The Belgian Capital in Motion: By 2030, the European Commission plans to close half of its buildings. The reason is the demand for home office: More and more employees are completing their tasks from home, and office spaces are emptying. The Commission’s response to opt for modern offices with less space demonstrates foresight.

Act flexibly, act future-oriented

From 50 to 25: That is the goal that the European Commission aims to achieve by the end of the decade. Many of the Commission’s buildings are now only partially used since the COVID-19 pandemic made working from home a part of everyday life.

According to Johannes Hahn, EU Commissioner for Budget and Administration, the reorientation was laid out, among other things, based on a survey among employees: Over 90% of the staff in Brussels support a working concept that includes two to three days of remote work per week. This measure is also part of the effort to position the European Commission as a flexible and attractive employer.

Centralize workplaces, save costs

The Plan for Brussels: By the year 2030, the workforce will be consolidated from a total of 49 office properties into 25 office complexes. The main headquarters in the Berlaymont building will remain. As a result, the Commission aims to reduce the space from approximately 780,000 to 580,000 square meters – a measure that brings cost savings ranging from 280 million to 440 million euros.

It’s a promising objective, but the method still has room for improvement. To achieve the reduction in space, the European Commission has two options: terminating lease agreements or constructing new buildings. While the former aligns with the sustainable approach of relinquishing space, valuing and maintaining existing buildings instead of neglecting them and replacing them with new properties is a significantly more sustainable perspective.

Tools like ReCoTech combine New Work and sustainability: The unique algorithm optimally allocates existing workspaces within current spaces and explores new ways to utilize existing resources. From individual offices to spacious shared offices, the solution considers individual spatial concepts needed for different tasks – complemented by intelligent workspace booking and data-driven monitoring, the standard for successful hybrid work.

A milestone, but not unrestricted joy: As reported in its latest report by the lobbying group Agora Energiewende, Germany reached the lowest level of CO2 emissions in 2023 since the 1950s. With 673 million tons, the emissions are a proud 46% below the reference year of 1990. A significant progress – however, this news is not necessarily positive for climate protection.

Climate protection remains a cause for concern

49 million tons of CO2: That’s how much Germany fell below the annual target of CO2 consumption of 722 million tons according to the Climate Protection Act in the past year. Nevertheless, the experts at Agora Energiewende remain cautiously optimistic. The low numbers are mainly attributed to an unexpected decrease in coal consumption and economic-related production declines in the industry, according to calculations.

Moreover, only about 15% of these savings are considered sustainable. And: A possible increase in emissions due to economic recoveries or the relocation of industrial production abroad could quickly undo the progress achieved.

Energy industry excels – Building sector falters

“2023 was the year of two speeds in climate protection in Germany,” says Simon Müller, Director of Agora Energiewende Germany. “The energy industry achieved a climate policy success with the historic high in renewable energies, bringing us closer to the 2030 goal.” However, he critically views the current weakness of the industry in the country and fears possible shifts in emissions – with further negative impacts on the climate.

The outlook is bleak for the transportation and building sectors: Despite the overall decline in CO2, both have once again missed their climate targets. The main reasons are the slow electrification of Germany’s roads with electric cars and heating in existing buildings. The building sector alone missed the legally prescribed annual target of 101 million tons with 109 million tons of CO2 again – for the fourth consecutive time. Müller emphasizes that after the political decisions with the new heating law and the law for municipal heat planning, a consistent implementation is now necessary to effectively reduce emissions in the building sector.

Smart tools reduce CO2 consumption

The report makes it clear that the relevance of sustainable office buildings is the need of the hour. Owners and users of new and existing buildings can seek intelligent assistance: Innovative tools like ReCoTech optimize area planning algorithmically, enabling efficient occupancy planning – for example, in office properties.

Advanced technology improves workflows and can be meaningfully expanded – including with smart workspace booking. This allows the available space to be conveniently and optimally used via an app, reducing CO2 emissions and bringing real progress in the building sector, especially with a focus on climate protection.

