Well the theory is this. Company X wants to open an office in London. But they don't know much about real estate, and don't have time to search around for offic

Well the theory is this. Company X wants to open an office in London. But they don't know much about real estate, and don't have time to search around for offices, sign a multi-year lease, or get furniture. But they can sign a deal with WeWork that gets them a 6-person enclosed office that they can move into tomorrow. So you pay a premium to avoid the hassle of doing it yourself. Much like anything in life. And if the expansion into London doesn't work out, they cancel the month-to-month lease with WeWork and their financial exposure is finite. You can't just walk away from a 3-year office lease.