Future Workspace Design

Don't leave performance to chance. Design for it. Massachusetts Institute of Technology (a happy Kadence customer) looked at how team proximity helped support innovation. They analyzed 40,358 papers and 2,350 patents and what they found is fascinating: Teams that were in the same-workspace were ~3× more likely to co-author than those 400m apart. At 800m it halves. Patents showed a similar curve: ~2× in the same space, halving around 1.6km. As the authors put it, there’s “a persistent relationship between proximity and collaboration, well fit with an exponential decay model.” This is not theory. It’s already happening in the world’s best workplaces. When teams that rely on each other are physically close, coordination happens organically. Conversations replace tickets. Questions get answered faster. And collaboration stops depending on chance encounters.

The Rise of Coworking: What It Means for Traditional Leasing Models Coworking spaces aren’t just a trend—they’re reshaping the way businesses think about office leasing. Here’s what we’re seeing: 1. Flexibility is King: Companies want short-term leases and scalable spaces to match their growth (or contraction) without long-term commitments. Traditional models? They’re feeling the pressure to adapt. 2. Amenity Wars: Coworking spaces offer high-end perks—think coffee bars, wellness rooms, and networking events. Tenants now expect these experiences in every office building. 3. Hybrid Work Influence: With hybrid work here to stay, businesses need less fixed space but more collaboration-friendly environments. Enter coworking: a perfect fit. 4. Landlords Get Creative: Many are embracing coworking within their properties or partnering with operators to meet demand. Others are rethinking how they structure leases entirely. The Big Picture: Coworking is pushing traditional leasing into a new era, where flexibility, community, and experience drive decisions. Landlords, tenants, and brokers—how are you adapting to this shift? Let’s discuss! 

The coworking industry thrives on flexibility, but that shouldn’t come at the cost of clarity. A well-structured agreement protects both the coworking space and its members, ensuring smooth operations and avoiding unnecessary conflicts. I recently had a member who signed up for a 36-month membership with a lock-in period. 18 months in, they wanted to exit, claiming they hadn’t realized the lock-in meant they couldn’t just leave without penalty. “I thought coworking was all about flexibility,” they said. While we eventually found a middle ground, that experience made one thing clear—if a clause isn’t explained upfront, it will become a point of contention later. Here are five key clauses every coworking space must pay close attention to: Service Agreement vs. License vs. Lease – Clearly define whether your contract is a service agreement, license, or lease. A service agreement offers the most flexibility, while a license grants members the right to use the space without creating tenancy rights. A lease, on the other hand, may give members legal possession of a portion of the premises—something most coworking spaces want to avoid. Choosing the right structure protects your business from unintended legal disputes. Termination & Exit Terms – Flexibility is key in coworking, but so is clarity on how and when a membership ends. Define: Notice Periods – How much advance notice members need to give before canceling. Lock-in Periods – If members are committing for a fixed duration, state this explicitly to avoid mid-term exits. Early Exit Policies – Any penalties for breaking the agreement before the term ends. Refund Rules – Whether security deposits or prepaid fees are refundable and under what conditions. Breach of Agreement – Grounds for immediate termination, such as non-payment or policy violations. A vague exit clause can lead to revenue loss and operational headaches. The clearer, the better! Use of Space & Conduct Rules – Define what members can and cannot do in the space. Specify acceptable business activities, visitor policies, and general behavior expectations to maintain a productive and professional environment. Liability & Indemnity – Clearly state that the coworking space is not liable for business losses, injuries, or data breaches occurring on the premises. A strong indemnity clause ensures that members take responsibility for their actions, reducing legal risks for your space. Payment Terms & Default Consequences – Define due dates, late fees, and what happens in case of non-payment. Will access be restricted after a certain number of missed payments? Will you charge interest on overdue amounts? A well-drafted payment clause ensures financial predictability. Lesson Learned: The best agreements prevent disputes before they start. Take the time to craft strong clauses—it’ll save you tough conversations down the road. #Coworking #FlexibleWorkspaces #CoworkingAgreements #SharedOffices #LegalTips

