Facility and Property Management Trends For 2023
The facility management industry is forever evolving, and that means that trends come and go. The entire world has changed in the wake of COVID, too, which has heavily influenced everything from HVAC systems to interior decorating. What new trends should facility and property managers keep an eye on for 2023?
1. An increase in multi-family developments.
Lockdowns and an increase in work-from-home programs saw people moving out of densely populated areas and into single-family or detached residences. Real estate prices also rose dramatically. Some forecasts say that prices will decrease over the next year, which is likely to dry up a lot of the inventory on the market. Others say that sellers are likely to add more inventory to the market but increasing inflation and rising interest rates mean that buyers will be reluctant to apply for a mortgage.
Both scenarios mean that you can expect to see an increase in demand for multi-family housing. This also means that renters are going to seek out homes that provide better amenities. To remain competitive, managers of rental properties will have to look into providing in-unit washers and dryers, HVAC systems, and high-speed internet. The vast majority of renters are willing to pay a premium for these since that would still be less expensive and more convenient than having to fill these needs themselves. For facilities that are able to provide them, walk-in closets and good soundproofing are also very attractive to potential tenants.
2. Increasing issues retaining or attracting employees.
This trend has been pretty persistent and doesn't look like it's going to change any time soon. Skilled facility management professionals are reaching the age of retirement, and there aren't enough new potential employees to replace them. Today's labor force knows what they want and are very willing to pass up opportunities that they feel don't fairly compensate them. This means that managers should focus on strategies for retaining existing employees, paying competitive wages, and offering benefits to draw new hires.
3. An emphasis on flexible office spaces.
Companies and employees alike have seen the financial and environmental benefits of working from home. Many have adopted a hybrid strategy that allows employees to come and go from the office as it suits them. This has created a demand for more flexible office spaces. Managers of office facilities will likely have to redesign spaces to accommodate features like "desk hoteling."
Due to a decreased need for large offices, many employers are also downsizing to smaller ones. This means that managers will have less space to work with, so learning how to efficiently use every square foot is a must. New planning software can help simulate different floorplans and foot traffic patterns to make this process as quick and painless as possible.
4. A delicate balance between climate and health.
Pre-COVID, there was a growing trend of climate awareness and energy efficiency. Once COVID hit, facility managers realized they needed to find a way to balance energy efficiency with adequate ventilation. Sometimes, occupant well-being increases energy consumption. This is a balance that managers will have to continue to strike.
Smart sensors can help automate part of this process by only lighting, heating, or air conditioning rooms that are currently in use. Energy audits can also help determine where a facility's biggest "energy sinks" are, which is the first step to creating more efficient buildings. Good sanitation practices are also just as important as they were a few years ago, as is social distancing. Natural sunlight and good ventilation also help improve employee health and well-being.
5. The increasing use of smart technology.
Automation is touted as one of the best ways to reduce costs, improve efficiency, and generally make things better and easier. This can come at a cost -- not only does smart technology cost money to deploy, it can also create challenges when it comes to integrating it into an existing digital ecosystem. This can result in vulnerabilities than open a facility up to cyber-attack. It's highly unlikely that smart technology will be going away any time soon.
Facility managers who've been resistant to the idea of automation should consider how tech-like sensors and management software can benefit them. Consulting with a cybersecurity expert can help make the transition safe and smooth. No matter whether you manage a residential or commercial property, you're still subjected to industry trends.
Many of the factors that drive these trends overlap with each other. People work from home more, so they want flexible workspaces and better amenities at home. Concerns about the climate also overlap with health and safety, and the desire for automation comes with concerns about security. Navigating these trends will involve a lot of research and compromise, and the best thing that managers can do is observe their own facilities and properties to see which strategies work best for them and their occupants.
If you're an IFMA-LI member, please log in so you can comment on this article.
