WeWork gives up 7 floors of office space across 2 locations in S'pore CBD

Co-working space WeWork has decided not to renew the lease at two locations in Singapore.

Both are located in central Singapore.

The first co-working space to go used to occupy four floors — the 17th to 20th — of the Manulife Tower at 8 Cross Street.

It has since ceased operations.

The second location is the three-floor space at UE Square at 83 Clemenceau Avenue.

Operations will cease in 2025.

"Difficult decision" not to renew the lease

Choosing not to renew the leases at these two prime locations was a "difficult decision" to make, a WeWork spokesperson shared with The Straits Times.

The company added that it remains committed to its 12 remaining spaces, which are mostly in the Central Business District, reported ST.

Meanwhile in Singapore, there has reportedly been a spike in office vacancies in prime locations.

Companies are looking at ways to cut costs, such as consolidating offices and moving away from paying for co-working space, reported Bloomberg.

Earlier this year, Chinese technology company Tencent Holdings stopped using WeWork co-working space in Raffles Place and opted for a new office in another prime tower, according to Bloomberg.

WeWork's story

The New York-based company was founded in 2010 and pioneered the business model of leasing co-working office space.

Despite being revolutionary for its time and once valued at US$47 billion, WeWork filed for bankruptcy in the United States in Nov. 2023.

At that time, WeWork said that its operations in Singapore were business as usual and unaffected.

"Whatever that has been agreed and signed remains the same," WeWork's spokesperson said.

Things took a positive turn, however, when WeWork was cleared to exit from from the bankruptcy process earlier this May after a U.S. judge approved its plan of handing over the company's equity to a group of lenders and technology company Yardi Systems, reported Reuters.

Mothership has reached out to WeWork for comments.

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