The flexible work revolution has undoubtedly reshaped how and where we do our jobs, and coworking spaces are emerging as an important part of this shift as evidenced by CBRE recent acquisition of Industrious. However, as I shared in this recent Marketplace by APM segment (link in comments), coworking may be a bright spot in commercial real estate, but I'm skeptical that, "coworking is the solution for the forever war between employer and employee over return-to-office...employers have to know what they want their employees to do when they force them to leave the house. 'You’ve got to lead with the work, not the space,' said Yost. “You’ve got to start with the what, and then the where.'" Here’s the reality: coworking spaces, while helpful, aren’t a silver bullet to bridge the onsite vs. remote work divide between employers and employees. At its core, this tension isn’t about the space itself—it’s about trust, communication, and alignment. Employees want flexibility to work in ways that optimize their productivity and well-being, while employers seek cohesion, innovation, and accountability that they believe will happen by mandating more on-site presence. Coworking spaces can enable connection and collaboration, but only if the work that benefits from in person interaction is identified, planned and prioritized in advance. That's the deeper culture shift required to truly bridge the gap. Employers must engage their teams in thoughtful, intentional process to clarify the expectations, priorities, and practices that will define their go-forward flexible work model. The future of work isn’t just about "where" we work—it’s about the flexible, dynamic way we work together across workspaces, places and time, with coworking spaces playing a role. But success will require moving beyond surface solutions and focusing on the systems and relationships that drive meaningful results. What do you think? How are you addressing the flexible work challenge in your organization? What role do coworking spaces play in your emerging work model? #FlexibleWork #Coworking #FutureOfWork #Flexibility #HybridWork

The bank that builds co-working spaces will own the SME market. And the math is embarrassingly simple. There are ~2.6 million SMEs in South Africa. Freelancers, agencies, consultants, solopreneurs working from kitchen tables, Vida cafés, or overpriced WeWork desks. Now imagine a business bank says: "Open a business account with us. Your co-working membership is free." Game over. Here's why the economics actually work: The space pays for itself. A single co-working desk costs a bank roughly R2.5k /month to operate. But put a decent coffee bar and food counter in the space, and each member is spending R150–R200/day on coffees, lunches, and snacks. That's R3k–R4k/month in F&B revenue per seat. The co-working space isn't a cost centre. It's a break-even venue that happens to generate banking clients. The banking relationship is where the real margin lives. Monthly account fees. Card transaction revenue. FX on international payments. Cash management. Insurance cross-sell. And of course, lending. The lifetime value of an SME banking client is R50k–R200k+ depending on the business. The cost to acquire them? A desk and good Wi-Fi. Compare that to the tens of millions banks currently spend on digital ads, BDMs, and branch activations chasing the same clients. Now here's bonus points: credit intelligence. Every time an SME checks into the co-working space, the bank sees it. Someone who's checking in at 7am five days a week, taking meeting rooms, hosting clients? That's a founder building pipeline. That's someone whose business is alive and active. Someone who hasn't checked in for three weeks? That might be an early warning signal. This is behavioural credit data that no bureau can sell you. It sits alongside cash flow data the bank already has from the business account, and together they create a credit underwriting model that's radically better than anything in the market today. The bank doesn't just acquire the client. It understands the client in a way competitors never will. The flywheel is obvious: Free co-working attracts SMEs → SMEs bank with you → Banking data + physical presence data improves credit models → Better credit models mean better lending offers → Better lending deepens the relationship → Word spreads → More SMEs walk through the door. The playbook already exists in pieces. Capital One in the US already runs café-branches with Peet's Coffee, free Wi-Fi, and meeting rooms proving the model works. Nobody in South Africa has put it all together yet. The bank that builds 50 co-working spaces in CBDs, suburban hubs, and secondary cities and gives every business banking client a free membership, won't just acquire customers. They'll build the most defensible SME banking franchise in the country. And it starts with a desk, a decent flat white, and the courage to think differently about distribution.

When I was leading deals at Innov8 Workspaces and later running P&L for OYO Workspaces, I saw a pattern. The fastest-growing companies didn’t sign 9-year leases. They moved like water, opening teams in coworking hubs, testing markets, closing bad locations quickly, and doubling down where it clicked. It wasn’t theory, I’ve sat across tables where founders literally said: “We can’t afford to slow down for real estate paperwork, we’ll outgrow it in 6 months.” Take Meesho for example. They scaled social commerce across India without building massive offices. Distributed teams worked out of coworking spaces in Bengaluru, NCR, Hyderabad, anywhere talent was. India’s flexible office market reflects this shift: 12.4 million sq ft leased in 2024, 57% YoY growth, and in Bengaluru alone, 3.4 million sq ft snapped up by operators. This is why brokers who still sell “space” miss the bigger picture. Startups aren’t buying square feet. They’re buying speed, a way to enter a new city, hire fast, test the waters… without killing cash flow. I’ve seen it firsthand, coworking isn’t a cheaper alternative. It’s a growth strategy. If you’re in CRE and want to work with tomorrow’s unicorns, start showing founders how to scale smart, not just “take a floor.” Have you helped a client scale like this, fast, distributed, and flexible? Drop your story below, I’d love to swap notes with other brokers seeing this shift. #CRE #Coworking #StartupGrowth #BrokerStrategy #CommercialRealEstate