Less settlement and traffic areas – more sustainability. A publication by the German Association of Towns and Municipalities shows small and medium-sized municipalities completely new possibilities:  Through intelligent area management, they can finally contribute more to nature conservation and environmental protection. The publication presents various projects and lots of practical tips that other municipalities can use as a guide.

Area optimization and future planning: Focus on small municipalities

In Germany, around 55 hectares of open space are converted into settlement and transportation areas – every day. However, reducing land consumption is one of the key challenges to saving resources and developing cities sustainably.

Implementing these plans – which are also strongly desired by the German government – is not just a matter for large municipalities. This is shown in a publication by the German Association of Towns and Municipalities entitled “Cross-project monitoring of the funding priority Research for the reduction of land use and sustainable land management” – REFINA for short.

The publication presents specific examples, particularly from small municipalities, and emphasizes the strengthening of city and town centers as a main component of sustainable settlement development.

Using existing resources efficiently: Practical projects lead the way

A central focus of REFINA is on innovative area management. This primarily refers to three aspects:

• The increased use of brownfield sites
• Closing gaps between buildings
• Making optimum use of existing infrastructure

Addressing these points offers many advantages – including for the municipalities themselves, which can avoid high planning and investment costs.

Two projects are examples of how this can be done:

Project 1: Demand-oriented utilization cycle management

Bensheim, Darmstadt, Hamburg: An interdisciplinary research association is working with these and other cities on a set of tools for the cost-efficient development of residential districts from the 1950s to 1970s.

In addition to monitoring, surveys on migration motives and institutional analyses, the use cycle management toolkit also includes various neighborhood scenarios and a cost-benefit analysis. The aim is to enable preventive neighborhood renewal and to use modern forms of cooperation with property owners and neighborhood stakeholders.

Project 2: Guidelines for active inner-city development (HAI)

The development of inner-city building land potential and vacant properties in small and medium-sized municipalities often fails in practice due to a variety of obstacles: For example, there is often a lack of an overall view of the potential. The interests of property owners are also often unknown.

The project managers took various measures to get things moving here – as an example in the municipality in Pfullingen (Baden-Wuerttemberg) shows: Surveys, bilateral discussions, information and press events as well as building consultations helped to identify over 200 empty sites.

A pioneering community with less space

REFINA encourages municipalities to focus on inner-city potential. This not only enables the sensible use of existing areas, but also helps to avoid unnecessary land take. Municipal decision-makers play a particularly important role here by focusing on qualitative aspects and reconciling regional needs with sustainable development.

A sensible approach for municipalities is to take stock of public buildings: How much space is there and is it being used to its best capacity? In many cases, there are unused existing buildings. Public authorities could dispose of these premises and, for example, rent them out sustainably. Tools such as ReCoTech’s area planning and workplace booking are useful for revealing this potential: They analyse properties and optimize their layout using algorithms – while monitoring functions provide data on space utilization.

Many municipalities are dispersed – in the truest sense of the word. Administrations have several locations and therefore take up large amounts of space. At the same time, the future of work has relied on hybrid forms since the pandemic at the latest, leaving workplaces largely empty. How are these two facts connected? Students at Harz University of Applied Sciences investigated precisely this area of conflict.

Renewing office structures by working from home?

A trend not only since coronavirus: Hybrid working, which involves alternating between working from home and the office, has established itself as a forward-looking standard. The advantages are clear: For many employees, it makes it easier to combine family and career, while at the same time saving CO₂ due to the lack of commuting.

Hybrid working models also have a positive impact on companies, as the increased absences reduce energy consumption, free up unused space for disposal and thus reduce operating costs.

But can this working model also be implemented for municipal administrative bodies? This question was posed by a group of committed students at Harz University of Applied Sciences – in cooperation with Dr. Oliver Junk. Over the course of two semesters, the research group examined eight local authorities to determine the extent to which administrations with home office arrangements offer opportunities to save space.

