New York, NY – January 29, 2024 – Today, WeWork, a leading global flexible space provider, announced four new lease assumptions in the U.S. following successful renegotiations with landlords as part of its strategic restructuring process. The assumptions, which are subject to court approval, are located in New York, Arlington, Tempe and Columbus. This news demonstrates continued, productive momentum in WeWork’s ongoing real estate negotiations and brings the company one step closer to achieving a strengthened global real estate portfolio that delivers long-term value for WeWork, landlords and local members.
Since September 2023, WeWork has been working closely with nearly all of its landlords to optimize its lease portfolio by reducing rent and tenancy expenses, exiting unfit and underperforming locations and investing in its strongest assets. Since then, not inclusive of lease rejections, the company has accomplished over $1.5 billion in total rent savings through over 60 global lease agreements.
Following accelerated momentum in early 2024, WeWork will continue to assume additional leases in the coming weeks and months upon finalizing more agreements that set WeWork up for long-term success for operations at each building. As progress continues, the company becomes better positioned to invest in its products, services and member experience well into the future.
STATEMENTS REGARDING LEASE ASSUMPTIONS
71 5th Avenue
“WeWork introduced flexible enterprise workspaces to our building five years ago and noticed the positive reception that companies of all sizes have had to these well-designed, turnkey spaces. Today, we are pleased to have reached an agreement with WeWork to have them continue operating at 71 5th Avenue. We appreciate their constructive partnership and look forward to our ongoing work together at this location,” said a spokesperson for Madison Capital.
“We are pleased to have come to an agreement with Madison Capital at 71 5th Avenue which will enable us to continue providing an exceptional experience to our members and position our operations at the building for long-term success. Union Square remains a sought-after location for growing companies and we’ve received positive feedback from members about the building throughout our tenancy. New York City remains one of WeWork’s key markets and we look forward to providing our members with flexible space solutions at 71 5th Avenue and throughout the city for years to come.” said Melissa Visoky, Director of Real Estate Management at WeWork.
The Watermark
“WeWork has been a key member of The Watermark community since before the building opened. Their innovative workspaces have cemented our building as a hub for the area’s top visionaries and we’re pleased to continue partnering together for many years to come,” said a spokesperson from Fenix Development.
Visoky added, “As The Watermark’s first tenant, we’re thrilled to double down on our commitment to this building and to our partnership with Fenix Development. Since 2019, we’ve known that this Tempe location was the perfect place for emerging startups, global companies, and flexible workspace to thrive. This vision has only grown stronger following the shift to hybrid work and we look forward to continuing to showcase all that The Watermark has to offer.”
800 North High Street
“Since 2019, WeWork has been an important partner to our 800 North High development – providing flexible workspaces for emerging innovators and business leaders in our central downtown location. We have recommitted to a long-term relationship with WeWork through our new agreement, and are pleased to be able to offer flexible workspace to businesses in downtown Columbus,” said a spokesperson from Crawford Hoying.
Visoky added, “Columbus remains an important market for WeWork as evidenced by continued demand from enterprises, small businesses and entrepreneurs looking for flexible office space to adapt to the new hybrid world of work. Under the agreement, WeWork will continue to operate two floors at 800 North High St. offering private suites, full floor offices, desk rentals and other products that meet the needs of local businesses. We thank Crawford Hoying for their partnership in reaching a solution that we believe will deliver long term economic value and look forward to working together to create an exceptional member experience in the building for years to come.”
About WeWork
WeWork was founded in 2010 with the vision to create environments where people and companies come together and do their best work. Since then, we’ve become a leading global flexible space provider committed to delivering technology-driven turnkey solutions, flexible spaces, and community experiences. For more information about WeWork, please visit us at wework.com.
