{"id":2010,"date":"2024-09-05T00:01:34","date_gmt":"2024-09-05T00:01:34","guid":{"rendered":"https:\/\/www.coworkingcafe.com\/blog\/?p=2010"},"modified":"2025-09-25T09:45:35","modified_gmt":"2025-09-25T09:45:35","slug":"comparing-the-cost-of-coworking-and-office-leasing","status":"publish","type":"post","link":"https:\/\/www.coworkingcafe.com\/blog\/comparing-the-cost-of-coworking-and-office-leasing\/","title":{"rendered":"Coworking vs. Traditional Office: The Price Tag Showdown"},"content":{"rendered":"<h3><strong>Key Takeaways<\/strong><\/h3>\n<ul>\n<li>The average coworking membership for 10 employees is more affordable than the equivalent office lease in more than <span class=\"NormalTextRun SCXW29405607 BCX0\">9<\/span><span class=\"NormalTextRun SCXW29405607 BCX0\">7% of the 102 cities analyzed<\/span>.<\/li>\n<li>Coworking memberships cost less than half of traditional office leases in 17 of the top 20 cities with the largest price differences.<\/li>\n<li>Coworking is 70% more affordable than traditional office space in Sunnyvale, CA, the most in the nation.<\/li>\n<\/ul>\n<p>Choosing where to anchor your business and for how long has never been more important in an economy where adaptability isn\u2019t just a perk, but rather a necessity. And, as work preferences rapidly evolve, the demand for dynamic, budget-friendly workspaces is higher than ever. So, while businesses work to maintain their flexibility and maximize their savings, we wanted to know where their dollars would go the furthest &#8211; a conventional office lease or a coworking space.<\/p>\n<p>To ensure objectivity, we compared coworking subscriptions and traditional office leases for a team of 10 workers in 102 <a href=\"https:\/\/www.coworkingcafe.com\/blog\/comparing-the-cost-of-coworking-and-office-leasing\/#:~:text=most%20large%20markets.-,Methodology,-The%20analysis%20is\" target=\"_blank\" rel=\"noopener\"><strong>cities<\/strong><\/a>. We then compared the average cost of 2,000 square feet of traditional office space with the cost of 10 dedicated desks for one year, as they are the closest match to a traditional office setup out of all flex workspace subscription types.<\/p>\n<p>Keep in mind that coworking membership fees include cleaning and furniture. For comparison, when leasing an office, purchasing desks and chairs for the 10 employees would incur an additional one-time expense of about $6,000. Additionally, the average cost of cleaning services is more than $12,000 annually for a typical 2,000-square-foot workspace \u2014 on top of the lease*. Because these costs may or may not be applicable to companies that already have this equipment, these added costs were not included in the analysis.<\/p>\n<p>Without further ado, here are the top 20 cities where coworking subscriptions are the most affordable compared to office leases:<\/p>\n<p><script id=\"infogram_0__\/y9vQ1aW9U7SDhp7dHNik\" title=\"Coworking vs. Traditional Office Prices\" src=\" https:\/\/e.infogram.com\/js\/dist\/embed.js?yj1\" type=\"text\/javascript\"><\/script><\/p>\n<h2><strong>Coworking Has a Clear Advantage in the West, Led by Silicon Valley &amp; Los Angeles<\/strong><\/h2>\n<p>The West Coast continues to make a strong showing as the region dominated the podium and comprised half of the top 20 cities in 2023, too.<\/p>\n<p>Remarkably, all Silicon Valley cities studied have coworking subscriptions at less than half the cost of an office lease \u2014 even though several cities in the region posted some of the <a href=\"https:\/\/www.coworkingcafe.com\/blog\/coworking-subscription-prices\/#:~:text=Dollars%20for%20Dedicated%20Desks%3A%20Unraveling%20the%20Monthly%20Price%20Puzzle%20of%20Dedicated%20Workspaces\" target=\"_blank\" rel=\"noopener\"><strong>highest dedicated desk prices<\/strong><\/a> in the nation.<\/p>\n<p><iframe id=\"datawrapper-chart-jjrfN\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\" Annual Coworking Subscriptions vs. Office Lease Rates Silicon Valley\" src=\" https:\/\/datawrapper.dwcdn.net\/jjrfN\/6\/\" height=\"735\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Locator map\" data-external=\"1\" loading=\"lazy\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",(function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r=0;r<e.length;r++)if(e[r].contentWindow===a.source){var i=a.data[\"datawrapper-height\"][t]+\"px\";e[r].style.height=i}}}))}();\n<\/script><\/p>\n<p>First, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/santa-clara-county\/sunnyvale\/\" target=\"_blank\" rel=\"noopener\">Sunnyvale, CA<\/a> leads the list with an outstanding performance. Here, dedicated desks for a team of 10 are 70% more affordable than an equivalent office lease. This translates to more than $103,000 in annual savings, and that\u2019s without furniture and cleaning fees. Nearby, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/santa-clara-county\/palo-alto\/\" target=\"_blank\" rel=\"noopener\">Palo Alto, CA<\/a>, is in sixth place nationally with more than $100,000 in annual savings, making the city one of the three locations in the U.S. where one can save six figures in workspace costs over a year when choosing coworking \u2014 the other two are Sunnyvale and Menlo Park.