Coworking has finally hit its stride. After emerging in San Francisco in 2005 the concept quickly overcame challenges to gain traction even against the backdrop of WeWork’s headline-grabbing rise and fall. Two decades later the amenity-focussed business model is well established and undergoing a worldwide boom with a global market worth an estimated $22 billion. Researchers forecast this figure to reach $82 billion by 2034 as coworking continues enticing clients with stunning workplaces light years away from the cookie-cutter office cubicles of the past.

The market’s strength has also grabbed the attention of leading property groups. In January this year, global commercial property giant CBRE took the significant step of raising its stake in premium co-working firm Industrious to 100%. The final transaction came about after CBRE noticed a rise in corporations’ interest in flexible working in late 2020 and made an initial $200 million investment for a 35% stake in Industrious. “We came to the conclusion that flexible space was going to be an enduring part of the office landscape,” CBRE Robert Sulentic said.

Industrious is now the third largest coworking firm after WeWork. Regus, owned by International Workplace Group, has long remained the largest. The Industrious model differs from most by avoiding leasing risk and operating co-working spaces instead, sharing profits with building owners.  Its high-end hospitality-driven brand of workplaces referred to as The Great Room by Industrious are popular with elite global freelancers and executives from leading finance, legal, property, tech and medical firms. Similar to private clubs, those with The Great Room memberships can access any of 160 coworking spaces across Asia, North America and Europe.

Movers and shakers
While the US and Europe are still the world’s largest coworking markets, the Asia Pacific region is currently the fastest growing. Sydney, where WeWork opened the first Australian coworking space in 2016, is the country’s major location for the development of flex spaces and attracts the bulk of major internationals. In January 2024, The Great Room by Industrious made its Australian debut in Sydney’s Castlereagh St, lifting the bar with a glamorous whole-floor space. The following month, top Singapore flex workspace provider The Work Project (TWP), partnered with Australian real estate asset group Dexus and established the country’s first joint venture-owned premium flexible coworking operator, The Work Project Sydney. 

What’s next for coworking?
Luxurious and convenient amenities appear to have only been the beginning. The next frontier for coworking spaces is all about offering something as different and far from the norm as possible. The Buddhist-centric CoWorking with Wisdom workspace in Berkeley, California, is a prime example. It was sparked after a Buddhist college, looking for ways to make the eastern philosophy’s teachings more accessible, hit on the idea of simply bringing them into the workplace. Fittingly, use of conference and meeting rooms at CoWorking with Wisdom is free as are weekly meditation classes in the dedicated meditation room.

In the UK rural coworking has taken off as people move from cities to more affordable country areas. With a focus on friendliness and helping local communities thrive, one of the most successful networks is Devon Work Hubs. It has 24 locations across the UK including Waffle Work – a non-profit café and community space where tech Luddites get free lessons – and The Tribe, a coworking space for women entrepreneurs.

Amid the plethora of flex and coworking locations in Sydney, La Porte Rosebery stands out for the private office it offers alongside an event space. This ‘office’ looks more like a luxe apartment than an executive suite, awash with elegant Parisian décor in soft white and ivory hues including French-style windows, ornate lamps and fancy mirrors that evoke feelings of working closer to the Eiffel Tower than the streets of inner-city Sydney. These days, finding a place you don’t want to work seems to be the challenge.