Hybrid work for everyone

The results of the study are clear: The hypothetical hybrid working model showed potential for considerable savings in all municipalities. This could be achieved by downsizing individual locations and – for example – organizing them in a central building so that real estate can be handed over completely.

The focus here is on adapting internal processes and administrative culture. The reason: If a public authority opts for hybrid working, the strict individual office loses its significance. Instead, activity-based spaces are used: desk-sharing systems, individual workstations, meeting spaces.

No modernization without hurdles

So why hasn’t the switch to hybrid working at municipal level happened long ago? Because progress often encounters difficulties: Harz University of Applied Sciences identified three obstacles faced by public bodies:

• Lack of resources: fundings are scarcity
• Outdated leadership: insufficient willingness on the part of managers to overhaul existing structures
• Different status quo: high discrepancies between the individual municipalities in aspects such as digitalization, structural condition of administrative buildings, desire to work from home and technical office equipment

It is therefore almost impossible to implement a standardized approach. Instead, it is the individual task of each local authority to analyze their administrative facilities, identify problem areas and implement appropriate solutions.

ReCoTech’s tools are a great support in this endeavor: digital area planning analyzes the existing space and uses algorithms to determine an optimal space structure including open space potential. Smart workplace booking also allows data-based determination of how many workplaces are occupied in day-to-day administration. With that, it becomes possible to create a working environment that prioritizes modern productivity and sustainability.

The situation is serious: The global population is increasing, while at the same time, more and more land is being consumed and repurposed. Urban sprawl and expanded infrastructures are depleting green space resources. Therefore, the Federal Ministry for the Environment has formulated a clear program. The goal is to reduce the daily increase in settlement and traffic areas.

Fewer hectares to protect nature

Fertile soils are the foundation of our existence on Earth. However, the increase in land consumption has steadily reduced this resource – even in Germany. Within the last 60 years, land use for housing, transportation, and work doubled, as reported by the German Environment Agency. Even today, new areas from agriculture or nature are daily used to expand infrastructures. The benchmark: Approximately 55 hectares are newly designated in Germany every day – equivalent to 78 soccer fields.

This cannot continue: a decision made by the Federal Ministry for the Environment, Nature Conservation, Nuclear Safety, and Consumer Protection (BMUV) in its National Sustainability Strategy in 2002. Since then, the hectare numbers have decreased, but not sufficiently. The 2016 update of the strategy explicitly states that by 2030, ‘less than 30 hectares’ per day should be newly developed. The integrated environmental program of the BMUV goes even further: By 2050, it aims to enable a land circular economy (Net Zero Goal).

Key measures for rapid progress

How can hectare consumption be reduced? As a scientific expert in nature conservation, the German Environment Agency pointed out various measures and means, including:

• Strengthening public awareness: Informing people about the disadvantages and risks of resource consumption and highlighting opportunities for saving space.
• Utilizing vacancies: Reactivating existing buildings and plots instead of developing new areas.
• Effective land management: Structuring authorities, offices, and administrations at the organizational level more sensibly to save space.

The federal government also took action: In 2013, it enacted the Law to Strengthen Urban Development. However, as the current status demonstrates, that alone is not enough.

The role of the real estate sector

A look at the statistics of the German Environment Agency reveals the crucial position that the economic sector of building construction plays in achieving sustainability goals. More than half of the newly developed settlement and traffic areas fall under the category of ‘Residential, Industrial and Commercial (excluding extraction land), Public Facilities.’

It is, therefore, primarily the responsibility of the real estate sector to intelligently save space to prevent the daily loss of fertile soil. The most productive solutions are outlined by the German Environment Agency in the specified measures: restructuring office spaces, optimizing processes, and utilizing existing areas instead of constructing new buildings.

