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August 2024

CBRE: More companies shift office portfolio strategy to stability and growth

More office-using companies are shifting their portfolio strategy to expansion after a heavy focus on contraction since the pandemic, according to a new CBRE survey of 225 companies with offices in the U.S., Canada and Latin America. CBRE's 2024 Occupier Sentiment Survey found the percentage of office-using companies that anticipate expanding their occupied space in the next three years increased to 38% from 20% in 2023. Those planning to reduce their portfolio requirements decreased to 37% from 53% last year, and 25% expect their portfolios to remain the same. Some companies that may have trimmed too much space in recent years or have added staff now find their offices cannot accommodate employees on high-attendance days. 


While some companies are beginning to increase the amount of space they occupy, the high costs of moving and building out new space are motivating others to stay in place. A full 80% of respondents whose current space fits their needs say they are exploring or executing renewals. Those who prefer to stay in place are typically renegotiating their existing leases to take advantage of the current market conditions, which favor tenants.


A common theme is a preference for high-quality office space. Led by large companies, 59% of companies are relocating for reasons associated with upgrading space, such as a better location, better quality space or improved employee experience. Regardless of the decision to expand, renew or relocate, flexibility remains a top priority. The survey also updates company office-use patterns. Fully 64% of companies report office attendance is at a steady state — up modestly from 60% in 2023 and 43% in 2022. 


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Designed to serve a diverse population from Level 1 services to postpartum care: Hennepin Healthcare facilities, Minneapolis

by Kristin Zeit As a Level 1 adult and pediatric trauma center and safety-net hospital, Hennepin Healthcare in Minneapolis serves a diverse population, including many low-income, uninsured, and/or unhoused individuals seeking a broad range of care. Within the past 10 years, the healthcare system has expanded its buildings and services via a $192 million outpatient center — the Hennepin Clinic & Specialty Center (HCSC), completed in 2018 — and, most recently, an innovative new clinic called the Redleaf Center for Family Healing, serving postpartum families with mental health and other support services.


Despite the challenges facing safety-net facilities, including perpetual funding shortages, very thin operating margins, staffing deficits, and more, Hennepin Healthcare was determined to do more with these new spaces. The new services were thoughtfully laid out and designed; the interiors focused on materials that would provide longstanding durability and cleanability. But an equal priority for the clinic, and for future additions (such as Redleaf) and renovations within the system, was to provide an environment of comfort and respect.


“Both of these newer spaces bring a lot of dignity to people who don’t normally have access to care in a place this nice,” says Elyse Elliott, senior designer, Henricksen (Minneapolis). Special attention to the furnishings went a long way toward accomplishing this goal. Seeking a mix of durable, sterilizable, design-forward furniture including lounge chairs, sofas and individual seating, the design team tested a variety of options and brands and landed on lines from Kwalu.


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96% of parents want to mandate camera sharing during school emergencies, finds study



An overwhelming majority (96%) of parents in the U.S. support a mandate requiring schools to share security cameras with 911 Communications Centers during emergencies, according to a survey of K-12 parents commissioned by Eagle Eye Networks. A federal mandate was preferred by 56% of parents, 29% wanted a community-level requirement, and 11% favored a school district mandate.


Camera sharing is a new technology that gives Emergency Communication Center telecommunicators (911 professionals) instant access to security cameras during an emergency, empowering them to deliver critical incident information to first responders.


As the election draws near, both Democrats (93%) and Republicans (91%) agree tax dollars should be allocated to fund activation of camera sharing technology in K-12 schools.


School leaders and public safety officials say camera sharing can help quickly deliver critical information when time is of the essence.