<\/p>\n<p>To the north, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/san-mateo-county\/menlo-park\/\">Menlo Park, CA<\/a> follows closely with a 59% price difference. Notably, coworking spaces in this city show the largest annual saving opportunity, exceeding $120,000. Continuing the trend, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/santa-clara-county\/san-jose\/\">San Jose, CA<\/a> has clocked in at a little more than 56% in potential savings, with Santa Clara, CA following at 55%.<\/p>\n<p><iframe id=\"datawrapper-chart-IVI4i\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\" Annual Coworking Subscriptions vs. Office Lease Rates Greater Los Angeles\" src=\" https:\/\/datawrapper.dwcdn.net\/IVI4i\/5\/\" height=\"596\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Locator map\" data-external=\"1\" loading=\"lazy\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",(function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r=0;r<e.length;r++)if(e[r].contentWindow===a.source){var i=a.data[\"datawrapper-height\"][t]+\"px\";e[r].style.height=i}}}))}();\n<\/script><\/p>\n<p>Similar to Silicon Valley, Greater Los Angeles also shows a high density of coworking hotspots with annual cost savings potential of more than 50%: Santa Monica, CA comes in second nationwide with a 68% price difference \u2014 more than $90,000 in potential annual savings. Plus, the gap has widened considerably by a whopping $14,800 since last year. Not to be outdone, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/newport-beach\/\" target=\"_blank\" rel=\"noopener\">Newport Beach, CA<\/a> boasts a 67% price difference to snatch a podium placement with another impressive gain from the 55% price gap recorded last year.<\/p>\n<p>Further down the list, Glendale, CA and <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/los-angeles\/\" target=\"_blank\" rel=\"noopener\">Los Angeles<\/a> claimed the 12th and 13th places, respectively, in the national ranking. In both cities, dedicated desks for a team of 10 are 52% more affordable, on average, than an equivalent office lease.<\/p>\n<p>Remaining on the West Coast, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/wa\/seattle\/\" target=\"_blank\" rel=\"noopener\">Seattle, WA<\/a> is also worth mentioning with a 48% price difference between the two asset types. Here, relocating a team of 10 to a coworking space is enticing with more than $38,000 in potential annual savings.<\/p>\n<h2><strong>Coworking in Boston &amp; New York Costs Less Than Half of Average Office Lease<\/strong><\/h2>\n<p>Across the country on the East Coast, the Northeastern region has two important hotspots for small businesses seeking to save on workspace expenses while gaining operational flexibility, both of which offer dedicated-desk subscriptions averaging less than half the cost of a typical office lease.<\/p>\n<p><iframe id=\"datawrapper-chart-buC2q\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\" Annual Coworking Subscriptions vs. Office Lease Rates Northeastern U.S. \" src=\" https:\/\/datawrapper.dwcdn.net\/buC2q\/4\/\" height=\"609\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Map\" data-external=\"1\" loading=\"lazy\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",(function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r=0;r<e.length;r++)if(e[r].contentWindow===a.source){var i=a.data[\"datawrapper-height\"][t]+\"px\";e[r].style.height=i}}}))}();\n<\/script><\/p>\n<p>Leading the region, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ma\/boston\/\" target=\"_blank\" rel=\"noopener\">Boston, MA<\/a> ranks fourth in the U.S. with a 64% price difference between coworking membership fees and office leases, up from its 58% in 2023. This equates to $95,000 in potential savings by relocating a small team into coworking spaces. Specifically, the average price of 10 dedicated desks amounts to $53,200 for one year, while the average office lease for 2,000 square feet comes in at a little more than $148,700.