Coworking across the United States has grown at a rapid pace in the past few years. In the DC metro area alone, coworking spaces now take up over 3 million square feet. This trend is expected to continue in coming years due to a few converging elements: employees’ high expectations for their workplace, a competitive market for companies trying to hire and to retain talent, and a short-term leasing structure that will benefit the real estate industry. Here is a closer look at how this new way of working serves all of these needs.
In addition to providing a strong community, coworking spaces are often designed for optimal productivity and happiness. Such workplaces often feature top-notch design and amenities that can range from included breakfasts to IT support and wellness rooms. Coworking companies have created a workplace that gives employees a more comprehensive and enjoyable experience at work.
Employers: Today’s employers face high expectations from their employees and potential candidates when it comes to workplace amenities, design, perks, and overall work-life balance. When companies choose to enter a coworking space they’re opting to outsource their workplace design and management needs to an expert. Doing so can help meet employees’ desires. They’re also providing employees with a gorgeous space they can be proud to work in, likely at a fraction of the effort and cost it would otherwise require. As companies vie to acquire and to retain top talent, investing in the workplace aesthetic and services available to employees is important – and becoming increasingly easier to accomplish through coworking.
Landlord Partners: Landlords also have an opportunity to benefit from increased market demand for coworking spaces. Some coworking companies now offer a newer management agreement with a goal of changing the at-times tenuous relationship between the coworking and real estate industries. This model creates a partnership between landlords and coworking companies that allows them to share in the profits that flow from an upgraded property. This is a relatively new model that not all coworking companies offer, but demonstrates that there is innovation in the industry.
The rapid growth of coworking demonstrates that this model has something to offer for companies of every size and stage. The flexible workspace trend has already impacted the way in which a majority of Americans work today and coworking firms will continue to innovate on the work experience. As the industry evolves, it’s not inconceivable to imagine an economy in which most of the workplace is shared.