Occupancy Rates: What Numbers Indicate a Successful Coworking Space?

Success in coworking spaces is measured by more than just the charming ambiance and upscale amenities. Though there is so much that goes into it, one of the most telling indicators of a coworking space’s performance is its occupancy rate.

Occupancy rate in coworking spaces essentially refers to how much of your space is being utilized compared to the full. For coworking space operators, maintaining healthy occupancy rates is crucial – it’s a defining moment in their success story and plays directly into profitability.

It not only impacts and determines revenue, but also signifies the space’s ability to meet the needs and expectations of its members.

A high occupancy rate typically indicates a thriving community and effective management, while a low rate may necessitate strategic adjustments, like marketing, pricing, and service offerings.

In this blog post, we’ll dive into what constitutes a successful occupancy rate for coworking spaces and why these numbers are essential KPIs in the industry.

Quick Summary

• The three types of occupancy metrics to monitor include desk/workspace occupancy, revenue occupancy, and space/facility occupancy
• Coworking space benchmarks, KPIs, and influencing factors that determine success and profitability
• Generally speaking, a healthy occupancy rate is between 70% and 85%.

Understanding Occupancy Rates

Simply put, the occupancy rate measures the percentage of total available resources that are being occupied by members. But, did you know there are different ways to calculate occupancy?

Most people think of desk/space occupancy when they hear this term, and, while this metric serves as a vital barometer for benchmarking, it is not the only metric used to measure success in a coworking space.

Let’s take a look at the different occupancy rate varietals:

Desk and Workspace Occupancy

Regus found that on average, 55% of office spaces go unused, costing companies upwards of $27,000 per desk each year.

This is why occupancy is such an important KPI. Desk occupancy rates represent the proportion of available desks or individual work spaces that are currently occupied by members.

To calculate this, you would divide the number of occupied workstations by the total number of usable workstations and multiply by 100 (See below).

For example, if a coworking space has 100 desks and 85 of them are occupied, the occupancy rate would be 85%:

85/100=0.85

0.85 multiplied by 100=85

85%

While your hot desks and individual workstations will be the most popular and most used, you have to consider what other work spaces you offer. If you offer meeting spaces and conference rooms, you’ll need to take those into account as well.

Meeting Space and Conference Room Occupancy Rates

Though similar to calculating general workstation occupancy, meeting spaces – like coves or lounge areas – and conference rooms require specific considerations for time-based usage.

To calculate meeting space and conference room occupancy, determine the total number of hours that meeting spaces and conference rooms are available for booking; this would essentially be your hours of operation over a specific timeframe (daily, weekly, or monthly).

Keep a record of the number of hours these rooms are actually booked during the defined period, and divide this number by your total available hours (See below).

For example, if a conference room is available for 8 hours a day, 5 days a week, the total available hours for a month (assuming 4 weeks) would be 160 hours. If the room is booked for 120 hours in that month, the occupancy rate would be:

Generally, a healthy occupancy rate for meeting spaces and conference rooms within a coworking business ranges between 50% and 75%. This range indicates strong demand without overbooking, ensuring availability for members when needed.

Are you using the right coworking management software to book conference rooms? Check out OfficeRnD Flex.

Though higher occupancy rates may seem like a win, rates above 80% might suggest a shortage of meeting space, potentially leading to lack of availability, and ultimately, member dissatisfaction.

There is a fine line between being underutilized and being overbooked. This is why monitoring your occupancy rates is absolutely critical.

Revenue/Economic Occupancy

Revenue Occupancy goes a step further than workstations by considering the financial aspect of your coworking space.

Revenue occupancy takes into account the revenue generated from occupied spaces compared to the total potential revenue if all spaces were occupied at standard rates. You would calculate this by dividing your actual revenue by the potential revenue at full occupancy and multiply by 100 (See below).

Revenue occupancy provides a more accurate measure of a coworking space’s financial health than physical occupancy alone.

Even if a space is physically full, offering discounted rates for designated spaces or promotions for new members can result in a lower-than-expected revenue occupancy rate. While these gestures are great for member experience and satisfaction, the revenue does not match the full potential of your space.

