CBRE, a leading global real estate consultancy, has found that as many businesses gradually reopen following the easing of government restrictions, the real estate market is also beginning to see various activities. However, this return comes with a paradigm shift heavily influenced by the lifestyle changes experienced over the past year and a half, a period long enough to alter people's behaviors in the long term. When welcoming back customers or tenants, we may encounter familiar clients with new demands.

In the residential market, many people spent 24 hours a day at home during the pandemic, which has made many details in residential spaces, whether in condominiums or houses, significantly more important. Areas previously advertised as "multi-purpose spaces" in homes are no longer just seen as empty spaces but are increasingly valued for their potential to serve as "home offices," which should be separated from distractions and organized appropriately for effective remote work. Kitchen spaces are also gaining importance, as some individuals may have discovered their culinary skills during the lockdown.

“The design of future homes will place greater emphasis on home offices, multi-purpose family rooms, children's rooms, kitchens, and storage spaces. Additionally, the popularity of pets is rising, along with sports. Pet-friendly projects are becoming more desirable, and amenities related to sports, such as gyms, bike lanes, jogging tracks, swimming pools, and more, are being prioritized. Furthermore, as sales offices fully reopen, sales staff will need to enhance service quality to cater to buyers with increasingly complex demands,” said Mr. Rattawat Kuvisitsuwan, Head of Research and Project Development Consultancy.


Mr. Rattawat Kuvisitsuwan, Head of Research and Project Development Consultancy

In the retail market, customers returning to services will differ significantly from two years ago. Consumer spending behavior clearly shows that a lifestyle promoting health and well-being is crucial in the Next Normal era, affecting consumer demand for products and services.

“It is evident that the food and beverage industry will be pressured to adapt to the rapidly growing food delivery services. However, other businesses will not be less affected. For instance, movie streaming services have greatly influenced moviegoers' perceptions of cinemas, as watching movies at home in pajamas feels more convenient. Will IT equipment stores become more important in retail spaces? Will outdoor or indoor sports gear be more popular? Will makeup products sell as well as skincare items? These are questions retailers will have to face,” Mr. Rattawat added.

Office buildings are another market that will see significant changes both externally and internally. A survey report on the future of office spaces in 2021 by CBRE's research department indicated that companies' views on hybrid work models have shifted dramatically compared to a survey conducted in 2020. Among over 100 multinational companies in the Asia-Pacific region surveyed, only 26% indicated that employees would return to full-time office work as before, compared to 37% last year.

“Adjusting policies to allow remote work has prompted organizations to rethink the design of new office spaces, emphasizing employee engagement and collaboration. This means that the use of office space will change, and new areas that promote collaboration will become increasingly important.” Mr. Rattawat commented.

As businesses reopen, service providers will need to make various changes to align with evolving customer behaviors. Learning how to cope with the Next Normal will be crucial. However, given that the situation remains uncertain and can change within a week, having plans A, B, and C prepared is essential to handle various potential scenarios.