Startups driving growth of co-working spaces

Harsh Lambah, India Country Manager, IWG Group, tells about the trends in the business centre and co-working space to B Krishna Mohan

By Author  |  Published: 10th Nov 2018  12:06 amUpdated: 10th Nov 2018  10:03 am
With Hyderabad seeing a startup wave, there is demand for different sized offices.

IWG is the global operator of workspace providers. Its companies include Regus, Spaces, No18, Basepoint, Open Office and Signature. Regus has been in India for sometime and is among the first of the co-working spaces. The company, which was founded 30 years ago, has recently launched Spaces in key cities in India.

Journey so far

We have begun our operations with Regus. Regus has been among the pioneers to offer work space as per the need. We offered secretarial services, postal address, internet connectivity and others that are needed for an office on a pay-per-use basis. This set up allowed the startups to plan their growth without having to spend more on physical infrastructure.

Growth drivers

Startups and small companies are the key clients for co-working spaces. With Hyderabad seeing a startup wave, there is demand for different sized offices. In a new trend, bigger companies too are now keen on co-working spaces. The leisure ambience of these is a big positive as it enhances the office productivity. Regus is already present in Hyderabad and we will soon bring Spaces, which will be a large format co-working space.

Rentals

The cost per desk is now around Rs 8,000 and increases with the services sought. Each desk space is about 100 sqft. Typically, startups tend to have two or three desks in the initial stages and then increase to six or more as they grow. They typically stay in the unit for fairly long duration.

Customisation

We will work with developers to offer customised office spaces based on the demand. This will ensure that the clients stay for long period. In Hyderabad, it is looking to open its new co-working space brand- Spaces. Apart from being bigger in size, these will use built to use more natural elements. This will be about 60,000 sqft and will mean a direct employment to about 600 people in addition to the ancillary and indirect jobs.

Footprint

With presence in 3,300 location in over 1,000 towns and cities across 110 countries, more than 25 lakh people work our facilities. We employ about 10,000 people globally.