The Rise of Co-working Space in Asia Pacific: Boon or Bane?
Co-working space has enjoyed tremendous growth in recent years, supported by the start-up boom; demand for greater flexibility among both employees and corporates; advances in technology allowing people to work anywhere at any time; and its appeal as a cost effective alternative to traditional offices.
There are around 300 co-working spaces located in Asia Pacific gateway cities including Hong Kong, Singapore, Shanghai, Tokyo, Sydney and Melbourne.
Competition among co-working space operators is intensifying as they open more centres, lease larger spaces and increase their presence in prime areas. CBRE Research believes the key to running a successful co-working space is creating an experience; building a community; and facilitating business and learning opportunities for end-users.
The rise of co-working space in Asia Pacific is encouraging occupiers to rethink their traditional use of office space. It is also prompting landlords to consider whether to lease space to co-working operators or develop their own co-working platform.