Don’t get us wrong, we are in no way saying you should stop offering deals and promotions – it’s just something to keep track of when tracking your space’s financial hygiene.

By the way, here’s a nice video about coworking space finances:

Space/Facility Occupancy

Space or facility occupancy in a coworking space refers to the utilization of the physical area available, specifically focusing on how much of the total space is dedicated to member workstations compared to other purposes (i.e. cafes, common areas, or other amenities).

This metric helps in understanding the efficiency of space allocation and how effectively the available area is being utilized for revenue-generating activities.

It is something to consider if you are first opening a coworking space, thinking about expanding or acquiring more space, or simply looking for a more efficient operation.

To determine your total space occupancy rate, you’ll first need to determine the total size of the facility. How much physical space do you have available?

Measure the total square footage or square meters of the coworking space. This includes all areas within the facility, such as workstations, meeting rooms, common areas, restrooms, kitchens, and other amenities.

Then, you’ll need to calculate the space allocated for member workstations. Measure the area specifically designated for member work spaces, including individual desks, shared tables, private offices, conference rooms, and any other dedicated work areas.

Now, to determine the occupancy rate of used workspace, divide your designated workspace area by the total facility area, and multiply by 100 (See below).

For example, if the total facility area is 10,000 square feet and the area designated for workstations is 4,000 square feet, the calculation would be:

This means that 40% of the total facility space is dedicated to member workstations.

Understanding how space is allocated helps operators optimize the layout and usage of the facility. If a large portion of the space is not generating revenue (i.e. oversized common areas and lounges), it may be worth it to reconfigure and include more workstations or additional services.

Another consideration for space/facility occupancy is taking into account dimensions of not just your work spaces, but all revenue-generating areas, like cafes or pay-by-session podcast booths.

Facility revenue really is the time to take both desk occupancy and revenue occupancy and put the two concepts together, giving you the most accurate number to measure your coworking space.

Benchmark Occupancy Rates for Coworking Spaces

Occupancy rates, regardless of which type, offer insights into space utilization, market demand, and the financial health of your coworking space.

While specific benchmarks can vary based on location, size, and type of coworking space, certain industry standards help gauge performance. Understanding these benchmarks and how they compare to other commercial real estate sectors can provide valuable context for coworking space operators.

Industry Standards and Benchmarks

Over the years, we’ve seen so many different coworking organizations that somehow seem to all operate differently. While there are some commonalities, no two coworking spaces are the same.

The exclusivity makes a space more attractive, but with so many differentiators across the board, it can be hard to find common ground when it comes to benchmarking.

Many benchmarks can vary based on location, size, and type of coworking space, but occupancy rates help organizations gauge performance, regardless of their demographics.

On average, successful coworking spaces tend to have occupancy rates between 70% and 90%, with that sweet spot between 80%-85%. Achieving and maintaining occupancy above 80% is often considered a strong indicator of a thriving coworking community.

We’ve found that many operators aim for a minimum occupancy rate of 75% to cover operational costs and achieve profitability. However, there are different factors that play into these standards to consider.

Coworking Space Benchmarking: Size

Smaller coworking spaces may achieve higher space occupancy rates more quickly due to a lower inventory of desks and work spaces.

Larger spaces on the other hand, especially ones offering more amenities that generate additional revenue, may take longer to reach higher space occupancy, but benefit early on from an economic standpoint. Multiple revenue streams within an organization will help boost your total facility occupancy rate.

Coworking Space Benchmarking: Type

Spaces catering to specific industries (i.e. technology, creative arts, etc.) or offering specialized facilities, like maker spaces or wellness-focused coworking, may have different occupancy dynamics.

Such spaces might have lower overall occupancy rates but can charge premium rates due to their specialized offerings, boosting their revenue occupancy.

Coworking Space Benchmarking: Location

Coworking spaces in major urban areas typically experience higher occupancy rates, driven by higher demand and a general higher volume of potential members.

That being said, NAIOP, the Commercial Real Estate Development Association, claims suburban office spaces are on the rise with the millennial population entering the “family formation stage.” No one wants a longer commute, and a vast majority of today’s workforce values work/life balance.

Not having to commute in and out of the city every day is a huge bonus for suburban coworking spaces.