To assist companies and public entities in this endeavor, there are tools like ReCoTech. Through algorithms, the area planning app meticulously examines existing premises to determine the optimal use of office space. This reveals available space, the release of which has been proven to reduce operating costs and carbon dioxide consumption. ReCoTech’s solutions are also a significant aid when occupying vacant spaces: The necessary workspaces are tailored to the existing area, creating an office with optimal space utilization even before the move.

Press release

Berlin, 15.12.2023: As a software company, ReCoTech GmbH is committed to resource-saving workplace environments. The new membership with the non-profit foundation re!source consolidates this vision – for a more sustainable future in the construction industry.

ReCoTech and re!source: Two organizations, one goal

Smart space planning and digital workplace booking: All combined in one tool, ReCoTech has established itself as a valuable partner for public institutions and the private sector. Automated calculations, monitoring analyses and occupancy statistics help public authorities and companies to identify potential area savings in their offices and intelligently reduce space – a service that has been scientifically confirmed with its unique selling point and supports ReCoTech customers in creating sustainable working environments.

The re!source Stiftung e.V. is making the right connections for ReCoTech. Since 2018, the aim of the organization has been to promote the sustainable use of resources in building construction and civil engineering. The main focus lies on circular value creation: According to re!source, new buildings should be designed by architects and building contractors in such a way that they can be dismantled to recover raw materials. This is re!source’s response to the increasing scarcity of resources, which the construction and real estate industry must address in a future-oriented manner and with sustainable solutions.

With working groups for the resource turnaround

re!source sees itself as an “independent alliance of members from business, society, science and politics.” A concept that is implemented with structure: At annual conferences and regional meetings, the members of re!source develop process analyses that highlight the hurdles and opportunities of a necessary resource turnaround. Six working groups have been set up to ensure a productive approach:

1. Communication, consumer/ investor education
2. Product and building responsibility/design and recycling processes
3. Political and legal framework conditions, funding
4. Documentation / database / BIM
5. Sustainable finance
6. Public sector – municipalities, federal states, federal government

The results of the working groups are then communicated to various stakeholders in the construction industry in order to promote innovation and sustainable action in the sector.

“The commitment behind re!source is exactly what the real estate sector needs,” explains Manuel Panzirsch, CEO of ReCoTech. “We are delighted to be a part of the foundation and that we are able to contribute our ideas, concepts and developed programs. At the same time, we see re!source as a unique opportunity to network with other companies and innovative minds who share our values.”

Further information on re!source is available on the website or via the foundation’s newsletter.

After Corona, the savings fox arrives: The pandemic and crises such as the Russian war of aggression have cost Mecklenburg-Western Pomerania staggering amounts of money. Therefore, the ministries are now supposed to find ways to cut the state’s expenses by a total of 150 million euros. One possibility: Reduction of space in authorities.

The Situation: Financial planning in Mecklenburg-Western Pomerania for 2023

The Finance Minister of Mecklenburg-Western Pomerania, Heiko Geue (SPD), speaks plainly: Mecklenburg-Western Pomerania must save. The reasons for this are not only the high expenditures in recent years but also the budget plan for 2022/2023, which foresees costs totaling more than 10 billion euros, partly financed from the Corona special fund MV-Schutzfonds. Geue has outlined additional financial commitments for the state, including:

• Expansion of broadband connections
• Introduction of a fee-free holiday daycare
• Establishment of a statewide system for demand-responsive buses
• Integration support
• Safeguarding against rising energy prices for businesses

Mecklenburg-Western Pomerania plans to start repaying the Corona loans from 2025. This means that with a repayment period of 20 years, the state must repay 142.5 million euros annually to offset the loan amount of 2.85 billion euros from 2020.

The approach: 30 % reduction in space

New debts are not an alternative, emphasizes Geue. Indeed, the state must already rely on reserves. However, the finance minister did not disclose the amount of funds available.

