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WorkEZ Occupies More Than 1 Million Sq Ft in Flexible Spaces
Work Easy Space Solutions Private Limited WorkEZ has expanded its presence in India by adding five new centres in Chennai , Bengaluru , and Coimbatore . With this move, the company has crossed the milestone of securing over 1 million square feet of office space in these thriving Indian cities. It now boasts a robust portfolio of 1.1 million square feet, featuring over 22,000 workstations across 12 centres as a leader in the coworking space industry in India.
The flexible workspace sector in India is witnessing remarkable growth, and WorkEZ is leading the shift by offering tailor-made flexible spaces that cater to the changing needs of modern businesses. Since its inception in 2019, just before the COVID-19 pandemic, WorkEZ has seen an impressive annual growth rate of over 50%.
WorkEZ's expansion is not just limited to workspaces but is also reflected in its financial performance. The company has experienced a staggering annual growth rate of over 150% in revenue and has achieved full-year profitability in the fiscal year 2023. WorkEZ provides comprehensive turn-key office space solutions to a diverse clientele, ranging from startups to multinational corporations, benefitting clients and landlords.
Sunil Reddy , Co-founder and Managing Director of WorkEZ has ambitious goals to make the company a leading player in India's flexible workspace industry. WorkEZ aims to expand its portfolio to six million square feet by FY 2028, targeting Tier 1 and select Tier 2 cities. Prathap Murali , Head of Business for India at WorkEZ, emphasizes the company's dedication to fulfilling the evolving needs of businesses. WorkEZ's commitment to offering state-of-the-art workspaces is evident in its over 90% occupancy rate. Their focus on customizing office spaces boosts collaboration, productivity, and employee satisfaction, showcasing the strength of WorkEZ's value proposition in the flexible workspace market.
India's Flex Stock Soars, Bengaluru Leads the Charge
India's commercial real estate landscape is transforming significantly, with the flexible workspace segment poised to reach an impressive 80 million square feet by 2026. This surge represents 9-10% of the nation's total Grade A office stock and directly results from evolving workplace dynamics across tier-1, tier-2, and tier-3 cities.
These findings come from the latest Colliers report, 'Shared Office Spaces in India – Flexing Ahead', unveiled at the 2nd edition of the FICCI Commercial and Industrial Real Estate Conclave in Bengaluru. The report highlights the remarkable growth of India's coworking space market, particularly post-COVID-19. Since 2019, the flex space stock across the top six cities has nearly doubled, marking a significant shift in the country's office space landscape.
Arpit Mehrotra , Colliers India's Managing Director for South India, Office Services & Head of Flex, shared insights on the burgeoning trend. Flex leasing in India has seen a dramatic uptick, reaching 7 million square feet in 2022. This momentum continued into 2023, shifting business real estate strategies towards more agile and flexible solutions. By the end of 2023, flex space leasing is projected to account for 15-20% of overall office leasing - a clear sign of the changing preferences of businesses in today's fast-paced work environment.
The report covers Bengaluru , Chennai , Delhi-NCR , Hyderabad , Mumbai , and Pune . The shared office space is 43.5 million square feet, accounting for 6.3% of the total Grade A office stock. This figure notably surpasses the 3-4% penetration in other key Asia-Pacific markets.
Bengaluru emerges as a frontrunner in the flexible spaces in India , holding a third of the country's total flex stock with 14.7 million square feet. The city has witnessed a significant increase in flex space rentals post-pandemic, further solidifying its position as a hub for coworking spaces in India.
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Indian Corporates to Choose More Flex Spaces Over the Next 3-4 Years - Report
The report unveiled at a FICCI conference in Bengaluru , highlights the dynamic shift in the Indian office market. Flexible space operators manage approximately 43.5 million square feet across critical cities, including Bengaluru, Chennai , Delhi-NCR , Mumbai , Hyderabad , and Pune . Following this flexible model, Bengaluru leads the pack with 14.7 million square feet of office space.
According to Badal Yagnik , CEO of Colliers India, India is set to maintain its position as a leader in flexible spaces in the Asia-Pacific region. The design of these coworking spaces in India now focuses on sustainability and wellness, and this trend is becoming increasingly prominent. Rental arbitrage, improved real estate operating margins, and demand scalability are making flex spaces a significant contributor to the office market activity in the country.
In 2022, flexible space operators leased 7 million square feet in these six cities, representing 14% of the total gross office leasing. By September this year, they had already leased 6.5 million square feet of office space, contributing 17% of the total gross leasing.
Amal Mishra , Co-founder of Urban Vault , a Bengaluru-based managed coworking space provider, has noticed a significant uptick in the adoption of flexible workspaces, especially in cities like Bengaluru, Hyderabad, Mumbai, and Gurugram . He pointed out that domestic and international firms increasingly recognise the benefits of flexibility with minimal capital investment. The demand is for aesthetically pleasing interiors and enhanced services and amenities as companies strive to offer their employees a seamless and well-equipped work environment.
Most In-Demand Locations This Week-
Metro City: Mumbai
Micromarket: Thane
Non Metro City: Chandigarh
Micromarket: Industrial Area Phase 1