Coworking spaces expected to boom in Guangzhou

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A coworking space in Guangzhou. [Photo/VCG]

Coworking spaces will become a major force in the office building market in Guangzhou, the capital of Guangdong province, thanks to the increased demand for flexible workspace by emerging businesses, according to Cushman & Wakefield.

Sources with the Guangzhou, Central China office of Cushman & Wakefield, a global real estate service provider, indicate that more than 40 coworking spaces, large or medium-sized, are located in Grade-A offices in Guangzhou.

In the next five years, there will be more than 3.5 million square meters of new offices in Guangzhou.

"The expansion of Grade-A offices will play a solid foundation for the business increase of coworking spaces," said Elljay Liang, director and head of Business Space, Guangzhou of Cushman & Wakefield.

Companies involved in the businesses of telecom, social media and technology are behind the strong demand for Grade-A offices and coworking spaces, according to Liang.

Offices in areas around the Guangzhou South Railway Station, Bai'etan and Tianhe Smart City will see a booming demand from emerging companies, Liang said.