Difficulty finding talent, cost pressures and evolving work patterns are transforming how corporates think about their office footprints. Increasingly, they are turning to flexible (‘flex’) workspaces – offices they can move in and out of at short notice and scale up and down as required – to meet their dynamic needs.
Corporates now make up 47% of flex office occupancy worldwide, up from just 13% in 2020, according to Workthere’s fifth Flexmark operator survey. Global corporates represent 29% of flex occupiers, while national corporates account for 18%. This signals a new phase in corporates’ workplace strategy as they place greater emphasis on adaptability.
Corporates now account for 47% of flex occupancy
Source: Savills Research using Workthere Flexmark Operator Survey
*‘Other’ category principally consists of individual members
Why are global corporates leaning into flex?
Access to talent
For multinationals, access to skilled labour is a major driver in their growing use of flex office space. In the recent Savills occupier survey, conducted jointly with CoreNet, 63% of respondents reported decreased talent availability in their headquarter location in the past three years, a trend most pronounced in established western markets.
This shortage of talent is prompting companies to rethink where and how they grow – and look at more flex workspaces as a result. “Multinationals increasingly use flex offices to establish a foothold in APAC markets with deep talent pools, high language proficiency, internationally competitive salaries and lower real estate costs,” explains Piers Mallitte, Head of Savills Workthere Asia Pacific. “By allowing quick entry and scalable occupation, flex space supports both temporary project teams and long-term operational hubs without the delay or capital outlay of traditional leases.”
A related trend is the rapid growth of global capability centres (GCCs): shared service and innovation hubs of multinational companies that handle functions such as IT, R&D, customer support and accounting in lower-cost locations for talent. India, home to more than 1,700 GCCs, leads globally. And flex workspace plays a key enabling role. Mallitte adds: “In Bengaluru, global occupiers represent 85% of flex office occupancy, reflecting the city’s attractiveness as a GCC location, with its depth of technology talent and mature operator ecosystem.”
In Europe, GCCs cluster in Central and Eastern Europe, led by Poland. Warsaw is a key hub, where flex offices support GCC expansion and global corporates account for around one-third of flex occupancy. Elsewhere, multinationals are also targeting cities with strong talent pools such as Manchester in the UK and Frankfurt in Germany.
In North America, demand for flex space is led by start-ups and SMEs. “Securing permanent space in talent hubs such as New York or Los Angeles can be prohibitively expensive,” says Griffin Foley, Head of Savills Workthere Americas. “Flex offices offer a cost-effective solution, providing high-quality workspaces that help attract and retain talent.”
Share of leasing activity by occupier type
Source: Savills Research using 2025 Workthere Flexmark Survey of operators globally
Efficiency, cost and agility
Rising costs and shifting market conditions are also driving corporates towards flex spaces. As corporate real estate functions become more centralised, demand for turnkey, serviced environments is rising. Flex simplifies local requirements and frees capacity for strategic decision-making.
With fit-out, energy and maintenance costs increasing sharply – and conventional office delivery taking many months, fully equipped flex spaces offer a faster alternative with lower capital expenditure. In uncertain economic conditions, flex also allows occupiers to quickly scale their office footprint up or down as their business needs evolve.
What corporates want from flex offices
As corporates’ demand for flex spaces increases, their requirements are also evolving. Hybrid working models, coupled with rising employee expectations of greater quality and choice of amenities and workplace settings, mean providers must offer environments that support collaboration and wellbeing. For example, flex collaboration zones are now a top priority for occupiers globally. Workthere’s annual Flexmark Report found that 86% considered collaboration spaces important or very important. In the UK, this is the most sought-after feature.
Sustainability credentials are highly valued in Europe, with 60% of European operators saying they are important or very important to members. “Across Europe, sustainability credentials are key,” says Ed Bouterse, Head of Savills Workthere Europe. “This is evident in demand for everything from low-carbon building credentials to practical measures that make greener travel feasible.
“Facilities such as secure bike storage, lockers and showers are consistently valued by occupiers and can materially influence tenant choice and their willingness to pay more for higher-quality space. For occupiers, these features are as much about talent attraction and retention as they are about net zero commitments.”
But there are different priorities in the US. Half of operators reported members were neutral about sustainability features, with end-of-trip facilities generally considered ‘less important’. Instead, US occupiers prioritise car parking and on-site gyms, which rank higher here than anywhere else globally.
Top 12 most requested flex office features
Source: Savills Research using 2025 Workthere Flexmark Survey of operators
What are the different types of flex space?
As the profile of flex office users broadens, both specialist operators and landlords are expanding the types of space they offer to meet occupiers’ increasingly diverse needs.
- Serviced offices are the most turnkey. They are fully fitted, branded and operated by a provider, allowing businesses to move in almost immediately with minimal capital expenditure and operational overheads.
- Managed offices sit between serviced offices and traditional leases, giving occupiers greater control over layout, branding and exclusive use of the premises, while an operator or landlord handles day-to-day services.
- Pass-based platforms provide access to networks of offices, enabling geographically dispersed teams to book workspaces on demand via multi-location memberships.
“The provider landscape is evolving,” says Cal Lee, Global Head of Savills Workthere. “While specialist operators have historically dominated, landlords increasingly partner with operators via management agreements or run flex offers directly.” In the latest Flexmark survey, 66% of respondents identified growth in such management agreements as the most significant trend in the next five years, while 47% pointed to growth in direct landlord products and 43% to the rise of white-label landlord models.
Most significant change expected in the flex office market by 2030
Source: Savills Research using 2025 Workthere Flexmark Survey of operators
Flex workspace is becoming a core part of corporate real estate strategies – and the market is evolving in response. Looking forward, flex is likely to remain a key lever for corporates seeking to respond rapidly to new workforce patterns, new market opportunities and changing economic conditions.
Read the full Workthere Flexmark report.
