. Key players believe the city's challenges are reflected in low prices, and while some are cautious about future investments, others see potential for growth and are planning upgrades to attract tenants..

Feature Stories

The text discusses the importance of beauty in workplace design and its impact on employee performance. It highlights how a well-designed workplace goes beyond functionality, emphasizing that beauty can enhance mood and create a more engaging environment. Research indicates that top-performing workplaces incorporate beauty, leading to greater employee satisfaction and alignment with company values. Designers are encouraged to create spaces that evoke emotion and provide enriching experiences, integrating elements from various sectors, such as hospitality. The focus is on creating environments that inspire and motivate employees while contributing to their well-being.

Workplace News

Marketing Alert: AT&T's return-to-office mandate has led to significant desk shortages and parking issues, with only 70-80% of employees able to secure desks, causing chaos and competition among workers for available workspaces. Many employees feel the policy prioritizes cost-cutting over collaboration.
BSI is researching the impact of hybrid working on young workers who started their careers during the pandemic, focusing on job satisfaction, well-being, and career progression. They invite submissions to understand how these changes affect opportunities and diversity in the workforce.
The terms "coworking space" and "flexible workspace" have different meanings in the U.S. and U.K., leading to confusion in marketing and communication. While "coworking" in the U.S. includes private offices, in the U.K. it refers specifically to shared desks. The industry is evolving, and a unified terminology could help address these challenges.
In this exciting kickoff to 2025, we explore the changing dynamics of the workplace with Ryan Anderson, Vice President of Global Research and Insights at MillerKnoll. From the transformative potential of mixed-use city planning to the pressing need for workplace inclusivity and belonging, Ryan...
The research highlights the importance of retention strategies in organizations, emphasizing that engaging and supporting current employees is crucial to avoid the high costs associated with hiring and training new staff. A significant percentage of employees feel their employers lack empathy and trust, which can hinder loyalty. Key retention strategies include promoting workplace flexibility and predictability, with many employees valuing work-from-home options.
JPMorgan Chase has decided to disable employee comments in response to backlash regarding its return-to-office policy. The decision highlights the tensions and concerns among employees about workplace arrangements as the company navigates post-pandemic operations.
Ryan Anderson, VP of Global Research and Insights at MillerKnoll, discusses the need for workspaces to prioritize community, comfort, and connection. He suggests that rethinking office design and embracing mixed-use buildings can combat social isolation while revitalizing urban areas. The concept of “relationship-based work” highlights the significance of the physical workplace in fostering social ties. Anderson emphasizes the importance of ergonomic support for local nomads who work across various environments and advocates for a tailored approach to managing global teams that respects cultural differences. As technology evolves, he warns against relying too heavily on AI and automation, advocating instead for tools that enhance human connection. Key trends include balancing flexibility with in-person interactions, building a sense of belonging, and investing in team dynamics to improve employee satisfaction. Ultimately, the focus should be on designing spaces that enrich lives and support genuine human connections.

Design

Investing in wellness-centered office design enhances employee satisfaction and productivity by balancing collaborative and individual workspaces, incorporating wellness amenities, and creating environments that support mental and physical well-being. Dedicated spaces like lactation suites and tech-free zones further promote a healthier workforce.
Service design bridges space design and user experiences, ensuring environments are functional and user-centric. By integrating stakeholder needs and mapping user interactions, it enhances satisfaction, reduces costly modifications, and maintains the relevance of spaces over time.
A new headquarters in London has been designed by Virgin Media O2 to prioritize diversity, equity, and inclusion in the workplace. The building, covering 81,750 square feet, accommodates a wide range of users with furniture that supports various shapes, sizes, and mobility levels. Workspaces benefit from natural light and include private workstations, accessible meeting rooms, and informal gathering areas known as "accidental meeting points" (AMPs). Each floor is themed based on VM O2's telecommunications services, featuring unique designs and colors to cater to different work preferences, enhancing both professional collaboration and employee well-being.

Trends

Employers are focusing on enhancing office amenities to attract and retain top talent in a post-COVID environment. Effective communication of the value of these amenities is crucial, as failing to do so can lead to underutilization. Companies are creating inviting office spaces that offer flexible working options and appealing perks, such as gyms, cafes, and lounge areas, to make the office more desirable compared to remote work.

Green / Sustainability

Nassimi Reaffirms Environmental Stewardship with Release of Annual Sustainability Report
Nassimi's annual sustainability report highlights its commitment to reducing GHG emissions, energy, water usage, and waste by 25% by 2030, with a goal of net zero carbon emissions by 2050. Key achievements include phasing out PFAS, significant reductions in resource consumption, and advancements in sustainable materials like Writer’s Block Polyurethane and Supreen®. Nassimi makes faux leather, polyurethane & vinyl coated fabrics.

