Industrious wants to grow. It has more than a dozen new locations in its pipeline this year, but the co-working player does not want to own offices or pay rent for every square foot of its locations, Industrious CEO Jamie Hodari said.
Instead, Industrious is exploring a leasing model for future locations more akin to the way hotels operate.
“I'm not sure the ownership route is the right strategy for our business,” Hodari said.
The co-founder of Industrious — which now operates more than 20 co-working locations in some 15 markets across the U.S. — is exploring the possibility of entering into operating agreements with landlords in which Industrious would get access to space in an office tower. But instead of paying rent based on square footage — the traditional lease structure the industry largely operates under — Industrious would split revenues with the landlord over a period of time, he said.