Private Capital

Flex Workspaces in India

19 Sep 2025

Investment thesis

Large market opportunity for the super-premium segment with potential to increase market share due to growing demand for super premium flex workspaces
Competitive landscape is driven by premium flex workspaces and managed offices with IPCs ( brokers) managing the demand and supply within the market
Comprehensive and tailored workspace solutions offered by premium flex workspaces players serving both flex workspaces and managed office spaces
Premium positioning of flexible workspace player basis superior - grade properties, expansive carpet areas per seat, enhanced amenities, elevated employee engagement, and premium fitouts
Qualitative and quantitative criteria like quality of amenities, design, price and location are the key determinants for deciding a partnership with a flex workspace player
Framework to analyse return on capital employed per property

Key Insights

Insight 1: As of CY23, total flexible workspaces stock is 67 M sq. ft. with a sizable economy & premium segment workspaces and only 3% space taken up by super premium segment

Insight 2: 60-65% of flexible workspaces demand is driven through brokers in India, with brokers participating in the value chain at two nodes

Insight 3: Multiple players in the flexible workspace industry cater to different needs of the customers; can be classified into 7 broad categories

Insight 4: Higher grade properties, higher carpet area/ seat, more amenities, better employee engagement and better fit-outs drive premiumness for a flexible workspace player

Insight 5: Customers have different KPCs ranging from price, location, compliance, etc. that enable them to decide for a partnership with flex workspace players