WeWork sets up hub in PH

Property developer Megaworld Corp. has signed up the world’s largest flexible office space provider, WeWork, to set up its first Philippine hub to cater to emerging needs of multinational corporations, tech startups, nonprofit organizations, freelancers as well as micro, small and medium enterprises (MSMEs).

WeWork’s first “collaborative workspace” occupies two floors and 4,081 square meters at Megaworld’s 19-story office development, Uptown Tower Three, in Uptown Bonifacio, Taguig City.

Assuming an allotment of five sqm per seat or work station, WeWork’s first Philippine hub can accommodate 816 office workers. The hub, which opened last December, is now nearing its capacity and WeWork is looking at other areas in the country for expansion.

Megaworld is in talks to offer additional office space to WeWork, cementing its position as a leading office space landlord in the country.

In a briefing yesterday, Megaworld senior vice president Jericho Go said his company was in talks with WeWork for a new office space in a new office tower, World Commerce, which would be completed by the first semester of this year.

Megaworld now has 1.2 million sqm of office space in its leasing portfolio, which will increase by 300,000 sqm by 2020 in line with its goal to reach P20 billion in annual recurring revenue by 2020, Go said.

WeWork’s inaugural office hub in Uptown Tower offers a hip and world-class working environment complete with a game room, indoor park and a bar that offers free-flowing draft beer and coffee. It is opening its second Philippine hub at RCBC Plaza in Makati later this year.

Monthly rent for a private office at WeWork is about P28,500 while a dedicated desk costs P17,000 monthly. Rental of a “hot” desk, which can be used without reservation, costs P14,500 monthly, based on its website.

If WeWork wanted to set up more shops in Metro Manila, Go said Megaworld could offer space in various township projects such as in Eastwood or McKinley West, or even in places outside Metro Manila like Iloilo and Mactan, Cebu.

“The advantage of having WeWork is they are able to supply the Philippines with a fresh set of multinational corporations (MNCs), some of which have not yet begun operations in the country,” Go said. Having flexible working space gives these MNCs a “soft landing” as they evaluate the local labor market and working environment.

“The beauty there is if you become a member in the Philippines, it allows you membership in other countries in Asia and even in the US and London. They promise a consistent set of what to expect from the flooring to work stations as it is consistent all over the world,” Go said.

More than just a coworking space provider, Go said WeWork was an “incubator” of enterprises.

Since its inception in 2010, WeWork has since expanded its footprint worldwide with 425 physical locations in 100 cities in 27 countries. In Southeast Asia, it is present in 18 locations, including Singapore, Indonesia, Vietnam, Malaysia and Thailand, and now, the Philippines.