Picture this: You’ve just launched your own freelance business, and you're excited to move out of your makeshift home office (a.k.a. the kitchen table). You’re eyeing a coworking space in your city, hoping it will give you the professional environment you need to thrive. But then, sticker shock hits. Is there room to negotiate? You bet there is.
Why Negotiation Matters
First things first, let’s talk about why negotiation is on the table in the coworking world. The U.S. flexible workspace market is massive, with a whopping 141.29 million square feet as of the second quarter of 2025. While that's a lot of space, economic pressures and evolving hybrid work models are causing shifts. Operators, like those in Manhattan, are scaling back, with a 4% shrink in footprint and a 5% drop in location count. This means there’s room for negotiation because, like you, they want to fill their spaces.
Know Your Worth
Before you even think about walking into a WeWork or any other coworking space, it's essential to know what you need. Do you plan to use the space daily, or just a few times a week? Are you interested in hosting clients there, or is it purely for focus time? Knowing what you need helps you communicate your requirements clearly and sets the stage for negotiation.
Timing is Everything
Just like in retail, timing can be crucial when it comes to negotiating coworking prices. For instance, if you’re looking during a time when there’s been a 3% increase in flexible workspace square footage, adding nearly 4 million square feet nationally, you’re in luck. There’s more inventory, and providers may be more open to discussing deals to attract new members. On the flip side, if spaces are shrinking, as seen in Manhattan, you might need to be more strategic in your pitch.
The Art of the Ask
Negotiating doesn’t come naturally to everyone, but it’s a skill worth honing. Start by understanding the market rate in your area. For example, WeWork locations in Chicago might have different pricing structures than those in San Francisco. Then, consider asking for a tour and express genuine interest. Don’t hesitate to ask about any current offers or discounts. Sometimes, simply asking, “Is this the best rate you can offer?” can open doors to a better deal.
Explore Secondary Markets
If the big city prices are overwhelming, consider looking at secondary markets. Places like Long Island, Birmingham, and West Palm Beach are gaining traction in the coworking space scene. These locations might offer more competitive rates with the same benefits you’d find in a major city. Plus, operators in these areas might be more flexible, eager to fill their spaces as they gain momentum.
Be Prepared to Walk Away
One of the most powerful tools in negotiation is the willingness to walk away. If a space isn’t meeting your price point or needs, don’t be afraid to look elsewhere. There’s no shortage of options. Operators like Regus and HQ are strategically managing their portfolios, meaning there are likely multiple spaces you can consider, each offering unique deals.
Share Your Commitment
If you’re ready to commit long-term, make it known. Operators are often keen to secure long-term tenants and may be more willing to negotiate a better rate if you sign a longer contract. Expressing your willingness to engage for a year or more can sometimes result in reduced rates or added perks.
Examples From the Trenches
Let's say you're Sarah, a graphic designer based in Austin. You’ve been eyeing a trendy coworking space downtown, much like a WeWork, but the price seems steep. After some research, you discover that the operator is focusing on high-end, larger spaces, which might mean they're willing to fill smaller spots with attractive deals. You approach them, express interest in a 12-month commitment, and inquire about any available discounts. Lo and behold, you nab a 15% reduction simply because you asked.
Next Steps
Now that you’re armed with these strategies, it’s time to put them into action:
- Research: Look into coworking space options in your area and understand the market rates.
- Tour and Inquire: Visit the spaces, ask questions, and express your interest.
- Negotiate: Use the tips above to negotiate a rate that suits your budget.
- Evaluate Secondary Markets: Don’t hesitate to explore areas outside of major cities for potentially better deals.
- Commit if Possible: Consider a longer-term commitment for better rates.
Negotiating coworking space prices isn’t just possible; it’s practical. With a little research and the right approach, you can secure the perfect space to take your work to the next level without breaking the bank. Happy coworking!