Property developers in Singapore are leasing more and more property to co-working spaces. This comes as demand for flexible workspace grows from businesses in the booming economy. There were concerns initially that those new to the spaces would not stick around as long as estimated, but despite that concern the interest has been steadily growing.
To date there are 53 co-working spaces in Singapore, which are mostly located, unsurprisingly, in the city’s Central Business District. This number of work spaces is up from the 40 that were reported a year prior. The growth trend for these spaces is expected to continue in this manner, especially with more and more startups taking notice of the advantages of a co-working environment.
Industry experts agree that co-working has obvious advantages such as increased work productivity, and better access to the best locations. Where you work might not seem like an important factor to many, but it certainly can make an impact. Tech companies are realizing that there is often need for teams to co-mingle for business discussions and meetings.
As the tech industry continues to explode, and freelance workers and startups alike are looking to expand their book of business and gain ever-important contacts within their industries of expertise. Co-working spaces provide employers and the people that work for them prime real estate locations. Because the attraction to these spaces is so high they also foster an excellent environment for networking. In these booming industries, your network is of vital importance, so working in an area that allows for improved networking is the ideal place to station yourself.
The Central Business District has seen explosive growth over the past couple of years to this increased demand for co-working spaces. Over the last decade, the district has added an average of 1 million sq ft of office space. But with the growing interesting in these spaces, the last couple of years have seen the office space growth nearly double to an average of 2 million sq ft added annually.
This increased growth could very well be due to the fact that much of the office space is provided at very affordable prices. Possibly the most interesting fact about these spaces, from a business point-of-view, is that some experts estimate that by utilizing a co-working office space, small startups and established businesses alike can save up to 40% per employee – money that can then be used to further develop your business.
Singapore combines a rapidly growing economy with a reasonable cost of living and above-average salaries to provide what is becoming a global tech hub. Co-working spaces are increasingly popular because of the cost savings that comes along with them, as well as a better environment for increased work performance and collaboration with peers. Many companies are becoming aware of the advantages of co-working environments, and the real estate developers of Singapore are cashing in on that. With business space being added all the time, and prices that are affordable even for the smallest new startup, Singapore’s co-working spaces aren’t showing any signs of losing traction any time soon.