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Flexible office demand on the rise outside London

The demand for flexible offices outside the UK’s major cities is growing rapidly, with flexible workspaces in regional markets accounting for 66% of overall demand, up from 54% in 2020 as companies of all sizes empower their teams to work closer to home according to the Instant Group.  

Based on current demand and supply levels, many popular commuter towns are set to reach capacity within the next 12 months, such as London’s Sidcup (0.64 yrs), Cannock (0.65 yrs), Walsall (0.67 yrs) and Slough (0.78 yrs). 

Tim Rodber, CEO of The Instant Group, said: “The rapidly growing demand for flexible workspace in smaller towns represents a major investment opportunity for landlords and investors seeking to turn their real estate building into a revenue generating asset. This trend will continue to accelerate as we move into 2026 and beyond.”

Data from the report also suggests that in emerging growth markets, flexible workspaces have the potential to command rates up to 5x higher than conventional leases. In comparison, mature markets, such as London and New York, see flex space achieving 2-2.25x the rates of traditional leases on a per-square-foot basis.  

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