Richard Harrison, Co-Managing Director at Gensler, reflects on reimagining London's office buildings to boost tenant appeal, sustainability, and adaptability.

The events of recent years have resulted in a shift in the market, revealing a growing polarisation in the value and return on investment of building assets across London. As a result, landlords and developers are compelled to reevaluate their properties and explore optimal strategies for enhancement. The reality is many buildings are simply not adding value financially in their current form while others in key parts of our city continue to climb in value. This underscores the urgent need for innovative approaches to developing and transforming assets to keep them relevant.

In both cases, buildings need rethinking to address the new drivers that are being imposed by our ever-evolving workforce and the changing demands of tenants. This can mean anything from a light touch intervention and EPC-related plant upgrades to more intrusive alterations and a recalibration of uses to keep pace and deliver best in class quality. Whether the building in question has an ageing planning consent or requires a much-needed refurbishment, it is undeniable that the world of work has changed immeasurably and the spaces within need to respond. To revitalise London’s dated office building stock, a fresh approach is required to make these environments relevant and capable of attracting the best tenants and by extension, their best talent.

Maintaining Relevance in a Changing Market

At Gensler, we collaborate with a range of tenants to find solutions to meet their changing needs as the London real estate market continues to undergo significant transformation. In recent years, many tenants have found themselves at the forefront of lifestyle shifts and market disruptions, including the rise of hybrid work models and heightened expectations for sustainable and flexible environments. These factors not only influence tenant preferences but also directly impact the long-term value of various real estate assets. As a result, properties that were once fit for purpose now require careful rethinking to cater to new working patterns and employee expectations. London office buildings must provide an optimal blend of spaces, amenities, and functionalities to ensure that they not only meet current demands but also remain relevant in the face of ongoing change.

Shifting from Single Use to Mixed Use

Single use assets are becoming far less frequent as the market requires a more dynamic offer to appeal to and meet tenant needs. Buildings generally are shifting away from one use to incorporate a range of uses, blending the boundaries of residential, hospitality and commercial. We’re therefore starting to see more developments and buildings require and offer a mix of amenities such as office spaces on top floors with an activated experience-based ground floor that provides public access in the form of retail shops and restaurants. An example of this is our work on Cargo in Canary Wharf where we collaborated with the landlord to give a new lease of life to an outdated 1990’s office building. One of the first projects of its kind to be designed and repositioned on the Wharf, we transformed the building into a vibrant development with 340,000 sq. ft of commercial workspace and a 20,000 sq. ft community space that is now home to a lively market of food and beverage vendors.

Changing the Mix – Designing New Uses

Another approach to rethinking underperforming assets that we are exploring at Gensler is changing the purpose of office buildings to new uses such as housing to provide new residential options in our cities. Our colleagues in the US have developed an office-to-residential tool which allows developers and landlords to check if their buildings are viable for conversion. The tool examines site context, building form, floor plate, building envelope, and servicing to create actionable conclusions about the viability of a building for conversion. Our research has assessed over 1,300 buildings in 130 cities around the world and has found that at least 30% of buildings will be suitable for conversion. We are actively working on this in London and are looking to expand the tool to other uses including hospitality, education and digital experience.

Our US colleagues recently delivered Pearl House in New York which was hailed as the largest ever office-to-residential conversion in the city’s history. The building is a prime illustration of the potential of conversions and the impact it can have on the local neighborhood. Pearl House has created 588 apartments and nearly 40,000 square feet of amenity spaces on the ground floor that both residents and the neighbourhood have access to.

Designing Sustainable Assets of the Future

As architects and designers, our work touches billions of square feet every year, so we have a moral responsibility to consider our impact on the planet with every space that we create. To achieve our decarbonisation goals, we must frequently reassess existing assets and previously approved schemes. In London, new builds often face challenges due to legacy constraints, such as underground infrastructure, transport tunnels, protected views, and the need to preserve historic elements. These obstacles can lead to carbon-intensive structural solutions that fail to meet sustainability targets, highlighting the importance of considering the reuse of existing structures as a more viable option. Adaptive reuse of dated assets instead of building new has the potential to significantly reduce our carbon footprint and offset the embodied carbon of retained materials.

This concept of retrofit is one which we are actively exploring at Gensler with partners such as Opportunity London. With a trusted group of advisors, we are currently leading a new campaign to advocate for the value of retrofit in London and beyond and will be publishing a white paper which outlines its benefits and potential in 2025.   

As the London real estate market continues to evolve, we must remain mindful of our future legacy and avoid repeating past mistakes. Many existing buildings need reimagining to attract top-tier tenants and ensure financial viability. Throughout the design process, especially in public-facing and landlord areas, we must prioritise flexibility to adapt to user needs and experience.  By embracing innovative thinking and a forward-looking approach, we can meet carbon requirements and develop sustainable, multi-use and vibrant spaces that truly reflect the demands of tomorrow.