In this issue… strong Q2 results from DIRTT, HNI, JLL, CBRE and others point to a healthier contract and real estate market, with office demand, leasing and prime-space absorption gaining momentum even as rent recovery remains uneven. AI is reshaping workplace planning, pushing companies toward flexible footprints, premium amenities, variable-cost space models and new real estate types, from data centers to quantum facilities. Hybrid work continues to redefine the office around rituals, collaboration, culture and employee experience, while WeWork and coworking markets adapt to larger enterprise needs. Features explore resilient facility management and live-learn-work innovation hubs, while product and design highlights include new seating, textiles, modular lounge systems, carpet collections and sustainable workplace furnishings.

Make more chairs. U.S. employers are set to boost permanent hiring in the second half of 2026, with 66 % planning increases, especially in cities like Denver, Minneapolis and San Francisco, and in high‑demand fields such as technology, healthcare and finance. However, persistent skills shortages—particularly in industry knowledge, software proficiency and leadership—are causing project delays and cancellations, prompting companies to turn to staffing firms for contract talent and other solutions to fill the gaps.

Quoatable

HNI’s Workplace Furniture Business Finds Its Footing as Steelcase Boosts Sales

DIRTT Returns to Profit as Workplace Construction Demand Steadies

JLL Nearly Doubles Profits, Fueled By Leasing Rebound

JLL’s net income jumped 92% to $215.6 million in Q2, driven by a 24% rise in leasing revenue and a 19% increase in capital‑markets earnings, while total revenue grew 11% to $6.9 billion. The firm repurchased $110 million of shares, raised its earnings guidance by 14 points, and aims for a revenue mix of 80% recurring and 20% transaction‑related from data‑center services. Despite macro‑economic uncertainty, leasing activity remains strong, with industrial leasing up 49% YoY and office rent growth at 4.3% for prime assets. Competitors such as CBRE, Newmark, and Colliers also reported double‑digit revenue gains.

CBRE Posts 16% Revenue Growth In Q2 As Data Center Business Shines

CBRE reported a 16% revenue increase in Q2, driven by strong growth in its infrastructure and data‑center services, which lifted core earnings per share by 30% and boosted EBITDA 34% year‑over‑year to $836 million. The company raised its 2026 EPS guidance to $7.80‑$7.90, highlighted robust cash flow, a $450 million share buyback, and expects continued data‑center revenue growth of about 25% annually for the next five years despite industry headwinds.

Office Demand Posts Strongest Quarter in Seven Years

The U.S. office market saw its strongest Q2 performance in years, with net absorption of 16.9 million sq ft (24.1 million sq ft YTD) and vacancy falling to 18%. All regions posted positive absorption, led by the South and Northeast, while Manhattan led individual markets. Demand growth concentrated in Class A properties, which accounted for 87% of total absorption and saw vacancy drop 30 bps. Overall asking rents rose 2.2% year‑over‑year to $38.03 / sf, with Class A rents at $43.74 / sf. Sublease space continued to shrink, down 18.3% YoY to 153.5 million sq ft, and new office construction hit a record low of 23.4 million sq ft.

Brooklyn’s Coworking Market Grows As Manhattan Pulls Back

Brooklyn’s coworking space grew 6.2% in Q2 2026, adding 122,600 sq ft, while Manhattan’s inventory fell by over 200,000 sq ft; Brooklyn’s rents rose 6.9% to $39.46 per sq ft, contrasted with Manhattan’s 3.2% increase to just over $72 per sq ft, and Manhattan’s vacancy held steady at 13.1%.

The Quantum Computing Boom Is Creating A New Real Estate Sector Built For Exponential Discovery

Quantum computing is moving from lab demos to dedicated facilities where the building itself becomes part of the machine, requiring ultra‑cold, low‑vibration, and electromagnetically shielded environments to preserve qubit coherence. This new real‑estate sector will support a range of applications—from drug discovery and climate tech to materials, AI, finance, and quantum‑safe security—by providing specialized campuses or compact labs that enable quantum processors to operate reliably, making the infrastructure an active component of future technological breakthroughs.

DFW Office Footprints Likely To Shrink As AI Use Increases And Companies Battle For Talent

Dallas‑Fort Worth’s office market is shrinking as AI adoption drives companies to downsize footprints while investing in upgraded, amenity‑rich spaces to attract top talent. AI enables smaller firms to compete, prompting a shift toward multitenant buildings, enhanced collaboration areas, and premium amenities such as cafés and fitness centers, with firms willing to pay more per square foot for high‑quality, innovative environments.

