Smartworks Opens 1,000-Seat Co-working Space in Gurugram

New Delhi, Feb 21 (PTI) Co-working firm Smartworks has taken on lease 1 lakh square feet of office space in Gurugram to open a new centre with a seating capacity of 1,000 desks, as part of its expansion plan to tap a rising demand for workspace from corporates.

Smartworks, which was founded in 2016 by Neetish Sarda and Harsh Binani, has taken the space on lease in 'RK Four Square' office complex which is located in Cyber City, Gurugram.

The centre is already operational and providing these desks to clients at around Rs 20,000 each per month.

Gurugram is a key market for the company and therefore it has expanded in the vibrant business hub of Cyber City, Neetish Sarda, Founder of Smartworks, said.

"With our footprint crossing over 1 million (10 lakh) square feet throughout Delhi-NCR, we remain bullish and committed to further expanding our regional presence," he said.

Smartworks is one of the leading co-working firms in the country. It has a footprint of over 8 million square feet at more than 40 locations in 14 cities, including Delhi-NCR, Kolkata, Bengaluru, Mumbai, Hyderabad, Pune, Indore, and Ahmedabad.

In 2019, Smartworks raised USD 25 million in 2019 from Singapore's Keppel Land Ltd to fund its expansion plan.

For the next phase of growth, the company plans to raise funds this fiscal year itself.

"We might raise equity capital anywhere between USD 70 million and USD 90 million. We need growth capital for FY25 and beyond," Sarda had said earlier.

The company's revenue crossed Rs 700 crore during the 2022-23 fiscal from Rs 394 crore in the previous year.

Co-working operators, which include those providing managed office space, take on lease spaces from real estate developers and then further sub-lease them to enterprises as well as individuals.

According to real estate consultant Vestian, the flexible office space operators portfolio is estimated to rise to 81 million square feet by 2025 from around 55 million square feet currently. There are 50 major flexible space operators.

Vestian report stated that flexible office spaces broadly include dedicated desks, hot desking, co-working spaces, and serviced and managed office spaces. While co-working centres are at the most flexible end of the spectrum, managed offices would be at the less flexible end.