Salesforce and JPMorgan are the latest big-name companies looking to downsize their office space as remote work becomes the norm.
The global pandemic has fueled a major transition, making remote work and telecommuting the new normal for a large portion of the workforce. Many companies are embracing this permanently, making remote work or hybrid work their default method moving forward.
One market that has suffered as a result is commercial real estate, with many companies no longer needing the vast amount of office space as before. Dropbox recently made headlines when it sold its San Francisco headquarters for $1.08 billion.
Salesforce and JPMorgan are the latest to join the trend, with The Wall Street Journal reporting that JPMorgan is marketing its 700,000 square feet of Manhattan office space. Meanwhile, Salesforce is listing space in one of its San Francisco buildings for rent.
It remains to be seen how much the market will rebound but, at the current rate, it seems as though commercial real estate will forever be changed by the pandemic.