Investors and landlords must re-evaluate their investment strategies in response to the agile revolution. This report by CBRE Research identifies and explains the key approaches and challenges for core, value-added, and opportunistic investors seeking to capitalise on the boom in flexible spaces.


The rapid growth of flexible spaces, which expanded by 57% in 2017 in major Asia Pacific markets, is altering the structure of office leasing demand. In H1 2018 alone, 15% of office leasing transactions in the region involved agile spaces.


While less than half of coworking operators in Asia Pacific are profitable, larger and more established providers are performing well. Flexible space operators must ensure their business model is sustainable and can survive the next downward cycle.


Selected transactions involving buildings with flexible spaces in major business districts show they do not command a significant premium over similar properties without agile spaces. However, non prime buildings with flexible spaces can achieve a capital value premium of around 5-10% over similar properties without these spaces.