Saudi Arabia Co-Working Office Spaces Market Size (2024 - 2029)

The Saudi Arabian co-working office spaces market is experiencing growth driven by the increasing demand for flexible and affordable working environments from entrepreneurs, start-ups, and freelancers. This shift is largely due to the recovery from COVID-19 impacts and the evolving needs of businesses as Saudi Arabia's economy diversifies. The preference for serviced workspaces is rising, supported by government initiatives to enhance the sector. The General Authority for Small and Medium Enterprises is actively working to improve coworking space management, design, and service quality, while also raising awareness and exploring investment opportunities to expand the market size.

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Market Size of Saudi Arabia Co-Working Office Spaces Industry

Saudi Arabia Co-Working Office Spaces Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 6.00 %
Market Concentration Low

Major Players

Saudi Arabia Co-Working Office Spaces Market Major Players

*Disclaimer: Major Players sorted in no particular order

Saudi Arabia Co-Working Office Space Market Analysis

The Saudi Arabian Co-Working Office Spaces Market is expected to witness a CAGR of more than 6% during the forecast period.

  • The market is driven by increasing demand for working spaces from entrepreneurs, start-ups, and freelancers with a focus on convenience, price, and flexibility.
  • The growth in the coworking office spaces market is mainly due to the companies resuming their operations and adapting to the new normal while recovering from the COVID-19 impact, which had earlier led to restrictive containment measures involving social distancing, remote working, and the closure of commercial activities that resulted in operational challenges.
  • As Saudi Arabia's economy continues to diversify and change, workplace needs are also shifting from traditional office spaces with long-term contract commitments to a more sophisticated and flexible working environment. As such, demand is growing for coworking spaces where freelancers, entrepreneurs, and small and medium-sized enterprises (SMEs) can share offices and services in flexible, affordable ways.
  • An increasing number of new businesses and well-established corporates prefer to use serviced workspaces in Saudi Arabia. With the entrepreneurial community in Saudi steadily growing, there has been an increased demand for coworking spaces. The Saudi government has also shown support for these coworking spaces. To assist companies, Monsha'at, the General Authority of Small and Medium Enterprises and Saudi Arabia's regulator for coworking spaces, is cooperating with organizations in public and the private sectors to strengthen the sector.
  • The General Authority for Small and Medium Enterprises (Monsha'at) is helping coworking spaces providers to improve the management of coworking spaces, their design and layout, and service quality. It is also working on many initiatives to increase general awareness of coworking spaces and their advantages, providing information about the requirements to start coworking spaces, and seeking different investment options to fund coworking spaces.

Saudi Arabia Co-Working Office Space Industry Segmentation

Coworking is a business services provision model that involves individuals working independently or collaboratively in shared office spaces. This report offers a complete analysis of the Saudi Arabian Co-working Office Spaces Market, including a market overview, market size estimation for key segments and emerging trends by segments, and market dynamics. The report also offers the impact of COVID-19 on the market.

The Saudi Arabian Coworking Office Spaces Market is Segmented By End User (Personal User, Small Scale Company, Large Scale Company, and Other End Users), Type (Flexible Managed Office and Serviced Office), and Application (Information Technology (IT and ITES), Legal Services, BFSI (Banking, Financial Services, and Insurance), Consulting, and Other Services). The report offers market size and forecast for Saudi Arabia Co-working Office Spaces Market in value (USD billion) for all the above segments.

By End User
Personal User
Small Scale Company
Large Scale Company
Other End Users
By Type
Flexible Managed Office
Serviced Office
By Application
Information Technology (IT and ITES)
Legal Services
BFSI (Banking, Financial Services, and Insurance)
Consulting
Other Services
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Saudi Arabia Co-Working Office Spaces Market Size Summary

The Saudi Arabian co-working office space market is experiencing significant growth, driven by the increasing demand from entrepreneurs, start-ups, and freelancers who seek flexible, affordable, and convenient working environments. This shift is largely a response to the evolving economic landscape in Saudi Arabia, where traditional long-term office leases are being replaced by more adaptable solutions. The market's expansion is further supported by the government's initiatives, particularly through Monsha'at, which is actively promoting the development and management of co-working spaces. These efforts are aimed at enhancing the quality and awareness of co-working facilities, thereby attracting more businesses to adopt this modern workspace model.

As urbanization continues to rise in Saudi Arabia, particularly in major cities like Riyadh and Jeddah, there is a corresponding increase in job opportunities, which fuels the demand for co-working spaces. The market is characterized by a fragmented landscape with numerous players, including prominent names like Wework, Regus, and Servcorp, all vying for market share. The competitive environment is expected to intensify as more companies enter the market, leveraging strategic collaborations to enhance their offerings and profitability. This dynamic market scenario is indicative of a broader trend towards flexible work arrangements, which are becoming increasingly popular in the post-pandemic world.

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Saudi Arabia Co-Working Office Spaces Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Current Market Scenario

    2. 1.2 Technological Trends

    3. 1.3 Industry Value Chain Analysis

    4. 1.4 Government Regulations and Initiatives

    5. 1.5 Insights on Office Rents

    6. 1.6 Insights on Office Space Planning

    7. 1.7 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By End User

      1. 2.1.1 Personal User

      2. 2.1.2 Small Scale Company

      3. 2.1.3 Large Scale Company

      4. 2.1.4 Other End Users

    2. 2.2 By Type

      1. 2.2.1 Flexible Managed Office

      2. 2.2.2 Serviced Office

    3. 2.3 By Application

      1. 2.3.1 Information Technology (IT and ITES)

      2. 2.3.2 Legal Services

      3. 2.3.3 BFSI (Banking, Financial Services, and Insurance)

      4. 2.3.4 Consulting

      5. 2.3.5 Other Services

Saudi Arabia Co-Working Office Spaces Market Size FAQs

The Saudi Arabia Co-Working Office Spaces Market is projected to register a CAGR of greater than 6% during the forecast period (2024-2029)

Wework, Regus, Servcorp, Easyoffices and Scale are the major companies operating in the Saudi Arabia Co-Working Office Spaces Market.

Saudi Arabia Co-Working Office Space Market Report Snapshots

Saudi Arabia Co-Working Office Space Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)