From trend to mainstream: important statistics to know about the coworking industry before 2020
Coworking is no longer a trend, it’s the preferred way of working around the world and the evidence lies in the statistics below! For new and experienced landlords in the coworking industry, knowing your stats will guide you through making important decisions in the future. So let’s dive in!
Stats on Growth and Expansion: Since the first official coworking space in San Francisco opened, we have seen a healthy increase in the number of new spaces materializing at every corner of each big and medium-sized cities.
Let’s take London city, for example, WeWork has dominated at least 38 locations in London, housing big brands and entrepreneurs in areas like Soho, Tower Bridge, Devonshire Square, Waterhouse Square, Old Street, Hammersmith, Brook Green, Paddington and Shoreditch Mark Square.
We could also look at another big name, like Fora, opening its largest pro-working space in London’s Borough, spanning 3,000sqm and setting up spaces in locations like Borough, Old Street, Clerkenwell-Dallington Street, Soho and Southwark. As the figures by Allwork Space and Smallbizgenius demonstrate, growth and expansion will not be slowing anytime soon.
Shared workspaces have grown at an incredible rate of 200% over the past five years.
In global cities like London, New York and Chicago they are expanding at an annual rate of 20%, making coworking an institutional part of the market.
Flexible workspaces are typically operating at 84% capacity in Central London
There are currently 14,211 coworking spaces in the world today.
Coworking has taken the Asia-Pacific region by storm, leasing more than 8.0 million square feet over the last two year.
Coworking now takes up 27million square feet of office space across the US.
Occupancy levels have been nearing 100% for the few institutionalised coworking operators in India.
The coworking segment in India is expected to receive $400 million in investments by 2018.
The number of coworking members will rise to 3.8 million by 2020 and 5.1 million by 2022.
By 2020 50% of large companies will have some form of shared office space.
83% of users of coworking and other forms of flexible space claim to have benefited from these new work environments over the last 5-10 years.
The future of coworking is forecasted at a healthy growth rate of 15% over the next 5 years.
72% of landlords agree that working with coworking operators has significant benefits for their development.
Stats on Coworking dominating Real Estate companies: ‘Real Estates companies are now realising that the world is changing and companies are no longer willing to sign long leases. Hence why some of them have developed a side project, which focuses on securing a space in the coworking market’, Stated by Marc Navarro during a recent interview On The Dangers Of Using Coworking as a Label, he emphasised on how coworking is impacting Real Estate companies. According to the figures below, this influence won't be slowing down anytime soon!
By 2028, the flexible workspace will account for as much as 10% of Class A buildings.
A CBRE report found that 40% of buildings that include flexible workspace achieved values greater than the average for office buildings in their market.
Coworking space is expected to grow by 25% per year at retail properties through 2023.
Flexible workspace accounts for 15% and 5% of Grade A office space in areas of Bangalore and Singapore.
89% of Ropes and Gray survey respondents agree that traditional office landlords have adopted service innovations and amenities inspired by the coworking sector.
Office investors believe coworking spaces can help push vacancies down, add value for landlords, stabilize buildings, and improve the health of some market areas.
70% of CBRE survey respondents think that coworking operators will increasingly buy rather than lease assets.
The We Company is creating an investment fund to buy stakes in buildings where WeWork will be a major tenant. Basically, the company will become a landlord.
Stats on Community: People attract people. Community is one of the unique factors that the coworking industry offer. Having a healthy community in your space enables your members to develop a healthy network and feel happier at work.
In the case of The Assemblage, this coworking space is described by the Founder, Rodrigo Nino, as a ‘physical manifestation of an intention to build a sacred place for individuals to discover their highest potential, it is a coworking, coliving space a social event space for a community of individuals who are seeking transformation from within, and interconnection as a result of that exploration inside. It is truly a space for those that want to come together to simply remember that there is more to us than what we see.’The Assemblage lives by the following principles, go higher, be of service and do well by doing good. Followed by an ethos focused on assembling with other creatives, thought leaders, and entrepreneurs to develop projects that inspire social change and disrupt the status quo. Where members can cultivate a balance of spiritual well-being, professional work and answer their calling in life to fulfil and enhance the world around them. How does your space make your members feel? According to research by DeskMag and Ergonomic Trends, they discovered that:
89% of people reported that they are happier since joining a coworking space.
79% said coworking has expanded their social networks.
83% report that they are less lonely since joining a coworking space.
An average coworker interacts with 1 to 4 members per day.
64% said that coworking was an important source of work and business referrals.
55% of coworkers strongly feel that they are part of a community while 31% somewhat feel the same way.
In terms of personality types that frequent coworking spaces: 30% identify themselves as extroverts, 22% as introverts and the respondents as mixed are ambiverts.
82% of respondents reported that coworking has expanded their professional networks.
40% of the workforce will be freelancers temps, independent contractors and solopreneurs by 2020.
70% reported that they felt healthier than they did working in a traditional office setting.
64% of coworkers are better able to complete tasks on time.
68% said they were able to focus better while coworking.
60% are more relaxed at since coworking.
78% of coworkers are under 40.
50% report higher incomes.
The statistics were compiled from a number of reports:
Smallbizgenius (October 2019)
Allwork Space (May 2019)
DeskMag (May 2019)
Coworking Resources (May 2019)
Ergonomic Trends (2019)
The growing understanding of coworking needs, combined with our innovative approach means that Nexudus can support your growth and keep up-to-date with new features to improve your experience and your member’s engagement with your space. If you would like to read more of our helpful tips, subscribe to our free newsletter below.
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The impact of COVID-19 and the social distancing measures that are being implemented until a vaccine or cure is discovered are having an impact on many businesses from two angles. On one hand, many are experiencing a lack of income due to closure and on the other, they are having to adjust their business models to adapt to the new transitional phase that is already happening in many countries.
With big cities becoming increasingly expensive and technology enabling people to work remotely with ease, many people see small and medium cities and towns as the solution to the work/life balance conundrum. It’s likely that, in the next decade, we’ll witness a migration of skilled professionals from big cities to medium-size one. Will Covid-19 accelerate this trend?
Although the benefits are numerous, our collective experience has also given visibility to the problems of telecommuting. Under lockdown, many of us are having to juggle work with childcare and homeschooling. Even under normal circumstances, maintaining any semblance of work-life balance can be a challenge. Of course, when looking at the pros and cons of working from home it’s important to remember that the experience is different for everyone, and it only really works if the employer has a comprehensive remote working policy in place. Is there a middle ground?
The GCUC team shared brilliant, relevant content and kept participation high with breakout sessions; ensuring that there were still chances to network and spark interesting discussions with one another.
A post-COVID-19 society could require workspaces to go the extra mile to ensure that they provide quality ventilation and tighten up their hygiene practices. Here are ideas to improve hygiene and air quality in your coworking and flexible office space.
Coworking spaces have always had to find innovative ways to drive revenue while ensuring the success of their members. Our industry is known for being versatile, dynamic and creative. In other words: with the right approach and support, we will get through this!