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Flexibility is king

| Juergen Klingenberg

Long-term office leases have been the standard for years, as lenders who fund office projects have required developers to lock tenants into long-term leases to mitigate risk. But in the new world of work, predictable cash flow will take a back seat to flexibility, especially in the near-term, as companies seek space that allows their employees the benefits of in-person collaboration or a quiet, dedicated space outside of the home to work while waiting to see what long-term needs they might have once normality returns in earnest.

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survey by CBRE at the end of 2020 indicated that 86% of respondents saw coworking as a key component of future real estate strategies. Many in the real estate world saw coworking as a valuable tool that should be incorporated into strategies even before the pandemic accelerated the need for flexible offerings.

Flexibility is what coworking providers do best, offering desks for as little as an hour at a time. But they also offer critical infrastructure, high-quality technology and, in some cases, even design elements such as movable walls that create the ultimate flexible space for companies.

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