Perspectives 2019

The future of flex Bristol also looks likely to continue to benefit from its growing tech sector, which will drive further demand for flexible workspace in the future. What do these developments mean for the future of flex? Despite ongoing political and economic uncertainty in the UK, the future of the market looks strong. Our research in C&W’s recent Coworking 2019: The UK Flexible Evolution Continues report shows that the sector continues to grow in both number of transactions and overall percentage of stock; and in the capital, flexible workspaces will account for at least 5.5% of central London office stock by the end of 2019 – three years sooner than predicted in 2018. In the regions, flexible workspace operators are concentrating their acquisition activity in locations providing the highest volume of quality Grade A space. However, we also found that areas with a tight development pipeline may struggle to attract the larger flexible providers – and that, following the pre-letting trends seen in the central London market, the development pipeline in the wider UK is being eroded as occupiers look further ahead to secure the best office space. In markets where large, quality schemes can be offered, however, flexible workspace provision is likely to continue growing. Other opportunities to look out for include the trend in traditional landlords seeking to increase the amount of flexible workspace within their own portfolios, just as they have done in London. New schemes in the development pipeline will likely comprise more flexibility and collaborative features; a good example is McLellan Works in Glasgow, where Bywater Properties is set to deliver a mix of pure coworking and SME space in an old 19th-century department store. Schemes such as this further blur the boundaries between office, retail and hospitality – a differentiator that will continue to attract occupiers seeking forward-looking office space that meets their flexibility requirements. Despite ongoing political and economic uncertainty in the UK, the future of the market looks strong. 17 #TRENDING CUSHMAN & WAKEFIELD