Flexible office space operators got $820 mn PE funding since 2017: Report

Flexible office space operators have received USD 820 million worth private equity funding since 2017 driven by rising demand from corporates, according to Knight Frank. In its report released on Wednesday, real estate consultant Knight Frank India said the Private Equity (PE) investments in India's flexible office space sector have fluctuated significantly. "From 2017 to 2018, investments grew steadily from USD 25 million to USD 49 million, rising sharply to USD 113 million in 2019, driven by investors like CLSA Capital and Peak XV Partners." However, investments fell to USD 11 million in 2020 and USD 6 million in 2021 due to Covid-19, it added. "A resurgence occurred in 2022, reaching USD 595 million, supported by deals from Hillhouse Capital and Actis, but dropped sharply to USD 13 million. In 2024, one deal secured USD 8 million," the consultant said. The report noted that flex-space operators have taken on lease an estimated 52.9 million sq ft (msf) from 2017 to the first hal