WeWork’s Newest Business Model Expands Into San Francisco
WeWork’s newest offering, HQ by WeWork, is already growing and will soon open a location in San Francisco. WeWork has leased 17,500 SF spanning four floors at 800 Market St., securing the company’s first HQ by WeWork location outside of New York City. The Invesco-owned 47K SF building is in Union Square and anchored by retailer Diesel, according to the San Francisco Business Times.
“Since launching HQ By WeWork, we have been inundated with enquiries from businesses looking for private, flexible, cost-efficient spaces that allow them to reflect their identity,” WeWork Chief Growth Officer David Fano said in an emailed statement. “Having already secured six locations in New York, S.F. was the obvious next destination.”
WeWork has been rapidly expanding throughout the Bay Area within the last 24 months and has become San Francisco’s fourth-largest tenant with over 1M SF. It leases about 2M SF in the Bay Area across 20 locations, according to the San Francisco Business Times.
HQ by WeWork focuses on midsize companies with 11 to 250 employees and offers private, flexible offices with fewer services than a traditional WeWork. The space is occupied by one company and available to member companies that sign two-year agreements. WeWork will lease the space with the landlord and the company will chose from a selection of services.
WeWork Executive Vice President, Global Real Estate Arash Gohari said HQ by WeWork is expected to grow over 1M SF within the next 12 months.
The company has already agreed to terms on 400K SF and is in negotiations for 550K SF.