Written by Mike Kriel, CEO of Launch Workplaces
Everyone’s giving their predictions for what’s going to happen in coworking this year, so I figure I’ll share what I’m actually seeing in the market.
The coworking industry is expected to continue growing in 2026.
That’s obvious.
But if you’re an operator or a building owner, you need to understand what’s happening beneath the surface.
Here are the four trends that are going to define the year ahead.
1. Consolidation is Ramping Up Fast
There are multiple operators trying to raise capital, merging with each other, and there are a couple of different philosophies driving these moves.
First, you’ve got geographic consolidation.
For example, maybe an operator in the mid-Atlantic is partnering with someone in the Northeast so their members can use each other’s spaces. Maybe they become one larger company. Geographic exclusivity is one reason to merge or acquire.
Second, you’ve got the Marriott model play.
Marriott is a hotel company with 20 different brands, from their most exclusive, high-end properties all the way down to their budget options.
Some coworking groups are saying they want to put that same philosophy under their umbrella. They want different brands they can offer at different locations depending on what that market needs.
Third, you’ve got smaller, opportunistic consolidation. We call them “ones and twos.”
Operators who don’t have aspirations to grow into a hundred-location business. They’re fine with one or two locations. You’ve got local operators just gobbling up one or two at a time. Maybe they want to get to five, six, or seven locations, but no real aspiration to conquer the world.
This isn’t speculative. Multiple operators are raising capital right now. The consolidation is happening across the board.
2. Some Operators Are Going to Exit the Business
Here’s the reality: some people just want to get out.
You’ve got COVID survivors who are tired. They watched WeWork skyrocket, then plummet, and now gratefully come back as a profitable coworking operator.
But the people who followed that specific model? They’re exhausted.
Maybe they survived through COVID and have one or two spots that are doing okay, but they just don’t want to do it anymore. It’s a lot of hard work.
You’ve also got operators who chose the wrong model or the wrong location. One or two bad decisions in a coworking facility can make it a pretty steep climb to get to profitability. And not everyone’s willing to make that climb.
So some operators are just going to fall off the map, whether it’s from burnout, bad decisions, or both.
3. Authenticity and Member Experience Are Becoming Non-Negotiable
This has been talked about a lot in our industry, but the interaction between the people running your facility and your members is a thing.
It needs to be valued. It needs to be taught. It needs to be branded.
People need to be comfortable going into any of your locations and being treated the same way.
Here’s the roundabout way of saying it: hiring people and training people to work in this industry is going to get a lot more attention than it has in the past. There’s this undefinable thing called authenticity that matters.
And the coworking operators that bring an authentic presence and experience to members will fare better than the folks that are robotic, too systemic, or too process-driven and rigid. Everything else being equal.
That’s going to be a huge shift in our industry.
4. Wellness and Sustainability Are Table Stakes
More and more, the wellness and good health of members matter. Consumers are always conscious of their impact on the planet.
Is the building they’re in certified?
The space they’re in can now be certified through programs applicable to the coworking world.
You have to be conscious of that. It’s not optional anymore.
So 2026 is going to be a great year for coworking operators. As the industry continues to mature, the product that we offer just gets better and better. All of us.
Think of any industry that starts out. Everybody wants to try to find a niche or a differentiator or something new. There’s innovation, and people are trying to leapfrog each other.
But what’s happening in 2026 is that you’re going to have more reliable, better choices for coworking and flex options than you’ve ever had before. It’s based on a lot of things. Technology platforms. Community programming and networking. The better training and emotional intelligence of the community directors running these spaces.
You’re going to be able to differentiate brands, but overall, you’ll have a much more consistent, reliable experience in the flexible environment than we’ve ever had before.
That’s very encouraging.
If you’d like to learn more about the coworking industry, dive deeper into my predictions for the year, or explore how you might be able to benefit from having coworking in your building, check out my Flex in Five series on YouTube or your favorite podcast platform.
And if you want to talk more in-depth, contact me today. I’d be happy to speak with you.
