Will Covid-19 kill off Sandton and other swish business hubs?

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Remote working means a lower demand for office space — but Joburg has always embraced change

When Covid-19 hit there was no doubt that the impact on SA would be huge. For the business community and its leadership, centred in the country’s economic powerhouse, Johannesburg, there were major concerns about the way in which the city could be affected.

Before imagining what a post-Covid-19 Joburg might look like, it is worth reminding ourselves where the city stood before lockdown. But the way we work also changed. Companies that would never have allowed remote working before were suddenly forced to adopt this for the safety of their employees. And while most South Africans areMany businesses have seen that employees can work remotely from home or elsewhere, causing them to downsize their office spaces as they look to reduce costs.

The shift in office behaviour won’t just affect landlords of smaller companies. While some corporates will undoubtedly retain their Sandton headquarters, it’ll be interesting to see whether they’re forced to find alternative uses for some of the space. It’s unlikely we’ll see the same level of construction as we have over the past decade or so for some time.may be foolhardy for any corporate to embark on a big headquarters construction project.

 

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Will Covid-19 kill off Sandton and other swish business hubs?Remote working means a lower demand for office space — but Joburg has always embraced change
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