<\/p>\n<p>Meanwhile, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ny\/new-york-city\/\" target=\"_blank\" rel=\"noopener\">New York City<\/a> shows a slight decrease from last year\u2019s performance but still remains above 50% in favor of coworking. Here, annual savings can reach almost $62,900.<\/p>\n<h2><strong>Miami Leads South With More Than $70,000 in Potential Savings<\/strong><\/h2>\n<p>Although most Southern hotspots landed in the second half of the top 20, there\u2019s no shortage of cost-saving opportunities for businesses operating in the Sun Belt and the South Atlantic region.<\/p>\n<p><iframe id=\"datawrapper-chart-tCb18\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\" Annual Coworking Subscriptions vs. Office Lease Rates Southern U.S.\" src=\" https:\/\/datawrapper.dwcdn.net\/tCb18\/8\/\" height=\"694\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Map\" data-external=\"1\" loading=\"lazy\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",(function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r=0;r<e.length;r++)if(e[r].contentWindow===a.source){var i=a.data[\"datawrapper-height\"][t]+\"px\";e[r].style.height=i}}}))}();\n<\/script><\/p>\n<p>Namely, when comparing coworking subscription prices with traditional office lease rates throughout the South, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/fl\/miami\/\" target=\"_blank\" rel=\"noopener\">Miami<\/a> stands out by snagging fifth place in the nation with a 61% price gap, up from the 54% recorded in 2023. Here, switching to dedicated-desk subscriptions can generate more than $70,000 in annual savings for a team of 10 employees.<\/p>\n<p>Likewise, in 10th place, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/dc\/washington\/\" target=\"_blank\" rel=\"noopener\">Washington, D.C.<\/a> registers a slight increase in 2024: With a nearly 54% relative price difference in favor of coworking memberships (up from almost 53% last year), businesses can save more than $55,000 annually.<\/p>\n<p>The Dallas-Fort Worth area stands out as the most prominent Southern hotspot with three cities on the national leaderboard. <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/tx\/plano\/\" target=\"_blank\" rel=\"noopener\">Plano, TX<\/a> (11#), Irving, TX (14#) and Frisco, TX (16#) all registered more than 50% in relative price difference, in favor of coworking. Notably, Plano has the largest annual savings opportunity at a little over $40,000, while Frisco follows closely at just over $30,440.<\/p>\n<p>Lastly, the Triangle area also shows plenty of opportunity with two top-20 cities: making the switch may save a small team up to an annual $27,600 in Durham, NC and just above $26,600 in Cary, NC.<\/p>\n<h2><span class=\"NormalTextRun SCXW94118290 BCX0\">Bloomington &amp; Grand Rapids Lead the Midwest for Co<\/span><span class=\"NormalTextRun SCXW94118290 BCX0\">st Effectiveness<\/span><\/h2>\n<p><span data-contrast=\"auto\">While the West Coast and the Sun Belt stole the show this year, dominating the top 20, businesses in Midwestern cities do have plenty of opportunities to save big on their workspace costs.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><iframe id=\"datawrapper-chart-NaLeu\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\" Annual Coworking Subscriptions vs. Office Lease Rates Midwestern U.S.\" src=\" https:\/\/datawrapper.dwcdn.net\/NaLeu\/1\/\" height=\"628\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Map\" data-external=\"1\" loading=\"lazy\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",(function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r=0;r<e.length;r++)if(e[r].contentWindow===a.source){var i=a.data[\"datawrapper-height\"][t]+\"px\";e[r].style.height=i}}}))}();\n<\/script><\/p>\n<p><span data-contrast=\"auto\">In <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/mn\/bloomington\/\">Bloomington, MN<\/a>, a team of 10 can save 43% on average when swapping their office lease for a set of dedicated desks at a coworking space. This translates into annual savings of just above $23,700. Hot on its heels, Grand Rapids, MI has average coworking prices at a 42% discount compared to a similar setup in a conventional office, adding up to more than $22,400 in yearly gains. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Meanwhile, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/il\/chicago\/\" target=\"_blank\" rel=\"noopener\">Chicago, IL<\/a> offers the greatest cost-cutting opportunity with almost $25,900 in potential annual savings when moving a small team from an office lease to a coworking membership. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Rounding the top 50, the price difference between coworking and conventional offices in Madison, WI is still a notable 35%, which amounts to a little more than $16,600 in yearly economies.