IWG PLC (International Workplace Group), which is incorporated in the U.K. and headquartered in Switzerland, owns the Spaces and Regus brands, which together represent the largest flexible office porfolio globally, with more than 3,300 locations across 1,200 cities in 110 countries. The company’s CEO Mark Dixon is so confident in his company’s future that he has announced plans to launch a $390 million stock offering and has already invested $110 million of his own money. Dixon believes that changes in the office market will benefit flexible office providers, creating greater demand for flexible office space, especially in locations near residential neighborhoods. As a result, he is positioning his company for growth.
IWG’s flexible office brands were already forming partnerships with landlords prior to the pandemic for a share in upside in exchange for favorable lease terms. The firm also recently launched a franchising model to catalyze growth, with the goal expanding its footprint to 50,000 locations by 2030. This strategy has enabled the company to already offload its locations in Japan, Taiwan and Switzerland, along with any risk, to franchisees. In addition, IWG has signed deals with 28 other franchise partners in Germany and Guyana, reports Fortune. Plus, IWG is among flexible office providers who might benefit from the projected surge in demand for suburban office space, as it has 72 co-working locations in the New York City suburbs, according to a Bisnow report.