Beyond the Lab: Why the Next Innovation Hub Is Also a Place to Live

Live‑learn‑work innovation hubs combine housing, research, and workspaces into a single, continuous environment, fostering 24‑hour collaboration and community. They address declining enrollment, rising costs, and housing shortages by creating flexible, wellness‑focused ecosystems that support hybrid learning, entrepreneurship, and urban vitality, ultimately driving inclusive growth and real‑world impact.

Resilience: the expanding global mandate for facility management

Facility managers are crucial for building resilience, integrating risk management, sustainability, and employee wellbeing into operations. They lead crisis planning, adopt standards like ISO 22301, leverage technology, and address talent shortages, positioning FM as a recession‑proof, strategic function that supports organizational continuity and ESG goals.

Execs grapple with AI’s coming impact on office space

Executives report that AI is reshaping office‑space planning, making long‑term leases less attractive and prompting a shift toward hybrid, capital‑light work environments. Surveys show 60% find space forecasting harder, 73% are less willing to commit to traditional leases, and 99.8% are moving costs from fixed to variable models, with many favoring remote work, closer employee‑centric locations, and decentralized setups. Additionally, only a small fraction of leaders have moved beyond initial AI deployment, while most are still monitoring or analyzing AI’s impact on real estate decisions.

How the Office Market Finally Came to WeWork

WeWork has restructured after bankruptcy to focus on premium office spaces, capitalizing on the market’s shift toward high‑quality, amenitized buildings and the rapid, flexible needs of AI‑driven companies. By offering fast, managed build‑outs and customizable designs for corporate clients—now 70% of its customer base—WeWork leverages its presence in top‑tier locations to meet the demand for quick, brand‑aligned office solutions, positioning itself as a conservative yet growth‑oriented player in a tight, quality‑focused office market.

The Office Comeback Faces One Big Problem: Workers Still Aren’t Showing Up

Companies are pushing a three‑day office attendance model, yet actual presence averages only 2.9 days per week, showing a gap between expectations and reality. While many firms make only incremental workplace improvements, a minority pursue major transformations, and AI is beginning to shape space planning by driving demand for flexible, high‑quality office environments.

Friction in how office space is used costs midsized firms up to $9M annually

Workplace friction from disconnected space‑management tools costs mid‑sized firms up to $9 million annually, with losses of $4,500‑$9,000 per employee. Disjointed systems increase coordination time and reduce productivity, while integrated solutions lower friction to 14% of employees noticing a impact. The report highlights the need for unified technology and better planning to improve office usage and employee well‑being.

Where AI is changing jobs and what it means for real estate

AI is reshaping real estate by driving industry-specific workforce changes, with some sectors focusing on augmentation and others on automation, leading to varied headcount growth. This shift alters space demand, emphasizing adaptable, talent‑focused portfolios. Investors should seek income growth through AI‑linked opportunities, while occupiers need flexible strategies to match evolving workforce and location needs.

As hybrid working resets the office’s purpose, its small rituals carry more weight

Hybrid work has shifted the office from a mandatory desk space to a venue for focused work, planned collaboration, and spontaneous informal interactions. Small rituals—like coffee breaks and kitchen encounters—now carry greater social weight, helping employees maintain connections, share context, and foster culture despite fewer shared days. Effective office design supports these moments through reliable, low‑maintenance shared amenities, allowing people to pause, converse, and build relationships organically.

Nearly 4,700 Coworking Spaces Now Operate Across The U.K. And Ireland

London leads the UK coworking market with 1,275 spaces, while Dublin dominates Ireland with 129 locations. The report identifies 4,698 total coworking sites across the UK and Ireland, highlighting price variations—Oxford has the highest median monthly membership (£295) and Dublin the highest median day pass (€45). Regus remains the largest operator with 238 locations, followed by Fora, Bruntwood, Workspace Group, and Spaces in the UK, and Pembr and Iconic Offices in Ireland.

Why The Future Of Work May Require A Digital Double Life

As work and personal life increasingly overlap online, many employees—especially Gen Z—are creating separate identities and carefully managing what they share to protect their privacy and careers. Rather than rejecting authenticity, this reflects a need for healthy boundaries. The future of work should prioritize employees’ control over how, when, and with whom they share personal information.

HON Makes the Case for an All-Inclusive Office at Chicago Design Week

America ByDESIGN Season 7, Episode 1

Episode 1 begins in Pebble Beach, California, with 17 Mile Drive, an 8,600-square-foot coastal retreat. In Tucson, Arizona, we explore the Paul and Alice Baker Center for Public Media, a state-of-the-art community hub and broadcast facility. Then travel to St. Louis, Missouri, to discover the Garden Room, a contemporary double-lot addition. In Overland Park, Kansas, SFS Architecture’s new Fire Station No. 41 prioritizes first responder health and renewable energy. Finally, we head to Irving, Texas, to the new State Bank of Texas headquarters, where natural materials combine with mid-century modernism. 

