The diverse coworking landscape and implications for commercial real estate provision: lessons from individual preferences and practice

Abstract

Purpose

Coworking (shared flexible working spaces) grew exponentially before the COVID-19 pandemic. The crisis led to spaces closing but demand is likely to increase as homeworking/remote working levels remain permanently higher post-pandemic. Previous studies largely focused on ‘satisfied customers’ – freelancers and entrepreneurs in the urban core; but these are a poor guide to future preferences given an increasingly diverse set of potential users. Understanding these preferences is of significant value to future providers, investors and real estate operators.

Design/methodology/approach

The authors employ a mixed-methods approach, observing self-organised coworking sessions and online platforms, and a questionnaire of the coworking networks/groups. The authors address the research questions: i) how do individuals' make decisions about how and where to engage in shared working and ii) do they consider locational characteristics (beyond accessibility) and social and physical (environmental) aspects of coworking?

Findings

Proximity to home is a key result. Participants are mostly local and seek community, with a strong emphasis on effective work routines. Results stress the importance placed on social factors and in-space amenities, but affordability is also important. Coworkers experiencing both informal groups and organised spaces rate the informal experience as significantly more beneficial.

Practical implications

There are implications for the real estate element of future provision and funding models.

Originality/value

The authors contribute to the understanding of coworking preferences/motivations through addressing methodological limitations of previous studies. Rather than surveying individuals in coworking spaces, the authors study individuals who engage in coworking in various forms which will reflect the diverse (users, spaces, locations) demands for future coworking.

Citation

Clifton, N. and Reuschke, D. (2022), "The diverse coworking landscape and implications for commercial real estate provision: lessons from individual preferences and practice", Journal of Property Investment & Finance, Vol. 40 No. 5, pp. 508-523. https://doi.org/10.1108/JPIF-12-2021-0109