Proactive Investors - HSBC Holdings PLC may downsize from its current headquarters, a Canary Wharf skyscraper, as the shift to flexible working continues to leave its offices unused.
The British bank is looking for a new headquarters around 400,000-500,00 square feet, its current 45-storey tower distances 1.1mln sq ft.
Already close to ten floors have been left empty in response to the banks relaxed attitude to on working from home, the Telegraph reported.
The tower in Canary Wharf, owned by Qatar’s sovereign wealth fund, agreed to lease the FTSE 100 constituent the building in 2002.
Now, with the agreement set to expire in 2027 HSBC could either; move away to a smaller office in London or make renovations and reductions to the existing workspace in Canary Wharf.
HSBC is hoping to reduce its office space by 40% compared to pre-Covid levels, something it was already experimenting with pre-pandemic when it began renting more than 1,000 desks from WeWork.
Last year, the bank exited or downsized 77 of its office spaces.
Canary Wharf Group, the landlord of multiple skyscrapers in the banking district, has had to re-strategise since the pandemic in attempt to counteract the reduction of office workers.
New restaurant, bars and entertainment venues have opened in the district hoping to attract more tourists and families.
There are also plans to build lab space in the hope of luring life science companies to the area, chief executive of Canary Wharf Group, Shobi Khan, revealed.
HSBC opened trading today at 630p, up by close to quarter compared to a year ago.