Co-Working - An Ever-Evolving Trend

The co-working office space model has established itself over the past decade throughout most of the world. Canada’s major cities have a thriving co-working market, as do many smaller communities with some real estate industry experts estimating 20% of all leased space to be accounted for in the next decade by giants like WeWork and Spaces.

With global co-working spaces projected to increase to 30,430 locations by 2022 with an expected 5.1 million members, tenants can use the support of a savvy real estate professional to help identify the costs and benefits of co-working space vs leased space based on individual company needs.

 

  Major providers of co-working space have begun marketing whole floors, and in some cases entire buildings, to larger enterprise clients.
     
 

Co-working space can be useful to larger users who require short-term swing space, or temporary, project-based space.

The demand for co-working space has been driven largely by individual freelancers, start-ups, and small organizations in tech, media and the advertising sectors.

     
  Depending on a specific facility’s offering, desk and meeting space may be rented by the hour, day, month or for a longer term.
     
  The better co-working spaces provide a full range of office amenities and equipment, from desks, printers and WiFito kitchen facilities, conference rooms and common areas.

 

Is Co-working right for me and/or my organization?

 

I want the flexibility and am willing to rent space by the hour, day, week, month or year.

  I don’t mind the lack of privacy that individual office spaces typically provide.
  I can’t predict longer-term growth and space requirements and therefore need a solution that allows me/my organization to act quickly.   I’m not overly concerned about developing a strong corporate brand or culture.
  I’m open to sharing office equipment, facilities and multi-purpose common areas.   Customizing the work space to my company’s specific needs is not a top priority for my organization.
  To save costs, I am willing to sacrifice my preference for a fit out or the furnishing within the office space.   I’m ok with the unknown within the market and can act quickly if things shift in a co-working scenario.
  I am eager to collaborate and network with individuals or groups in similar or related sectors.   I’m comfortable paying 15-25% more for co-working in exchange for flexibility.
  I can’t wait for new development to be built and need a solution right away.   As a larger company, I am willing to compete with shared space providers when searching out office space.

 

By the numbers

  • Over 60 co-working spaces (aprox. 800,000square feet)
  • WeWork: 5 locations
  • Regus / Spaces: 21 locations
  • Over 85 co-working spaces (aprox. 1M square feet)
  • WeWork: 5 locations (20 more planned by 2020)
  • Regus / Spaces: 48 locations
  • WeWork’s first Canadian location (2016)
  • WeWork: 2 locations
  • Regus / Spaces: 13 locations
  • Oxford Properties, a typicallytraditional landlord, tests its own co-working office concept –OxWorx
  • Regus / Spaces: 12 locations
  • Regus / Spaces: 3 locations

 

 

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