WORQ, a market leader with a network of coworking spaces in Malaysia, has reached a milestone with 80% occupancy for their upcoming fifth and largest outlet in KL Sentral, turning the location profitable from day one.
This site was 70% pre-sold even before the renovation started and since the inception of the brand, WORQ said in a statement that it has consistently maintained occupancy above 90% across all locations.
This location houses an unnamed multinational corporation’s office in Malaysia, whose workspace was developed by a custom-built solution produced by WORQ’s Enterprise Division, a new arm created to service large headcount demand that specialises in building bespoke offices for these teams even for short-term tenures.
This multinational firm joins a growing group of large companies that are incorporating WORQ’s office solutions, whose client lists boasts WPP Group, the world’s largest advertising company, for which WORQ had built a solution for their 500 employees in WORQ’s fourth outlet.
WORQ has been at the forefront of innovation and sustainability in the coworking space industry, being a profitable company from the start. Two months after its opening in 2017, their first outlet in TTDI turned profitable with a 90% take-up rate, leading to a total of four subsequent expansions in that location alone.
“Businesses need to be more agile post-Covid, and hybrid working through the use of coworking spaces is very flexible and painless. Moving forward, this is the mainstream way of using offices and WORQ’s scalable model is set to expand to all cities and help people move towards a new workstyle”, said Stephanie Ping, CEO and Co-founder of WORQ
One of WORQ’s early supporters and repeat investors, Phillip Capital Management’s CEO, Linus Lim Wen Sheong said “WORQ’s ability to foresee market needs and strategically navigate puts them one step ahead. Their proven business model has the ability to scale across Malaysia and the rest of Asia. Their strategic decision to serve the mass market by providing a value-for-money solution has the potential for garnering the highest market share. We believe in WORQ not just as an investor but as their customer.
“We have recommended our contacts to them and WORQ has successfully converted them into happy customers. We see this as their ability to execute well and are excited to be part of this journey with them.”
With strong unit metrics for each centre and its tried-and-tested business model that allows for a quick and profitable opening of every new outlet, WORQ is rolling out an aggressive expansion plan to triple its presence in the next two years.
By 2030, the market size of the coworking space industry is projected to grow to RM1.3 billion and WORQ’s replicable model is set to conquer more than 50% of that market share, with their mid-term plans being to build up to 3 million square feet of coworking spaces in Malaysia alone.
Arsh Chaudhry, CEO of Space Matrix, CEO of Space Matrix, a global design firm and WORQ’s investor said “WORQ is easily the best coworking space in Malaysia. For example, their consistently profitable model means every outlet generates cash flow. With every new expansion, their financial ability to expand increases exponentially.
“This is a sustainable model which is also synonymous with scalability. This is a smart way to tackle the flex space industry. We believe in Andrew and Stephanie’s capability and are here to support them towards success.” Space Matrix is a company co-founded by Anurag Srivastava, who is also the co-founder of Jungle Ventures.