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Speaking of balance, <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/in\/fort-wayne\/\">Fort Wayne, IN<\/a> shows the smallest price gap between dedicated desk prices and office lease rates \u2014 still, coworking spaces are come in 2% more cost-effective, before furniture and cleaning costs.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<h2><strong>Rare Exceptions: Cities Where Office Leases Are Better Deals<\/strong><\/h2>\n<p>In the majority of the analyzed cities, coworking presents itself as the more financially appealing option. That said, there are three cities where traditional office leases broke the norm.<\/p>\n<p>For example, when compared to the average dedicated desk subscription, traditional office leases are most appealing in <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/ca\/oakland\/\" target=\"_blank\" rel=\"noopener\">Oakland, CA<\/a> with a 33% discount. It\u2019s worth noting here that Oakland is the only city on the list where the price gap may reach five figures in annual savings (about $30,000).<\/p>\n<p>Additionally, prices in <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/tn\/memphis\/\">Memphis, TN<\/a> and <a href=\"https:\/\/www.coworkingcafe.com\/coworking-space\/us\/oh\/cincinnati\/\" target=\"_blank\" rel=\"noopener\">Cincinnati, OH<\/a> also tip the balance toward office leasing with 10% and 5% price differences, respectively. Yet, for a team of 10, the potential yearly savings only reach about $4,000 and $1,500, respectively.<\/p>\n<p>In any case, it\u2019s important to reiterate that these prices do not account for any additional expenses that an office lease may incur, such as cleaning fees or furniture expenses. Conversely, coworking memberships include these costs, which makes dedicated-desk subscriptions a serious contender for traditional office leases in most large markets.<\/p>\n<p><script id=\"infogram_0__\/kBxxmmZLyhmw6BM4AV4J\" title=\"All Cities Coworking vs. Traditional Office Prices\" src=\" https:\/\/e.infogram.com\/js\/dist\/embed.js?7jS\" type=\"text\/javascript\"><\/script><\/p>\n<h3><strong>Methodology<\/strong><\/h3>\n<ul>\n<li>The analysis is based on average dedicated-desk prices from the CoworkingCafe listing directory and average office lease rates provided by CommercialEdge as of July 2024.<\/li>\n<li>Office lease rates used for the comparisons were calculated for a 2,000-square-foot office space based on the local average lease rate per square foot and do not include furniture purchases or cleaning fees.<\/li>\n<li>Coworking costs were based on average dedicated-desk subscription prices due to the space type\u2019s wide availability, the uniformity of the services and benefits they include.<\/li>\n<li>The baseline for both scenarios was a team of 10.<\/li>\n<li>A total of 102 U.S. cities were included in the analysis. Cities with fewer than three different dedicated-desk price points or no data for any of the other metrics were excluded.<\/li>\n<li>*Estimates for average furniture and cleaning costs were based on standard rates for mid-range products and services from major retailers and service providers.<\/li>\n<\/ul>\n<h3><strong>Fair Use &amp; Redistribution<\/strong><\/h3>\n<p>We encourage and freely grant permission to reuse, host or repost the images in this article. When doing so, we kindly ask that you attribute the authors by linking to CoworkingCafe.com or this page to allow your readers to learn more about this project, the research behind it and its methodology.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways The average coworking membership for 10 employees is more affordable than the equivalent office lease in more than 97% of the 102 cities analyzed. Coworking memberships cost less than half of traditional office leases in 17 of the top 20 cities with the largest price differences. Coworking is 70% more affordable than traditional<\/p>\n","protected":false},"author":3515,"featured_media":3317,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[15],"class_list":{"0":"post-2010","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-market-studies","8":"tag-new-market-studies"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v24.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Coworking vs. Traditional Office: The Price Tag Showdown<\/title>\n<meta name=\"description\" content=\"For this study, we compared coworking subscriptions and traditional office leases for a team of 10 workers in 102 cities\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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