Is the growth in U.S. coworking space a viable business opportunity for electrical contractors?
It depends on who you are, and where you are located, it seems.
According to an April 2025 report released by CoworkingCafe, a listing service for flexible office spaces, there was a net gain of 145 new coworking spaces in the United States in Q1 2025, for a grand total of 7,840 spaces nationwide. That total was up 2% from the amount at the end of 2024.
Regions of the country that showed strong growth included the southwest Florida coast (10% increase), Brooklyn (8%) and San Antonio (7%). Boston and Chicago each increased 6%. The report cited Chicago as a particularly strong market, adding 16 spaces for a total of 279, one behind Manhattan’s 280.
But one Chicago-based electrical contractor isn’t seeing that growth.
Tom Rivi, president and CFO of G&M Electrical Contractors Co., said that before the COVID-19 pandemic, “We did a ton of it. WeWork was a big customer of ours.
“We haven’t done any since. As far as I know, I can’t think of one we’ve done in five years. The multifloor ones we were doing in the early to mid-teens. We’re not seeing those.”
He said the demand for office space in Chicago’s downtown area, called the Loop, is “relatively soft,” but when it comes to coworking space, Rivi was quick to point out that is just his firm’s 30,000-foot perspective.
The CoworkingCafe report also noted that pricing for coworking spaces remained steady. The median monthly subscription rates nationally for open workspaces and a virtual office were both at $149, with $300 for a dedicated desk.
Markets fluctuated, however. In Manhattan, open workspace rates rose substantially to $339 from $240 at the end of 2024. But Chicago’s average dropped from $143 at the end of 2024 to $125. That kind of drop should spur interest and rentals, with hypothetical growth in business opportunities, but Rivi said regional interest is probably a factor.
“I have heard that the coasts are bouncing back quicker with office rentals,” he said. “The Midwest I think is a little more insulated here.”
