Millennial and Gen Z driving generational change in Brisbane workplace, sustainability and lifestyle key

The next decade will see the Brisbane office market redefined from how we know it with a surge in demand for eco-friendly work places that promote health and wellbeing driven by a new generation of workforce.

Colliers Queensland Office Leasing National Director Matt Kearney said Colliers research has shown with the retirement of baby boomers and the influx of a younger generation of Millennial and Gen Z workers, there would be a generational change in the workplace over the next 10 years.

“This generational change will see tenants prioritising reaching net-zero targets, driving a shift toward sustainable buildings that not only reduce carbon footprints but also improve the health and wellbeing of occupants,” Matt Kearney said.

“As more buildings strive for elevated green rating standards, Brisbane stands out among capital cities, with 82 per cent of CBD buildings already boasting 5-star or higher ratings, surpassing Sydney at 66 per cent and Perth at 47 per cent.

“We have also seen a surge of innovative ideas to evolve the workplace in a post-pandemic environment including rooftop gardens, wellness centres, school holiday care programs, meditation or quiet rooms and towel and valet services on offer.

“There are also a variety of seating options on the cards with everything from egg pods to standing desks and shared tables available for workers to choose the setup that best suits their working style. And mixed-mode office allows workers to choose to work with fresh air and fans instead of air conditioning.

“With the changing needs of future generations, new office buildings need to consider they are being designed for an audience who are currently in their teenage, or younger, years, so the sky is the limit on what the changing office will incorporate. Ensuring capacity for future technology is a key factor in this space,” Matt Kearney added.

Colliers Queensland National Director Tenant Advisory Martin Blaszczyk said there was a renewed emphasis on enhancing office spaces to make the return to in-person work more appealing post-pandemic.

“Buildings that provide an ‘experience’ are better positioned to make the return to work more attractive and convenient to workers,” Martin Blaszczyk said.

“We have seen an enhancement in service offerings provided by landlords including wellness areas, social media content rooms and even offering a dog friendly workplace.

“The workplace could soon see wellness centres with infrared saunas and ice baths, on-site chefs to prepare healthy meals, dog daycare and in-house sporting facilities.

“The flight to experience is real, and occupiers are increasingly relocating to buildings that cater for the increasing demands of their employees,” Martin Blaszczyk added.

Colliers Queensland Senior Manager Research Pragya Sharma said Queensland’s significant population growth which will lead to evolving demographics would shape the future composition of the workforce influencing the dynamics of the office market.

“According to the Queensland Government, over the next decade population growth will comprise 30 per cent natural growth, 30 per cent internal arrivals and 40 per cent international migration,” Pragya Sharma said.

“We expect this will cause significant changes to the workforce, with a rising number of mature age workers, which could lead to a retirement surge and skill shortage, as well as robust growth in the 15-25 age bracket propelled by young migrants.

“This alone will cause a substantial transformation of the workforce as we know it, with resourcing strategies needing to adapt.

“Millennials and Gen Z are notable for their high engagement around climate change, emphasising sustainability. This is expected to drive a surge in demand for eco-friendly office spaces,” Pragya Sharma added.

Colliers Queensland Associate Director Tenant Advisory Lizzie Fulton-Kennedy said there had been a huge shift in what tenants were expecting in a workplace.

“There is now a widening diversity of age in the workforce, a greater awareness of neurodiversity and a focus on retaining and attracting skilled talent,” Lizzie Fulton-Kennedy said.

“Companies are directing greater attention to developing their workplace strategy so that it will guide them and their teams to thrive in this new, more inclusive and flexible working world.

“It’s not abnormal for tenants to want nap spaces or state of the art wellness centres in their building.

“Buildings in Brisbane’s CBD already offer child care services, daily towel services, yoga and cool down stations as part of their end of trip facilities.

“We could see all sorts of innovation over the next 10 years’ with all options on the table,” Lizzie Fulton-Kennedy added.

Colliers Queensland Associate Director Tenant Advisory Nick Davies said with a growing body of evidence to back it up, employees were becoming more educated on the positive impact the workplace environment had on health and wellbeing.

“The benefits, including social connection, natural light, biophilia (nature, plants, natural finishes), air quality, lighting and even the colour and texture of surfaces and furnishings have on workers health and in effect impact their productivity,” Nick Davies said.

“A lot of what drives the modern tenant is the ability to engage with co-workers, driving passion, collaboration and ultimately relationships.

“Strong social connections make people happier and physically healthier which in turn translates into better culture and ultimately driving exceptional work outcomes,” Nick Davies added.