High office vacancy rates – especially in Melbourne – and risk-averse tenants wary of signing long-term leases are providing the impetus for the next growth phase for Australia’s rebounding co-working and flexible office sector.

Having weathered the pandemic and bankruptcy of global operator WeWork, well-established local operators like CreativeCubes and Waterman Workspaces are embarking on big expansion programs this year. At the same time, US real estate giant Pembroke is launching its first flexible office hub in the historic T&G building on Melbourne’s Collins Street.