ALI ventures into flexible office leasing scheme

Property giant Ayala Land Inc. has debuted into the coworking office space business—a flexible office leasing scheme most suitable for millennial entrepreneurs and free lancers who need to operate under an asset-light business model— under new brand “Clock In.”

For the first location of Clock In, ALI transformed part of the penthouse of the Makati Stock Exchange (MSE) building on Ayala Avenue into a 400-square meter fully-equipped and furnished, serviced office space now being pitched into a hub for start-up ventures, small to medium enterprises, groups working on a per-project basis, digital nomads and online professionals, free lancers, road warriors and swing space users.

“Ayala Land Offices has always serviced traditional office requirements for corporations and BPO (business process outsourcing) operations, but we also want to offer office solutions to start-up companies, entrepreneurial ventures and independent professionals,” said Carol Mills, vice president and head of Ayala Land Offices. “They are a fundamental part of the business community and should not be located in less prime spaces. We view Clock In as an amenity to our existing office buildings.”

Immediate availability, low overhead cost, flexible lease duration and rates, office staff efficiency, information technology and administrative support are some of the incentives offered by Clock In to users.

With this model, entrepreneurs can immediately use an office for as low as P550 per person per day.

ALI has teamed up with Acceler8—an existing player in the burgeoning coworking space business with more than 2,000 members around Asia— to operate, market and provide technology services for Clock In. This new brand is intended to be developed into a chain of plug-and-play office space located in ALI’s office buildings and even shopping malls.

The inaugural Clock In site at the MSE penthouse has a reception lobby and lounge that lead to a sprawling floor plan of shared work spaces, a meeting room, 15 private offices enclosed in glass, a breakout area and pantry. The serviced office has a seating capacity of 107 people.

For as low as P2,000 a month, a start-up entrepreneur can get a virtual address to register his or her business at Clock In and get access to coworking space, Acceler8 cofounder Mikko Barranda said.

The facility is seen most suitable to small businesses with a headcount of five to 10 people. Since these ventures can not predict the pace of growth, they would not want to commit to long-term lease agreements.

The rise of millennials as a demographic force and the booming appetite for entrepreneurship of these digital natives are among the key factors driving the coworking space business, Barranda said.