Flexible Office for the Evolving Workforce

Contraction of North American Markets Inventory down 10% across the largest U.S. & Canadian markets

Changes in Inventory

• In the Americas, flex operators continue to give back space or force renegotiations with landlords. For example, flexible office inventory in San Francisco fell year over year (YoY) from 2.5 msf to 1.3 msf. • Impact on flexible office varies by operator and depends upon location, competition, tenant mix and average contract duration. • Those that have generally fared better include operators that own some or all of their buildings and/or operators who work on a management agreement basis.

-4% -4% -2% -2% -2% -2%

-6% -7%

-10% -9%

-13% -13% -12%

-38%

-50%

-69%

-72%

Source: Cushman & Wakefield Research