I recently traveled to Bengaluru for a project and to work during the week, I was searching for co-working space. As expected, a few familiar names came up in the search. Most of them checked the usual boxes - good location, decent amenities, functional setup. But the one I ultimately landed in stood out for a different reason: This post is dedicated to my experience from working out of the place. Read till the end, to know which one I am talking about. Here, the design felt like it understood the rhythm of a real workday. And I do not mean design in the superficial sense of stylish furniture or polished interiors. 𝗜 𝗺𝗲𝗮𝗻 𝗱𝗲𝘀𝗶𝗴𝗻 𝗮𝘀 𝗮 𝗱𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗼𝗿. The kind of design that gives you options depending on how your day is unfolding: -a private office when you need deep focus -a meeting room for a serious conversation -a collaborative area for working sessions -a quiet lounge when you need to reset -a phone booth for calls that cannot be taken from an open floor What also stayed with me was how the details were doing a lot of heavy lifting. Height-adjustable desks. Herman Miller chairs. Premium lounge seating. Seamless tech integration. A layout that felt intentional rather than dense. And a design language that felt globally consistent, yet not generic. That matters because in coworking, a lot of spaces can look impressive at first glance. Far fewer are actually designed to support how professionals move through a day - from focused work, to meetings, to quick calls, to informal conversations, to moments of pause. That, to me, is where the real differentiation lies. The more I reflected on the experience, the clearer it became that in premium flexible workspaces, design is not an aesthetic layer - it is part of the product itself. This co-working centre has won my heart for life and left me craving for more. The best operators are not just selling desks or square footage. They are creating an environment for flow, privacy, comfort, and credibility. And when you combine that with hospitality and a strong service layer, the difference becomes even more visible. The DRHP itself frames the premium positioning around location, design, service-oriented hospitality, and personalized service. So yes, I began this search simply looking for a place to work from for a week. But I came away thinking more deeply about what really sets a workspace apart. Not price. Not polish alone. But how intelligently the space is designed for the people using it. The space I chose? 𝗘𝘅𝗲𝗰𝘂𝘁𝗶𝘃𝗲 𝗖𝗲𝗻𝘁𝗿𝗲 𝗜𝗻𝗱𝗶𝗮 𝗟𝗶𝗺𝗶𝘁𝗲𝗱 #Coworking #FlexibleWorkspaces #OfficeDesign #WorkspaceExperience #FutureOfWork #ExecutiveCentre #DesignStrategy #PremiumWorkspaces

"Space is not a backdrop for action but a setting for engagement, trust, and growth. Space emerges in the interplay between objects, structures and actions.” Constructing spaces for interaction goes beyond physical proximity; it’s about fostering an environment where open communication and collaboration can thrive. These spaces—be it physical meeting rooms, virtual platforms, or informal gathering spots—are the breeding grounds for ideas and innovations. Thoughtfully designed spaces break down barriers and build a culture of trust and mutual respect. Essentially, these are spaces where individuals relate to each other and knowledge is created, providing a platform for increasing individual and/or collective knowledge. When designed with intention, spaces can dismantle power dynamics that often hinder genuine feedback and reflection. Such environments foster psychological safety, allowing individuals to express their ideas and concerns freely. This safety is crucial for authentic feedback, reflection, and innovation. Knowing they can speak up without fear of negative consequences, people are more likely to share their best ideas and embrace constructive criticism, leading to both personal and organizational growth. Dynamic equilibrium within these spaces—balancing stability and change—allows for continuous adaptation without compromising core values. Clear yet flexible structures support individual and collective needs, maintaining momentum and alignment. Leadership is key in modeling and reinforcing the desired culture within these spaces. Leaders who engage in open dialogues, show vulnerability, and commit to inclusive practices set the tone for the entire organization. Their actions signal to employees that it is safe to express themselves and that their contributions are valued. The aesthetics and ergonomics of physical spaces also play a critical role. Natural light, comfortable seating, and thoughtful layouts create a conducive atmosphere for creativity and engagement. Incorporating biophilic design elements, such as plants and natural materials, can reduce stress and enhance well-being, promoting a positive and productive work environment. In the realm of Organizational Development (OD), the concept of constructing space goes beyond the mere physical setup of offices and meeting rooms. It encompasses the intentional creation of environments that nurture open communication, foster collaboration, and catalyze innovation. The essence of these spaces lies in their ability to facilitate regular, purposeful interactions for behavioural change. One of the most significant benefits of constructing such spaces is the cultivation of a culture of trust and mutual respect. When people feel that their voices are heard and their contributions valued, they are more likely to engage actively and collaborate effectively. #OrganisationDevelopment #Space #StructureAndCulture #Sociology #BehaviouralChange #ReflectiveSpaces

