Co-working spaces seems to be gaining traction. The supply was about 7-7.5 million sft in 2018 and by the end of 2019 the co-working space crossed 12 million sft. At present there are over 200 co-working players operating across the country and the top seven operators in the co-working space have over 350 co-working centres spread across cities. The number of centres of large co-working operators in the country is likely to double or treble in the next two years. The top operators are Cowrks, WeWork India, Awfis, Regus, Smartworks, 91springboard and OYO Workspaces.
According to Anarock Property Consultants, the number is likely to double or even treble in the next two years, given the rate at which the leading players actively leased spaces across major cities in 2019. "Despite the WeWork debacle in the US raising questions about the future of the co-working business, the segment has emerged as a "viable asset class" for landlords and operators in India," said Anuj Puri , MD of Anarock to a business daily. He reasoned that millennials will account for 50% of the global workforce by 2020 and it is this influential segment that has been at the core of the co-working story in India and will continue to drive demand for such spaces in the country.
While the current lease-based structure does not offer much flexibility and cost efficiency; it is expected that in 2020 there will an increase in the ownership model, developed in partnership with landowners, developers or the space providers. This arrangement will create built-to-suit spaces that are customised as per the tenant's needs.