Many U. S. businesses are embracing remote working for at least a few days a week - office space is empty. Houston is especially hard hit! Richard Stockton of Ashford Inc explains why: "During the last 12 years oil prices are HIGH when interest rates are LOW. That's the right environment to build speculative office space!" So, much of that Houston office space is empty now. "A little over 25% are vacant. That's approximately 50,000,000 (fifty million) square feet of empty office space in Houston alone! " Stockton advises building owners to entertain ideas of transforming the space into a combination of businesses, hotels and high-rise living.
Houston and Dallas are leading the country in empty office space - mostly due to the remote working phenomena and big company layoffs. Stockton says building owners are hit hard with receiving fewer rent dollars and still paying their mortgages. He says this isn't all bad. "What this is doing is reducing office space values. But then again - it's an opportunity for multi-family operators and hotel operators to move in and take up the slack!"
Stockton says the vacancies will keep on growing as the companies that are now giving notice to vacate will do so.
photo: Getty
Fewer people are working at the office.Photo: Getty Images