Return to Office (RTO) isn’t just a workplace challenge—it’s a bottom-line crisis.
For years, corporate real estate decisions were based on headcount projections and lease cycles, not how employees use space. Now, as executives push employees back to the office, they’re facing a harsh reality:
They’re paying for way more space than they need.
Billions are wasted annually on underutilized offices, long-term lease obligations, and fixed costs that no longer align with how work gets done. Companies clinging to old-school office strategies—hoping mandates will fix utilization—are in for a rude awakening.
The smart companies? They’re realigning their real estate footprint with actual demand, cutting costs, and still keeping employees productive and engaged.
To see how leading companies are RTO planning, download: RTO: making it work for the full play by play.
Cost Factor |
Traditional Lease | LiquidSpace | Estimated Savings |
Lease Commitment |
5+ years, rigid terms. | Flexible terms. | Eliminate long-term liabilities. |
Upfront Capital Costs |
High – requires buildout, furniture, and deposits. | None – spaces are move-in ready. | Save hundreds of thousands in upfront costs. |
Monthly Rent | Fixed, regardless of usage. | Pay-per-use. | Reduce by 80%+ by eliminating wasted space. |
Flexibility | Low – difficult to scale up/down. | High – scale up or down as needed. | Avoid costly relocations or a glut of surplus space. |
Utilization Efficiency | Low – paying for unused space. | High – optimized for actual demand. | Improve ROI by rightsizing office footprint. |
Exit Costs | High – early termination penalties. | None – no penalties for scaling down. | Save on significant termination fees comprised of rent and unamortized costs. |
Scalability | Limited – difficult to adjust footprint. | Easily adjustable based on workforce needs. | Quickly adapt without financial risk. |
Operational Expenses | The tenant is responsible for maintenance, utilities, and security. | Utilities and maintenance are included. | Eliminate unpredictable maintenance expenses. |
To learn more read LiquidSpace vs. The Lease.
For decades, signing a 5- or 10-year lease was the norm. Now? It’s a financial trap. Market volatility and shifting workforce needs make fixed real estate commitments a liability.
Yet companies still:
The Fix:
Bringing employees back doesn’t equal office success. Mandates don’t drive engagement or justify excess real estate costs.
What’s actually happening in most offices:
The Fix:
Most companies see real estate as a necessary expense. That’s a mistake.
Every other major expense—talent, technology, operations—is optimized for efficiency and ROI. Yet companies rarely scrutinize their real estate like they do payroll or software investments.
The Fix:
The best companies aren’t forcing employees back into outdated, expensive office setups. They’re designing smarter workplace strategies that reduce costs, boost collaboration, and drive real business agility.
That means:
It’s time to stop overpaying for empty space.
It’s time to build an office strategy that actually delivers ROI.
👉 Download RTO: making it work–a strategic guide to see how leading enterprises are slashing costs, optimizing space, and designing a workplace strategy built for the future.