How High-Rise Workspaces Affect Company Performance
It may sound far-fetched but there is mounting evidence that more productive offices are located higher up in an office building. It’s not just the view, either. There’s a world of reasons why having an office in the double-digit floors can affect your team’s performance.
A study that is not at all anecdotal in the Journal of Urban Economics found that companies that perform better are more likely to be located higher up, as opposed to less productive offices, which are located on the lower floors, except for the ground floor.
It’s Got Something to do With Prestige
There’s heterogeneity in how the premium for office space increases along with the elevator ride up. This study found that price differentials in office buildings work in a three-dimensional spatial sense. The same study also found that this trend is worldwide, unaffected by population, density, or ease of access. Verticality clearly is the second contributing factor that affects the price listed for an office suite, according to another study.
In that sense, we can easily identify tenants of high-level office suites as successful companies, since they have the capital to pay the higher rent. These companies would attract top talents, which, in turn, help the company’s renown to grow–and the cycle continues.
However, with the advent of the sharing economy, this privilege is being, for a lack of a better word, shared with coworking spaces. Like how it’s done in many other aspects, the coworking scene is shifting paradigms in the real estate industry. However, the deep-rooted awe for offices on high floors remain. This means that the old-class prestige is being enjoyed by even lone digital nomads.
The next best thing about having an office high up is the view. The romanticization of seeing the reflection of the clouds from the building across the street is not unfounded. It stimulates the feelings of freedom and independence through simulating an open horizon. With the rise of all-glass office towers, the demand for workspaces with such views is only increasing.
This also contributes directly to employee productivity. The abundance of natural light also means that your employees spend less time under fluorescent lights, and more bathed by sunlight throughout the day. Not only that this is physically healthy, but it also enhances the mood of your employees.
Having an office so far from the ground might also mean that there are several disadvantages present, but it is mostly insignificant when compared to the advantages it provides. After all, being literally on top of an office building invites the idea that your company is on top of its game.
How’s that for something new for the day? If you’re interested in learning more about what can workspaces in high-rise buildings provide, you can book a tour in one of GoWork’s premium, flexible office and coworking spaces all across Indonesia.