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> You don't understand the business. You think WeWork is for individuals like you. It's not. It's for enterprises. What's your definition of "enterprise" leas
by avinium 7y ago
> You don't understand the business. You think WeWork is for individuals like you. It's not. It's for enterprises.
What's your definition of "enterprise" leasing? 200+ sqm leases for 3 years?
Either way, I guess we'll have to wait for the WeWork S-1 to see whether or not your assessment is correct.
However, if my personal experience of 5 (admittedly international) WeWork offices is anything to go by, it's not. The tenants I saw were overwhelmingly 3-10 person teams (and when they exceeded that number, they moved out and traded up for a more traditional/permanent office lease).
Of course, that's just anecdotal, and hardly statistically significant. You might be right - if so, I'm guessing their S-1 will show 30%+ of revenue from longer-term enterprise leases.
But even if that's true, I still don't see it as an advantage. Serviced offices and independent coworking spaces offering "spillover" space for enterprises are a dime a dozen. I'll grant that WeWork might have an advantage in interior design & fitout - but again, so what? How many companies will pay a premium for a "WeWork designed office"? How many even care?
This is obviously a lot of speculation about what businesses want and what they're willing to pay for. Maybe you're right, maybe I'm right - who knows. We'll keep a close eye on the numbers and see which one is correct.