“The new business, called Hana, will not lease space directly, but will work with property owners and will design, build and operate flexible office space for them. It will make money through revenue and profit-sharing agreements with landlords.”
Pretty sure at this point that everyone saw this coming. WeWork brings nothing to the table, besides brand recognition, that a landlord could not create on their own with the right management platform. Their business model is reliant on landlord’s willingness to lease them space, and when you can just hire Hana (CBRE) why would you lease to any coworking company? Not only that, but WeWork has literally zero credit. Smart owners are VERY concerned about overexposure to WeWork. Not only that, but CBRE is entrenched into the world of commercial real estate. I would not be surprised at all if CBRE bundles this service into their management agreements. I fully expect that CBRE is about to choke WeWork out of the market.
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