International real estate advisor Savills has today (23/10/2019) launched Workthere, a website listing platform (workthere.com) and brokerage service that helps businesses find flexible, coworking and serviced office space, in Vietnam.
Originally launched in the UK in February 2017, Workthere has since expanded to eight countries globally with local teams in Singapore, Germany, France, Spain, Ireland, the Netherlands, the US and now Vietnam.
Since the concept was first introduced in Vietnam in 2012, co-working space has expanded rapidly across the country. Between 2018 and 2019 Savills reported that the supply of coworking space has increased by 64%. In the same period, 57% of the total scale of office transactions in Vietnam came from the Real Estate Industry, 85% of which was from co-working space. The rise in the number of coworking locations across Vietnam has been driven by the growth of startups, and the need for cost-effective spaces. Amid strong expansion by both local and international operators, co-working is primed for further rapid growth in Vietnam in the coming years.
Existing co-working providers in Vietnam such as Toong, Dreamplex, Up and Regus with their co-working brand Spaces are set to open more venues as they seek to achieve economies of scale, establish their networks and gain market share. The entry of international operators in the Vietnam market is expected to usher in a period of consolidation and partnership agreements, a trend that is already occurring in other markets throughout Asia Pacific.
Yann Deschamps, head of Workthere Asia Pacific, comments: “Demand for flexible office space in Vietnam will continue to be driven by freelancers, local & international start-ups, and small corporates. International start-ups, digital nomads and freelancers seeking affordable workplaces could also consider relocating to Vietnam to grow their businesses. This growing demand both from domestic and overseas occupiers called for a more advanced solution than the traditional leasing service, which explains the introduction of Workthere in Vietnam.”
Cal Lee, Founder & Global Head of Workthere, comments: “We are delighted to see our market coverage expand in APAC where the co-working realm is evolving faster than in other regions in the world. Vietnam has seen phenomenal growth in the flexible workspace sector, with many new venues coming to the market. At the same time, demand for flexible workspace continues to grow as more businesses, including startups, SMEs and even larger corporate companies, are seeing the benefits of flexible workspace over a more traditional lease.”
Workthere will provide listing service for flexible workspaces in Vietnam and leasing services for landlords, operators and occupiers through mobilising local Savills consultants. Workthere’s current coverage includes 50 locations in Hanoi, HCMC and Da Nang and is set to further expand along the rapid growth of Vietnam flexible office market.