Coworking Fails to Attract Large MNCs Despite Lower Rentals
In Europe, large corporates depend on coworking for expansion in both CBDs & suburban business districts
In Pune CBD areas (Laxmi Road, Camp, Bund Garden, Koregaon Park, Shivaji Nagar, etc.), avg. monthly rentals per coworking desk 33% lower than conventional office spaces
Coworking rentals in IT hub Bengaluru are 20% lower; key areas include M.G. Road, Millers Road, Vittal Mallya Road, Residency Road, etc.
MMR coworking spaces come at 14% lower rentals in key micro markets such as Ballard Estate, Colaba, Churchgate, Fort & Nariman Point
In Chennai & Hyderabad, coworking rentals in CBD areas are lower by 9% and 10% respectively
In Gurugram, flexible workspaces command 6% lower monthly rentals – INR 9,000 – 14,000/desk – against INR 9,500 – 15,000/ desk in regular office space
Apart from flexible work environments and added facilities, coworking spaces provide a substantial cost advantage over traditional office spaces across India’s top cities. Rental savings amount to anywhere between 6% to 33%. Despite this, Indian coworking fails to attract major MNCs the way it does in many European nations, reveals a recent report by ANAROCK on emerging asset classes.
Individually, flexible workspaces in Pune offer the highest rental difference – as much as 33% against comparable spaces in traditional offices. The average monthly rental for coworking spaces in Pune’s CBD areas like Laxmi Road, Camp, Bund Garden, Koregaon Park, and Shivaji Nagar hover between INR 5,000 – 10,000 per desk as against INR 10,000 -12,500 per desk in traditional office spaces (assuming 100 sq. ft. per desk for conventional commercial office space).
