Why buying a co‑working space in Australia could be a smart investment
Once a niche concept for freelancers and startups, co‑working has evolved into one of the most dynamic sectors in Australia’s commercial property market. As hybrid work becomes the norm and businesses downsize their traditional office footprints, demand for flexible, shared workspaces has surged, which has created opportunities not just for tenants, but for savvy investors.
Ray White Commercial recently reported that the office sector recorded a modest 2.1 per cent increase in investment from 2023/24. They said that numbers indicated high vacancy rates and the permanent impact of hybrid working arrangements, adding that return-to-work patterns had varied significantly across states, creating volatility in take-up rates and further complicating market dynamics.
While Sydney and Melbourne are top co-working locations in Australia, picturesque holiday destinations are also increasingly offering co-working spaces to cater for digital nomads who want to live their best life but also need a place to focus.
So, what do tenants want in a co‑working space? Beyond fast Wi‑Fi and proximity to good coffee, it’s about community, flexibility and wellness. Co‑workers are drawn to inspiring environments, versatile meeting areas, natural light, and a location that fits their lifestyle, whether that’s a buzzing urban hub or a serene regional setting.
With that in mind, here are six of the coolest spaces that could be transformed into a co-working office on the market right now.
1. Collingwood warehouse
This striking warehouse-style property at 4–16 Sackville Street in Melbourne’s creative hub of Collingwood is the ideal location for a vibrant, design-driven co‑working hub. With high ceilings, exposed brick, and an industrial edge, it offers a distinct Collingwood warehouse aesthetic, not to mention several popular coffee and lunch spots nearby.
2. Southside hub
A polished office suite in a sought-after inner Melbourne location, Level 3, Suite 307, 7 Yarra Street, is made for boutique co‑working with top cafes, retail and transport on its doorstep.
3. In the Sydney hum
Located in Sydney’s tech and education hub near UTS, this modern office suite at C3, 18–22/36 Mountain Street would suit a startup‑focused co‑working concept. The layout encourages both collaboration and quiet work, while nearby restaurants and transit connections make it ultra‑convenient.
4. A creative’s paradise
This stylish, renovated property at 340 Separation Street in the trendy neighbourhood of Northcote is perfect for a creative co‑working model. As more professionals opt to work closer to home, demand is rising for localised, community-focused workspaces like this.
5. Room for growth
Situated in the buzz of the Sydney CBD, C2, 07/22–36 Mountain Street offers a slightly different configuration but with a creative, central vibe. Ideal for subdividing into a mix of shared desks, breakout areas and private offices, with plenty of room to scale as demand grows.
6. Historical surroundings
An outlier in terms of location, 20 Bay Road is a standout for its sheer potential. With ample space, historical bones and a central address in Mount Gambier, it could serve as a remote work hub, startup incubator or small business collective, catering to the growing number of professionals working regionally post-pandemic.
