Here Are the Cities with the Most Coworking Spaces
The New York City metro area tops a recent list from CoworkingCafe, with 594 coworking spaces.
New York, Los Angeles and Washington DC have the most coworking spaces of all US metros, as the market for flex space booms amid ongoing uncertainty around the role of physical office spaces.
The New York City metro area tops the list, with 594 coworking spaces, according to a report by CoworkingCafe, and in 2021, there were more than 890,000 remote workers in New York City alone. The city itself had highest number of flexible working spaces (456), mostly concentrated in Manhattan and Brooklyn, which clock in at 333 and 100 coworking spaces, respectively.
“Given the high demand from this demographic, it’s likely that coworking spaces will continue to grow — both in the New York metro and in other places across the country,” the firm notes in an analysis of its data.
The Los Angeles metro (which includes adjacent Orange County) clocks in at number two with a total of 588 coworking spaces. The highest number are in the city of Los Angeles, followed by Irvine, Newport Beach, and Long Beach with 20.
Washington, D.C. comes in third in the CoworkingCafe study with 295 coworking spaces, 98 of which are found within the city itself. Nearby Arlington and Alexandria each have more than 20
And “interestingly enough, Washington, D.C. is the second city on our list where the number of people who work remotely has changed significantly since 2019,” CoworkingCafe analysts note. “More precisely, almost half (48%) of workers in the city were working remotely last year, compared to only 7% in 2019. This accounts for a significant shift that speaks volumes to the demand for coworking spaces in the nation’s capital.”
And at the state level, California tops the list, with 1,188 coworking spaces spread across multiple popular cities. Runner-up Texas had 652.
The tech sector has been driving a resurgence in coworking space interest since the pandemic, with experts saying demand for the sub-sector has come back faster than that for traditional office space.
“With challenges due to supply chain issues, return to office, and cash preservation, companies are re-evaluating their new office space with a focus on flexibility, move-in-ready spaces, and low upfront costs,” Jon Moeller, Managing Director, Silicon Valley at Raise Commercial Real Estate, told GlobeSt.com in an earlier interview. “As most companies are uncertain of their occupancy levels, co-working is a low-capital expenditure, short-term solution during an uncertain time allowing for a gradual return to office strategy with elevated amenities, programming, and the ability to decrease or increase their headcount quickly.”
Experts from Avison Young say they anticipate a five- to ten-fold increase in the amount of flex office space supply over the next decade, depending on the market.
“Occupiers are driving the need for flexible supply growth and the evolution of workplace product diversification will be critical,” Charlie Morris, practice leader – flexible office solutions, Avison Young, tells GlobeSt.com. ”Flexible operators comprise a majority of the existing flex supply and will no doubt have a significant role in the forecasted growth. With that said, the industry must understand that while coworking is flexible, flexible does not exclusively mean coworking.”