News from the Region

News

WeWork: Durham hub produces 2,000 jobs, $322M in economic impact

by Chantal Allam — April 29, 2019

DURHAM – WeWork opened its first co-working space in the Bull City less than a year ago. But it’s already having a big impact on the local market.

That’s according to the firm’s “first-of-its-kind” Global Impact Report released today.

According to the report, the WeWork economy in Durham has an economic multiplier of 1.7.

Translation: for every WeWork member, another 0.7 jobs are supported across the city. That means a total of about 2,000 jobs (1,200 WeWork members, plus 800 multiplier jobs).

Meanwhile, WeWork’s economy directly contributed $230 million of GDP and in total supports $322 million  ($.23B direct and $.09B indirect) of Durham’s GDP.

Interestingly, 86 percent of WeWork members in Durham are in the innovation economy, compared to 21 percent in the region as a whole, the report cited.

“The local findings speak for themselves,” Bobby Condon, WeWork’s Southeast general manager told WRAL TechWire.

“We’re excited by the high number of members we have in the innovation economy, as well as our ability to support this amount of jobs with only one building. As we continue to grow in the area, we expect to see these numbers climb.”

COMPETITION HEATS UP IN CO-WORKING SPACE

Back in October 2018, WeWork, a global network of shared office space, opened at One City Center at 110 Concoran Street.

However, it already has plans to expand its footprint with two new locations expected to open this summer — the first is in Raleigh’s Glenwood district, and the second is another Durham location on 300 Morris Street.

Those additions will only intensify competition for Durham’s American Underground and HQ Raleigh, as well as some 20 other co-working spaces across the Triangle.

“We are just scratching the surface here,” said Condon. “Our platform enables organizations of any size in Durham and across the globe to focus on what matters most – their people and their purpose. Through unprecedented flexibility and scale we are delivering a better day at work, for less. While it is still early days, we are captivated by the limitless potential.”

THE GLOBAL IMPACT

WeWork has locations in 100 cities across six continents, and that figure continues to grow.

According to the report compiled by HR&A Advisors, the WeWork economy supports 680,000 jobs and $122.3 billion in total GDP.

It also directly contributed $74.8 billion of GDP globally and in total supports $122.3 billion ($74.8B direct and $47.5B indirect) of GDP worldwide.

“If the WeWork economy was its own city, its GDP would be equivalent to the output of cities like Vancouver, Dublin, or Austin,” the report cited.

“For us as a company, this Global Impact Report shows the progress we’ve made, and how WeWork helps people and businesses of all sizes thrive, accelerates economic growth for cities around the world, drives innovation in education and has a powerful, positive impact on our natural environment,” Condon said.

Article Source: WRAL TechWire

Learn more about the Triangle Region’s startup ecosystem