Time is ripe to invest in the flexible workspace industry

THE pandemic has accelerated not only digital transformation but also the growth of flexible workspace trends around the world.

Moving forward, the post pandemic environment will drive demand for flexible workspace. Additionally, this sector could play a key role in post-COVID-19 recovery.  

There has also been a shift of demand in the recent times for flexible workspace in suburban areas, especially in the US and UK. Thus, more people and global brands are looking at strategic locations that are beyond the city centres.

On the local front, flexible workspaces are due to grow exponentially as companies of all sizes adopt progressive hybrid work patterns.

Businesses have realised that a hybrid model not only means happier and more engaged employees, but also a significant saving for the bottom line. A study by EY shows that companies can save about US$11,000 for each employee that works in a hybrid manner.

Foreseeing the demand for flexible workspace in Malaysia in the coming years, Sheng Tai International Sdn Bhd has inked a landmark agreement with the world’s largest global workspace provider, International Workplace Group plc (IWG), whose brands include Regus and Spaces to open flexible workspace in country.

With the agreement, the diversified property development and real estate outfit becomes IWG’s first Malaysian partner since the latter opened up franchise opportunities in 2019 in the country.

“We believe this is the right time to invest in the flexible workspace industry in Malaysia, especially in Melaka in line with the optimistic outlook post-COVID-19 for the state and country,” commented Sheng Tai International’s founder and chairman Datuk Leong Sir Ley.

“The pandemic has provided Melaka as well as flexible workspace industry an additional edge.”

Sheng Tai International has already invested approximately RM8 mil to begin this partnership with three centres in the company’s commercial properties in Melaka.

The first centre which will be developed under Regus will open in Melaka Trade Square (Metrasquare) – a 6-acre commercial development comprising a residential component located just five minutes’ drive away from the Ayer Keroh toll off the North-South Expressway – by the end of 2Q 2021.

The second centre, under Spaces, will open at The Sail in 2025.

“With our unique establishments in Malaysia coupled with IWG’s modern and world-class amenities, we are poised to appeal to discerning entrepreneurs, SMEs and multinational corporations, re-energising the economy in and around Melaka,” enthused Leong.

“We also look forward to opening more flexible workspaces throughout Malaysia in the next five years.” – March 19, 2021

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