WeWork, Cushman & Wakefield to Form $150M Flex Workspace Partnership
WeWork and Cushman & Wakefield plan to start a partnership to help tenants and landlords develop a flexible workspace strategy as demand for coworking continues to increase, The Wall Street Journal first reported.
As part of the deal, C&W will invest $150 million in WeWork’s upcoming merger with special purpose acquisition company (SPAC) BowX Acquisition Corp., which would value WeWork at $9 billion.
“COVID-19 has fundamentally changed the way people work, businesses and landlords have had to rethink their approach to workspace,” WeWork CEO Sandeep Mathrani said in a statement. “Partnering with Cushman & Wakefield will combine WeWork’s industry-leading workplace experience management platform and hospitality-driven community teams with Cushman’s world-class global client and property portfolio to create a solution that helps both landlords and businesses meet the demand for flexible workplaces to fit the changing needs of today’s workforce.”
Details of the deal are still being worked out, but Brett White, CEO of C&W, said in a statement that it will give its clients access to “flexible offerings, best-in-class technology and a seamless tenant experience” from WeWork.
C&W joins a growing number of brokerages and landlords partnering, acquiring, or starting their own flexible workspace arms.
CBRE bought a 35 percent stake in Industrious and Newmark acquired the bankrupt Knotel, while Tishman Speyer keeps adding locations of its coworking brand Studio to its portfolio, even recently taking over a former WeWork space in Hudson Square.
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