Coworking Occupancy Compared to Commercial Real Estate

Occupancy rates in traditional office spaces have drastically decreased in the past several years with a heightened focus on work/life balance. Bloomberg predicts that “nearly one-quarter of all US office space will be vacant by 2024 as working from home persists.”

With hybrid work models becoming the “norm,” and offices paying rent for desks to sit empty, many companies around the world are looking to forgo their original leases and downsize.

At an average of $31.67 per square foot, companies are throwing money away with empty offices. Their best bet is to occupy smaller spaces or invest in coworking options for their employees.

Retail Occupancy

Despite the rise in e-commerce and online sales, the retail sector boasts a 95.9% occupancy rate this year.

The National Association of REALTORS® Research Group states:

General retail spaces and neighborhood centers have been instrumental, accounting for approximately 84% of the net absorption as of January 2024. In the last 12 months, retail spaces have absorbed 46.2 million square feet of real estate, confirming there is still demand for brick-and-mortar.

Hospitality Occupancy

Unlike coworking spaces, where members might stay for months or even years at a time, the hospitality industry relies on high turnover and frequent bookings.

PwC Hospitality Directions US recognizes a stunt in growth since the pandemic in 2020, but predicts a 63.6% occupancy rate for Q2 2024.

Understanding these industry standards can help coworking space operators set realistic goals and strategies for achieving desired occupancy rates.

While high occupancy is desirable, it must be balanced with member experience and operational efficiency.

Factors Influencing Occupancy Rates

While occupancy rates in coworking spaces are a critical indicator of financial success, they also reflect how well the organization attracts and retains members.

Several factors influence these rates, ranging from the physical and operational aspects of the space, to external market conditions.

Internal/Operational Influences

Internal or operational factors that influence the success of a coworking space refer to the elements within the organization that directly impact the efficiency, effectiveness, and overall performance.

Location and Accessibility

Coworking spaces located near business districts, tech clusters, or startup hubs tend to attract more members, leading to higher occupancy rates.

The convenience of accessible public transportation, major roadways, and parking availability is an added bonus for spaces in urban settings. That being said, membership at suburban locations are on the rise, with a majority of workers prioritizing a healthy work/life balance.

The hassle of using public transportation and sitting in traffic going to and from work is wasted time during the day that is not dedicated to work or family.

When selecting a location, it helps to be mindful of nearby amenities like restaurants, cafes, gyms, and shopping centers.

Placing your coworking space in a high-trafficked retail area makes it more convenient for members to balance both work and personal needs or interests.

Amenities and Services

Offering a range of workspaces, from open desks and private offices, to sound-proof booths and rooftop lounges, allows a coworking space to cater to different needs and attract a diverse member base.

Dedicated areas like conference rooms, quiet zones, and collaboration spaces can also enhance appeal.

Technology and infrastructure also plays a big role in the services and amenities offered. Modern, state-of-the-art office equipment, reliable IT support and community managers, video conferencing tools and smart office systems like automated access control are highly attractive to employees looking for their go-to work spot.

Don’t forget about those fun perks either. Amenities like coffee stations or cafes, wellness rooms and event spaces, or even on-site childcare can differentiate a coworking space from competitors, adding value and, ultimately, boosting occupancy.

Pricing Strategy and Membership Options

Offering a range of membership options, from day passes to long-term premium contracts, will attract a wide variety of members. Flexibility in pricing and terms is a key selling point for many coworking members.

However, competitive pricing that reflects the quality of the space and services you offer is crucial. A well-positioned pricing strategy that balances affordability with the perceived value can significantly impact occupancy rates.

Community Engagement and Member Experience

A strong sense of community is a major draw for coworking members. Hosting networking events, workshops, and social activities fosters connections and collaboration, enhancing the overall member experience.

Furthermore, high-quality customer service from community managers is the cherry on top of a good coworking space experience.

When members see that coworking space staff is engaged, responsive, and actively contributing to their experience, they’re more apt to occupy your space more often and for longer.

External Influences

External factors influencing the success of a coworking space refer to elements outside the organization that can impact its performance and viability.

Market Demand

The demand for coworking spaces can fluctuate based on broader market trends. For instance, a surge in remote work or the rise of the gig economy can increase demand for flexible workspaces.