Latest Products

Allseating Introduces Gemelli

Allseating has launched Gemelli™, a refined single‑shell polypropylene guest chair created with industrial designer Carl Gustav Magnusson. The collection offers six shell colors, multiple frame finishes, optional arms and upholstered pads, and holds BIFMA LEVEL 3 and Indoor Advantage Gold certifications, making it suitable for workplaces, cafés, hospitality, education, and social spaces. Its design features a cufflink‑inspired arm detail and racetrack leg profile, combining sculpted comfort, quiet sophistication, and versatile performance for evolving commercial interiors.

NaughtOne’s Lotti by Keiji Takeuchi & Pullman Modular

NaughtOne launches the Lotti café chair, a minimalist, circular‑design seat with hidden fixings, recyclable materials and customizable colors, alongside the Pullman Modular Seating system, a flexible, adaptable collection that defines and partitions commercial spaces while promoting sustainability and easy disassembly. Both products are now available through MillerKnoll dealers.

Vipp launches a new version of its best-selling Swivel chair

Vipp is expanding its Swivel chair series with two new models—the arm‑less Vipp 454 and the arm‑equipped Vipp 455—offering longer backrests, larger padded seats, and optional height‑adjustable and tilt features for better ergonomics during long work hours. The updated chairs retain the brand’s signature aluminium frame and braided‑belt construction, adding versatile four‑ or five‑leg bases with casters or gliders, and continue Vipp’s tradition of durable, functional design that evolves to meet modern office and boardroom needs.

Stellar Works Unveils Extensions to the Atelier Collection by Space Copenhagen

Stellar Works expands Space Copenhagen’s Atelier modular sofa system with five new elements—Center Tray, Armrest Tray, two wooden coffee tables, an Ottoman, and two freestanding stone side tables—integrating seamlessly into the sofa’s flexible structure to enhance functionality, adaptability, and material contrast for lounge and hospitality settings.

Carnegie Introduces Mood, a Colorful and Textured Plush Velvet Textile

Carnegie launches Mood, a vibrant plush velvet fabric from its Crush collection, offering seven colorways and versatile use for upholstery and drapery. The sustainable material features 50% recycled polyester, is PFAS‑ and PVC‑free, and delivers high performance with a rating of 100,000 double rubs, reflecting Carnegie’s commitment to eco‑friendly, high‑quality textiles.

Shaw Contract Hospitality Launches Untitled

Shaw Contract Hospitality launches Untitled, a fully customizable Axminster carpet collection for hospitality spaces, offering rug and broadloom formats with a wide range of colors, patterns, and textures, backed by a five‑year commercial warranty and supported by a dedicated design studio.

Marc Newson. Bookstand.

A sleek, adjustable tripod bookstand designed by Marc Newson combines acrylic glass, aluminum, and steel to create a dramatic, functional display piece for TASCHEN Collector’s Editions, reflecting his expertise in material‑driven design and his collaborations with leading luxury brands.

Grab and go with Ikea’s new portable furniture, perfect for small spaces and moving home

Ikea’s ‘Kompishäng’ collection offers portable, adaptable furniture for renters and frequent movers, featuring fold‑able tables, stackable stools, modular storage, and a wheeled bag, all designed for easy transport and durable everyday use.

JDD creates customisable British-made office furniture using Autodesk Fusion

Joint Design Direction (JDD) uses Autodesk Fusion to streamline the design and production of customizable office furniture, enabling rapid prototyping, cloud‑based collaboration, and easy parametric adjustments, which has significantly reduced development time and supported the company’s growth across multiple showrooms.

Luxury Furniture, or ID Student Project?

A lounge chair inspired by the seed’s fluid shape, crafted by Mavimatt, features a single metal band encircling a soft, ergonomically designed seat with adaptable foam padding, offering a balanced blend of minimalist luxury and functional comfort.

ukyo X blends café, listening bar, and co-working inside restored historic interior in romania

Ukyo X transforms a historic storefront in Cluj‑Napoca into a flexible cultural hub that blends a café, listening bar, and co‑working space, featuring modular furniture, a communal table, restored mosaic flooring, and a design that fluidly shifts from daytime coffee to evening music events.

