#63 Shared profits, managed services, franchising - Best partnership models with landlords? (CWE23)

Shared revenues, profit sharing, co-financing, management agreements, franchising… Many legal asset-light options exist nowadays to lower the financial risk and build partnerships with landlords. Partnerships with landlords can speed up coworking brand’s expansion while it can also be a very effective way for Real Estate operators to enter the world of flexible services, making their facilities more appealing to future tenants. During this panel discussion, participants will share their experience with implementing the different models, underlining the advantages from the Property owners’ perspective. – What are the main differences between the different models? – Why sign up with a coworking franchise brand rather than sign up for a profit-sharing agreement? – How to assess the proper added value of flexible services and amenities in a building? – What share of the total revenue generation can or should it represent, as opposed to traditional leasing revenues? – How can the right balance be found between short-term gains and long-term costs? – What are some common legal pitfalls to be aware of, and how can they be mitigated? – How can operators effectively communicate the value and benefits of coworking spaces to conservative landlords who may have limited familiarity with the concept? – What level of guarantee should be reached to initiate a productive discussion with a conservative landlord? – How can coworking operators proactively address potential challenges or conflicts that may arise during the lease agreement, ensuring a smooth and successful partnership with the landlord? This conversation will focus on the practices and arguments that maximize the chances of reaching a mutually beneficial agreement between a landlord and an operator. John Milhado (Office Improvers), Ian Chitsungo (VentureX), Romain Mefret (Bureaux&Co), Ashok Balabhaskarane (Wojo). Moderated by Emma Swinnerton, Head of Flexible Workspace EMEA at Cushman & Wakefield. Recorded at the Coworking Europe 2023 conference, in Porto.