We’ve seen this happen over the past several years as workers take a stand on flexible work schedules. The amount of coworking spaces worldwide since 2010 has grown by nearly 70 times in 2024.

Economic Conditions

Economic downturns can lead to decreased demand for office space as businesses cut costs and reduce office footprints. Conversely, during economic booms, demand may increase as companies expand and require additional space.

The COVID-19 pandemic is the perfect example of this. So many businesses had to restructure, laying off employees and downsizing office space because they simply weren’t making any money.

As businesses started to reopen though and corporations started receiving an income again, they suddenly had to hire back new employees with no space to put them, thus opting for coworking spaces

Inflation and changing costs of living can also have an effect on members’ willingness to pay for coworking spaces.

This directly influences pricing strategies and occupancy rates, necessitating coworking operators to take a look at their business model and how to best market to new members.

Competitor Landscape

The presence of competing coworking spaces in the same area can influence occupancy rates. A highly competitive market may require operators to differentiate themselves through unique offerings, superior amenities, or specialized services.

The entry of new competitors or the expansion of existing ones can affect member retention and acquisition, making it essential for operators to stay agile and responsive to market changes.

A complex interplay of both internal and external factors influences occupancy rates in coworking spaces.

Whether it’s choosing the right location, offering the right mix of amenities, setting competitive pricing, or engaging effectively with the community, each aspect plays a crucial role in shaping the occupancy rates and overall performance of a coworking space.

By understanding and strategically managing these factors, coworking space operators can optimize occupancy, enhance member satisfaction, and achieve business success.

Analyzing Your Coworking Space’s Occupancy Rates

In order to fully optimize your coworking space and ensure success, you really have to understand the story your numbers tell.

Analyzing occupancy rates involves gathering data, using the right tools, and interpreting the information to make informed decisions.

Gathering and Analyzing Occupancy Data

There are three steps to gathering and analyzing your occupancy data. Collecting the data, identifying which metrics to track, and monitoring them regularly will give you insight into where your coworking space stands.

Data Collection

We often see coworking spaces manually tracking their occupancy by way of spreadsheets. This involves recording the number of occupied workstations, meeting rooms, and other available spaces at regular intervals.

While this may work for some smaller operations, it really is not the most efficient way to run a coworking business.

Specialized management software, like OfficeRnD’s Data Hub, streamlines data collection, ridding your community managers and administrators of the daunting time and effort it takes to manually collect and analyze this information.

A tool like Data Hub allows users to track the most important KPIs to better understand what’s happening in the space, review custom dashboards tailored for workplace operators, and manipulate reports with interactive data sets and filters. An automated tool reduces errors and saves valuable time in the data collection process.

Tracking Key Metrics

After collecting your data, the metrics you’ll want to keep an eye on include:

• Physical Occupancy Rate: The percentage of desks, offices, or other workspaces that are occupied at a given time
• Revenue Occupancy Rate: The ratio of actual revenue earned compared to the potential revenue if all spaces were occupied at full price
• Meeting Room Utilization: The frequency and duration of meeting room bookings
• Space Utilization: The proportion of total available space being used, including common areas and amenities

Consistent Monitoring and Reporting Practices

It’s not enough to pull this information when it comes time for year-end reports. Keeping this information close and tracking patterns regularly is the only way to stay on top of what your organization needs.

Being able to pivot and adjust to demands quickly rather than waiting until things are irreparable guarantees member satisfaction and overall success.

Daily and Weekly Reports

Regularly reviewing daily and weekly occupancy reports helps identify short-term trends and immediate issues, such as underutilized spaces or high demand for certain areas.

Monthly and Quarterly Reports

Long-term trends and patterns can be analyzed through monthly and quarterly reports. These reviews are crucial for strategic planning and adjustments in pricing, space allocation, or marketing efforts.

Interpreting the Numbers

Now that you have your data and are collecting metrics, it’s time to explore what those numbers are saying.

Identifying Trends and Patterns

Track changes in occupancy rates over time to identify seasonal fluctuations, growth patterns, or declining usage. Knowing if there is an increase or decrease in occupancy during certain months will help you better understand your operations.

