Workland, a flexible office space provider, is expanding its network by taking over two UMA locations in Tallinn, Estonia and in Vilnius, Lithuania. With the acquisition, Workland Group will secure its position as the market leader in the Baltics offering unique and inspiring coworking and office space solutions in all Baltic capitals.
According to Indrek Hääl, the founder and chairman of the board of Workland, expanding the network of centres is a logical step in the current market situation. "Demand for coworking centres and fully serviced offices is growing, primarily owing to its flexibility and cost-effectiveness."
With the transaction, Workland secures its position as the market leader in the number of workstations rented in Estonia, in Lithuania and the Baltics in general. As a result of the acquisition of the new centres in Tallinn and Vilnius, nearly 450 workstations will be added to the current 1,200 in Estonia, Latvia and Lithuania, which will lead to a 40% increase. The acquired centres will continue to operate under the Workland brand.
The popularity of the coworking centres has been significantly influenced by the changes in working life over the past year and a half. "Coworking centres allow the tenant to decide the suitable period for their contract period, select the suitable solution and increase or decrease the number of desks according to the real need and the growth rate of the business. This makes it possible to successfully combine living in a countryside and an office in the city while optimising the costs for teams that work partly remotely," explained Hääl.
Although most companies renting space at Workland have less than 10 employees, the trend is changing. Workland is receiving more and more inquiries from larger companies with teams of 50-100 members and local branches of large international corporations that want to move from more than five-year rigid contracts in traditional offices to one-year agreements. "Companies are looking for flexibility, functionality, inspiring work environment and comfort in office space. When renting space in Workland coworking centre, there is no need to worry about the administration of the daily office space; space is fully furnished, desks-chairs and the necessary equipment are ready to use," Hääl says.
Forecasts indicate that 30% of all office space will be consumed flexibly by 2030. "In 15-20 years, this number could be even higher, and the pandemic has significantly accelerated it. We have never before seen such a rapid increase in interest towards the Workland services as in the last year," says Hääl. "As a next step, we are currently developing a collaboration model with commercial building owners and developers to expand even more vigorously and bring a flexible office concept solution to every major commercial building."
Workland Group is the largest network of coworking spaces in the Baltics with 10 centres - four in Tallinn, one in Riga, four in Vilnius and one in Kaunas. Workland's mission is to provide inspiring workspaces on flexible terms with professional support services and a community that supports the company's growth.
The largest shareholder of Workland is BaltCap, the largest private equity investor in the Baltics, along with the company's founder and executive management.