Providing office space flexibly can be approximately 50% more profitable than leasing premises out in the traditional way, according to research and advisory firm Green Street. It used data gleaned from London and Europe on the Ebitda margins of co-working firms to reach its conclusions. Courtesy of Silva Brand It found an occupancy rate of around 80% was sufficient for increased profitability compared with a traditional lease in most cities. The report also said that while it is not unusual for offices to rent their own space, there are many reasons why they may want to do so.
Providing office space flexibly can be approximately 50% more profitable than leasing premises out in the traditional way, according to research and advisory firm Green Street. It used data gleaned from London and Europe on the Ebitda margins of co-working firms to reach its conclusions. It found an occupancy rate of around 80% was sufficient for increased profitability compared with a traditional lease in most cities. The report also said that while it is not unusual for offices to rent their own space, there are many reasons why they may want to do so.