Hong Kong has Asia-Pacific’s highest prices for co-working space, while demand for flex desks surges in Singapore: study

Hong Kong has the most expensive rates for flexible or co-working space in the Asia-Pacific region, and prices are likely to rise further this year as demand is set to increase by a fifth, according to a report by flexible office space provider The Instant Group.

With a monthly average of US$609 per desk, Hong Kong tops the 13 Asia-Pacific cities tracked in the study. Rates in the other cities in the region ranged from US$339 to US$545. After Hong Kong, Shanghai has the second most expensive price at US$545 per month, followed by Tokyo’s US$515.

Demand in Hong Kong is forecast to increase 20 per cent in 2023 compared to 2022, resulting in a 3 per cent increase in rates, said the company, which based its report on its own data and available data from the rest of the industry.

“Overall across Asia-Pacific, occupier confidence is returning to the flex market, with markers such as demand and the number of transactions all continuing to grow,” said Sean Lynch, managing director at The Instant Group Asia Pacific. “Companies are taking on flex as an agile workspace solution. However many are still reluctant to commit for long periods of time due to ongoing economic uncertainties.”

In co-working spaces, tenants typically share facilities such as pantries, washrooms and meeting rooms with other tenants. Organisations and individuals can subscribe for memberships or lease space, typically with more flexibility than traditional leases, such as shorter duration of tenancy.

Singapore, where the average monthly rate is US$488, will see the region’s biggest increase in demand this year, at 41 per cent, the report said.