Companies are seeing sense in co-shared office space
Startups can now lease office space for as little as 5,000 per month in Delhi’s swank Connaught Place area with access to conference rooms, Wi-Fi; tax, legal, HR consultancy and more
Smart thinking is enabling s mall companies to get office addresses as swank as Connaught Place, the seventh most expensive office destination in the world. All thanks to co-working spaces, where one company subleases office space to smaller entities.
Companies seeking a foothold in the premium business district of Connaught Place at budget prices or requiring space for teams working on special projects, surplus staff or for business meetings, are sharing subleased offices with others.
At their disposal are fully loaded, beautifully designed workspaces with uninterrupted Wi-Fi; basic technology platforms; tax, legal and HR consulting facilities; food and beverages; coffee vending machines and recreational zones. They don’t own the space but have access to premise maintenance; housekeeping; security; receptionist; office boys; secretarial support; common area maintenance; electricity; water and more.
Many start-ups are now creating co-shared workspaces. “We sign long-term contracts with commercial spaces and convert them into thoughtfully carved out motivational and productive work environments, which are subleased to our members,” says Dr Ritesh Malik, cofounder CEO, Innov8, a startup with coworking spaces in Chandigarh and Delhi’s Connaught Place, which, according to property consultant CBRE has an annual occupancy cost of $147.71 (₹10,000) per sq ft.
At these co-working spaces, companies can get dedicated desks (no one else can use them) and also private offices or business centres (where members have their dedicated soundproof cabins and office spaces).
These co- working spaces are also equipped with meeting rooms, conference rooms, cafeteria, auditorium, interview cabins, and so on, that can be used by all the companies sharing the space, depending on availability of these spaces.
“There are no legal hassles, no headaches of maintenance, landlords and facility management of the offices. You have an office as and when you require with no strings attached,” says Malik.
Co-working spaces are getting to be popular for small and medium sized businesses, freelancers (like photographers, IT Consultants and others), consultants, early stage and mature startups and remote teams for large corporations and MNCs.
One can get a desk for an employee for ₹ 5,000 per month onwards at most of these coworking spaces i n DelhiNCR. The charges of meeting rooms start from ₹ 199 per hour onwards, inclusive of all other services (like space, internet, basic, TV sets, projectors and beverages et c). Business centres are available from ₹ 7,000 onwards depending on the location.
“A typical booking tenure ranges from six to nine months. However, many users, particularly startups do not like to lock in and renew their stay on a monthly basis,” says Vikas Lakhani, co- founder, I nstaOffice, a co- working space provider that launched its first centre in February 2016 and already has over 75 clients on board.
“There is a clear benefit of nearly 40% in leasing coworking space (depending on the scale and facilities offered) compared to taking a conventional lease for 10 people. If you were to also consider one-time setup costs, this benefit goes up to nearly 70%,” adds Lakhani.
Landlords and service providers benefit too. Demand pattern for landlords earlier used to the traditional model of leasing their large properties to single clients for a number of years for a regular rental yield has become more dynamic with a very high churn rate. Read the full story on www. hindustantimes.com/realestate
Top and above: Chill out space at the Innov8 office