Industrious Adds Coworking Office on Rodeo Drive in deal with Douglas Emmett

Industrious is betting workers want to share offices in Beverly Hills.

The New York-based coworking firm just acquired by CBRE will occupy 16,000 square feet of offices at 150 South Rodeo Drive, south of the Golden Triangle, the Commercial Observer reported.

Terms of the profit-sharing agreement with landlord Douglas Emmett, based in Santa Monica, were not disclosed. The three-story brown marble office building, built in 1991 next to the Beverly Wilshire Hotel, contains 71,800 square feet, according to Loopnet.

The co-working office is expected to open this fall as Industrious’ first foray into Beverly Hills.

“Right now, returning to the office isn’t a question of if, but how,” Liz Simon, chief operating officer for Industrious, told the Observer. “More companies are pushing their employees to come back.

Rather than standard leases, Industrious cuts profit-sharing agreements with landlords to minimize financial risk and enhance operational flexibility.

The “asset light” business model comes in stark contrast to coworking competitor WeWork, now clawing its way out of its late 2023 bankruptcy resulting from its long-term leases, according to the Observer.

Industrious operates more than 250 coworking offices in more than 65 cities across the globe, including in Santa Monica, Westwood, Century City and West Hollywood., according to its website.

Industrious, founded in 2012, was bought by Dallas-based CBRE in January for about $400 million, with the company valued at around $800 million.

The deal marked a shift in the coworking industry in the wake of the WeWork bankruptcy and the closure in late 2020 of coworking competitor Breather, purchased a year later by Industrious for $3 million, according to The Real Deal.

— Dana Bartholomew