January 24th 2019
Research by our Serviced Office brokers at Click Offices has found that the Dublin Serviced Office market grew by over 50% in 2018, with 8,000 new desks (equating to 400,000 sq. ft.) coming to market.
This is a significant improvement on 2017, which saw an increase of 30% in serviced office space in Dublin, or 3,000 extra desks, which was reported on by The Irish Times, The Irish Examiner, Business World, BreakingNews.ie and The Times UK.
There are now over 23,000 desks, (1,150,000 sq. ft.) of Dublin Serviced Office space available, up from just 15,000 desks (750,000 sq. ft.) last year.
Click Offices expects the Dublin Serviced Office market to grow even further in 2019. An additional 6,500 desks (325,000 sq. ft.) are expected to become available this year, having already been publicly announced by various operators. It is likely this figure will rise substantially when new and smaller operators are also taken into account.
New ways of working
A global shift towards serviced offices, co-working and hot desking have resulted in international workspace companies establishing a presence in Dublin for the first time in 2018. The reasons why many businesses choose Serviced Offices are extensive.
In total, there are 55 serviced office providers in Dublin, with just five – WeWork, Regus, Iconic, Glandore and Pembroke Hall – controlling over half (55%) of the market.
WeWork opened four serviced office centres in Dublin last year: one in North Wall Quay, one in George’s Quay and two on Harcourt Road. The North Wall Quay space is currently the largest in Dublin, with six floors and space for over 2,000 desks.
Workspace accelerator Huckletree also arrived in Ireland in late 2017. TalentGarden, another leading Serviced Office space established a partnership with DCU to join its Alpha Innovation Campus, providing serviced flexible workspace for 350 people.
Irish workspace providers like Iconic Offices, Pembroke Hall, Glandore and InvestI have also experienced steady growth in 2018.
The average monthly price of a desk in Dublin has remained steady at €500 per desk (with one desk equivalent to approximately 50 sq. ft. of space), while desks at the lower end start at €300. Desks in many of the larger, more modern spaces start from €650 per month.
Comment
Commenting on the figures, Shane Duffy, Broker at Click Offices, said:
“The increased appetite for flexible workspace is not surprising when you look at the way we work today. Companies want short-term, fluid agreements which allow them to upscale or relocate rapidly.
“Not only that, they want to move in quickly and have all facilities automatically provided for them on arrival. That’s why we’re now seeing large multinationals such as Facebook and Microsoft opting for flexible workspace in the city. It’s no longer just start-ups or SMEs that are looking for this option.”
Future growth of Serviced Offices
WeWork looks set to expand its Irish presence in Dublin in 2019, opening two new office spaces in the city centre, bringing WeWork’s total capacity in the city to over 8,000 desks.
Iconic Offices and Pembroke Hall have also announced new centres that will open in 2019.
Freddie Case, UK & Ireland Manager with WeWork commented:
“WeWork is continuing to expand into the Dublin market, due to its exciting and exponential growth. We are filling our buildings extremely quickly and cannot see this slowing down as we grow the portfolio.”
Dublin Serviced Office provider Regus have also announced ambitious expansion plans to increase their network of locations from 14, having launched 34,000 sq ft of additional space to the market in mid-2018.
Kenneth Dwyer, Sales Manager with Regus commented:
“People and businesses of all sizes are waking up to the financial and strategic benefits of serviced offices. Regus is helping to supply this demand and drive a workspace revolution in Ireland. With a local network of 14 locations today and more new centres scheduled to open in 2019, we’re looking forward to introducing more people to the benefits of flexible working.”
Joe McGinley, CEO with Iconic Offices commented:
“The Dublin flexible workspace market has undergone and is undergoing significant change at present. The supply side has doubled with no sign of slowing down, while at the same time expectations of potential members have increased significantly.
Our continued growth in Ireland is testament to a number of factors including; exceptional building locations, high design buildings, excellent customer service which leads to our high retention rates and our tight management of the business.”
