For Mumbai-based social-gaming app Bakbuck, India’s nationwide lockdown landed like a suckerpunch. Since it was implemented on 25 March, the company’s advertising revenue has plummeted 75%. It could no longer afford the Rs 75,000 ($990) monthly rent it paid co-working company 91springboard. After around two years of working out of the co-working space, Bakbuck’s team—down to six from nine—decided to move out. They currently work from home, and will likely do so for the foreseeable future.
India’s co-working spaces are open for (big) business
Co-working companies’ bet on enterprises—and consequently, enclosed private offices—may have given them a slight edge in weathering the current storm. But they still need to make lasting changes to their business to bounce back
The average space per desk in a post-Covid co-working space may increase to 80-90 sq ft from 60 sq ft
This means fewer seats, and with an increased emphasis on hygiene, also a jump in maintenance costs
The demand for office space in India is also set to decline 15-20% in 2020, thanks to the impact of Covid-19
More operators may opt for a revenue-share arrangement with landlords to protect themselves