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The thing is that the big owners of office space don't want to be bothered with doing anything. They have made vast sums of money for decades by doing as close
by paggle 7y ago
The thing is that the big owners of office space don't want to be bothered with doing anything. They have made vast sums of money for decades by doing as close to nothing as possible -- they just hold the real estate, and rent it out only to people who are willing to sign 5-year leases. In most cases they would rather let it sit empty and appreciate quietly rather than renting it out for less than 5 years.
WeWork has come in and made a relatively tiny business by installing a "front door" to this office space. They allow the property owner to continue to do absolutely nothing, while making the property easier to consume with shorter leases, a common access pattern for WiFi, coffee, etc. and a modern billing system.
The money made by WeWork, to these property owners, approximates to zero. They hold collectively trillions of dollars of real estate and some vegan weirdos want to make $50B off of them? They don't care. They'll just sit around watching their property appreciate without having to care a whit about what's going on inside.