Thursday, October 15, 2026

AI firms fuel flexible office demand across global tech hubs

The report identifies India, Ireland, the UAE, the UK and the US as markets where AI and flexible workspace ecosystems are becoming increasingly established.

Artificial intelligence (AI) companies are emerging as a new source of demand for flexible office space as fast-growing firms seek workspace that can scale alongside their headcount, according to Cushman & Wakefield.

Its report – Global Trends in Flexible Office 2026 –  says AI businesses often expand rapidly and can grow from small teams to hundreds of employees within a relatively short period, creating a need for workspace that can adapt quickly. 

Flexible offices are increasingly being used to meet that requirement, providing turnkey space that allows companies to increase occupancy as their workforce and space needs grow. Cushman & Wakefield also notes that many AI firms retain office-first working cultures, supporting demand for physical workspace. 

The report identifies India, Ireland, the UAE, the UK and the US as markets that have already developed mature AI ecosystems within the flexible office sector. 

Cushman & Wakefield says clustering is particularly important for emerging technology companies, with AI firms seeking locations close to talent, investment and major industry players.

Well-located flexible workspace can give smaller companies access to established technology clusters and allow them to operate alongside larger firms without taking on the longer-term commitments associated with a traditional office lease.

The UK, France and the UAE are highlighted as examples of markets where a strong flexible workspace presence is combining with a high concentration of AI businesses occupying flex space. Cushman & Wakefield describes this as a developing relationship between the growth of AI ecosystems and flexible office demand.

The report also says technology clusters containing major companies such as Google, OpenAI and Anthropic have seen stronger demand from smaller AI businesses seeking to locate nearby.

Across the wider market, Cushman & Wakefield describes AI as an emerging growth driver for flexible offices, with increasing AI-sector activity beginning to influence how mature individual flex markets are assessed.

The trend forms part of a broader shift in which flexible workspace is becoming a more established component of corporate real estate strategies, allowing businesses to respond more quickly to changing workforce requirements and growth patterns.

Deviki Patel
Deviki Patel
Deviki is a Digital Journalist at AI PropTech News, Rental Living News and BTR News. She holds a BA (Hons) in Law and an LLM from the University of Leicester. Having transitioned from a background in property law, she brings a strong foundation in research and analytical thinking, supporting the delivery of well-informed, insight-led content across the Living and PropTech sectors.

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