Downturn has some law firms downsizing offices
"Legal services employment in Boston, which never fully recovered from the previous recession, is now shedding jobs at a rate not seen since the recession of the early nineties," and one result is that some local law firms are unloading no-longer-needed office space, Jones Lang LaSalle said in a new report.
A real estate money management and services firm with a big presence in Greater Boston, Jones Lang LaSalle said, "The downturn has caused Boston law firms to shed surplus office space and renew their focus on utilizing remaining space more efficiently."
Declines in mergers and acquisitions and in legal financial business have led to a drop in law firm revenue, and law firms are now looking at "their real estate for possible opportunities to decrease overall operating costs," the report said.
The press release included a statement from Tom Doughty, the international director of Jones Lang LaSalle’s law firm group.
"There is a 'Perfect Storm' of circumstances that law firms need to understand and take into consideration as they contemplate their real estate plans for the future," Doughty said. "Space options abound – from new buildings to existing built-out space - while competition for premium space is decreasing and rental rates are declining. As a result, law firms that are able to take advantage of the current market will have an opportunity to solidify long-term occupancy at significantly decreased costs." (Globe Staff)