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The advance of the part-time office: new trends in commercial real estate

The advance of the part-time office: new trends in commercial real estate

The Rookie Lawyer

04/06/2025

Reading time: four minutes

According to a 2025 report by Forbes, 63% of UK workers surveyed work remotely. The rise of remote working has led to a decreased need for a dedicated office space and a shift in part-time office arrangements, particularly among smaller businesses, as they adapt to flexible working. As a result, one-quarter of all London businesses have decided to reduce their office footprint by 20%. In this article, we'll be examining what that means for the commercial real estate sector, as well as solicitors in this field.

What’s a part-time office?

With more than half of workers working remotely either some or all of the time, and most companies adopting hybrid working practices, full-time office spaces are no longer essential in the commercial real estate world.

Part-time offices have grown in parallel alongside these changes. They are spaces shared by multiple businesses throughout the working week, allowing companies to rent business spaces on – you guessed it – a part-time basis (eg, one to three days a week).

Who’s it for?

Part-time offices offer a cost-effective workspace with the added flexibility of shorter leases, so the model is especially appealing to start-ups and early-stage companies. However, many larger companies, and even those that were previously fully remote, are also witnessing the benefits of part-time office spaces. Some advantages include more flexible and shorter leases, and the option to secure an office in premium locations.

What’s the impact of growth in this sector?

This trend offers a new source of growth for the office market. It represents a dramatic shift in what businesses want from their workplace, with flexibility, short-term arrangements and high-quality environments taking centre stage. 

If this growth continues, the commercial real estate market is likely to shift in accordance with it: for instance, the average length of an office lease might become shorter. Meanwhile, under-utilised office buildings might get converted into mixed-use developments – combining retail, leisure and residential uses, rather than strictly commercial. This could, in turn, lead to more mixed-use developments.

More than 80% of spaces leased in central London were modern, typically luxurious office units called 'grade A office units'. This indicates the widespread demand for high-end properties in this market, an accompaniment to the part-time office trend.

Another consequence of the rise of part-time offices is an increase in vacancies in previously busy and high-demand areas – a result of businesses downsizing to part-time spaces. This trend has already begun to emerge: in some areas of London, such as Canary Wharf, relocations are resulting in vacancy rates of around 19%.

How will this impact lawyers and commercial real estate law?

With new growth in this sector come new challenges:

  • Disputes over handovers: If multiple businesses are sharing a space, what if one business leaves the premises in inadequate conditions for the next tenant? Such issues could lead to disputes, requiring landlords to intervene.
     
  • Security: The sensitive information of each business must be secured, demanding effective protocols to safeguard equipment and data even when the tenant isn’t present in the office.
     
  • Changes in lease structures and flexibility: The increasing demand for shorter, more flexible leases, rather than traditional long-term leases, might require lawyers to tailor lease provisions to co-working spaces or shared arrangements. New expectations might arise over time if this trend persists.
     
  • Greater wear and tear: A greater volume of short-term occupiers might result in more repairs needed. Real estate solicitors might need to refine their advice on tenants' liabilities for repair, drafting clear clauses in leases and licences to assist in the event of conflict.
     
  • Shift in how rent is charged: Business tenants using offices part-time might seek rent based on usage rather than square footage.
     
  • Health and safety considerations: Progress in this area of law has resulted in new standards around health, safety and ventilation in offices. Solicitors must be well-equipped to advise landlords and tenants on their compliance with, and duties under, current regulations.

The rise of part-time offices offers the potential for a great shift in the office market. A move towards greater flexibility demonstrates that hybrid working – and, by extension, remote working – is here to stay.

Keeping an eye on the real estate market is a great way to maintain commercial awareness in this area. As an aspiring solicitor with an interest in property law, I'm excited to witness (and hopefully participate in) the future of this ever-evolving sector.

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