When UK property company British Land created a flexible office brand last year, it opted not to include the perks offered by fast-growing rivals such as WeWork.
“We are aiming at a more grown-up business [as a typical tenant]…that wants a more sophisticated, mature offer, that does not include ping-pong tables and free beer,” said Tim Roberts, head of offices at British Land.
But like WeWork, British Land has realised flexible offices are big business: more than a year on, it is earning a 48% net rent premium on its flexible leases — which are typically short term and include services such as cleaning and WiFi — compared with traditional lease deals.
