Reported today on Irish Examiner For the full article visit:
Survey finds huge drop last year in firms leasing flexible office space in Dublin
The number of businesses leasing flexible office space in Dublin has dropped by 73% in the last year, according to a survey.Experts from workthere.ie, who carried out the research, say it is because two out of seven planned WeWork deals fell through.The workspace provider pulled out of talks to rent out Clerys Quarter and the Forum Building in the IFSC.
Michael Healy, Director at Savills Ireland and head of Workthere.ie, said these serviced office spaces are extremely convenient for companies of all sizes.Mr Healy said: "A serviced office provider, for instance, would go in and take a direct lease from a landlord. They would sign up to, typically it could be a 20-year lease, and then what they do they lease that space, license that space out on flexible terms anywhere from a couple of months to 12 months, and sometimes as long as three years."The fee is all-inclusive so it includes rent, rates, service charges, electricity, everything.He added: "While the overall levels of take-up were lower than the previous 12 months, the average number of desks per inquiry received by Workthere.ie increased from 9.7 in 2018 to 12.2 in 2019 – reflecting a global trend in which flexible offices are more frequently being used by larger companies that require more desks on longer contract terms."Elsewhere in the report, Workthere.ie reveal that 27% of companies that leased flexible office space in 2019 were new entries to the Irish market. Reasons stated for flexible office take-up:New entry to Irish market 27%Requirement for temporary office space 16%Requirement for additional office space 14%New business 14%Unsatisfied with current arrangement 8%License Expiry 7%Other 14%
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