By the Numbers
2.8 million
Splitting the rent
Combined square footage that the five biggest sharedoffice space providers occupy throughout Manhattan. In 2008, total shared space offered in the city was about 1 million square feet.
Long popular in Manhattan, shared and temporary workspaces begin to proliferate in outer boroughs
435 million
Total square footage of Manhattan office inventory as of Jan. 30.
6,000
Number of WeWork members in New York City. The company, founded in 2009, counts companies like Mashable, Buzzfeed, Reddit, Artsy, and Upworthy among its tenants.
1.6 million
S
hared office space is one of the hottest subsectors in New York City commercial real estate. Local startup firms to international behemoths are gobbling up spots in Manhattan office buildings to rent out to tenants seeking fully furnished, temporary digs. For example, WeWork, one of New York’s fastest-growing sharedspace firms, is reportedly in talks to take an additional 500,000 square feet at the Brooklyn Navy Yard, which would be its ninth location in the city and first outside of Manhattan. These communal offices offer tenants traditional amenities like receptionists and serviced kitchens, and some throw in avantgarde amenities like meditation rooms and Zipcar subscriptions. In addition, some cater to particular industries, like law or tech. One even offers spaces exclusively for women entrepreneurs. This month, The Real Deal looks at the growth in the shared office space market over the last few years. B y S asha von O ldershausen Regus CEO Mark Dixon
New Listing By the Numbers
The amount of square footage that Luxembourg-based Regus, the largest player in the field, has at its 35 New York City locations. By comparison, WeWork has just over 650,000 square feet in seven locations, while relative newcomer Jay Suites occupies 150,000 in six spots.
$616 million
Regus’ gross profit worldwide in 2013. In 1999, the year it entered the New York market, the company booked a $28 million profit.
$599
Rental price per month for a oneperson workstation at Corporate Suites, another New York–based provider with seven Manhattan locations. For a fully furnished private office space for one, the cost jumps to $1,200 per month.
$35
Cost of a day pass at co-working space New Work City. The Tribeca company offers “full-time access” for $375 a month. In Good Company, a shared work space for women entrepreneurs in the Flatiron district, charges $400 for an annual membership, plus monthly fees that start at $250.
3 to 6 months
Typical wait-list time for a private office in WeWork’s Meatpacking District office.
25 and 27
Ages of brothers Juda Srour and Jack Srour, founders of Jay Suites. Adam Neumann, founder and CEO of WeWork, is 34 years old.
40%
Projected percentage of the U.S. workforce that will be contractors, temporary workers or selfemployed by 2020, according to a study by software company Intuit.
$1.17 trillion
Total income generated by independent workers nationwide in the year that ended in September.
A crowded café
256
Number of Starbucks cafés in New York City, most of which offer space to log on with a laptop and work. Sources: Cassidy Turley, Regus, The Real Deal, WeWork, US Census, New Work City, In Good Company, MBO Partners, Starbucks
20 East 65th St – Mansion Condominium | $20,000,000
NIKKI FIELD Senior Global Real Estate Advisor, Associate Broker | 212.606.7669 | nikki.field@sothebyshomes.com | www.nikkifield.com E. HELEN MARCOS Associate Broker | 212.606.7747 | helen.marcos@sothebyshomes.com East Side Manhattan Brokerage | 38 East 61st Street, New York, NY 10065
Compiled by Yaffi Spodek
Sotheby’s International Realty and the Sotheby’s International Realty logo are registered (or unregistered) service marks used with permission. Operated by Sotheby’s International Realty, Inc. 04-14-field.indd 1
30 April 2014 www.TheRealDeal.com
3/24/2014 1:56:59 PM