Global Serviced Office Market Grows 20% During Recession

The global economy is currently experiencing its most difficult period since the recession of 2008-09. Disappointing growth in the major economies has been compounded by sovereign debt problems re-emerging in Europe over recent weeks, which have triggered a wave of financial market instability. Markets have recovered in recent days, but volatility is likely to be high until a durable plan to end the Eurozone debt crisis emerges.

Unsurprisingly this has knocked consumer confidence across most markets around the world, and only the most resilient and versatile markets have emerged blossoming with growth. Should it be surprising that the global serviced office market is one of them?  

When the global recession hit in 2008 the global serviced office market was worth approximately £3.4 billion. And so far in 2011, the global serviced office market has seen a turnover of approximately £4.2 billion. This period of strong growth marks the rise of the serviced office market. There has been an increase in demand for serviced offices driven by the need for increased flexibility. Businesses worldwide are now changing where and how they use their office space on an increasingly regular basis. The recession has been the root cause of this in recent years; however the global serviced office market has seen a continued growth in supply year on year for over two decades. Which suggests that the secret to the serviced office industries resilience does not solely lie at the feet of a shift in consumer behaviour. But because the serviced office product offers more than just increased flexibility. Serviced offices offer businesses of all shapes and sizes easy in, easy out office space, in some of the most prestigious locations in every city around the world. The speed in which you can acquire a serviced office allows your business to not only grow quickly and ensure that it is only ever paying for what it uses. But in addition it offers peace of mind in the form of plug and play space for office overflow, project work, and disaster recovery. 

The London office market is leading the way with the largest supply of serviced offices in the world. It boasts 428 business centres, which is the equivalent combined size of the markets in Paris, Sydney, Tokyo, and Hong Kong. The second largest serviced office market in the world can be found in New York, which offers 121 business centres to choose from. 

If you are starting a new business or if your business is growing faster than you expected, then please call Morgan Pryce on 0207 292 4710.