2025 Coworking & Flexible Workspace Trends
How the Evolution of Shared Spaces Is Transforming Where We Work, Build Connections, and Achieve Success
The way we work is evolving faster than ever, and coworking / flexible workspaces are at the forefront of this transformation. What started over two decades ago as a solution for freelancers looking for flexible desks has blossomed into a thriving ecosystem of dynamic work environments in 2025. From hybrid work models to niche communities, spaces are no longer just about where we work—they’re about how we connect, innovate, and succeed.
At The Professional Centre (TPC), we’re witnessing these changes unfold in real time. This year, coworking spaces are adapting to meet the needs of individuals and businesses in ways that go beyond the basics. Whether you’re an entrepreneur, a remote worker, or part of a large enterprise, understanding these shifts can help you navigate the future of work and find the perfect fit for your needs
As the coworking industry continues to evolve, 2025 is shaping up to be a year of significant transformation. From the steady growth of coworking spaces across diverse markets to the rising demand for private offices over traditional hot desks, these trends highlight a dynamic and competitive landscape. Operators are elevating member experiences through hospitality-inspired services. Corporate clients are becoming key players in the coworking ecosystem, while automation is revolutionizing operations, making spaces smarter and more efficient. Meanwhile, niche and industry-specific spaces are creating tightly-knit communities as remote work reshapes where and how we work. Together, these trends paint an exciting picture of the future of coworking. One that balances flexibility, innovation, and community.
Let’s explore the coworking trends that are setting the stage for a more flexible, inclusive, and innovative workplace experience.
The Growth of Coworking
Coworking continues to expand as a cornerstone of the modern work landscape. However, the pace of growth is not uniform across regions, and the dynamics of the industry are shifting as new players enter the market.
In Canada, cities like Toronto, Vancouver, and Montreal are seeing steady growth in coworking spaces as remote work and hybrid models become the norm. Globally, predictions on the share of flex office space are very promising. JLL’s forecast of 30% flex space by 2030 are showing on the ground in key cities like New York and London already hitting flex market penetration rates of up to 10%.
At events like the Coworking Canada Unconference, experts such as Stirling Bell from Pavilion have highlighted the opportunities. For Canadian operators, the emphasis lies in fostering community-driven experiences that cannot be easily replicated by corporate giants. There’s a chance to carve out unique offerings tailored to local demographics, particularly as remote workers spread out across major urban hubs as well as into smaller regions.
What’s Next for Growth?
Looking ahead, as commercial leases expire and companies reassess their real estate strategies, coworking spaces are likely to play a pivotal role in optimizing office utilization. In Canada, particularly in mid-sized cities, this could mean a surge in demand for hybrid coworking models that combine private offices with collaborative spaces.
Canadian coworking spaces need to focus on what makes them distinct: their ability to deliver personalized, community-first experiences. Whether it’s fostering deeper member connections or embracing niche markets, independent operators are well-positioned to compete by doubling down on their unique value propositions.
Private Offices Over Hot Desks: The Evolving Demand
The coworking and flexible workplace industry has come a long way from its roots in open-concept spaces and hot desks. While the idea of shared work environments initially revolved around fostering collaboration and creativity, the preferences of modern professionals have shifted dramatically. Today, private offices are dominating the coworking landscape, with demand far outpacing that for hot desks.
The Shift in Workspace Preferences
Hot desks, once the hallmark of coworking, are being overshadowed by the rise of private and shared offices. A growing number of operators report that private offices now account for approximately 80% of space allocation in coworking facilities, with only 20% reserved for open seating.
Why the change?
- Privacy and Productivity: As more remote teams and corporate employees enter the coworking space, the need for privacy and focus has increased. Private offices provide a distraction-free environment where individuals and teams can work uninterrupted.
- Post-Pandemic Concerns: The lingering effects of the COVID-19 pandemic have amplified the demand for personal workspaces, as individuals prioritize hygiene and limited exposure in shared environments.
- Flexibility for Teams: Small and medium-sized enterprises (SMEs) see private offices as an affordable alternative to long-term commercial leases, especially when coworking providers offer flexible rental terms.
In Canada, coworking operators like iQ Offices and The Professional Centre have embraced this trend, reconfiguring their spaces to include more private offices while maintaining the collaborative spirit of coworking. These adaptations not only meet market demands but also ensure sustainable revenue.
Balancing Privacy and Community
The challenge for operators lies in providing private spaces without losing the essence of community that makes these spaces so attractive to a modern workforce.
- Flexible Layouts: Designing spaces that combine private offices with shared amenities, such as lounges, meeting rooms, and kitchens, fosters organic interaction among members.
- Technology-Enabled Collaboration: Tools like virtual coworking platforms and in-house networking apps help bridge the gap between privacy and connectivity.