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Mantra Inspired Furniture, a Best of NeoCon award-winner, celebrates sustainability, innovation — and anticipates the future

by Danine Alati With a steadfast commitment to sustainability at the heart of Mantra Inspired Furniture’s ethos and deeply embedded in its product development, it’s no wonder the company won 2024 Best of NeoCon Sustainability Awards in two categories for its Unity Table Collection. As Matt Cheadle, creative director at Mantra Inspired Furniture (MantraIF), succinctly puts it, “Sustainability is far more than a mere buzzword for us; it is the cornerstone of every piece we design.” He further emphasizes that as a women-owned enterprise, the company prides itself on creating commercial furniture that not only enhances interiors but also aligns with Environmental, Social, and Governance (ESG) standards.


In addition to its two Sustainability Awards, MantraIF also earned a Silver Award and a Business Impact Award in the Tables: Café category for the Unity Collection. Susan Pilato, president and CEO of Mantra Inspired Furniture, reflects on the impact of her company’s participation in NeoCon over the past four years, describing it as a “game changer” and expressing a desire to boost the visibility of women-owned businesses in the industry. “There are relatively few women-owned manufacturers in our sector, especially from Virginia,” she notes. “We hope our presence at NeoCon will inspire other women to explore careers in manufacturing and design.”


Mantra Inspired Furniture is grounded in three fundamental tenets: American craftsmanship, investment-grade furniture and sustainability. Cheadle articulates: “Our furniture is designed by designers, for designers. We collaborate with American craftspeople, whose expertise and dedication contribute to the high-quality and inspired designs we create. More than functional, our pieces embody style, modern sensibilities, and enduring quality. Each design reflects our unwavering commitment — as solid as the wood we use.” 


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FCC expands internet connectivity for public schools and libraries

The Federal Communications Commission (FCC) voted in July in favor of expanding its E-Rate program for Wi-Fi hotspots and wireless internet access services at a time when an increasing number of students, educators and administrators rely heavily on remote educational tools while online space becomes part of their classrooms.


This announcement is part of FCC Chairwoman Jessica Rosenworcel’s broader Learn Without Limits initiative, a three-pronged proposal as it also calls for allocating E-Rate dollars to access Wi-Fi on buses and create a three-year, $200 million pilot program for cybersecurity.


The E-Rate program is one of the five largest streams of federal funding in our nation’s schools. Part of the FCC’s universal service program, E-Rate serves as a support mechanism that reaches back to 1934 and focuses on ensuring rural consumers had affordable phone service.


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OM Seating’s award-winning solutions suit the modern workplace

by Danine Alati Rooted in human-centric design, OM Seating is redefining ergonomic seating with products like OM5, Plot Twist, and Werksy — blending enhanced style and comfort to meet the demands of modern work environments.


“We think about people first,” attests Wilson Chow, CEO and president of OM Seating. “We are always striving to find better ways to design and build seating solutions that support people wherever they’re working — whether that is with traditional task seating, or for a modern-day, WFH-driven community space. We want to provide seating for all kinds of working environments — everywhere and every way people work. We truly listen to our customers: We ask, how do people actually sit — not how we think they should sit. Then we design seating that intuitively adapts to as many of these scenarios as we can.” 


Chow elaborates, “Our chairs should be flexible, multifunctional and design-forward. We push to see beyond basic ergonomics (which are still needed) to create innovative, even playful solutions. The challenge is how to be all those things, while also keeping our design simple. The work-from-home movement has a tremendous influence, and clients want chairs that can be a ‘nest for the day’ for hybrid workers and shared spaces.” Acknowledging these shifting requirements and the significant transformation of the modern workplace, OM Seating has developed new products that cater to a variety of sitting styles and preferences.


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Fast reads . . .

• GSA now requires public buildings to reduce outdoor light pollution and energy use


• Oct. 22-25, Cologne: ORGATEC reveals trends and innovations revolutionizing the future of work


• Carbon Reform’s pilot retrofit carbon removal system will reduce energy and emissions at BG&E while improving IAQ


• Sept. 10: Hospital, Outpatient Facilities & Medical Office Buildings Summit — Chicago



• Sept. 15-16: Elevate gathers facility executives in Chicago

Seeking inclusion and work-life integration? Answers entice facility and real estate professionals at NextUp, Sept. 30 – Oct. 2 in Chicago

by Eileen McMorrow The Leadership Summit for NextUp is just a month away and promises many opportunities for women in facility management, real estate, design and architecture to explore how another community of support outside the existing industry conferences can be career enhancers.


