Mergers and Partnerships in Coworking: How they are shaping the Industry

Introduction: The Coworking Industry at a Turning Point

The coworking industry has come a long way from being a niche concept for freelancers and startups. In 2026, it is going to be a multi-billion-dollar global sector attracting attention from real estate giants, technology companies, hospitality brands, and even government agencies; you can bet mergers and partnerships in coworking will play a significant role.

In fact, one of the most pivotal drivers of change today is industry consolidation—through mergers, acquisitions, and strategic partnerships. These collaborations are not just about market expansion; they are reshaping how coworking spaces operate, innovate, and deliver value.

From global coworking brands merging to increase market reach to tech companies partnering with workspace operators to enhance hybrid work capabilities, the landscape is shifting fast.

In this article, we explore the key ways mergers and partnerships are shaping the future of coworking, notable examples, and what this means for space operators, members, and investors.

Why Mergers & Partnerships Are Growing in the Coworking Sector

Market Maturity

Coworking is no longer a new experiment—it’s a proven real estate and business model.

As the market matures, consolidation becomes a natural step for growth and efficiency.

Competitive Pressures

With more players entering the market, coworking brands are:

• Combining forces to achieve economies of scale.
• Expanding into new cities and countries faster.
• Pooling resources for marketing, technology, and amenities.

Demand for Hybrid Work Solutions

Large corporations are increasingly adopting flexible workspace strategies.

Partnerships between coworking brands and enterprise-focused service providers ensure these needs are met efficiently.

The Impact of Mergers on the Coworking Landscape

Mergers allow coworking brands to:

• Increase market share quickly by absorbing competitors.
• Gain prime locations without starting from scratch.
• Reduce operational costs through shared infrastructure.
• Standardise member experiences across multiple cities.

Example:

When two large regional coworking operators merge, they can offer multi-location access to members, making them more competitive against global brands.

Partnerships That Are Reshaping Coworking

Not all collaborations are mergers—strategic partnerships are equally transformative.

Tech Partnerships

• Goal: Enhance hybrid work capabilities.
• Examples:
• Coworking brands integrating desk-booking software from tech startups.
• Partnerships with video conferencing providers for seamless hybrid meetings.

Real Estate Partnerships

• Goal: Expand into prime commercial spaces.
• Examples:
• Landlords offering profit-sharing agreements instead of fixed leases.
• Developers building coworking into new mixed-use developments.

Hospitality Partnerships

• Goal: Create lifestyle-driven coworking experiences.
• Examples:
• Hotels converting unused areas into coworking lounges.
• Resorts offering workation packages with coworking access.

Corporate Partnerships

• Goal: Provide enterprise-grade flexible workspace solutions.
• Examples:
• Partnerships with large companies to manage dedicated corporate coworking hubs.
• Offering employee coworking memberships as part of hybrid work policies.

Notable Examples of Mergers and Partnerships in Coworking

IWG (Regus & Spaces) Acquisitions

IWG has been aggressively expanding its portfolio through acquisitions and partnerships with property owners.

Their franchise model allows rapid growth without heavy capital investment.

WeWork Strategic Alliances

Even after its restructuring, WeWork has formed partnerships with:

• Tech providers to enhance member experience.
• Real estate developers to secure prime city centre locations.

Industrious & CBRE Partnership

Industrious partnered with real estate giant CBRE to integrate flexible workspaces into commercial office portfolios, catering to enterprise clients.

Coworking + Hotel Collaborations

Brands like Selina are merging hospitality with coworking, creating global nomad-friendly hubs in prime destinations.

Regional Trends: Mergers & Partnerships in the Middle East

The Middle East coworking market is also seeing consolidation and strategic alliances.

Dubai

• Partnerships between coworking operators and free zone authorities to provide plug-and-play offices for startups.
• Luxury hotel brands integrating coworking lounges to cater to business travellers.

Riyadh

• Government-backed innovation hubs partnering with private coworking operators to support entrepreneurship under Saudi Vision 2030.
• Local coworking brands teaming up with international operators for knowledge sharing and network expansion.

How These Deals Benefit Coworking Members

For members, mergers and partnerships can deliver:

• Greater network access – Work from multiple locations under one membership.
• Better amenities – Enhanced technology, upgraded meeting rooms, and wellness spaces.
• Lower costs – Economies of scale can result in more competitive pricing.
• Consistent quality – Standardised service across all branches.

Risks & Challenges of Consolidation

While consolidation has benefits, there are risks:

• Loss of local identity – Smaller, community-driven spaces may lose their unique culture.
• Price standardisation – Merged entities may align prices, reducing affordable options.
• Operational integration issues – Merging systems, staff, and cultures can be complex.

Operators need to balance scale with maintaining their unique brand experience.

The Role of Technology in Facilitating Partnerships

Technology is making it easier for coworking brands to integrate after a merger or partnership.

Key tools include:

• Unified booking systems across multiple locations.
• Member management software that integrates billing, events, and communication.
• Data analytics to track member usage and improve service delivery.

Predictions for the Future of Coworking Mergers & Partnerships

By 2028, we can expect:

• More cross-industry partnerships – Coworking merging with retail, education, and healthcare spaces.
• Regional mega-operators in Asia, the Middle East, and Africa through strategic mergers.
• Greater focus on enterprise partnerships – Dedicated flexible work hubs for corporate teams.
• Green coworking alliances – Operators partnering to share sustainability resources and certifications.

Tips for Coworking Operators Considering a Partnership or Merger

If you run a coworking space and are considering collaboration:

1. Identify shared goals – Choose partners aligned with your mission and audience.
2. Protect your brand identity – Ensure your values remain visible post-merger.
3. Negotiate flexible terms – Especially for revenue sharing and operational control.
4. Leverage complementary strengths – Tech, design, community building, or real estate expertise.
5. Prioritise member experience – Keep customer satisfaction at the core.

Conclusion: Collaboration is the Future of Coworking

In 2026, mergers and partnerships are not just survival strategies—they are key drivers of growth in the coworking industry.

By joining forces, operators can:

• Expand networks.
• Enhance services.
• Meet the growing demand for hybrid, flexible work solutions.

The coworking spaces that thrive in the future will be those that embrace collaboration without losing their community essence.

Whether it’s a global brand acquiring a regional operator, or a local space partnering with a hotel, these strategic moves are shaping the next chapter in the coworking story.