The flexible workspace sector continues to grow rapidly and it is now a phenomenon, according to Knight Frank. The firm has just released its European Commercial Property Outlook 2018 and regarding the flexible workspace market it also stated in the report that, ‘technology, the growth in self-employment and evolving workforce demands are redefining the traditional workspace. The growing appetite for flexible offices is permeating across European markets, with London, Berlin and Paris witnessing the strongest growth. The sector will continue to expand, as new styles of workspaces are developed to service a growing variety of occupier needs.’
The amount of flexible workspace on the market is expected by many to continue to rise in the coming years and by 2030 around 30% of all commercial office real estate will be defined as ‘flexible’, according to research from JLL.
JLL’s research shows that the square footage of flexible office space has grown at a rate of 22% over the last seven years versus a 1% growth rate of traditional office space during the same period.
According to a 2018 Workspace Market Forecast by Essensys, this new supply is coming from several areas. In addition to investors such as Blackstone, Brockton and British Land taking and funding space within the industry, there are also large corporate companies that have excess space within their own real estate portfolios and they are converting this space and letting it out as flexible office space.
London still dominates
Flexioffices act as a broker for flexible office space for companies who don’t want to pay for an entire office. The firm has been finding office space for clients for over 16 years and says that it represents 99% of the flexible office market place, helping thousands of companies find offices every year.