coworking

business

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Last updated

July 23, 2026

Quick Summary

Coworking is a business model where multiple tenants, such as entrepreneurs, startups, or nonprofits, rent working spaces like desks or offices within a shared building. These spaces offer communal facilities and are rented out on flexible terms. This practice gained traction to address the isolation some independent workers felt when working from home.12

A prominent example of a coworking company is WeWork, which leased office space, furnished it, and then rented it out in smaller units. WeWork experienced rapid growth, fueled by venture capital, but also faced significant financial challenges and a dramatic drop in valuation. The coworking trend has evolved to accommodate the growing number of independent workers seeking collaborative environments.21

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WeWork
At its height in 2019, coworking company WeWork managed more leased office space than any other company in New York City and London. It was valued at $47 billion and bankrolled primarily by SoftBank, a Japanese technology-focused investment giant. Less than a year later, WeWork’s valuation plummeted to $8 billion.…
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At its height in 2019, coworking company WeWork managed more leased office space than any other company in New York City and London. It was valued at $47 billion and bankrolled primarily by SoftBank, a Japanese technology-focused investment giant. Less than a year later, WeWork’s valuation plummeted to $8 billion.…
Read More