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finding the right coworking operator

Invest in Coworking

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coworking in The Fifth Age of Work

How do I invest in coworking?

We often hear from many people in conversations that ask us, “how do I get in on the success of the coworking movement?” Every week we see new headlines in the Wall Street Journal, New York Times, and local papers around the world that detail the latest expansion efforts of XYZ coworking space. The romanticism of coworking has reached new heights. No longer is it just about community but it’s now increasingly about making a buck (or $22billion). WeWork has certainly caused a stir and kudos to them for all the great work they’re doing promoting the evolution of the workplace.

So that brings me to how you can invest in coworking.

There are no publicly traded coworking brands. WeWork reportedly will soon IPO, but the jury is still out when that may be. Certainly, if you have an opportunity to participate in a future coworking brand IPO, get on it. The coworking industry is paced to continue to grow, in paramount amounts. That being said, in the meantime, you can best invest in coworking by either:

  1. Investing in a local coworking brand

    This may be the easiest way to support the coworking movement from a financial perspective. Find a local coworking operator that is successful in your area and sit down with their owners and chat about long-term goals. Perhaps your investment capital can help them grow and scale.

  2. Investing in a coworking chain

    Besides WeWork there are about 100 coworking chains that have aspirations of being “the next WeWork” or being in a category all to themselves. We’re seeing a lot of specialization in the coworking industry, so investing in a coworking chain that has a certain differentiator is probably the smartest move. They say that WeWork will begin acquiring competitive brands when they IPO, so a WeWork IPO may be your short-term exit strategy.

  3. Create your own coworking brand

    Work with a coworking consultant and develop your own coworking brand.

  4. Asset Owner + Coworking Operator Joint Venture

    Bring an existing coworking operator into a piece of real estate that you own. Landlord / Operator joint ventures are becoming increasingly common.

real estate portfolio

Optimize Real Estate Portfolio – Invest in Coworking Industry

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coworking in The Fifth Age of Work

The world of commercial real estate is evolving.

No longer are real estate investors simply doing business as they did in the past. With disruption and innovation happening at alarming (and opportunistic) rates, now is the time to make decision for the future.

Asset owners are often trying to optimize the future strategy of their real estate portfolio.

Many real estate investors are transitioning a percentage of their portfolio to leverage the success of the coworking industry. Statistics are released quite frequently that suggest that coworking spaces and the shared office model will be utilized at high levels in the future of commercial real estate. Long gone are the days of traditional office leases. Enterprise clients are requesting flexible lease terms and ready-to-go offices for their employees.

How can real estate investors get in the coworking game?