The Need of Co-Working Spaces
The need of workplaces is shifting from traditional office spaces that require long-term contract commitments to a more sophisticated and flexible environment, this is because of the Kingdom’s continuous economic diversification and changes.
There is an increase in demand for co-working spaces where entrepreneurs, small to medium sized enterprises (SMEs), and freelancers can share affordable and flexible offices and services. These spaces may seem increasingly common in countries such as the U.S and the U.K but they tend to have a low penetration rate in Saudi Arabia which represents a substantial opportunity to transform some of the Kingdom’s available commercial properties into co-working spaces.
Co-working spaces provide companies and individuals with a couple of benefits which is the reason why the need of co-working spaces is growing. Co-working spaces are affordable, they are cheaper than traditional office spaces, they are flexible as their sizes can be quickly increased or reduced. They also provide occupants with the ability to mix and network throughout the workday which can lead to a creative exchange of ideas, collaboration, and exposure to technology.
Saudi Arabia is currently facing a challenge in promoting the growth of co-working spaces by encouraging investors to form partnerships with relevant stakeholders and to promote investment in this type of office spaces. Investors have an opportunity to build co-working spaces as its demand is increasing since this would benefit freelancers, entrepreneurs, and SMEs. Finally, it would pursuit the country’s vision 2030 and make it a more diverse economy.