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flag Canada’s federal government faces uncertainty over office space as it mandates return-to-work plans without finalizing long-term real estate strategy.

flag Ottawa real estate experts are urging the federal government to clarify its office space needs as public servants prepare for increased in-office work, with executives required to work full-time starting in May and other employees returning four days a week by July. flag Despite the government’s $148.2 million purchase of a 14-storey building at 131 Queen St.—seen as a move toward long-term savings—the overall strategy remains unclear. flag The shift from earlier plans to cut its office footprint by half by 2034 has been scaled back due to rising staffing levels, new occupancy rules, and challenges in disposing of surplus assets. flag Public service unions warn of existing space shortages that could worsen under the new mandates, while landlords remain hesitant to commit without a clear signal on federal demand. flag Experts stress that announcing return-to-office rules before finalizing space planning risks inefficiencies and market disruption.

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