{"id":3000076977,"date":"2025-01-13T14:18:24","date_gmt":"2025-01-13T19:18:24","guid":{"rendered":"https:\/\/www.wework.com\/ideas\/?p=3000076977"},"modified":"2026-02-13T09:21:38","modified_gmt":"2026-02-13T14:21:38","slug":"corporate-real-estate-metrics-for-strategic-growth","status":"publish","type":"post","link":"https:\/\/www.wework.com\/ideas\/research-insights\/corporate-real-estate-metrics-for-strategic-growth","title":{"rendered":"Corporate real estate metrics for strategic growth"},"content":{"rendered":"\n

Whether you are a property owner, an experienced executive in a high-ranking company, or a business enthusiast looking to start their own enterprise<\/a>, understanding corporate real estate metrics is a must. Even if not directly involved in real estate, every business will eventually need to buy, lease<\/a>, or operate commercial space. Consider this article a shortcut to understanding the real estate KPIs that are more valuable by the minute, given the changing economic landscape.<\/p>\n\n\n\n

Key corporate real estate KPIs for business impact<\/strong><\/h2>\n\n\n\n

KPI stands for key performance indicator. In real estate, KPIs help you measure and assess your performance\u2014meaning, how effective and profitable your handling of said real estate is. A property owner will first look at metrics such as financial efficiency, while a lessee might be interested in occupational efficiency before anything else. And while these are obvious examples, some of the KPIs that impact business the most take a little more research. Understanding them will help you not only measure your success but develop strategies that support your long-term goals. So, without further ado, let\u2019s explore them.<\/p>\n\n\n\n

Total Occupancy Cost<\/strong><\/h3>\n\n\n\n

This metric refers to all the expenses associated with operating, as well as owning or leasing corporate real estate. Depending on the company, the total occupancy cost may include things like rent or property taxes, insurance, management, and utilities. Basically, it covers everything down to the cleaning services, coffee supply, and the occasional office snacks.<\/p>\n\n\n\n

Calculating, analyzing, and understanding your total occupancy cost will first and foremost give you an idea about whether these expenses are sustainable. Maybe your company used to have all its employees in the office every day of the week, but currently employs a hybrid model<\/a> where only one of two floors is ever full. In this scenario, subleasing or subletting<\/a> an office floor would help you save money. On the other hand, you may realize you are operating in too small a space for your growing company and that changing or adding locations to the portfolio would prove beneficial in the long term.<\/p>\n\n\n