The Malaysian Reserve Expects a Trend Uptick Amidst New Working Behaviour
The volume of co-working spaces in the country is expected to grow between 30% and 40% year-on-year post-coronavirus with large corporations and multinational companies being the main drivers.
While having experienced a short-term dip in demand due to the stay-at-home order, co-working space operators are now facing capacity challenges in meeting the safe distancing requirement.
Despite the temporary weaker demand, there is less likely a reversion to the conventional office as the Covid-19 pandemic has accelerated the adoption of the new way of working, which offers flexibility and digital services under one roof.
More corporations have shown interest in shared working spaces, particularly from the telecommunications, information and communications technology, and banking sectors given their ingrained culture and understanding towards digital services and the new working environment.
The communal working spaces will continue to be upgraded in terms of the services they offer to be more than just a space for work. This is in line with higher expectations from corporate clients who look for flexible and cost-effective alternatives of real estate.
Co-working spaces have evolved to meet the demands of more sophisticated clients. Their needs and demands for facilities and services at the place they work have increased.
While corporate clients are embracing the co-working sphere, small and medium enterprises (SMEs), entrepreneurs, individuals and the gig economy are the ones that will continue carrying the co-working space market as per the past 10-15 years.