Flexible workspace provider International Workplace Group (IWG) has signed the largest office lease of 2024 in downtown Houston, taking over seven floors in historic Jones on Main that was previously occupied by WeWork.
Chron reports that IWG has signed a leasing agreement for 65,000 square feet at 708 Main St. — a space vacated by WeWork as part of its bankruptcy restructuring. bankruptcy restructuring
A growing number of small and medium-sized business are leaving traditional office leases for coworking environments, and IWG’s lease reflects the new role large flexible workspace solutions will have on commercial real estate market activity around the world.
The substantial size of the lease indicates the growing demand for flex spaces and coworking environments from businesses looking to cut overhead costs in favor of short-term leases.
The Wideman Company purchased the Great Jones Building and the JP Morgan Chase Bank tower in April. Since its acquisition, leasing rates are reported to have improved. The 708 Main structure is now 90% leased, and there is an overall 80% occupancy across both buildings.
The new IWG coworking space is slated to open later this year, adding to the firm’s coworking options within the city of Houston. IWG currently operates at several other locations in the area including CityCentre, Kirby Grove, and Post Oak Boulevard.