Latest Product News

AIS has introduced the Bryce upholstered wire lounge, a new addition to its Lounge Collection, designed for versatility in office spaces. This lounge features a sleek frame and durable construction, making it suitable for collaborative areas, respite spaces, and reception rooms. It offers casual comfort with a spacious seat and reclined back, supported by a powder-coated steel wire frame available in various colors. The lounge can be customized with a range of upholstery options to suit different styles. AIS aims to provide a diverse selection of choices that enhance work environments while maintaining affordability. Additionally, an outdoor version of the Bryce lounge is set to debut in April. Learn more >
Room & Board and Gensler launch the Lincoln Desk Collection, a sit-stand desk designed for wellness and functionality, featuring customizable options, sustainably sourced materials, and built-in technology for efficient workspace management. The collaboration emphasizes quality craftsmanship and human-centered design to enhance both home and office environments.
Fellowes launches Titan™ Frameless, a versatile modular wall system designed for easy installation and adaptability, featuring sustainable materials, customizable designs, and a lifetime warranty, addressing the growing demand for efficient office solutions.
Allseating enhances its L1, Rainbow, and Ayles collections with new features: a highback for L1, new finishes for Rainbow, and a tablet for Ayles, improving comfort and functionality for diverse commercial environments.
Concertex introduces two new NappaTile designs, Arena and Retreat, featuring luxurious faux leather aesthetics, durability, and acoustic benefits, ideal for high-traffic spaces and enhancing interior environments. Arena offers a dynamic mix of textures, while Retreat improves acoustic properties with a rattan-like appearance.
Bjelin launches Woodura Herringbone 2.0 flooring, featuring larger, durable panels three times stronger than traditional wood, easy installation with click technology, and available in multiple patterns and colors. The product emphasizes innovation, aesthetics, and functionality.

Industrial Design

Canadian inventor Mitch Krahn has designed the Ergo Desk, a sitting, standing, and reclining desk aimed at industrial designers who sketch, enhancing ergonomics by allowing drawing on an inclined surface. The desk is set to launch on Kickstarter next month.
LG has unveiled an innovative tiny home van concept that merges cutting-edge technology with mobile living and working. This design caters to the modern tech enthusiast, offering smart features and amenities that enhance the functionality of living on the road. The van emphasizes sustainability and efficiency, showcasing how technology can transform traditional concepts of home and mobility into a seamless experience.

How to Market: Marketing moments on Facebook

Vintage Advertising from the Archives

Trends in Commercial Projects from Around the Globe

Etsy's new Dublin headquarters, designed by Gensler, integrates the essence of Irish culture while reflecting the brand's values of community and craftsmanship. The 17,500 sq ft workspace promotes collaboration and individual focus, catering to diverse work styles within a hybrid workforce. The single-floor layout includes quiet zones, social areas, and adaptable meeting spaces, allowing for flexible reconfiguration. The design emphasizes local artistry and supports Etsy's mission to maintain a human-centered approach to commerce.
Gensler has designed a new headquarters for Virgin Media O2 in Paddington, London, focusing on inclusivity, sustainability, and connectivity. The 81,750 sq. ft. space, completed in 2024, supports flexible working policies and aims to enhance collaboration among employees. The design incorporates feedback from focus groups and DE&I representatives, creating unique spaces on each floor to cater to diverse needs. The office also emphasizes sustainability, targeting WELL Platinum and BREEAM Outstanding certifications, and includes practices like carbon tracking and repurposing existing materials. Key design elements reflect Virgin Media O2’s mission and cultural influences, fostering informal connections in a vibrant work environment.
Studio Rhonda has transformed the Orangebox showroom in Clerkenwell into a vibrant, functional workspace that showcases innovative furniture collections while enhancing inclusivity and accessibility. The redesign emphasizes bold colors, dynamic layouts, and a welcoming atmosphere, reflecting the brand's philosophy and commitment to collaboration.
Maison Perron's new workspace blends history and modernity in a vibrant, three-storey building, featuring a creative showroom, collaborative areas, and distinct design elements, while emphasizing community engagement and a colorful aesthetic.
A showroom office in Hangzhou designed by Ippolito Fleitz Group combines modern workplace duality with flexible layouts, promoting both productivity and employee comfort through thoughtful spatial contrasts and functional zones.

Latest In Real Life WFH

Alex Szczurek is a UX-focused Designer and Indie Hacker working on uncoverLAB, which provides design resources. She enjoys outdoor activities for creativity and manages a busy schedule balancing work and personal life, facing challenges like context switching in her agency work.