NextUp’s mission focuses on women’s empowerment and shared experiences in business management and the workplace. “There are so many industry associations, but none that address the needs of women specifically. NextUp is designed from the ground up with women in mind, and everybody’s allowed in,” explains Danit Schleman, vice president, Strategic Value/Regions and Development, NextUp. Speaking to women and their allies, she says, “In our community of support, we are helping you to recognize what matters to you, not just doing your job better. It’s about integrating work life with home life and how to do this.”


NextUp helps members build skills like advocating for themselves, inclusive leadership, and bridging divides on complex topics like DEI. “A person may have many strengths in facility management, but still not have the negotiation skills that we can help them bring to the workplace. We help professionals manage across the life spectrum,” says Schleman. “We are following the energy and providing key learnings for addressing burn-out.” 


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Meeting clients where they are and making furniture that changes with the setting — this is how Versteel responds to new market demands

Projects are creating new demands to meet management and worker expectations. Versteel recognizes this and is designing features into furniture to meet client requests, according to Scott Schwinghammer, president. He recently met with Eileen McMorrow to discuss changes in client expectations, the office, and best options to respond to change with contract products that are making their mark. Our Niche is You,” Versteel’s slogan, is about the brand’s customer focus and ability to meet their needs. “There is strength in our quality that is connected to product longevity and durability,” says Schwinghammer.


While all contract brands thrive on selling their standard products as they are designed and built, Versteel has developed a reputation for being responsive to creating modified products as needed. Schwinghammer routinely is asked, “Can you make it like this? Can you give us one of these?” The brand is nimble and comfortable with such requests. For example, a client liked a line of tables then wanted matching chairs, so the Versteel team designed and manufactured chairs to meet the demand.


The well-known flexibility of Versteel tables the ability for them to move up, down, tilt, wield hidden power supplies makes them one of the innovative products that roll out of its factory. “We have been doing electrification for a long time,” says Schwinghammer. “Whether it’s plugged-in or battery-powered, we can provide it and hide it by design,” he explains.  


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18 inspirational public art installations will help transform the passenger experience at JFK Terminal 6

The Port Authority of New York and New Jersey (PANYNJ) and JFK Millennium Partners (JMP), the company selected to build and operate the highly anticipated $4.2 billion Terminal 6 (T6) at John F. Kennedy International Airport (JFK), announced that 18 artists have been selected to debut new public art commissions when the terminal opens to passengers in 2026. The art program is led by Public Art Fund, the independent nonprofit dedicated to art in public spaces. The featured artists, including 10 from New York City, will capture the spirit of New York with a diverse range of artworks that will be seamlessly integrated into the terminal — sculptures, suspended installations, wall works and glass mosaic floor medallions.


The Port Authority’s vision to create a world-class passenger experience at JFK builds on its award-winning, internationally recognized terminals at the new LaGuardia Airport and Newark Liberty International Airport’s Terminal A, through inspirational public art, operational excellence, 21st century technology and world-class functionality. The new Terminal 6 is a key component of the $19 billion transformation of JFK into a world-class gateway, with two new terminals; two expanded and modernized terminals; a new ground transportation center; and an entirely new simplified roadway network.


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Education, inspiration, and networking — three favorite features for FMs at World Workplace 2024, San Antonio, October 9-11

Workplace challenges are not diminishing; they are compounding and require expansive knowledge and solutions you may not know exist. One of the leading conferences to learn new approaches and find answers is IFMA’s World Workplace. Facility professionals will return to work with grounded tactics and strategies that can be put into practice immediately, acquiring a year’s worth of training over just three days. Every activity is an opportunity to bring fresh ideas, leading-edge strategies, time-and-cost-saving tactics and new partners to your organization.


