Coworking seeps into virtually every corner of unused commercial space, and now flexible space operators are finding homes within struggling malls.
Malls in general have seen a hit by low vacancy as retail moves swiftly online, so coworking in malls may help attract new retail tenants.
Industrious is a pioneer of this model, having partnered with mall owners Macerich to reconstruct empty spaces in various malls. What was a former Barney’s now has plans to be turned into one of Industrious’ coworking spaces at Scottsdale Fashion Square.
So far, Industrious operates flexible offices across six suburban malls. Now, it seems that more operators are looking to delve into this open market to make a bigger presence in suburban markets.
Expansion is expected to grow at retail properties by 25% through 2023 according to a 2018 report from Jones Lang LaSalle.