MISPLACED SCHADENFREUDE? IMPLICATIONS OF CHANGING FLEXIBLE WORKSPACE FOR CRE
The flexible office sector—and coworking, in particular—has been the darling of the office market since the last recession. Its meteoric 45% compound annual growth rate in U.S. gateway markets from 2010-2018 has increasingly driven new leasing activity. In 2010, coworking leasing represented just 0.5% of all net new leasing in U.S. gateway cities; by 2018, the share was 9.5%.
It is tricky, however, to reconcile these statistics with recent media coverage on the sector; gloomy predictions have been on the rise. In light of this, it is worthwhile to re-examine some fundamental assumptions regarding the flexible space office sector.
Check out this Cushman & Wakefield Research report.