Corporate/Workplace Report: Feel is as important as function in today’s corporate workplace – Feb 2026

COMFORT IS KING

Today’s focus on comfort grew directly out of the work-from-home era of the pandemic, which initiated a culture of humanity to the workplace that has changed the way these spaces are viewed and, thereby, function. 

“What I see is that the world is changing, and we are understanding ourselves as humans in different ways than we ever have before,” says Cindy Kaufman, vice president of marketing for Mannington Commercial. “And that is going to be felt everywhere humans exist, which is everywhere.” Kaufman reports that, in addition to the work-from-home era, science and Generation Z have played a part in evoking this change.

How does this understanding intersect with office life? “Humans cannot leave their humanity at home,” Kaufman reasons. “How does the workplace reflect human connection?” 

Elissa Moore, senior segment manager, workplace/tenant improvement for Patcraft, points out that how we feel within a space often determines how we function within it. “Well-designed spaces can improve engagement and build community, highlighting the impact of people-centered design,” she explains. “Every choice-from pattern and color to material and texture-can be used to create and define space.”  

WHERE WE WORK

There are currently two primary schools of thought around the nature of corporate work. Some employers believe a full return to office for all employees supports critical functions of work life, including mentorship and collaboration, key aspects of growing the next generation of workers and communicating company culture. Others, however, see retaining hybrid work as a strategy to woo employees who prefer this freedom, recognizing that options are appealing, especially to the next generation of workers. 

Employees who prefer hybrid work often construct their in-office and out-of-office work in different ways to make the most of each, with in-office work time dedicated to collaboration and out-of-office hours dedicated to heads-down work. And some corporations, rather than mandate that employees return to the office, use design to encourage employees to spend time in the workplace, says Fred Reitz, senior vice president of commercial for AHF Products, by developing hospitality-inspired, wellness-driven and biophilic environments that are both pleasing and comfortable.  

According to business consulting firm Robert Half, “When asked to rank their top two workplace arrangements, the majority of job seekers (70%) included hybrid in their preferred options…. In another recent Robert Half survey, 76% of workers said having flexibility in when and where they work influences their desire to stay with an employer.” For those workers who appreciate the full separation of their work and home lives, hybrid work allows them to choose full time in-office.

“Turnover is a huge expense,” explains Christina Bowlby, senior director of design and product development for Bentley Mills, “and any way employers can retain talent is something they are looking for. Environment plays a big part in that. For 40 hours a week or less, what you are surrounded by influences mood, focus and creativity.”

Regardless of which way employers lean, the conversation places an onus of appeal on the office space. After all, if you are going to take away the employees’ right to choose where they work, you must supply them with a space dynamic enough to make up for it. And if you are going to offer in-office work as an option, you want the space to be appealing enough to draw workers in. 

Those corporations employing hybrid work must take note of how workers will use their in-office time. “People don’t come into the office to focus, but to collaborate, participate in culture-building, gather and share information face to face,” says Jennifer Busch, senior director of A&D for Mohawk Group.  

“Companies have adapted to hybrid work schedules by making offices more open and flexible, with spaces for both group collaboration and individual work where employees can work distraction-free and with a measure of privacy,” says Kevin Andrews, commercial marketing manager for Karndean. 

“It’s all about how people work,” says Shannon Crider Langley, director of marketing for workplace, retail, and sustainability at Shaw Contract. “Employees are returning to the office because they get something meaningful from it, including culture, creative thinking, collaboration and the opportunity to learn from others.”

Today, a part of building appeal into an office is the inclusion of amenity spaces, which can be a boon in both retaining employees and attracting new ones. “Think gyms with showers or bigger break rooms, collaboration spaces, lounge spaces,” says Hilary Frank, vice president commercial sales and business development for Dal-Tile. “It’s not just about meeting spaces, offices and cubicles.”

“While not universal, these amenity spaces are increasingly expected in ‘Class A’ buildings, as the hospitality influence is strongest in these areas and often used as an anchor for return-to-office strategies,” says Moore.

SPACE SIZE

The significant alterations in approach to corporate work over the last years have brought about changes in how much space is needed, leading some corporations to downsize their physical footprints, which has resulted in a glut of open office space in some locations, such as New York City and San Francisco. Some of that excess square footage has been transitioned into other types of space, such as residential, but some of it remains vacant.

