Despite questions and concerns over the future of the office, new research from Colliers International suggests the flexible workspace market is set for continued growth.
Currently, flexible space accounts for 25% of total office inventory worldwide. However, the report predicts that supply is set to grow as much as two to three times over the next five years.
What’s driving this growth?
Corporate demand for one, as large firms look to decentralize their teams and make use of smaller flexible office locations. As such, the report notes increased demand for flexible space in secondary and tertiary markets, as occupiers seek to adopt a hub and spoke model and avoid congested city centers.
As for the future? A survey by Colliers found that 90% of occupiers believe that demand for flexible office space will only increase. However, for this to happen, most respondents believe this would require greater flexibility in traditional lease structures.