WeWork could be coming to Asia soon

Photo credit: WeWork.

Shared office space startup WeWork, which hails from the US, could be expanding to Asia, according to a report from Bloomberg.

Citing anonymous sources, it says that WeWork is preparing to form a global venture with Australian property group Lendlease to lease office space and living apartments to companies in Europe, North America, and Asia Pacific.

The rumored deal includes Lendlease developing properties which it will then lease to WeWork, or managing properties for WeWork and paying a fee to the startup.

We have reached out to WeWork to confirm the report.

Uber for spaces

WeWork offers a unique twist on the co-working space and shared office concept – it leases properties and essentially sublets them to businesses looking for space on a flexible, short-term basis. The company has also created WeLive, a similar model for serviced apartments for traveling entrepreneurs.

Sources say WeWork will partner with Australian property group Lendlease to provide spaces in Europe, North America, and Asia Pacific.

Founded in 2010, the startup has so far raised US$1 billion from investors including Goldman Sachs and JP Morgan. Its latest round was its series E, worth a massive US$434 million. The company is currently valued at over US$10 billion (Bloomberg pegs it at US$15 billion), although its rapidly rising valuation has been disputed.

It already offers office space in locations in the US, Europe, Israel, and is about to expand in Mexico and India.

Media from the New York Times to BuzzFeed have attributed WeWork’s high valuation to the startup painting itself in an extremely positive light, and investors going out of their way to find the next Uber.

In the wake of WeWork’s explosive growth, startups offering similar services have already popped up in Asia. FlySpaces, active in Singapore and the Philippines, bills itself as an Airbnb for office space. It raised US$500,000 in seed funding from investors including Future Now Ventures, COENT Venture Partners, and Narra Ventures in January. Thailand’s Hubba offers serviced offices in the country, raising a pre-series A round worth US$350,000 from 500 Startups, Golden Gate Ventures, and Ardent Capital in October.