- Micro-Offices: Compact private workspaces designed for individuals who need privacy but don’t require a large footprint.
- Customizable Offices: Allowing members to personalize their office layouts and decor to align with their brand identity or personal preferences.
Private offices are here to stay, but individual operators’ success will depend on their ability to integrate privacy with community, embrace innovative designs and technology and meet evolving demands while retaining the collaborative ethos that defines coworking.
Diversified Services & Models
As workspaces evolve, so do the ways they offer services. Operators are diversifying to cater to shifting demands and preferences.
In 2016, desk rentals and combined membership plans accounted for 56% of coworking revenue. By 2023, this figure dropped to 38%, reflecting a significant shift in how coworking spaces make money. Today, operators are exploring innovative ways to provide value to their members.
Some of the most successful membership amenities include:
- Event Spaces: Space for both work-hour and after-hours events like workshops, parties, or community gatherings.
- Alternative Use Rooms: Spaces designed for yoga classes, podcast recording, or photography sessions.
- Virtual Mail Services: Offering businesses a professional address and mail-handling services.
- Phone Booths: Private and semi-private booths for calls or virtual meetings.
Diversification is no longer optional—it’s essential. Coworking spaces that embrace these service additions will create vibrant, multifunctional hubs that serve their members and the broader community.
Learning from Successful Operators
Profitability remains a critical milestone for coworking spaces, especially for independent operators navigating an increasingly competitive market. While nearly half of coworking spaces achieved profitability in 2023, challenges persist, particularly for younger spaces and smaller operators.
The Profitability Picture
Research from DeskMag offers valuable insights into the financial performance of coworking spaces:
- 46% of spaces were profitable in 2023, with an average profit margin of 19.7%.
- 25% of coworking spaces failed to recoup expenses, a figure unchanged since 2019.
- The most profitable spaces tend to be at least 4-6 years old, with 100+ members and 10,000-20,000+ square feet of space.
What Successful Operators Are Doing Right
Successful popular flexible workspaces share several common traits:
- Efficient Space Design: High-performing operators prioritize private offices and multifunctional spaces, aligning with current market demand.
- Clear Pricing Structures: Transparent, flexible pricing models appeal to diverse audiences, from freelancers to corporate teams.
- Operational Technology: Automation tools streamline administrative tasks, enabling operators to focus on member experience and growth.
- Reputation: Word-of-mouth referrals and strong community engagement are invaluable for attracting and retaining members.
By adopting proven strategies, leveraging technology, and prioritizing member experience, operators can build sustainable, thriving businesses. For Canadian operators, understanding regional demand and tailoring offerings accordingly will be key to staying ahead.
Hospitality Elevating Member Experiences
In an era where workers have endless options for where and how they work, coworking and flexible workspaces must go beyond providing desks and Wi-Fi. Hospitality, as the art of creating an exceptional customer experience, is emerging as a pivotal element. By treating members more like hotel guests than tenants, coworking spaces can foster loyalty, community, and long-term success.
Why Hospitality Matters in Coworking
Members today have countless alternatives, from home offices to coffee shops, and competitor spaces. For them to choose a specific brand, it should offer more than a place to work, it should provide an experience.
Key reasons hospitality is crucial:
- Workplace Flexibility: Hybrid and remote work models mean individuals and teams need spaces that cater to their unique needs, whether it’s quiet focus, collaborative zones, or relaxation areas.
- Community Building: Hospitality-driven coworking spaces foster connections and a sense of belonging, which are key drivers of member retention.
- Rising Expectations: Members are accustomed to seamless, high-quality service in other aspects of their lives, such as through apps and travel experiences. They now expect the same from their flexible office workspaces.
Hospitality-Focused Amenities
Coworking spaces can learn a great deal from the hospitality industry, particularly hotels. Just as hotels provide comfort, convenience, and excellent service, coworking spaces can implement similar practices to create standout experiences.
Key elements to incorporate can include:
- Personalized Service: Use member data to anticipate needs, such as preferred seating arrangements or coffee orders.
- Seamless Technology: Tools like automated check-ins, keyless entry, and integrated booking systems enhance the member experience.
- Curated Environments: Thoughtful design, from lighting to furniture, can make a workspace feel welcoming and productive.
- Wellness Rooms: Dedicated spaces for meditation, relaxation, or even short naps.
- In-House Cafés: Providing high-quality coffee and snacks fosters a café-like atmosphere while keeping members onsite.
- Concierge Services: Assisting with tasks like booking meeting rooms or organizing events.
- Member Perks: Offering discounts on local businesses or exclusive access to events adds value to memberships.
In Canada, the hospitality trend aligns well with the country’s emphasis on community and service-oriented businesses. From urban hubs like Toronto and Vancouver to smaller coworking spaces in towns like Kelowna or Moncton, operators are finding creative ways to integrate hospitality into their offerings.
