Co-working management contracts - increased risk for office assets?
Hey everyone, just trying to bounce off some ideas.
Recently (in my home country) there have been many co-working companies signing management contracts with landlords struggling to lease out their office space. In the past co-working companies just took out a lease. Do yall think this raises the risk profile of office buildings in the future since landlords may take up increasing operating risk, with the growth of co-working firms? Like hotels are typically higher risk due to management contracts + cyclical nature. Or do yall think co-working won't be big enough of a factor, and office owners will still enjoy stable rents (when covid is over)?
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