Therefore, savings are essential to gain measurable financial advantages. The spatial potentials of the state government form an initial starting point: By 2026, the premises of authorities are to be reduced by 30 % – with the goal of saving rental costs. Mecklenburg-Western Pomerania is aligning itself with the strategies of Schleswig-Holstein and Hamburg. A smart idea because through compressed spatial concepts, Mecklenburg-Western Pomerania could not only reduce costs but also improve its emissions balance.

The solution: Technical support for smart space allocation

To support states like Mecklenburg-Western Pomerania in their savings plans, tools like the ReCoTech software exist: Using algorithms, smart area planning calculates the optimal office space in a smaller area – even with a constant number of employees. Digital workplace booking complements this data with occupancy analyses, forming the basis for space-changing decisions. With monitoring functions and smart extensions such as sensor technology, ReCoTech is a reliable partner when it comes to new spatial structures in authorities.

In the Energy Transition and Climate Protection Act, Schleswig-Holstein committed to reducing government office space per person by 20% by 2035. But the federal state is pushing the pace: As the cabinet decided in an implementation paper, at least 20% of office space and 10% of total administrative space is now to be reduced by 2030.

Smart area management: Space reduction comes earlier than planned

Germany’s northernmost state government is focusing on innovation: Efficient use of space, modern workplace organization and flexible time models are at the top of the government’s agenda in the coming years. The goal: to save at least 20% of office space and 10% of total space by 2030. In doing so, the government is going beyond the requirements of the Energiewende- und Klimaschutzgesetz (Energy Transition and Climate Protection Act), which had planned implementation by 2035.

The state government commissioned the Ministry of Finance to coordinate the process. The plan is for the departments to work together with the Gesellschaft für Gebäudemanagement und -service Schleswig-Holstein (GMSH, Facility Management and Service Company) to develop ways in which they can use and save space even more efficiently.

Smart savings: Measures for implementation have been defined

As a first step, those responsible are focusing on the so-called Zentrales Grundvermögen für Behördenunterbringung (ZGB, Central Property for Government Accommodation). According to the government, the ZGB’s office space accounts for the largest proportion of the state-owned properties. In addition to the State Chancellery, this also includes the ministries and their subordinate departments.

The measures planned so far to implement the reduction in office space include:

• Development of space-efficient room concepts
• Implementation of contemporary work organizations, working time models and forms
• Adaptation of the manual for the realization of building projects in the state of Schleswig-Holstein
• Promotion of cooperation in the area of public administration
• Coordination of office space utilization, taking into account flexibly usable components of the state properties

Together with Hamburg, Schleswig-Holstein is setting a good example in terms of climate protection – in stark contrast to the federal government, as the Bundesrechnungshof (Federal Court of Audit) stated in a report in April 2023. Oliver Rabe, State Secretary of Finance of the state government in Kiel, also proclaims: “By reducing office space, we are taking an important step towards creating optimized and sustainable office concepts in our properties and also offering the opportunity to work in a more flexible and modern way.”

Smart support: Technological tools for space optimization

Modern IT solutions facilitate the efficient and needs-based implementation of space reduction in administrative authorities: The ReCoTech software enables intelligent area planning and optimal space utilization. The app also makes flexible workplace booking traceable and transparent – including comprehensive analyses and insights into operational and administrative processes.

A stiff breeze against change – or justified criticism? In July 2021, the city of Hamburg aimed to reduce the office spaces of government agencies. The goal was to cut rents and save money. The reactions from the union and the employee council were strong, and the initiative was heavily criticized. For today’s debates on space reduction, the question arises: What lessons can be drawn from the Hamburg case?

Moving away from the “status symbol of individual offices”

About 32 m² – that was the size of an average individual office in 2021 according to the Hamburg Finance Ministry. To curb financial setbacks due to the COVID-19 pandemic, a cost-cutting program was formulated: The finance senate called for a reduction of individual office spaces to 28 m² to lower rental costs. New work structures like home offices or desk-sharing models were supposed to facilitate this change.

