The Rise of the Entrepreneur and Reshaping of Commercial Spaces

Early 2019 changed the way we live forever. The COVID pandemic brought the world to a halt leaving us to navigate work from our home computer screens. We learned a few things in the process: how to get business done virtually, which opened the market for home-grown entrepreneurs, and how to operate with less physical space at home and at work. The pandemic also prompted legislative spending that helped catalyze innovation. Altogether, these changes set the stage for the demand of alternative commercial models.

If we had to coin the era from 2019 to today and beyond, it would be the entrepreneurial era. All of the changes we’ve seen, point to the beginnings of a shift in how we use commercial space. With the boom in entrepreneurship, silent quitting has become a theme and the internet has evolved into a medium to buy and sell information in the form of virtual courses and resources. In striking out on their own, a good deal of these entrepreneurs found a mismatch in their capital reserves and the price of available space on the market creating a need for alternative commercial options. 

Feedback from shared space models, like peerspace and airbnb, has proven that entrepreneurs can thrive without traditional brick and mortars or outright owning property. Conversely, as office spaces struggle with vacancy, developers and investors have slowly begun exploring ways to repurpose assets for housing and embrace shared space models. Commercial property owners have an opportunity to leverage their land and buildings to suit a growing new tenant base. 

An incremental approach to retail creates flexibility for entrepreneurs and property owners alike. Smaller temporary spaces, and options for pop ups allow the property owner to gather market feedback about the future use and development of their space. There may be some policy changes that some cities will have to address in order for market adaptation, but in an ever-changing market, a nontraditional, incremental approach to development is the best of both worlds.