Coworking and flexible workspace brands are not just about work, they’re about experience. By adopting hospitality principles, operators can create environments that members don’t just use but truly love. For Canadian coworking spaces, this means tapping into the country’s strong service culture to deliver unique, personalized experiences.
Corporate Clients Is The New Frontier
Coworking spaces have long been associated with freelancers, entrepreneurs, and digital nomads. However, corporate clients are emerging as the next major opportunity for flexible workspace brands. As companies shift to hybrid work models and downsize traditional office spaces, these spaces are perfectly positioned to provide flexible, scalable solutions for corporate teams.
Why Corporations Are Turning to Flexible Workspace Solutions
The post-pandemic workplace has transformed the way corporations think about real estate and employee productivity. Key factors driving corporate adoption include:
- Cost Efficiency: Leasing coworking space for a team is often more affordable than maintaining a large corporate headquarters, especially in high-cost city markets like Toronto and Vancouver.
- Flexibility: Membership contracts offer companies the ability to scale up or down based on team size, avoiding long-term lease commitments.
- Hybrid Work Models: With employees splitting time between home and the office, flexible workspaces serve as ideal hubs for part time office schedules as well as team meetings or collaborative projects.
According to the New York Times, “refugee corporate employees” as those who work in hybrid or fully remote roles accounted for approximately 15% of coworking memberships in 2023. This number is expected to rise as more organizations embrace flexible work arrangements.
In Canada, cities like Toronto and Calgary are experiencing a surge in corporate coworking memberships. Companies are using coworking spaces to establish satellite offices closer to their employees’ homes, reducing commutes and boosting morale.
The corporate coworking trend shows no signs of slowing down. As companies continue to decentralize their operations and explore hybrid work models, coworking spaces will need to evolve to meet their needs. By understanding their unique needs and offering tailored solutions, operators can secure reliable, long-term corporate members while redefining the modern workplace.
The Role of Automation in Streamlining Operations
Automation is no longer a luxury for coworking spaces, it’s a necessity. It has emerged as a game-changer, enabling operators to streamline their operations, reduce costs, and enhance the member experience. From onboarding to invoicing, automation allows coworking spaces to focus on what matters most in building vibrant, connected communities.
How Automation is Transforming Coworking Operations
Advanced management software platforms as well as custom built solutions have revolutionized the way operators manage their spaces. Here’s how automation is making a difference:
- Seamless Member Onboarding – Automated onboarding systems ensure new members can join and access the space effortlessly. Tasks such as generating contracts, collecting payments, and granting keyless entry can be handled through software, freeing up staff to focus on personalized welcomes.
- Efficient Booking and Scheduling – Members can book meeting rooms, private offices, or hot desks with just a few clicks. Automated systems also prevent double bookings and optimize space utilization by tracking usage patterns.
- Invoicing and Payments – Gone are the days of manual invoicing. Automation platforms handle recurring payments, overdue reminders, and detailed financial reporting, ensuring consistent cash flow with minimal administrative effort.
- Lead Management and Marketing – Automation tools can track leads, follow up with potential members, and send targeted marketing campaigns based on user behavior. This is particularly valuable for operators looking to convert inquiries into memberships.
- Community Engagement – Automated systems can send reminders for events, surveys for feedback, and personalized birthday messages to members, fostering a sense of connection and loyalty.
Where is Automation Heading?
The future of automation in flexible workspaces looks bright. Emerging trends include:
- Full-Service Automation: Combining smart locks, IoT devices, and AI-driven tools for fully autonomous coworking spaces.
- Hyper-Personalization: Using automation to tailor member experiences, from desk preferences to event recommendations.
- Integrated Ecosystems: Seamless integration with other tools, such as accounting software, project management platforms, and hybrid work solutions.
In Canada, the adoption of automation in coworking spaces is accelerating, with operators recognizing the value it brings to their businesses. Automation is no longer just about efficiency, it’s about creating a smarter, more member-focused coworking experience. For Canadian coworking operators, investing in automation tools is an essential step toward sustainable growth and staying competitive in a dynamic industry.
Canadian Outlook
The coworking & flexible workspace industry is at the forefront of a workplace revolution, offering innovative solutions for how and where we work. The trends shaping 2025 reflect a dynamic, member-focused approach to coworking.
Whether you’re seeking a space to collaborate, a private office to focus, or a community to connect with, coworking offers endless possibilities to meet your needs.
At The Professional Centre (TPC), we pride ourselves on staying ahead of the curve. With thoughtfully designed spaces, premium amenities, and a commitment to hospitality, we’re here to support your journey, wherever it takes you.
Ready to explore the future of coworking? Visit us to learn more about our spaces and discover how we can help you thrive in 2025 and beyond.