In a significant move highlighting the rising importance of flexible workspaces in corporate strategies, CBRE Group Inc. — one of the world’s largest commercial real estate services firms — is partnering with coworking operator Industrious to establish its new global financial headquarters in New York City.
Spanning 6,000 square meters, the headquarters will adopt a groundbreaking, “managed, fixed-flex lease” model. CBRE plans to occupy four of the six floors at the site. The remaining two floors will function as an Industrious-managed flexible workspace. This unique arrangement blends CBRE’s corporate operations with Industrious’ expertise in creating dynamic coworking environments.
Under this partnership, Industrious will oversee the design, buildout, operations and overall experience of CBRE’s office space, while also managing the adjacent flexible workplace. The collaboration reflects CBRE’s commitment to innovation and adaptability in a rapidly evolving real estate landscape. Additionally, CoStar — a leading real estate media outlet — reports that this initiative exemplifies the growing trend of corporations integrating coworking models into their office strategies to enhance flexibility and efficiency.
“The move lets CBRE share in amenities and events hosted at the adjacent Industrious workspace,” said Jamie Hodari, Industrious CEO. “Should CBRE expand its head count at the location over time, it can also eventually take back the Industrious space while, in the meantime, sharing in the profits generated by Industrious under a management agreement. Typically, companies run their own space on a long-term lease, or they basically have a flex provider create a space for them. This is one of the first times where an occupier has done both in a single complex. With corporations continuing to contemplate their office space needs, this type of setup will be increasingly embraced by corporate occupiers.”
The $100 million refurbishment of the new global financial headquarters will include a revitalized lobby, a ground-level public plaza, and state-of-the-art building systems to reflect CBRE’s commitment to modern and sustainable office environments.
This announcement also builds on a longstanding relationship between the two companies: CBRE invested $200 million in 2021 to acquire a 35% stake in Industrious, followed by an additional $100 million in 2022 to fuel Industrious’ global expansion. The partnership highlights CBRE’s confidence in flexible office solutions — not only for its clients, but also now for its own use.
While CBRE’s main global headquarters will remain in Dallas, Texas, it’s unclear if other regional hubs, such as those in Europe, will follow suit and adopt coworking-operated facilities. However, the New York headquarters marks a significant step in redefining how corporations approach office space. This move could also indicate a broader shift in corporate real estate strategy as companies increasingly prioritize flexibility, efficiency and adaptability in their workspace solutions.
