Malkin still wary of WeWork, venture capital startups Shared-workspace tenants “beat the hell out of buildings,” ESRT chief says
Anthony Malkin’s skeptical views on WeWork and fellow “venture capital” startups, which have driven a good amount of the city’s office demand in the past few years, have not changed.
Speaking on Empire State Realty Trust’s first-quarter earnings call Thursday morning, the chair and CEO responded to an analyst s question on whether Malkin had changed his stance on WeWork which he has previously referred to as “a gig-worker center of excellence and other shared workspace startups.
While acknowledging that the real estate investment trust does lease to more “traditional” shared office providers like Regus, Malkin affirmed that ESRT would not be leasing to WeWork which was recently valued at $16 billion and other, newer “venture ca上海千花社区 pital” startups anytime soon.
“Why should we take a venture capital risk for the benefit of collecting rent?” Malkin said.
He then went on to criticize the companies for “the damage these [shared workspace tenants] do to buildings.”
“People blow in and out of WeWork,” Malkin said. “They beat the hell out of buildings, bathrooms, systems. … Why should we take爱上海同城 a venture capital risk when our only upside is to collect rent?” he reiterated.
When the analyst followed up by noting that shared workspace providers like WeWork expose landlords like ESRT to a wider variety of smaller, prospective tenants, Malkin responded that his[……]