||Current empirical evidence of the effect of physical settings on the innovation process or R&D work is scarce. Academic literature and articles on innovation and knowledge management, as well as studies on corporate real estate and facilities management, refer to the need of supporting knowledge work in companies by providing innovation-enhancing environments for the employees. A research project contributing to the issue is being conducted at the Helsinki University of Technology. The study attempts to improve general understanding and to deliver new knowledge on the interrelationship between innovation processes and place. Furthermore, the study aims to contribute to development of business practices especially in the participating companies, but also indirectly to the creation of new services in the real estate sector.