In recent years, coworking spaces like WeWork, Regus, and more have become all the rage for employees and freelancers. According to the Colorado Real Estate Journal, these spaces are fundamentally changing global commercial real estate markets. The journal estimates that currently, coworking spaces hold a little less than 5% of all U.S. office stock, but in ten years, this number is speculated to grow closer to 30%. But what is it about these spaces that tenants find so appealing?
The Colorado Real Estate Journal writes that coworking and flexible office spaces provide access to shared amenities like conferencing, coffee and food, yoga and wellness rooms, and more, giving individuals the opportunity to network and feel at home. Tenants are also seeking out these types of spaces to test out before determining long-term occupancy in an office building.
However, CRE professionals know that tenant retention is also top of mind, so how can we marry both the idea of a flexible working space and long-term occupancy?
Commercial real estate property owners need to consider the perks of these coworking spaces and introduce their amenities into the mix. Even just adding one dedicated space for tenants to focus on their health in a shared space, like a fitness area or a studio for yoga, is enough to keep a tenant coming back for more. Other ideas include introducing sustainable and “green” technology and products to the space, as many coworking spaces are doing, to appeal to the younger, environmentally-conscious generation. After all, this is our next wave of great minds, and their interests will define the industry!
Keeping an eye on the evolution of the coworking space will be helpful to employers and business professionals, as well. Employees will begin seeking these amenities during their job search and may pass up on signing with an office that doesn’t support a flexible, team-driven environment. As people begin incorporating more on-the-go methods into their life thanks to the rise of technology and the ease of the gig economy, both CRE professionals and businesses will have to follow suit to stay in line with the trends.
Read the Colorado Real Estate Journal’s article for more. What amenities have you found the most helpful for retaining tenants?
Chasing Nirvana Yoga offers on-site yoga and wellness classes to commercial real estate spaces, employers, community events, and more. To set up a free consultation, please visit www.chasingnirvanayoga.com.