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Traditional Office Space vs Co-Working Space

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Today's Tenant Rep Tuesday Tip topic: Traditional Office Space versus Co-Working Space

Which is more expensive? Which makes the most sense for your business and you as a tenant?

It all varies on the commercial market location you are in and the number of employees your company/business has, however in general if your company/business has more than 5 employees it's typically about 20% to 30% more expensive to lease co-working space compared to traditional office space.

When all is said and done, as a tenant (or even a company/business) you have to evaluate the total cost of leasing office space as it is more than just lease rates. You also have to evaluate the value of flexibility, building amenities, and day-to-day operations.

Should I Rent Traditional Office Space or Coworking Space?

As a tenant, If you are unsure about the future of your company whether it will experience rapid growth or be able to survive the next 12 to 24 months then co-working space could be a more effective option overall. If you only have 5 to 10 employees then co-working space might be the least expensive alternative.

However, if your company/business is stable or growing and you have more than 10 employees, renting traditional office space will be a better-suited option for your current and future needs.

Be sure to follow us on LinkedIn for the most current #TRTT insight.


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