KC office market sees more vacancies but new workplace uses

KANSAS CITY, Mo. – More office space in Kansas City is vacant at the start of 2022 compared to the end of 2021, continuing the predictable trend that began with COVID shutdowns and widespread work-from-home policies, according Newmark Zimmer 2022 First Quarter Report.

As Americans return to the office, the workplace they return to permanently is starting to look very different as companies balance what it takes to keep their employees happy.

Mark Potts office space DPS Global Kansas City Group office uses at Overland Park helped get the international company’s KC branch off the ground.

“But once we got here, we were looking for something different,” Potts said.

They found it in park squarea mixed-use community with places to live, offices to work, and retail stores lining small streets and tree-lined sidewalks.

“It’s good, but you look out the window and you see cars going by and [at Park Place] you look out the window and you see people mingling outside,” Potts said. “And the amenities at Park Place are great. There are six or seven restaurants and bars, there is an ice cream parlour.

The new location will double the square footage of the growing DPS Global KC office, but it also brings them plenty of fun attractions right on their doorstep.

It’s a decision that Newmark Zimmer’s managing partner, Tommy Gentry, is keen on.

“Really, the impact of COVID has been quality versus price,” Gentry said.

The idea is that office space vacancy has increased as companies rethink how much space they need with flexible hybrid working hours while deciding to use the space they have differently.

“When COVID first emerged, we really thought private offices were going to make a big comeback,” Gentry said. “I would say it’s almost been a bit of the opposite.”

Instead, Gentry said open floor plans with desks around the perimeter are most popular, with flexible space for group work.

Inside the buildings, owners are already investing in improvements such as cafes and gyms to give employees a reason not to come into the office even if they no longer have to be there five days a week. week.

“The buildings that are going to be winners down the road are the buildings with more amenities, more reason to pull people in rather than push them back into the office,” Gentry said.

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Jose C. Birney