How to negotiate a flexible office: 8 levers that really work

Negotiating a flexible office contract between two parties

In the flexible office space market, the advertised price is almost never the final price: on average, we see a 15% gap between the list price and the signed price. But you still need to know what to negotiate, and with which arguments. Here are the 8 levers that really work.

1. Commitment period, the king of levers

The market rule: the longer your commitment, the more open the operator is on price. A committed tenant means a vacancy avoided and secure income; many operators prefer an adjusted rent over 24 or 36 months to an uncertain full price over 12. It is not a given, but it is the first area to discuss (see also our article on the minimum term for a managed office).

2. The rent itself

Obvious, but often badly played: ask for a discount with an argument behind it (commitment, size, timing, a competing offer), not by haggling for the sake of it.

3. Notice period

Between 1 and 3 months depending on the offer: if the operator won't budge on price, a shorter notice period has real option value for you, at almost no cost to them.

4. Meeting room credits

Does your team use a lot of meeting rooms? Extra hours or credits included are worth hundreds of euros a month and are easier to negotiate than a rent reduction.

5. Branding the space

Signage, your logo at reception, custom wall graphics: often billed as extras, sometimes thrown in during negotiations. For a brand that welcomes visitors, the impact outweighs the cost.

6. Rent-free period or stepped pricing

One month free on a 12-month commitment, stepped rent while you scale up your headcount: formats operators may readily accept, because they protect their headline price.

7. Scope of services

Parking, lockers, showers, coffee: before paying for extras, check what can be folded into the package. Conversely, with some operators, dropping a service you don't need can justify an adjustment. We are currently seeing some operators restructure their offering into different packages, with prices that vary according to the range of services required.

8. Timing and competing offers

An office floor that has been empty for months, a building opening, the end of a quarter: the operator's situation works in your favour. And nothing negotiates better than a credible alternative: view 3 to 4 comparable offers and say so. Comparing means understanding the gaps: two offices in the same neighbourhood can show very different prices, and here is where the price gap between neighbouring offices comes from.

The story that says it all

In the first shortlist, a client turns down an offer we thought was perfect: "a bit pricey", end of discussion. Three months and more than 25 viewings later, he comes back to it. We negotiate 15% off the price and he signs, in the very space that had been an absolute no-go at the start. The moral: the right space at the right price often exists from day one; what's missing is the market insight to recognise it, and the negotiation to bring it within reach.

What a broker changes in the negotiation

We see the prices actually signed across almost the entire market: we know what is negotiable, where and by how much. And because we bring tenants to operators all year round, the discussion doesn't start from scratch. This service is free for you in the vast majority of cases (we are paid by the operator; market price levels are in our price ranges per desk).

How much can you expect to negotiate on a flexible office?
On average, we see a gap of around 15% between the list price and the signed price, across all negotiations. It varies with the offer, the timing and your commitment.
What is the best negotiating lever?
The commitment period: a committed tenant gives the operator security, which it will usually reward with a better price. Notice period, meeting room credits and branding round out the toolkit.
Should you negotiate yourself or use a broker?
You can negotiate on your own with a credible alternative in hand. A broker adds knowledge of the prices actually signed and an ongoing relationship with operators, free of charge in most cases.
Does negotiation work in coworking too?
Yes, especially for several desks and longer terms: meeting room credits, free months and sliding-scale pricing are common.

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