Hybrid work continues reshaping the coworking market, with flexible office growth increasingly concentrated in suburban communities. Suburban locations now account for 67% of all coworking sites nationwide.
That share increased from 64% in 2024, according to data from Yardi Kube. Additionally, suburban coworking locations grew considerably faster than their urban counterparts during the past two years.
Between July 2024 and July 2026, suburban coworking locations increased 39%. The number of sites climbed from 4,484 to 6,247 during that period.
Meanwhile, urban coworking locations increased 22%. Urban sites grew from 2,574 locations in 2024 to 3,137 in 2026.
Overall, the United States had 9,384 coworking locations as of July 2026. That compares with 7,058 locations two years earlier.
The suburban expansion reflects broader changes in how employees and businesses approach office space. Hybrid schedules have created demand for workplaces that offer flexibility without requiring a commute into major downtown districts.
As a result, suburban coworking can provide an alternative between working from home and commuting to a traditional corporate office.
For commercial property owners, the trend could also create opportunities to reposition existing suburban office space. Flexible workspace operators can activate vacancies while introducing new amenities for surrounding businesses and professionals.
Additionally, coworking can appeal to smaller companies that need professional space without committing to large traditional leases. Larger employers may also use flexible locations to support distributed workforces.
The shift could become increasingly important for suburban office markets still adapting to changing workplace patterns.
Rather than eliminating office demand, hybrid work continues changing where and how companies use space. The rapid growth of suburban coworking demonstrates how flexible workplaces are becoming part of that evolving office landscape.
*Article courtesy of Philadelphia Business Journal
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