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Co-working Expands Footprint Across Region
The San Diego market now contains more than 1.2 million square feet of co-working spaces across 90 locations representing 1.6% of the total 77 million square feet of office inventory countywide. New research by Cushman & Wakefield reveals, by submarket, Downtown San Diego comprises the largest share with 20% of total co-working inventory/square-foot, followed by Carlsbad (15%) and UTC (10%).
Cushman & Wakefield’s Jolanta Campion says, “Co-working is gaining popularity among tech startups and creatives such as marketing and web design companies, along with freelancers and independent contractors from the FIRE employment sector. Physical and financial flexibility are becoming the new ’normal’ for the twenty-first century workforce, and co-working supports these needs.”
Campion added, “Over 960,000 square feet of existing co-working spaces or 78% of the total co-working inventory in San Diego have opened in the past eight years. A number of providers are seeking to expand their footprint in San Diego, hoping to ink deals for space within the next year.”
According to Cushman & Wakefield’s report, Regus is the largest co-working space user in San Diego with 288,000 square feet or 22% of the region’s inventory. Regus operates 18 locations, just one of which falls under its Spaces brand factored into the totals. WeWork has the second largest market share with nearly 141,000 square feet. The co-working giant’s local San Diego footprint consists of just two locations, one in Downtown as well as its recently- occupied location in UTC.
Other significant occupiers include Premier Business Centers, Boxer Workstyle, Small Offices 4 Rent, and Barrister Executive Suites, with a number of other co-working businesses making up the remainder. *Pictured Moniker Commons at San Diego’s Liberty Station
Interestingly, a number of specialized co-working spaces have emerged, including ones for film production and entertainment, legal services, life sciences, nonprofits, technology and female entrepreneurs.
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