Research indicates that the coworking industry is expected to continue flourishing as demand runs high. Despite its consistent growth, the sector takes up less than 2% of office space in primary office markets according to Colliers.
The Instant Group Americas CEO Joe Brady offers insight into what to expect from coworking trends over the next year.
First, as smaller flexible office operators continue to open new spaces, clients will have more experience in renting out these offices and expect specific demands. This will lead to coworking companies to continue polishing their niche amenities, customization and specialization.
Additionally, the demand for flexible workspaces has started to trickle into suburban areas as more workers push for a work-life balance. This is leading to increased competition, and providers outside of central business districts are finding themselves lowering desk rates.
Franchise models are emerging as one of the popular trends among coworking spaces. Major operators such as Office Evolution, Serendipity Labs and IWG all have started utilizing franchising as a way to quickly scale.
Lastly, one of the biggest changes to have impacted the coworking industry is the growing number of corporate clients. The Instant Group predicts that within three years, 35% of corporates will use some sort of flexible real estate as a way to alleviate risks, particularly during this time of economic uncertainty.