Australia Co-working Office Spaces Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 210 Million |
| Market Size (2029) | USD 489 Million |
| CAGR (2024 - 2029) | 15.13 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Australia Co-working Office Spaces Market
The Australia Co-working Office Spaces Market size is estimated at USD 210 million in 2024, and is expected to reach USD 489 million by 2029, growing at a CAGR of 15.13% during the forecast period (2024-2029).
- Amid the ever-evolving workplace dynamics, the relevance of traditional office spaces is being challenged. While the buzz around hybrid work models and compressed work weeks dominates discussions, a subtle yet significant shift in Australia is the rise of flexible offices.
- International operators increasingly view Australia as a mature yet flexible market with growth potential. Many of these operators are actively exploring opportunities, focusing on prime-grade buildings.
- The report Australian flex space in the age of hybrid work highlights a 2.1% growth in the flexible office market across major east coast markets in the 12 months leading up to June 2023.
- Office landlords are proactively adapting to the changing work dynamics by adopting innovative approaches, including the incorporation of flexible office spaces and third spaces within their premises. This strategic shift is primarily motivated by the evolving preferences of tenants.
- Landlords now recognize that offering adaptable and versatile work environments not only boosts tenant satisfaction but also acts as a magnet for new occupants, thereby augmenting the overall value of the properties.
Australia Co-working Office Spaces Market Trends
Coworking Spaces are Experiencing Significant Growth
The coworking office spaces have been significantly growing over the years. In addition, Sydney and Melbourne led this segment by offering many coworking spaces in the previous year.
Meanwhile, Sydney remained a major location in the country, with most businesses moving to coworking and shared offices. It was followed by Melbourne, the second-largest coworking market in Australia, with shared offices attracting a wide range of tenants, including major corporations, government organizations, and startups.
Most freelancers, startups, and small- and medium-scale enterprises (SMEs) are adopting coworking spaces because they provide top features and facilities such as fast internet services, 24/7 access to office space, meeting rooms, furnished and unfurnished spaces, etc.
By the second quarter of 2023, Sydney boasted the highest average monthly price for a desk in a flexible office space among Australia's capital cities, at AUD 980 (USD 636.81). In contrast, the average monthly price for a desk in a coworking space in Canberra stood at around AUD 500 (USD 324.90)
Sydney is Witnessing Growth in the Market
Sydney is the major location for the development of coworking spaces in the country. The market in Sydney is experiencing significant growth as many enterprises are moving toward coworking spaces to meet social distancing requirements, reduce space, and save costs.
Coworking spaces are witnessing a surge in popularity in Sydney, driven by the demand for cost-effective office solutions from freelancers and small businesses. These spaces, known for their ample natural light, comprehensive amenities, and lively ambiance, have emerged as hubs for fostering collaboration and fueling creativity.
Fishburners, situated in Sydney's tech hub Ultimo, stands out as a highly sought-after coworking space in the city. Beyond providing workstations, Fishburners boasts dedicated meeting rooms and break-out areas, fostering team building and casual discussions.
Additionally, the space houses an on-site cafe, serving fresh food daily. It is a prime choice for professionals seeking a vibrant work environment and ample networking prospects.
Central Working Sydney provides its members with access to a private workspace lounge. This lounge is thoughtfully designed, featuring comfortable couches and contemporary furniture, creating a welcoming ambiance akin to a home away from home.
Australia Co-working Office Spaces Industry Overview
The Australian coworking office spaces market is fragmented, with global and local players. Some of the key players in the market include Hub Australia, JustCo, WeWork Management LLC, Spaces, and WOTSO Limited. Also, many more are entering the need to fulfill the rapid demand for casual environment offices. The Australian coworking office spaces market companies are involved in several growth and expansion strategies, such as strategic partnerships, mergers, and acquisitions, to gain a competitive advantage.
Australia Co-working Office Spaces Market Leaders
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WOTSO Limited
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Hub Australia
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JustCo
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Spaces
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WeWork Management LLC聽
*Disclaimer: Major Players sorted in no particular order
Australia Co-working Office Spaces Market News
- February 2024: Singapore's The Work Project (TWP), a leading flexible workspace operator, partnered with Australian real estate asset group Dexus to establish Australia's inaugural joint venture (JV)-owned premium, flexible coworking operator. The collaboration has birthed a new entity, The Work Project Sydney, which will oversee six coworking centers. These centers, located in key business districts of Sydney, Melbourne, Brisbane, and Perth, collectively span an impressive 150,640 sq. ft of prime office space.
