Hard times for the flexible office market in Romania

The year 2020 started with 106 coworking spaces and common offices, of which about 80 percent in Bucharest, according to a market report by aSpace. These offices totaled an area of 84,000 sqm. After this niche had increased, the pandemic completely cut off its momentum.

The exit of the flexible space provider New Work had the most significant impact on the sector. The company had rented 2,800 sqm for 84 offices on the 7th floor of the first building in AFI Tech Park, including a conference room and 8 meeting rooms. Upon entering the market, in 2019, the company intended to develop at least 5 centers in Bucharest by 2020. Also Impact Hub was forced to close the headquarters of about 1,600 sqm rented in the Timpuri Noi Square complex, owned by Vastint.

The largest provider of coworking spaces in Romania is the company IWG, which operates locally through the Regus and Spaces brands. The company has 12 spaces in Bucharest, with an area of 25,000 sqm, meaning a market share of over 30 percent. Ramona Iacob, country manager of IWG in Romania, says that the occupancy rate of the spaces she manages has remained constant in 2020 and she is optimistic about the evolution of this one in Romania.