Do you need to staff more during certain months? Should you offer discounts or promotions to get people in the door during slower seasons? Tracking these patterns leads to a much more efficient workspace.

It’s important to analyze how different types of members are using the space. For instance, freelancers might prefer flexible desk options and collaborative spaces, while a remote worker at a large corporation may opt for a more private office.

Knowing who uses what when and for how long, is key to tracking trends and patterns.

Understanding Peak and Off-Peak Times

Analyzing when spaces are most frequently booked allows you to identify peak usage times. When meeting rooms are consistently booked within a certain time range, we consider this a “peak time” or peak period.

Understanding peak times allows for better scheduling of staff, events, and maintenance. It also provides an opportunity to introduce variable pricing – offering lower rates during off-peak hours to encourage usage during slower, less popular times.

Data-Driven Decision Making

Using the data you collect to make informed decisions will help you scale the business. If certain areas are underutilized, consider reconfiguring the space to better meet the needs of your members.

Data on revenue occupancy can help inform pricing adjustments.

If occupancy rates are high but revenue occupancy is low, you’ll want to reconsider your pricing strategy, potentially decreasing your discounts and promotions or introducing premium pricing for high-demand areas.

Analyzing your coworking space’s occupancy rates involves more than just tracking numbers – it’s about understanding the meaning behind the numbers.

By effectively gathering and interpreting data, you can make informed business decisions and build a successful and thriving coworking community.

Strategies to Improve Occupancy Rates

While we know occupancy rates are a vital measure of success for coworking spaces, increasing these rates requires a multi-faceted approach that includes effective marketing, enhancing the member experience, and offering flexible membership options.

Here are some strategies to help boost occupancy rates in your coworking space.

Marketing and Outreach Strategies

The simple way to attract more members and increase occupancy is to market the space and its offerings.

Advertising and promoting to targeted audiences will ensure your efforts are being seen by the right people.

Targeted Advertising Campaigns

Leveraging digital marketing strategies and utilizing online platforms like Google Ads, Facebook, and LinkedIn is a surefire way to reach potential members. Tailor your ads to specific demographics, such as freelancers, startups, or remote teams, and highlight unique features of your coworking space.

Additionally, creating valuable content, such as blog posts, e-books, and webinars, will establish your space as an industry thought leader.

This can attract organic traffic to your website and convert visitors into members. Use social media channels to promote this content and actively engage with followers.

Share success stories, member testimonials, and behind-the-scenes content to help build a sense of community and attract like-minded individuals.

SEO is a great way to drive traffic to your space.

Partnerships with Local Businesses and Organizations

Partnering with nearby businesses and organizations to offer mutual benefits is another great way to get your name out there.

Businesses that establish a bond with their customers will have more success selling them on other things. People trust what they’re friends have to say. Consider offering coworking space members discounts at local cafes or gyms, while those businesses promote your coworking space to their customers.

On a larger scale, you could also collaborate with local corporations to provide flexible workspaces for their remote teams or overflow needs. This can be a steady source of income and can help fill vacancies.

Enhancing Member Experience

Creating a friendly, welcoming environment is ultimately how you attract new members, but how do you get them to stay?

Member experience directly impacts retention rates, which in turn impacts occupancy rates. Creating a quality member experience is conducive to a successful coworking space.

Regular Events and Networking Opportunities

Hosting regular events like workshops, networking opportunities, and social gatherings will help foster relationships and collaboration. These events can help members connect and create a sense of belonging.

Professional development opportunities, like skill-building workshops and seminars led by industry experts, are also a huge draw for working professionals. They add value to the membership options and position your coworking space as a hub for professional growth.

Upgrading Amenities and Services

Create a space that makes people want to get out of bed in the morning. Ensure that your space is attractive, comfortable, and conducive to productivity. Invest in ergonomic furniture, stylish decor, and high-quality lighting that equate to a modern workspace.

Upgrade your amenities to include state-of-the-art conference rooms, wellness rooms, and recreational areas.

Here’s a nice guide on some amenities that can make your space stand out.

Staff your space with dedicated IT support and community managers who are readily available to assist members. Offering on-site childcare and having a cafe or fully-stocked kitchen area can also make your space more appealing.