This plan was not new: In 2011, the senate already advocated for a “measurable reduction of office spaces.” A guideline was formulated, taking into account both the space requirements of specific activities and internal hierarchies. The Finance Ministry took the first step at that time by consolidating the workspaces of two buildings. However, the cost-cutting plan was not fully implemented.

In 2021, the city of Hamburg faces hurdles again – especially from the unions and the employee council. The decision to reduce space was made “from the top down,” without involving the workforce. While Ver.di supported the basic idea, it criticized that cost-saving measures took precedence over modernizing workspaces.

The current state of government office spaces

Even today, the rents for government infrastructure are still too high and permeated with outdated work forms – as the German Federal Court of Audit found in an April 2023 report. Many agencies still adhere to guidelines and allocations that partly date back to the 1950s. According to the report, a revision of space requirements and subsequent modernization is essential to save costs. This could also contribute to environmental protection, as reducing space facilitates CO₂ reduction.

Space planning today

The past criticism of Hamburg highlights how a restructuring of office spaces should be carried out. Reducing spaces while simultaneously equipping them with modern work forms such as group offices or desk-sharing concepts always entails a cultural shift. Optimization always represents a change that must be clearly justified.

At this point, tools like ReCoTech can assist: The algorithm-based space planning maps the entire company and automatically calculates the optimized space requirement per workstation. The result: Decision-makers and employees can see at a glance within what framework a reduction in office space makes sense. The software enables transparent communication to successfully implement cost savings through space reduction.

Unnecessary expenditure in the millions: The federal government has so far failed to adapt its office space to flexible working methods. This conclusion was reached by the German Federal Audit Office in a report from April 2023. According to the experts, the long-outdated regulations for office buildings no longer take modern working methods into account and urgently need to be updated. The savings potential is enormous: By giving up 20 % of their office space, civilian federal authorities could save at least 300 million euros a year in cold rent.

Outdated guidelines

When designing office space for new buildings and occupying space in existing buildings, the federal administration has so far mainly relied on tried and tested guidelines. Entitled as “Maximum space for offices of federal authorities”, these guidelines have remained virtually unchanged since the 1950s.

In its regular audits, the Bundesrechnungshof shows that the federal authorities consistently use every last square centimetre of the specified maximum areas in new buildings. Added tot hat: When using existing buildings, they often interpret these guidelines as a minimum requirement for the space needed.

Flexible models are necessary

From the employees’ point of view, the approach also misses the current zeitgeist: Modern concepts, such as the desk-sharing model or working from home, have long been standard on the labor market. According to the finance committee, these could be implemented relatively quickly and, above all, cost-effectively in the existing buildings. Furthermore, a significant reduce of the time employees spend in the office is expected – as well as the space required. Unused existing properties could then be sold and third-party rents reduced.

Positive impact on climate protection

The experts agree: A reduction in office space would not only have financial benefits. By reducing the emission of climate-damaging gases and minimizing the need for energy-efficient refurbishment and new buildings, the government could also make a quick contribution to protecting the climate. As a reminder: According to the climate protection program, the federal government wants to make its administration climate-neutral by 2030. But those responsible are avoiding the issue.

Although the Federal Ministry of Finance (BMF) supports the approach of the Bundesrechnungshof, it is hesitant to implement it. “The Bundesrechnungshof recommends the immediate introduction of modern requirements for needs-based office space planning,” the experts state. Above all, these should take modern forms of work into account. In addition, a program should help to oblige the authorities to reduce their office space. The experience of the European Commission and the states of Schleswig-Holstein and Hamburg could serve as a guide here.

Support through technical innovations

Modern IT solutions are available to the federal authorities in order to implement space reduction efficiently and in line with requirements: ReCoTech’s software enables algorithm-based area planning in office buildings and thus includes intelligent space utilization – even with the same number of employees. Analyses allow work processes to be optimized and the potential for energy savings to be exploited in a targeted manner.

The ReCoTech app also offers the option of booking workstations. The smart application can thus completely map an authority and also provides valuable insights into operational and administrative processes.