Project Leads

The No-Fault Group is relocating its Miami headquarters to a larger penthouse in Coral Gables, expanding from 13K to nearly 22K SF. This move positions the company for national growth and enhances brand visibility with prominent signage. Coral Gables remains a strong office market despite overall slower leasing in South Florida.
EY is considering relocating its Atlanta office from Downtown to Midtown, seeking approximately 125K SF of space as part of its real estate strategy. The firm currently occupies over 110K SF at 55 Allen Plaza and is in active negotiations for a new location amid a recovering office market in Atlanta.

Upcoming Industry Events

NeoCon 2025 / DesignDays 2025
June 9-11, 2025 | 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.  Joining at the same time, in Fulton Market is DesignDays, a compatible show that now hosts more than half of the largest office furniture manufacturers. Hint: See both.

Industry Briefing

DeskMakers and Peter Pepper Products Welcome Josh Carlberg as Vice President of Product Development and Product Management
DeskMakers and Peter Pepper Products have appointed Joshua Carlberg as Vice President of Product Development and Product Management. Carlberg brings over ten years of experience in the furniture industry, having previously worked as Managing Director at MTRL and held positions at HNI Corporation and Paoli. 

Solomon Coyle’s Winter 2025 PM Training Enrollment Now Open
Solomon Coyle is now accepting registrations for its Project Management Training classes starting on February 5th and 6th, 2025. The program aims to help dealers achieve goals related to margin protection, customer satisfaction, and retention. It provides essential training in analyzing, planning, and managing various aspects of project management, including clients and contracts. Additional program details are available on their website, and inquiries can be directed to their support email.

BIFMA Releases New Material Database for the Furniture Industry: SOURCE by BIFMA
BIFMA has launched a new material database called SOURCE, specifically designed for the furniture industry. This database, hosted on the Source Intelligence platform CMAP, provides a centralized repository for material data, enhancing the efficiency of manufacturers in responding to customer inquiries. Participation in the program is free for industry suppliers. Access to the database and reports is included with BIFMA membership. BIFMA, a leading non-profit trade association in North America, aims to promote safety, sustainability, and performance standards in the commercial furniture sector while supporting market data and industry innovation.

Clerkenwell Design Week Succumbs to the Sandow Effect: The UK Gets Its Own Dose of Awardization

Well, it was nice while it lasted. The UK’s beloved Clerkenwell Design Week, long celebrated for its dynamic mix of creatives and architects, has officially joined the ranks of trade shows with a shiny new layer of pay-to-play glitz: the CDW 2025 Product Awards. That’s right, folks—brace yourselves, because the Sandow Design Group is here, and they’ve brought their favorite export: awards for cash.

This “landmark initiative” (read: another opportunity to hand over cash for recognition) promises to spotlight “groundbreaking” and “imaginative” interior design products. Categories include the usual suspects—furniture, lighting, textiles, and flooring—but don’t worry, there’s also room for buzzwords like sustainability, technology integration, and modular design. Because who doesn’t love a product that ticks all the trendy boxes?

For exhibitors, this is the chance to “elevate their brand on a global stage” (translation: get in front of Sandow’s massive media machine, from Interior Design and Metropolis to Design Milk). Of course, that “global stage” comes with an entry fee, and what better way to elevate than by outspending your competitors?

Finalists and winners will enjoy “unparalleled industry exposure,” including digital features and a celebratory event during CDW 2025. So, if you’ve ever dreamed of paying for the privilege of being celebrated at your own festival, mark your calendars. Entry submissions open January 20, 2025, with early bird options (because even Sandow knows Brits love a good deal) available through February 14, 2025. The final deadline? March 28, 2025.

So there you have it. The UK, long a bastion of authenticity in the design world, has officially fallen under the Sandow shadow. It’s a brave new world, where innovation meets marketing budgets—and everyone’s invited, as long as the check clears. Cheers!

Find the best Contract Furniture Industry jobs and hire the best talent.
A VP of Sales is struggling with a top salesperson who exhibits a prima donna attitude, despite strong performance. The advice suggests recognizing the salesperson's leadership potential and using promotion as motivation to improve behavior, rather than resorting to disciplinary actions.
Logiflex a well-established office furniture manufacturer is looking for a Corporate Sales Representative for the  North Texas and Oklahoma USA market to expand our clientele and create strong relationships with our clients.
Logiflex, a well-established office furniture manufacturer is looking for a Regional Sales Director responsible for increasing sales in the South East USA Market. Identifying new business opportunities, developing business relations and increasing Logiflex’s visibility. 
District Manager has responsibility for sales, promotional, support, trainingand educational activities targeted to designated OFS/ Carolina dealerships, The Architect/ Design community, Commercial Real Estate community and the End User community.
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