For this reason, and others, renovation is dominating the corporate workplace, outpacing new construction, as companies continue to adjust their space size to their current needs.  

“Many companies are still reducing or rightsizing their office footprints, which is reflected in national vacancy rates hovering around the high teens,” explains Derrell Jackson, workplace segment director for Tarkett. “What’s changed is how they’re spending the space. With less square footage, we’re seeing more willingness to invest in better finishes-including flooring-to make those spaces work harder. There’s more focus on impact, durability, acoustics and overall experience per square foot.” 

Moore clarifies that while overall square footage is shrinking, quality per square foot is increasing. She notes, “There is a ‘flight to quality’ trend toward Class A buildings that continues to lead in investment throughout tenant improvement spaces-a willingness to invest where design impact is both visible and durable. Spec suites and full-floor renovations are on the rise, as speed-to-market is more critical than ground-up builds. Renovation and tenant improvement work is far outpacing new construction, with landlords refreshing vacant spaces to compete for tenants.” 

“Renovation, repositioning and adaptive reuse projects are prevalent,” explains Dustin Hostetter, global innovation director for Tate, “particularly as office buildings are retrofitted for
alternative uses. Traditional renovation methods often involve gutting interiors, generating significant waste and long timelines.” He points to raised access flooring as a sustainable and efficient alternative to full-scale renovation, “by allowing infrastructure to be adapted without demolition, helping reduce costs, waste and downtime. However, since our business is raised flooring, we are seeing adaptation in new construction specifically-investments are being made at the front end to make sure that the new spaces are adaptable for evolving needs.”

Indeed, considering the way space can be transformed to fit future needs is a prevalent theme in the corporate workplace right now.

As for the configuration of current office space, “Design is focused on workspaces with fewer desks, incorporating more shared, amenity-driven spaces and investment in collaboration zones and social hubs,” says Moore. “We’re seeing a mix of enclosed focus rooms and flexible collaboration areas, providing balance throughout workspaces. Hot desking is still present, but it is more structured as we see a move away from traditional open office planning.”

Adds Jackson, “Fully open offices have softened, but they haven’t disappeared. Instead, there’s a mix-collaborative open areas, reservable desks, enclosed focus rooms and private offices where the work demands it. Flooring is often used to help define those zones and support different types of activity.”

Referring to some expansion work she has recently witnessed, Bowlby says, “We were just helping out with a project where a company was doing a major expansion. It is a renovation, but the entire company is moving to have more space, which has a lot to do with bringing employees back.”

In addition, Frank notes that, while new construction is at an all-time low, there is still a demand for it.

SMALLER SPACE, BIGGER POP

Katherine Cohen, associate creative director at Interface, notes that, with reduced footprints, design actually becomes more important. “Companies want spaces that make a statement and feel purposeful, and flooring plays a big role,” she says. “It is a strategic tool that helps define zones, create visual interest and reinforce brand identity, all while meeting performance and sustainability goals.”

Reitz concurs, noting, “Many organizations are reducing their footprint but upgrading the quality of the space they keep. We are seeing increased investment in the hard surface zones we serve. Lobbies, corridors, restrooms and social spaces are receiving higher‑end finishes-porcelain, densified hardwood and design‑forward LVT-because these areas must work harder to create a strong impression in a smaller footprint.”

“How do we create the right zones, areas and functionality to support why people are coming together and what they need from one another when they come together?” Kaufman asks. “How does the office shift from a static to dynamic, experience-led space with amenities and spaces for different types of engagement? Every corporation wants employees who are functioning at their highest use because that’s what been proven to make productivity and revenue rise.”

“We’re seeing workplace design shift in response to larger cultural trends,” adds Cohen, noting that people want spaces that feel good in addition to looking good. “The comfort and warmth of home are blending with the durability and functionality of commercial environments. Overall, offices are becoming less rigid and more inviting. This reflects a broader focus on wellbeing, flexibility and employee engagement, which is critical in attracting and retaining talent in a hybrid work era.”

FLEXBILITY

In addition to creating more attractive spaces, there is a need for corporate spaces to flex for varied uses, especially as downsizing may have resulted in the elimination of spaces dedicated to a single use. “Clients want a space that can be used for multiple functions, so it isn’t just a touchdown space or a client entertaining space, but it’s also for conferences or other types of use,” says Frank.

