L.A. Co-Working Operators Sign Largest Office Leases in Q1

Los Angeles

Co-working operators are driving absorption of large blocks of space in Los Angeles. In the first quarter, flexible space providers were responsible for the largest leases, with WeWork alone signed 319,000 square feet of space in new submarkets in Greater Los Angeles, according to research from JLL. Office absorption totaled 600,873 square feet in the first quarter, meaning that more than half of the total absorption came from WeWork leases. This leasing activity is a reflection of the strong demand for flexible space options.

“Co-working operators have taken up very traditional space and converted it into creative space. That takes away from more traditional firms and professional services firms,” Mike McRoskey, managing director at JLL, tells GlobeSt.com. “Co-working is really catering to the tech, media and entertainment companies and other companies that need more flexible space options.”