The market for flexible office spaces remains one of the fastest-growing segments of the commercial real estate sector. According to the advisory firm Savills, despite the challenges facing the market, flexible offices maintain a high occupancy rate. The perception of this sector has also evolved—flexible office spaces are now an integral part of the office market rather than just an additional option.
WARSAW STRENGTHENS ITS POSITION IN THE EUROPEAN FLEXIBLE OFFICE MARKET
The year 2024 was particularly dynamic for the flexible office space market in Warsaw. Operators in the city leased 28,600 sqm across 16 locations, marking an almost 70% year-on-year increase. The most active player was The Shire – Beyond Coworking, which managed to lease over 9,400 sqm across five locations. By the end of the year, the Polish capital offered nearly 205,000 sqm of coworking space across 85 locations, providing approximately 25,000 workstations. Notably, 72% of the space occupied by flexible office operators is located in the city center. In the current year, the flex office supply is expected to grow by at least 6,000 sqm, with ongoing development projects underway. Savills experts highlight that Warsaw’s coworking spaces vary in size, with the average office measuring around 2,400 sqm.
“The flexible office space market in Poland is constantly evolving, and in 2025, we anticipate further changes that will strengthen it. The emergence of new players, such as The Shire – Beyond Coworking and Ace of Space, reflects the growing potential of this segment. It is worth noting that Ace of Space—an operator owned by Globalworth—brings unique know-how to the market, leveraging the synergy between the operator and the property owner. Globalworth manages a portfolio of properties in Poland’s largest cities, offering nearly 580,000 sqm of rental space, which gives them extensive experience in designing and delivering modern office spaces,” says Thomas Jodar, Head of Workthere Poland, Savills Polska.
A particularly interesting trend is the growing popularity of flexible leases not only among small and medium-sized enterprises but also among large corporations. Companies are increasingly looking for models that offer both comfort and the ability to customize office space to their specific needs.
MANAGEMENT AGREEMENTS GAIN TRACTION
Savills’ Workthere experts highlight the emerging trend of operators signing their first contracts under the “management agreements” model. The perception of such agreements in the flex segment, both internationally and in Poland, is gradually shifting, with more property owners and operators opting for this approach. While the definition of this type of contract can vary due to different structuring possibilities, a common denominator is the revenue and profit-sharing model between the property owner and the operator.
“From the operators’ perspective, a management agreement is an attractive formula because it allows for greater flexibility and reduces capital involvement without the need to sign a traditional lease agreement. Until recently, property owners were somewhat skeptical, fearing risks associated with the lack of a formal lease and potential impacts on property valuation. However, they are increasingly recognizing the benefits of well-structured agreements, which can lead to higher revenues and better meet growing investor expectations for offering flexible office space in their buildings. In developed markets, the result has been a significant rise in the number of operators favoring this model in recent years,” comments Thomas Jodar, Head of Workthere Poland, Savills.
CORPORATIONS EMBRACE SERVICED OFFICES
Serviced offices are becoming an increasingly attractive option not only for small businesses but also for medium and large enterprises. In the era of hybrid work, companies require flexible solutions that enable them to swiftly adapt to evolving business needs. Whether it is an urgent need to expand office space, create a more creative environment for specific teams, or secure a prime location, corporations are increasingly turning to flex offices as a convenient alternative to traditional leases. The expanding market offering attracts companies from various sectors, including IT, finance, media, logistics, and cybersecurity, all of which value the ability to quickly tailor office space to their current challenges and growth plans.
TENANTS VALUE SERVICE STANDARDS
As flexible offices become more significant, tenant expectations regarding service quality are also rising. Since the pandemic, there has been a clear shift towards selecting high-quality spaces that enhance work efficiency and reinforce corporate branding. Operators that focus on providing top-tier services and customer experience will gain a competitive edge and achieve higher occupancy rates.
NEW OPERATORS AND HIGHER STANDARDS
Workthere Savills analysts predict that 2025 will see increased competition among operators. In addition to global leaders, new players such as Industrious and Cubo are rapidly expanding across Europe. At the same time, Environmental, Social, and Governance (ESG) principles are gaining importance, emphasizing sustainable development. As a result, well-designed office spaces are fostering comfortable and healthy work environments, which in turn boosts employee satisfaction and productivity. Operators must address these evolving demands to remain competitive in the changing market landscape.
The flex office market is entering a new stage of development, and Warsaw, as one of Europe’s key business hubs, remains at the forefront of these changes. The ability to respond swiftly and flexibly to tenant needs, as well as global trends, strengthens Poland’s capital as a leader in innovative real estate solutions, attracting both domestic and international companies seeking modern workspace solutions.
Source: https://managerplus.pl/elastyczne-biura-wciaz-na-fali-dynamiczny-rozwoj-rynku-flex-w-polsce-93753
