Office Industry Trends Q1 2015 To request permission to use Kingsley data, please contact: Peggy Robinson, Vice President of Marketing
Overall satisfaction Overall Tenant Satisfaction 100% 95% % Satisfied 90% 85% 86.2% 86.0% 87.7% 87.9% 87.4% 87.9% 87.2% 87.0% 88.6% 88.5% 88.9% 89.0% 80% 75% 2
Overall satisfaction by market 100% Overall Tenant Satisfaction by Market Q1 2015 Q1 2014 80% 89% 90% 89% 89% 89% 88% 92% 88% 89% 89% 89% % Satisfied 60% 0% Atlanta Boston Chicago Dallas Denver Los Angeles Miami New York San Francisco Seattle Washington, DC Change 1.8% 3.1% 0.6% +0.6% 0.8% +1.2% +1.9% +0.9% +1.7% +3.4% +3.3% 3
Value for amount paid Value for Amount Paid 90% 80% % Satisfied 70% 60% 66.8% 66.5% 68.1% 68.8% 68.1% 68.5% 67.8% 67.3% 69.0% 68.9% 69.8% 69.9% 50% 4
Value for amount paid by market 100% Value for Amount Paid by Market Q1 2015 Q1 2014 80% 76% 77% 75% 70% 71% 70% % Satisfied 60% 70% 69% 68% 68% 66% 0% Atlanta Boston Chicago Dallas Denver Los Angeles Miami New York San Francisco Seattle Washington, DC Change +3.8% 2.2% +0.7% 0.9% +1.8% +0.8% +1.6% +2.0% +4.0% +1.0% +4.7% 5
Tenant renewal intent by market Tenant Renewal Intent (Likely) by Market 100% Q1 2015 Q1 2014 % Likely 80% 60% 64% 66% 67% 67% 61% 58% 63% 72% 65% 64% 59% 60% 0% National Atlanta Boston Chicago Dallas Denver Los Angeles Miami New York San Francisco Seattle Washington, DC Change 0.7% 0.4% +2.6% +4.9% 3.4% 6.4% +4.4% +4.8% +3.8% 1.6% +1.5% +0.2% 6
Renewal decision factors 90% 75% 81% Top Five Renewal Decision Factors by Renewal Intent Q1 2015 Q1 2014 % of Respondents 60% 45% 30% 0% Location 52% Quality of building 44% Space requirements 42% Property mgmt. 37% Price 45% Price Corporate decision 31% Space requirements 21% Bus. circ. Location Price 35% Space requirements 28% Corp. decision 24% Bus. circ. 16% Location Likely to Renew Unsure Unlikely to Renew 7
Future space needs by market Future Space Needs by Market 25% Q1 2015 Q1 2014 % Anticipating More Space 10% 5% 16% 19% 17% 17% 14% 0% National Atlanta Boston Chicago Dallas Denver Los Angeles Miami New York San Francisco Seattle Washington, DC Change +0.1% +0.9% +4.2% +2.8% 0.1% +1.1% 1.3% +0.5% 2.0% 0.9% +2.7% +0.9% 8
Overall satisfaction with green building commitment 70% Satisfaction with Green Building Commitment 68% 66.7% % Satisfied 66% 64% 64.0% 64.4% 64.5% 64.9% 62% 60% 9
Desired green practices Desired Green Practices Q1 2014 Q1 2015 % of Respondents 30% 10% 34% 18% 28% 18% 18% 16% 13% 7% 35% 30% 26% 22% 18% 9% 12% 0% Recycling program Indoor air quality program None Energy conservation E waste (electronic) recycling Green cleaning Water conservation Green pest management Daytime janitorial cleaning 10
Kingsley Solutions real estate industry The most successful firms in real estate rely on Kingsley Associates for cutting edge business intelligence solutions. With a depth and breadth of insight unmatched in the industry, we bring thought leadership and passionate client service to every engagement. Let us partner with you to unlock the value in your organization and its relationships. RESEARCH Resident/tenant satisfaction assessments Employee/associate engagement programs Broker perception surveys Client and investor surveys Portfolio performance scorecards Time and motion studies BENCHMARKING Compensation research Fund structuring and fee benchmarking Organizational structuring CONSULTING Succession planning Competitive positioning assessments Strategic planning facilitation
THE standard for performance benchmarking and management consulting San Francisco Atlanta