WeWork and the Rise of the Short-Term Lease

The traditional 10–year commercial real estate lease could be a thing of the past, as the industry undergoes a ‘WeWork’ phenomenon with newer, start–up firms demanding shorter lease terms of just two to three years. During a panel discussion, experts from Taconic Investment Partners, TIAA, and RSM warn there is a growing wave of firms asking for shorter lease terms, impacting how landlords and investors pre–build or retrofit office space, how much they spend on it, and how much of a premium owners can charge in rents.