Covid-19 and its impact on the Coworking sector

Divya Sitlani
Divya Sitlani is the Client Relationship Manager at The Address. If you ever happen to visit The Address' Ahmedabad offices, do not miss to stop by and say Hi to her.

The pandemic has turned the world upside down and has changed businesses and their operation in a myriad of ways. Amidst this unfortunate situation, the question that arises is that how will the post pandemic era affect coworking and coworking spaces?

Many have casted a critical eye on the coworking model and how it will lose its charm and effect. This is because employees would not find it safe to share an office space with workers from different industries however, thankfully this is not the case.

Coworking, an innovative concept that wasn’t given due credit a decade before is now making people’s heads turn.  We, at The Address, a coworking brand are well known for designing coworking spaces and shared office solutions to help businesses elevate in their respective markets. The ecosystem adopted during coworking entails for a rather flexible, creative, productive and collaborative environment. 

Just like any other business, Covid-19 has definitely taken a toll on our business too; however, we have managed to find a way out. Employees resorted to working from home but even so that couldn’t have been a sustainable option. This is owing to the fact that working from home can have its own set of consequences such as – a person can work at their own pace – rather slowly, can get bored without seeing people/crave human interactions and will have to bear countless distractions. 

Coworking spaces are thereby here to stay and are bound to withstand all these odds. They are becoming the ideal office model as they instill a strong sense of community spirit and strength that is of dire need at this point of an elaborate health and economic crisis. 

Moreover, The Address has provided cleaning protocols, a vaccination drive and encouraged social distancing to ensure that the business works smoothly. Coworking spaces are going to emerge more strongly during these times as companies would look for areas that provide a safe and healthy environment.

Employers are getting greedy for coworking spaces due to the long term benefits associated with them. They are in search of offices which are highly flexible and are at prime locations. This ensures cost cuts and accelerates expansion which is the need of the hour during the appalling crisis. A crisis where some businesses will be permanently shut and many dreams will be washed away.

All in all, one can conclude that coworking will weather the storm by undergoing a set of alterations and be a hit post the Covid-19. The Global Coworking Growth Study estimated that approximately 5 million people will be working from co-working spaces by 2024, an increase of 158% compared to 2020.

Accessibility, technology, flexibility, agility, and space management will be the key players in coworking and coworking spaces. Investors will definitely face a bit of pressure temporarily, however, their values and feelings will be of progression to rebound from the crisis.