“Workplace strategies continue to shift, reinforcing the need for buildings that can be easily reconfigured,” says Hostetter. “Rather than committing to rigid layouts and fixed infrastructure, organizations are investing in systems that allow changes to be made efficiently and cost-effectively. Grounded in comfort and wellness through biophilia, acoustic balance and tactile warmth, the activated office feels human, intentional and emotionally engaging.”

Kaufman points to one way that technology is enabling corporations to home in on how spaces are being utilized. Mannington Commercial partnered with Scanalytics, which created a super-thin underlayment that provides metrics on how many people are occupying a space, for how long and how they are using it. With this data, workplaces can make informed choices about their use of space and better understand what their employees are seeking from the workplace. 

SUPPORTING CULTURE

“Today’s workplaces are shaped as layered environments, blending hospitality-driven lounges, social hubs and quiet retreats that offer contrast, choice and moments of delight,” says Omoleye Simmons, vice president of design for Tarkett. “Spaces are designed to spark connection through natural collisions, shared rituals and informal gathering, while materials, color and storytelling express brand identity and belonging. Corporate clients are increasingly using design strategically to build culture, reinforce values and support both business goals and employee experience beyond improving aesthetics. The types of spaces they invest in, and the new spaces emerging, reflect broader shifts in how work happens and what employees expect from the office.”

Part of building culture is storytelling, in which businesses communicate their purpose and values through the space itself. That can manifest in a wide range of ways but often uses flooring to set the stage for the story told atop it. “Design is being leveraged to create immersive moments, like color-drenched environments that evoke energy and emotion,” Simmons continues. “Experience zones such as mentoring hubs that foster intergenerational connection-blending work, legacy and learning-are also new. These spaces intentionally blur the boundaries between work, education, and social interaction, supporting collaboration, events and informal connection.”

In this, flooring continues to perform the important functions of delineating zones and supporting wayfinding. In addition, says Moore, “there is an emphasis on creating office ‘neighborhoods’ versus traditional/uniform office floors.”  

One of the ways Reitz sees corporations building culture through AHF’s flooring is using the Kaleido Color Lab program, which allows them to integrate brand colors and custom designs directly into the floor. “Culture is increasingly expressed through materials and custom finishes,” says Reitz. 

FLOORING SALE DRIVERS

Flooring sales in the corporate market are being driven by a number of factors-the upsizing and downsizing, the desire to make the workplace more welcoming and human-centered, the updated approaches to layout and space use, and the way in which corporations work to set themselves apart from others to attract and retain workers. 

In these efforts, flooring must be both performative and pretty.

“Flooring sales today are less about expansion and more about optimization,” explains Jackson. “Renovations, refresh cycles and performance upgrades are the primary drivers. Compared to earlier years, customers are more focused on lifecycle value, ease of maintenance, acoustics and flexibility. Volume may be lower than in past construction booms, but decision-making is more deliberate.”

Kaufman notes that one change, in comparison to past decades, is the number of decision-makers at the table on any corporate specification, all of whom represent a different aspect of the deliberation: financial entities considering upfront and lifecycle cost, facilities deliberating on maintenance profiles, and more.

“As leasing momentum returns in major metro areas, we’re seeing a shift from volume-driven to value-driven specifications,” says Moore. “There is a demand for installation-ready, low-risk systems, given the amount of fast-turn tenant improvement projects with compressed timelines.” In response to this, Patcraft recently offered a new collection called Modular Form, a well-priced, well-designed collection with nine styles, including two that are quick-ship.

“Growth is being driven by renovation, adaptive reuse and the shift from soft surface to resilient materials in many areas,” says Reitz. 

Hostetter reports that raised access flooring systems offer corporations the opportunity to further change as needs dictate, with relocation of services to be moved in days rather than months. “Traditional construction methods often prioritize short-term cost savings but make future adaptation expensive and disruptive,” he explains. “As developers evaluate long-term asset value and tenant satisfaction, there is increased interest in flexible infrastructure systems, specifically access flooring, that allow buildings to evolve without damaging core components or requiring invasive reconstruction. While lower first-cost options may appear attractive, developers are recognizing that inflexible systems can lead to higher lifetime costs and frustration when change is required.”