Facility managers are encountering significant shifts in how organizations operate, collaborate, and support worker well-being and productivity. For managers, investing in your FM professional or workplace team ensures your organization stays competitive. In response, the International Facility Management Association (IFMA) is bringing its World Workplace Conference and Expo to San Antonio October 9-11, 2024. It offers sessions led by industry experts, educators, authors, and workplace innovators, covering a range of topics, allowing attendees to customize a learning program that addresses their job responsibilities and facility concerns.


Session tracks include Communications, Facility Operations, Facility Technology & Data Management, Finance & Business, Leadership & Strategy, Quality, Project Management. Real Estate, Risk Management, and Sustainability. The full education program is detailed here. The McMorrow Reports & FMLink team will attend and participate in these World Workplace sessions.


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CDC: Antimicrobial-resistant pathogens remain elevated post-pandemic

The U.S. Centers for Disease Control and Prevention (CDC) used new data to analyze the U.S. burden of seven antimicrobial-resistant pathogens typically found in healthcare settings from 2021 through 2022, underscoring the need for continued diligence in cleaning and disinfection as well as optimizing building systems and resolving water and mold issues to help prevent infections. A new fact sheet shows that six bacterial antimicrobial-resistant hospital-onset infections increased by a combined 20% during the Covid-19 pandemic compared to the pre-pandemic period, peaking in 2021, and remaining above pre-pandemic levels in 2022.


In 2022, rates for all but one of these pathogens (methicillin-resistant Staphylococcus aureus or MRSA) remained above pre-pandemic levels. In addition, the number of reported clinical cases of Candida auris (C. auris) — a type of yeast that can spread in healthcare facilities, is often resistant to antifungal medications, and causes severe illness — increased nearly five-fold from 2019 to 2022.


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NRG applies to bring 1.6 GW natural gas power generation to Texas

Fortune 500 energy and home services provider NRG Energy submitted the first of three loan applications in June to the Texas Energy Fund (TEF) to develop the previously announced 1,600 megawatts (MW) (1.6 Gigawatts) of new quick-start natural gas power generation in the Electric Reliability Council of Texas (ERCOT). The TEF is administered by the Public Utility Commission of Texas (PUCT).


This first application is for a new 721 MW natural gas combined cycle unit at NRG’s Cedar Bayou plant in Baytown, Texas. In the coming weeks, the company plans to submit applications for two quick-start natural gas peaking projects near Houston: the 455 MW project at TH Wharton and the 456 MW unit at Greens Bayou. NRG anticipates that these three projects will be capable of supplying power to customers in under 30 minutes. Completion of these projects is contingent upon timely loan approvals from the PUCT and tax abatements by local authorities. Following approval, NRG would begin construction on two of the three facilities as early as October of this year. These plants are expected to create lasting economic and community benefits through permanent positions and hundreds of construction jobs.


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BOOK OF THE WEEK

The 2025 BNi Remodeling Costbook is your essential resource for precise cost estimation. Ready to buy at FMLink Books

This week's Featured Book from FMLink Books is part of a collection of peer-reviewed books curated by the FMLink editorial team to provide facilities, engineering and A&D professionals with access to publications relating to the Costbooks topic.


Enhance your estimating process with the Plus+ and Premium versions, which both include a fully bookmarked PDF eBook and Excel database files for easy access and data manipulation. Download immediately upon ordering!


2025 BNi Remodeling Costbook key features include:

  • Access precise details for over 10,000+ items from paving to finish carpentry.
  • Unit of measure, material cost, labor cost, and equipment cost per unit provided for each item.
  • Stay up to date with accurate material costs researched by experts.
  • Labor costs based on the latest prevailing wage rates from the U.S. Department of Labor.


This and other Costbooks titles are available for purchase on FMLink.

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