How WeWork plans to fix Canada's office space constraints for growing businesses with 'no place to go'

WeWork is offering a new office concept to businesses seeking office space in downtown Toronto and Vancouver as vacant spaces hit an all-time low.

First established in New York and San Francisco last year, headquarters idea has been rolled out the first phase of the new model to 10 global locations, including Toronto. The approach allows for the elasticity that evolving organizations can’t normally achieve through traditional leases, explains. Hershfield. “For many growing companies, signing long-term leases is not a good way to optimize space and capital.”

The elasticity of the headquarters by WeWork model is something that will be increasingly critical for today’s shifting landscape, he believes. “Businesses are facing shorter cycles and global uncertainty. Companies are shifting to more flexible real estate strategies. They don’t want to sign 10-year leases because it takes cash away from scaling their business.”

Vancouver is close behind with a 2.8 per cent vacancy rate for Class A downtown office space in the first quarter, down from four per cent Q4 2018, while rental rates reached a record high of $35.92 per square feet. These numbers are expected to tighten as only a small percentage of construction projects will be completed in 2019 .

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Shared-workspace firm WeWork files for highly-anticipated IPOThe company, which was most recently valued at $47-billion, has helped pioneer “coworking,” or shared desk-space, with a focus on startups, entrepreneurs and freelancers
Source: globeandmail - 🏆 5. / 92 Read more »

How roles change when a business matures from startup to grown-upWhen a business is ready to become a more mature organization, leaders and employees will forge a clearer and more efficient path to success if they are able to define people’s responsibilities and ease out duplication along the way
Source: globeandmail - 🏆 5. / 92 Read more »

Down to Business podcast: Innovation and disruption in Canada — with guest Michele RomanowEpisode 1 of a weekly podcast from the Financial Post
Source: VancouverSun - 🏆 49. / 61 Read more »

Down to Business podcast: Innovation and disruption in Canada — with guest Michele RomanowThe first episode of Down to Business, the weekly podcast from financialpost, is now live! Our host theemilyjackson is joined by MicheleRomanow to discuss innovation and disruption in Canadian business:
Source: nationalpost - 🏆 10. / 80 Read more »

Report on Small Business Newsletter: How disputes with employees go publicReport on Small Business Newsletter: How disputes with employees go public GlobeBusiness globebusiness They generally go public when employers refuse to address bad behaviour in the workplace. The RCMP is prime example, bullying, harassment and supervisors abusing their authority goes without consequences.
Source: globeandmail - 🏆 5. / 92 Read more »