- June 2023: Industrious, the US-based flexible workspace provider, was set to make its foray into the Australian market. Its inaugural Australian site will be at Level 29, 85 Castlereagh Street, in the heart of Sydney's Central Business District (CBD). This expansion collaborates with 151 Property, an asset management firm from Australia and New Zealand.
Australia Co-working Office Spaces Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
2.1 Analysis Methodology
2.2 Research Phases
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS AND DYNAMICS
4.1 Current Market Scenario
4.2 Technological Trends
4.3 Industry Value Chain Analysis
4.4 Government Regulations and Initiatives
4.5 Insights into Co-working Startups in Australia
4.6 Market Dynamics
4.6.1 Market Drivers
4.6.1.1 Changing work culture driving the market
4.6.1.2 Cost-effectiveness driving the market
4.6.2 Market Restraints
4.6.2.1 Economic uncertainities affecting the market
4.6.2.2 Regulatory challenges affecting the market
4.6.3 Market Opportunities
4.6.3.1 Expansion in regional areas driving the market
4.7 Industry Attractiveness - Porter's Five Forces Analysis
4.7.1 Threat of New Entrants
4.7.2 Bargaining Power of Buyers/Consumers
4.7.3 Bargaining Power of Suppliers
4.7.4 Threat of Substitute Products
4.7.5 Intensity of Competitive Rivalry
4.8 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Flexible Managed Office
5.1.2 Serviced Office
5.2 By Application
5.2.1 Information Technology (IT and ITES)
5.2.2 Legal Services
5.2.3 BFSI (Banking, Financial Services, and Insurance)
5.2.4 Consulting
5.2.5 Other Services
5.3 By End User
5.3.1 Personal User
5.3.2 Small-scale Company
5.3.3 Large-scale Company
5.3.4 Other End Users
5.4 By Key Cities
5.4.1 Sydney
5.4.2 Melbourne
5.4.3 Perth
6. COMPETITIVE LANDSCAPE
6.1 Overview (Market Concentration Analysis and Major Players)
6.2 Company Profiles
6.2.1 WOTSO Limited
6.2.2 The Commons
6.2.3 The Office Space
6.2.4 WeWork Management LLC
6.2.5 Hub Australia
6.2.6 The Circle
6.2.7 JustCo
6.2.8 Workit Spaces
6.2.9 Work Club Global
6.2.10 Spaces
6.2.11 Switch
6.2.12 Coworking South Australia
6.2.13 workspace365 Pty Ltd
6.2.14 CreativeCubes.Co Pty Ltd*
- *List Not Exhaustive
6.3 Other Companies
7. FUTURE OF THE MARKET
8. APPENDIX
Australia Co-working Office Spaces Industry Segmention
Coworking is an arrangement where workers of different companies share an office space, allowing cost savings and convenience using common infrastructures.
The Australian coworking office spaces market is segmented by type (flexible managed office and serviced office), application (information technology [IT and ITES], legal services, BFSI [banking, financial services, and insurance], consulting, and other services), end user (personal user, small-scale company, large-scale company, and other end users), and key cities (Sydney, Melbourne, and Perth). The report offers market size and forecasts for the Australian coworking office spaces market in value (USD) for all the above segments.
| By Type | |
| Flexible Managed Office | |
| Serviced Office |
| By Application | |
| Information Technology (IT and ITES) | |
| Legal Services | |
| BFSI (Banking, Financial Services, and Insurance) | |
| Consulting | |
| Other Services |
| By End User | |
| Personal User | |
| Small-scale Company | |
| Large-scale Company | |
| Other End Users |
| By Key Cities | |
| Sydney | |
| Melbourne | |
| Perth |
Australia Co-working Office Spaces Market Research FAQs
How big is the Australia Co-working Office Spaces Market?
The Australia Co-working Office Spaces Market size is expected to reach USD 210 million in 2024 and grow at a CAGR of 15.13% to reach USD 489 million by 2029.
What is the current Australia Co-working Office Spaces Market size?
In 2024, the Australia Co-working Office Spaces Market size is expected to reach USD 210 million.
Who are the key players in Australia Co-working Office Spaces Market?
WOTSO Limited, Hub Australia, JustCo, Spaces and WeWork Management LLC are the major companies operating in the Australia Co-working Office Spaces Market.
What years does this Australia Co-working Office Spaces Market cover, and what was the market size in 2023?
In 2023, the Australia Co-working Office Spaces Market size was estimated at USD 178.23 million. The report covers the Australia Co-working Office Spaces Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Australia Co-working Office Spaces Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Australia Shared Office Space Industry Report
Statistics for the 2023 Australia Shared Office Space market share, size and revenue growth rate, created by 糖心vlog传媒鈩� Industry Reports. Australia Shared Office Space analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
