Coworking is often an umbrella term used to describe a variety of innovative leasing models created to provide agile solutions to an evolving work environment. This includes more flexibility in both lease terms and square footage, as well as the option for shared amenities provided by the operator and not the individual company. More generally, we refer to this product as flexible space. Flexible space is a growing trend nationally—especially in large markets like Manhattan and Los Angeles—however, Salt Lake’s ability to bring in growing companies who want to ‘test’ our market, as well as a thriving technology and entrepreneurship scene, has made our metro a growing hub for flexible space.
- Metro Salt Lake, comprised of both Salt Lake and Provo-Orem MSAs, boast 423,000 sq. ft. of operating flexible office space across 28 locations hosted by 12 different operators. Another three locations and 136,000 sq. ft. will be operating by the end of this year.
- Flexible space operators began occupying Salt Lake as early as 2010, led by private flexible office operators Regus and Avanti.
- Flexible space growth has exploded since 2017. In addition to the 423,000 sq. ft. already in operation as of Q2 2019, another 350,000 sq. ft. is committed and currently being built-out.
- The metro’s largest coworking providers are WeWork, a giant in the coworking industry; Regus, another global provider with an emphasis on private suites and open-concept; and Kiln, a home-grown group which leased space in the newly converted Gateway mall.
- Demand for flexible space has shifted towards more collaboration and open space. By the end of 2020, more than half of all flexible space will be coworking.
For more information, please refer to CBRE’s
Agile Real Estate Knowledge Hub