What is the Serviced Office Leasing industry?
There are moderate barriers prohibiting entry into the industry. The principal barrier is the financial capacity to purchase or lease substantial premises for fitting out into serviced offices. Leasing prime office space incurs significant costs, especially since the appeal of serviced offices provides clients with a prestige address and flexible accommodation arrangements, at a fraction of the cost of traditional office leasing. As addresses get more prestigious, new players must have the equity available to acquire the floor space.
The four largest players in the industry account for almost 60.0% of annual revenue but less than 10% of total establishments. This indicates the presence of economies of scale, particularly with the acquisition of desirable premises... purchase to read more