Why is coworking so effective? Here are eight reasons: 1. Coworking spaces are designed to help you do your best work on any given day. That means there are different zones and amenities for taking calls, having a meeting, working quietly, working in community spaces, etc. This flexibility to work in an area that works for you is a great way to stay engaged throughout the day, focus when you need to, connect when you’re able, and generally enjoy the work day more. 2. Coworking supports a flexible work schedule. Whether you’re an early bird with calls in different time zones, a night owl who programs into the wee hours, a 9-to-5er with a predictable schedule, or someone whose schedule changes every day or week, coworking can work for you. 3. The best coworking spaces are hubs of belonging. And community coworking spaces do this better than anyone. Belonging extends beyond just knowing how the coffee machine works or what the next events are. Belonging means you can bring your whole self to the space, you’ll be welcomed into the community as a friend, you can participate (or not) in ways that work for you, and it feels like your home away from home.   4. Coworking is a third place. Third places are those places that aren’t home and aren’t work. Coworking, while technically a workspace, goes far beyond that and is, ideally, a nice third place where members and the extended community can learn, share, and connect. 5. Coworking spaces are collaborative. Collaboration is a core part of coworking, going back to the earliest days. Members, whether freelancers, solopreneurs, business owners, startups, remote workers, teams, entrepreneurs, creatives, and everything in-between, can tap into a wealth and diversity of expertise, interests, and skillsets that naturally lend themselves to collaboration. 6. Coworking spaces are neighborhood hubs. The best coworking spaces have communities that extend far beyond the walls of their space. They are hubs for the neighborhood, town, region, and beyond. Having a robust extended community means more networking, more collaboration, and more opportunities for connection. 7. A great coworking space is designed for comfort, connection and elevated work. Members are in their home coworking space day after day, week after week, month after month, year after year. Stiff spaces that look good in photos but don’t actually function well on a day-to-day basis are not great coworking spaces. 8. Community managers and the coworking team are part of the coworking community. This is a key part of being a robust, engaged coworking community. The community managers don’t build community from above, or from beyond the circle of members, they build it with members. Community managers are an active, engaged part of a coworking community. Anything you'd add to the list?

I've been watching people work from the same building for almost 8 years now. Not studying them. Just paying attention. When you run a workspace, you notice things about how people actually work that no productivity article will ever teach you. Here are 8 patterns I've seen play out thousands of times at WorkSocial | Shared Office Space | Enterprise Coworking (TM): 1 → People do their best thinking between 10 am and 12 pm. That's when the building goes quiet. Everyone is locked in. Interrupting someone during that window is the fastest way to lose their attention for the rest of the day. 2 → Teams that eat lunch together perform better than teams that eat at their desks. It sounds small, but the afternoon energy is completely different. 3 → The people who book the same desk every week are almost always more productive than the ones who float around. Routine creates focus. 4 → Open floor plans work for collaboration. But without a quiet space to retreat to, people burn out within weeks. You need both. 5 → Phone booths get used twice as much as conference rooms. People don't need hour-long meetings. They need five-minute calls without background noise. 6 → New members talk to no one for the first three days. By the end of week two, if someone on the team has greeted them consistently, they start opening up. If nobody has- they leave. 7 → The companies that grow the fastest inside our space are the ones that let their teams choose when to come in rather than forcing a schedule. 8 → Energy is contagious. One disengaged person in a room drags everyone down. One person working with intensity lifts the whole floor. None of this came from a report. It came from being here every single day, watching, listening, and caring about how people feel inside this space. That's the real advantage of running a workspace for 8 years. You stop guessing what people need. You just know.