The COVID-19 pandemic changed the way people work, live, and shop in cities around the world. What are the lasting effects on real estate? By 2030 demand for office space could be as much as 20 percent lower than it was in 2019 in some major cities, according to research by McKinsey Global Institute partner Jan Mischke, senior partner Aditya Sanghvi, and coauthors. Demand for retail space could drop by up to 22 percent, depending on the city. Cities and real estate leaders can adapt by, for example, developing mixed-use neighborhoods, constructing more adaptable buildings, and designing multiuse office and retail space. Click through the interactive to see more.
To read the report, see “Empty spaces and hybrid places: The pandemic’s lasting impact on real estate,” July 13, 2023.