The Real Deal New York

Macerich partners with Industrious to bring co-working into malls

First space to open in Arizona
August 08, 2018 01:30PM

Scottsdale Fashion Square in Arizona (Credit: Wikipedia)

Mall owner Macerich announced a partnership with co-working company Industrious to turn unused retail space into flexible offices.

The first Industrious-managed co-working space inside a Macerich mall is set to open in Scottsdale, Arizona, in January 2019.

“We feel very confident that integrating co-working into retail will be a slam dunk in urban areas,” Industrious’ CEO Jamie Hodari told CNBC, adding that he expects retailers to rent mall-based office space as well.

Macerich is an investor in VC firm Fifth Wall Ventures’ real estate tech fund, which in turn led Industrious $80 million Series C round in February.

Mall owners like General Growth Properties (which is to be acquired by Brookfield Property Partners) and Unibail-Rodamco-Westfield have also opened offices in unused retail, according to CNBC, and last year a WeWork affiliate invested in mall operator Hudson’s Bay Company. [CNBC] — Konrad Putzier