Co-working space, a form of office accommodation which has grown in popularity since the pandemic, is cheaper to rent in Northern Ireland compared to the UK as a whole, a report has said.
CoworkingCafe, which monitors the market for co-working spaces, said dedicated co-working desks in NI cost £209 per month, 3% below the national median of £215.
Alternatives to traditional offices have expanded since the pandemic, with the trend for hybrid working meaning that many companies no longer want to commit to long-term lets of large buildings.
CoworkingCafe said the biggest provider in the market here was Formation Works, which holds nine office spaces in Northern Ireland.
It has six co-working spaces in Belfast alone, out of 26 in the city, including Meadow House, near Lanyon Place, and The Kelvin, on Great Victoria Street. Outside Belfast, it has spaces in Armagh, Lisburn and Newtownards.
The Kelvin is one of Formation Works’ six co-working spaces in Belfast
CoworkingCafe said: “The co-working trend has been a major shaping force in the development of the post-pandemic work culture, and business hubs across the UK and Ireland have been quick to embrace the flexibility that these modern workspaces offer.
“Fuelled by the headway of remote and hybrid work models, co-working spaces have emerged as a compelling alternative not just to the home office for freelancers, but also to traditional office spaces as businesses strive to optimise costs and maintain flexibility.”
Other big players in NI, according to CoworkingCafe, include Craigavon Industrial Development Organisation (CIDO) and Blick Shared Studios, which have three co-working spaces each.
Read more
Other examples in Belfast include Glandore, which operates Arthur House and Arthur Place, and Clockwise Belfast, which runs offices at River House and VenYou.
VenYou runs Ascot House, Scottish Provident Building, Thomas House and Northern Court.
CoworkingCafe said London was the UK’s epicentre for co-working spaces, with almost 800, followed by Manchester. Bristol placed third with 52, outpunching other bigger cities.
Dublin-based flexible-office business Glandore announced the opening of Arthur Place in Arthur Street in June, adding to its existing flexible space at Arthur House.
Speaking at the time, Glandore director Clare Kelly said: “The office market has changed dramatically in recent years and we are seeing a huge growing demand for flexible workspaces designed to suit individual company needs rather than a one-size-fits-all approach.”
Global software provider Intapp is the latest company to set up at Arthur Place, opening a 2,500 sq ft space at the site.
Co-working spaces are among the category of serviced offices, where overheads such as electricity are included in monthly charges.
In its report on the office market for the first half of 2024, commercial property practice CBRE NI said: “Whilst the serviced office sector accounts for a relatively small portion of the total office stock in Belfast, this sector is continuing to grow as companies look to build in flexibility and reduce day-one capital costs by not having to invest in a fit-out.”
Typically, flexible and serviced office space options allow companies to scale up the number of desks they need on flexible terms.