This article is from the Australian Property Journal archive
THE Cluster, Hive and Common Ground are being merged by The Flexi Group to create the largest operator of flexible workspaces in the Asia-Pacific.
Following the merger, The Flexi Group will boast a portfolio spanning 45 locations across 12 cities and nine countries including Hong Kong, Singapore, Malaysia, Australia, Thailand, Taiwan, Vietnam, Philippines and Japan.
“We are delighted to launch The Flexi Group as the leading provider of flexible workspaces in the Asia-Pacific region,” said Chris Edwards, CEO of The Flexi Group.
“The pandemic has changed the way the world works, with businesses of all sizes shifting their workplace strategies towards flexible solutions, employee wellbeing, and collaborative spaces, and we are excited to be at the forefront of that trend.”
The operator will also offer holistic membership solutions for businesses, from typical coworking memberships to full-service enterprise and white labelled management solutions.
The merger, which will be the first in a series of planned consolidation activities by the group, is backed by Singapore-based Catcha Group and Malaysia-based Emissary Capital.
The Flexi Group stresses an asset-light strategy in its real estate ventures, choosing to partner with landlords on joint ventures rather than taking on large rental agreements.
“We work with some of the leading landlords in the region who see flexible workspaces as a natural evolution of their business,” added Edwards.
“They work with us to help engage the tenants in their buildings, offering them access to best-in-class events, flexible work solutions and bookable meeting and event spaces. Asset owners can also unlock revenue potential as our partners see increased returns of up to 30% vs a traditional lease structure.”
Such landlords in the region include Chinachem Group in Hong Kong, Petronas in Malaysia, Central Group in Thailand, Ortigas in the Philippines and Hirsch and Faigen in Australia. The group will also announced further partners in the coming months.
“Our multi brand for a multi-demographic approach is unique in the region. This strategy gives us the opportunity to partner with landlords across a variety of asset classes across Asia and Australia,” said Edwards.
Multiple new locations of the free main brands the Hive, Common Ground and The Cluster are also set to open over the next year in Australia, Malaysia, Thailand, Philippines and Singapore.
“With our multiple brands targeting a different market segment across a variety of industries, we will see exponential growth and are forecasting to grow by up to 100 locations in the next three years,” concluded Edwards.
