We performed a Coworking Demand Analysis for a downtown Portland, Main neighborhood to understand what is and is going to be the most in demand types of coworking. We have some exciting findings for you.
Our Data-Driven Process
DenSwap’s unique formulas and tool sets use the dynamic datasets that McDonald’s, Target, and Starbucks use to plot out their next locations. We’ve used our experience of operating coworking spaces for 12 years and as market researchers to develop a process and algorithm specifically for the coworking and commercial real estate industry. The datasets uses over 67 detailed buyer and lifestyle profiles and we’ve correlated each profile with successful coworking markets and forward looking trends. Each profile is graded on their likelihood of joining a coworking space and the type of coworking space they would be most interested in.
All of that data is combined with other local factors (density, mode of transportation, education, etc.) that determine the likely success and size of coworking spaces that can be sustained in the area. The result projects how much coworking space can be sustained in the area the type of coworking (High-end Flex, Mid-range Flex, Executive Suite, etc) that will be most in demand.
Downtown Portland, Maine
We focused on the downtown neighborhood in Portland where the arts district is located and the 15-minute drive surrounding it. The zip code is 04101 and it had a total of 4,420 of people that would likely be able to join a coworking space. The 15-minute area surrounding the neighborhood had a whooping 44,026 people. The likely coworking base for the neighborhood is 474 customers within the zip, but 2,614 within an easy drive. Since it’s a downtown zip code it is safe to assume the 15-minute drive is a more accurate representation of the customer base
The average income for the zip code is $68,357 (below average indicator for coworking success). the population density is very strong for the zip code, and the number of undergraduate degrees was a neutral indicator, but the ratio of graduate degrees was a very strong indicator. The split of the generations living was very skewed to Millennials making up 41% of the zip code.
How Much Flex Office Can Be Sustained in Portland, Maine?
Based on our coworking demographic data for the region, a downtown location, and the cities upward trend, DenSwap predicts the city support 130,700 square feet.
Recommended Coworking Business Model: Mid-Flex & Modern Executive Suite
A Mid-Flex or Modern Executive Suite will be the most successful types of flexible office space in Portland, MA. We have a list of types of properties that these models work well in inside the report.
What can you do with this data?
The Coworking Demand Analysis report is a great first step to evaluate coworking’s potential for a building you may own or area you are interested in expanded to. It’s an unbiased market research approach to evaluating the potential for a space in a quick and affordable way.
If you are interested to move forward in learning more about coworking’s potential at a location then you’ll likely want to work with a professional and ask about a Focus and Feasibility Study. The DenSwap consultant will create a targeted area, evaluate the competition, and build out a business model and P & L based on realistic expectations, data, and experience.