Breathing New Life Into Campus Landmarks

Colleges can modernize learning environments and preserve campus identity by adaptively reusing existing buildings, turning underused spaces into flexible, collaborative hubs that support sustainable growth, reduce costs, and meet evolving student expectations.

curved curtain and modular furniture reshape shanghai interior workshop and pop-up

Atelier Siyu’s pop‑up transforms a narrow Shanghai lane house by using a curved curtain and a reconfigurable modular furniture system to create flexible zones for work, exhibition, storage and retail, while preserving and highlighting the existing timber roof, aged steel‑framed windows, and courtyard, extending a three‑day installation into a lasting spatial framework.

Grace Walker — Workspaces

Grace Walker, a designer and creative director at Spellbook, shares insights into her workspace setup, recent additions like a new sideboard, changes made for a baby‑friendly environment, and her routines and productivity tricks. She discusses her creative process, inspiration from historical references, custom halftone shaders in Figma, and the future role of AI assistants in her design workflow.

Private Equity Firm Buys Former Texas Instruments Campus For New Headquarters

Dhanani Private Equity Group is relocating its headquarters to the former Texas Instruments 165,000‑square‑foot, 7‑acre campus in Sugar Land, Texas, after purchasing the property in a deal financed by a $27.5 million promissory note. The firm will occupy 30,000 sq ft on the ground floor and convert the upper floors into 40 office suites, with 25 already under contract, aiming to complete the move by mid‑2027 to accommodate its growth from 20 to 100 employees.

Jasper Group Honors the Life and Legacy of Ashley Sendelweck

Jasper Group mourns the loss of Ashley Sendelweck, Vice President of Marketing, a beloved colleague, leader, and friend whose creativity, humility, and heart made a lasting impact. Over 17 years, Ashley helped shape Jasper Group into an industry-leading brand while building an exceptional team and fostering meaningful relationships. Known for her optimism, generosity, and unwavering belief in others, she found her greatest joy in helping people succeed. Her passion for Jasper Group, its people, and its future will remain part of the culture she helped create. Ashley’s legacy will live on in the way she inspired us all to “Love What You Do.” Our thoughts and prayers are with her family, friends, and everyone fortunate enough to have known her.

Office Revolution Announces Strategic Partnership with Haworth, Marking the Next Chapter in 25 Years

Office Revolution announced a strategic partnership with Haworth, enhancing its ability to deliver broader solutions, deeper expertise, and stronger resources while maintaining its trusted, personalized service built over 25 years. The collaboration expands offerings across commercial spaces, provides access to Haworth’s research and technology, and supports Office Revolution’s continued growth and commitment to helping clients create thriving work environments.

Bentley Joins Ecomedes Platform, Launching Dedicated Sustainability Portal for Architects and Designers 

Bentley has launched a free, dedicated sustainability portal on the Ecomedes platform, giving architects, designers, dealers, and project teams instant access to comprehensive environmental performance data, certifications, EPDs, circularity programs, and credit‑level analyses for its entire product catalog, reinforcing its long‑standing commitment to transparency and sustainable manufacturing.

Lesro Welcomes New Rep, Pringle-Ward Associates

Lesro has appointed Pringle‑Ward Associates as its new manufacturer representative for the New York Metro area, covering the five boroughs, Long Island, lower Hudson Valley, and northern New Jersey; the partnership aims to leverage Pringle‑Ward’s experience in furniture and architectural solutions across commercial, education, healthcare, and hospitality markets.

Ask Stephen: The Best Sales Interview Question I've Heard in Years - And Most Candidates Can't Answer It

The core advice is to ask sales candidates for five architects or designers whose personal cell numbers they have and could contact immediately, revealing genuine relationships rather than name‑dropping. Genuine candidates will provide specific contacts, stories, and recent interactions, showing real trust and access, while bluffers will stumble. This question helps identify true relationship capital and assess credibility, which is crucial for hiring effective A&D salespeople.

Sales Manager

Manage and grow a national network of independent sales representatives across the US and Canada, driving revenue through commercial furniture dealers, architects, designers, and specification firms. Own the full sales cycle—strategy, pipeline management, forecasting, and contract negotiations—while conducting market analysis to spot trends and opportunities. Partner cross-functionally with Product, Marketing, Supply Chain, and Leadership to deliver strong customer solutions, and represent the company through presentations, training, trade shows, and industry events. Requires extensive travel throughout the US and Canada to build relationships and support the rep network in the field.

National Sales Director

Open Plan Systems is seeking an accomplished National Sales Director to lead strategic growth across the United States by expanding the company’s dealer network, strengthening key contract relationships, and identifying new market opportunities. This high-impact role is ideal for a proven sales executive with deep contract furniture industry experience, strong partnership-building skills, and the ability to combine strategic vision with hands-on execution to deliver measurable revenue growth.