Flexible workspace operator WeWork has completed its lease negotiations as part of the company’s strategic restructuring in the UK and Ireland.
The company said its “enhanced real estate footprint” in the company’s “strongest and most popular [UK and Ireland] locations” would enable it to focus on its “go-forward plan” and invest in its products and services to provide an “exceptional member experience for the long term”.
The company began shuttering sites and renegotiating leases with UK landlords after it filed for Chapter 11 bankruptcy protection last year. WeWork has not provided a full rundown of how many centres it has exited in the UK and Ireland, but it confirmed that following the restructure it would operate sites in London, Cambridge, Edinburgh, Birmingham, Manchester and Dublin.
Ben Samuels, chief revenue officer at WeWork, said: “We are delighted to have finalised our portfolio optimisation in the UK and Ireland. Our updated footprint is made up of our highest quality and best-performing locations in the market. On behalf of the entire WeWork team, I want to express my gratitude to our members and landlord partners for their steadfast support and loyalty during this period. As we look to the future, WeWork is better positioned to continue defining the future of flexible work, and we’re committed to investing in our spaces and services to deliver the signature experience our members expect well into the future.”
Peter Greenspan, global head of real estate at WeWork, added: “Over the past nine months, we’ve been intensely focused on improving our balance sheet and optimising our real estate portfolio to achieve sustainable economic terms. We’re thrilled to have concluded our negotiations in the UK and Ireland, a key market for us.
“This milestone would not have been possible without the support of our landlord partners, to whom we are deeply grateful. Their partnership, along with our enhanced operational efficiency and continued dedication to our members, paves the way for a bright future ahead of us. As demand for flexible workspace continues, WeWork is poised to provide companies of all sizes with the space, offerings and flexibility they need to thrive in this new era.”
Last week, WeWork confirmed it was set to emerge from bankruptcy this month after a New Jersey bankruptcy court approved the company’s financial restructuring plans.