FLOORING FACTORS

“We’re seeing a stronger emphasis on products that balance aesthetics with performance-especially carpet tile and LVT,” says Cohen. “Customers want flooring that supports wellbeing, wayfinding and a company ethos, while standing up to foot traffic and meeting sustainability goals.”

Reitz reports that the square footage of the actual workspace is largely soft surface, while shared and amenity spaces are more typically hard surfaces. He notes, “Work cafés, lounges and wellness rooms often use LVT or porcelain for durability, cleanability and design impact. Biophilic visuals help create a sense of comfort and calm.”

“In today’s corporate interiors, luxury vinyl tile and carpet tile continue to lead the conversation,” says Simmons. “Luxury vinyl remains a go-to for its durability, cost and versatility, offering refined wood, stone and graphic visuals that perform well in high-traffic areas. Carpet tile is still essential for acoustic control and comfort, strategically used in focus zones and work areas where softness and sound absorption matter most. Both materials strike a thoughtful balance between design flexibility, performance and sustainability.”

In carpet tile, Bowlby has received a lot of requests for more small-scale patterns with subtle neutral textures. She’s also noted several requests for black and white with warm tones. And browns are popular. 

Simmons notes that today’s corporate workplaces favor a flooring mix of roughly 60% to 70% resilient flooring and 30% to 40% soft surface, primarily carpet tile. “Durable hard surface flooring provides continuity and ease of maintenance, while carpet and rugs are used more selectively to support acoustics, comfort and focused work zones, balancing performance with wellbeing,” she says. 

Busch has seen an uptick in the use of non-PVC resilient in the corporate sector. “A lot of the demand is driven by designers wanting to do the right thing, which are decisions that the client has to accept,” she says. “Any good design firm will lead with environmentally friendly options, but whether the client chooses it for an upcharge varies. We are increasingly getting to where there is no extra cost, but we need to educate end-users.”

Wood-look resilients continue to dominate in the sector. 

While carpet tile and resilient make up the bulk of square footage, porcelain also has space to shine in corporate interiors. “We see a lot of hard surfaces specified in lobbies; backsplashes; restrooms, both floor and wall; as well as feature walls,” says Frank. “Feature walls are big for Dal-Tile, in particular. We see our porcelain panel products being specified to make a statement behind reception desks or in lounge spaces. This really creates that wow factor.”  

Similarly, AHF sees its Crossville products winning corporate specifications. “Crossville porcelain aligns perfectly with [market] trends, especially as companies seek natural textures, stone and wood visuals, and materials that support wellbeing to keep employees satisfied and motivated,” says Reitz. The company also offers porcelain panels. “Our Gemini ultra‑thin 2mm porcelain panels-suitable as both wall panels and space dividers-are especially attractive because they reduce material use, speed installation and support sustainability goals,” he adds.

Another consideration in the decision-making process is ease of installation, which is “increasingly important to keeping costs down, especially on tight-budget projects, so working with the dealer community is a huge focus for us,” says Busch. 

“Holistic solutions that offer ease of cleaning and maintenance, and also ease of installation to reduce downtime, are a priority,” notes Moore. “Lifecycle cost and the importance of longevity and appearance retention are valued over initial cost, in solutions that simplify the specification process.”

“Cleanability is pretty important, as well. Maintaining a corporate office space is a job unto itself, and so having a cleanable workplace is important,” notes Frank.

Cohen reports that, across the corporate board, color-wise, warm neutrals and nature-inspired tones dominate, while cool greys and overly industrial aesthetics are losing favor.

EXPECTATION FOR 2026

“Barring World War III, there is a feeling that 2025 was a tremendous transition year, and 2026 will be an up year, including in workplace, though not to the degree of sectors like hospitality and education,” says Busch.

Hostetter adds, “Activity is expected to remain focused on long-term, future-proof investments. Developers and owners are increasingly prioritizing systems that reduce waste, support sustainability, and allow buildings to adapt to changing uses-whether due to tenant turnover, technology upgrades or even conversion to new occupancy types.”

Dal-Tile’s Frank anticipates modest corporate sector growth in 2026.

Cohen notes that demand should remain steady as companies continue optimizing for hybrid work. Moore and Andrews both note that renovation will continue to be the driving force in workplace. 

“Companies will keep investing selectively in spaces that support collaboration and employee experience,” says Jackson. “Growth is likely to be measured with an ongoing focus on quality and long-term value rather than expansion.”