Now let’s not forget about technology. Implement advanced technology solutions like smart access systems, visitor and delivery notifications, and automated payment options to meet the needs of your tech-savvy members.

Flexible Member Options

Not every member is going to want to work the same schedule as the person at the desk next to them; different employees have different needs and priorities.

Providing them with a variety of membership options to choose from, will ensure everyone can find something that works for them. Additionally, if your space offers a 24/7 model, you’re more apt to get members that otherwise wouldn’t be able to participate in your offerings.

Short-Term and Part-Time Memberships

Offering flexible options like day passes or hot desking memberships will attract members who prefer occasional access.

This type of membership is great for freelancers who may want to network and collaborate, or for remote workers looking to get out of the house once in a while.

Taking this one step further, a part-time membership is great for someone who only needs access a few days a week. This can be appealing to those with flexible schedules or who integrate coworking with other commitments.

Discounts and Promotions for New Members

Offering introductory promotions is a great way to attract new members. Whether a free trial, or a special discount for a certain period of time, promotions will get people in the door – then it’s your job to keep them there with a quality experience.

Offering a referral program is another great way to attract new members. Who is a better brand ambassador than a current, loyal customer?

Encourage your community to refer their friends, families, and colleagues, and in turn, offer incentives, perks, or discounts on their membership fees for successful referrals.

Optimizing Usage

Optimizing usage is a powerful strategy for improving occupancy in coworking spaces. By analyzing space availability and usage as well as peak and off-peak times, operators can better manage resources, adjust pricing, and offer flexible membership options.

Introducing flexible booking durations and offering promotions, can also help boost utilization.

In addition to gathering your own data, consider using your member base as an added resource.

Regularly gathering feedback from members can help identify potential improvements you didn’t realize you needed, or provide additional services that could better suit your community and ultimately, increase usage.

Real-World Examples of Coworking Spaces With High Occupancy Rates

At their core, all coworking spaces have the same mission – to provide a flexible, collaborative, and productive work environment that fosters community, innovation, and growth; it’s how they go about achieving this that makes them stand out in a crowd.

We’ve identified some of the most successful coworking spaces and want to offer this insight for anyone who may be struggling in the same way. Take a look below to explore the inner workings of some of the world’s best coworking spaces.

COhatch

United States-based coworking business, COhatch, is the ultimate coworking space. From dedicated workspaces to a private beach house, the amenities they offer run far and wide, meeting, and exceeding, expectations from their members.

Overview of Strategies and Practices

COhatch has several locations across 9 cities, all offering a wide array of amenities for their members. Some that stand out significantly are:

• Dedicated workspaces including private offices and meeting rooms
• Event spaces for both work and play – members have access to COhatch event spaces to host life events like birthday parties and baby showers
• Complementary coffee
• Discounted vacations and exclusive access to a private beach house
• Sports simulators
• Movie theaters
• Arcades and game rooms
• Discounts to local businesses
• Health benefits program

With amenities like these, who wouldn’t want to join? But it’s more than just the free coffee and golf simulator for COhatch. COhatch also has a deep commitment to giving back to their communities as well.

With scholarship programs, and volunteer opportunities, the robust strategies behind the coworking organization create a strong draw for potential new members.

Key Takeaways

COhatch definitely has a “community first” mindset. From providing members with exclusive amenities to contributing to the health and success of local youth, COhatch has successfully created a comprehensive brand that people know for adding value to their lives and the lives of others. Offering flexible membership options in addition to fun and unique perks, COhatch has been able to grow and retain their membership, continuing to expand and add on locations.

Occupancy Rates and Growth Trajectory

Without high space and revenue occupancy rates, COhatch would not be able to expand like they are, or invest time and resources into extra subsidiaries. The group is planning to open 8 more spaces over the next couple of years.

Stone & Chalk

Australian-based innovation hub, Stone & Chalk, has come a long way in improving occupancy rates. Dedicated to supporting entrepreneurs and solopreneurs, their coworking spaces are fun, vibrant arenas for community building and productivity.

Overview of Strategies and Practices

With 4 spaces throughout Australia, Stone & Chalk has become one of the most well-known fintech innovation hubs throughout the world. They offer a variety of pricing plans for coworking spaces, private offices, and virtual offices. Some of their strong selling points include:

• 24/7 access
• Phone booths
• Lounge areas
• Kitchen
• Cafe
• Showers and personal lockers
• Event space for rent
• Free beverages, including coffee and beer
• Yoga studio

In conjunction with these highly sought-after perks and amenities, Stone & Chalk has also spent a lot of time nailing down a data strategy.

Like many other spaces, Stone & Chalk was getting by with monotonous, painstaking manual data entries. They soon realized there had to be a more efficient way to keep track of their business metrics, thus started the partnership with OfficeRnD.

Director of NSW Hubs, Guil Cunha, stated:

Data should be a high-priority aspect for any workspace. It’s the only way to truly understand operations, utilization of space, and uncover opportunities for improvement where we may not be performing optimally. We rely on OfficeRnD Flex’s Data Hub to examine resource usage and strike the right balance of offerings.

Key Takeaways

Once they implemented this data solution, Stone & Chalk streamlined multiple processes, which in turn enhanced their members’ experiences.

They realized they needed to better optimize their space and increase utilization of hot desks to improve occupancy rates. Increasing the volume of hot desk sales helped the organization tremendously, something they wouldn’t have known if it weren’t for efficient data analytics. Investing in this type of tool can significantly impact the occupancy rate at a coworking space.

Occupancy Rates and Growth Trajectory

Stone & Chalk now have the luxury of receiving regular, accurate data analytics to explore their occupancy rates and make informed decisions.

Accessing data and uncovering uninvoiced revenue was a significant turning point that prompted them to reevaluate their processes and eventually increase their occupancy.

With 5-star reviews in all areas, including location, productive environment, workspace comfort, and amenities, it’s no wonder Stone & Chalk has been able to help over 140 startups hit the ground running and achieve success.

Heritage Office Suites

Based in the heart of Texas, Heritage Office Suites services working professionals throughout Austin with a variety of workspace and membership options and a plethora of amenities.

Their mission is “to provide entrepreneurs, freelancers, startups, and businesses of all sizes with a collaborative office environment, along with on-demand services needed to be more productive and innovative.”

Overview of Strategies and Practices

Heritage Office Suites recently underwent an entire brand makeover. New to the coworking space, their owner wanted to ensure a modern, collaborative space that catered to the diverse needs of their clientele.

The organization prioritized operational systems like creating a website, developing sales collateral, and putting together a comprehensive marketing strategy.

They also spent time redesigning their physical workspace, creating a simplistic yet modern atmosphere. From ergonomic furniture to cutting-edge technology, they now offer a cohesive yet comfortable environment for professionals to come and work.

Key Takeaways

In addition to offering exclusive amenities and using analytics tools to gather occupancy data, there is something to be said about overhauling your business plan.

Sometimes, especially when there are changes in the market (due to a global pandemic perhaps), organizations benefit from taking a step back and looking at the bigger picture.

Sure, Heritage Office Suites could have thrown some new paint on the walls or launched a promotion to get people through the door, but instead, they took the time to explore all of their operational processes to really understand what was happening within their space.

Occupancy Rates and Growth Trajectory

Within 18 months of opening their doors, Heritage Office Suites reached full occupancy. At the same time, they carried with them a waitlist for potential members to join.

The organization consistently maintained a 90%+ occupancy rate thereafter, which drove the decision to open a second location in Georgetown, Texas. The Georgetown location saw the same success trajectory, reaching full occupancy within the same 18-month span.

Heritage Office Suites has a third location in the works, with hopes they will continue to see full occupancy in all three locations using their strategic roadmap.

In Conclusion

Occupancy rates are a fundamental measure of success for any coworking space, providing crucial insights into space utilization, member engagement, and overall business health.

However, truly understanding and leveraging occupancy rates requires a comprehensive approach that considers various contributing factors and additional metrics.

To optimize occupancy rates, it’s essential to consider factors such as location and accessibility, amenities and services, pricing strategies, and community engagement.

By addressing these elements, coworking spaces can attract and retain members, ensuring consistent occupancy and satisfaction.