Teddy Sagi launches Labs Enterprise
Israeli billionaire Teddy Sagi has launched Labs Enterprise to capture flexible office demand from larger firms.
The new venture, a spin-off from LabTech’s existing co-working arm, Labs, aims to provide workplaces for businesses with more than 50 employees.
Dotan Weiner, chief operating officer of Labs, told EG: “We are seeing companies looking to grow and take a long lease but with a full-service offering. This is getting more and more popular.”
Israeli billionaire Teddy Sagi has launched Labs Enterprise to capture flexible office demand from larger firms.
The new venture, a spin-off from LabTech’s existing co-working arm, Labs, aims to provide workplaces for businesses with more than 50 employees.
Dotan Weiner, chief operating officer of Labs, told EG: “We are seeing companies looking to grow and take a long lease but with a full-service offering. This is getting more and more popular.”
He added: “We have seen a growing demand for dedicated offices taking up as much as an entire floor from both existing Labs members and major corporates. It’s no secret that traditional offices can be complex and costly to run. We understand that companies need the facilities and services to empower their workforces to achieve more with the convenience of a single invoice at the end of the month.”
By the end of 2019, 40% of demand is forecast to come from large companies, according to a report by Instant Offices.
One of Labs Enterprise’s first tenants is UK law firm Slater and Gordon, which earlier this year occupied almost an entire floor at Labs’ 90 High Holborn premises. The building, which totals 186,000 sq ft, is Sagi’s most expensive central London acquisition to date, with a price tag of around £200m. Sagi bought the building last year from Malaysian sovereign wealth fund Permodalan Nasional Berhad.
For one monthly fee, Labs Enterprise will deliver an all-inclusive service that encompasses all of the expenses incurred by an office, such as IT, furniture, meeting rooms, hospitality facilities, utility bills, cleaning, security and maintenance.
Labs Enterprise is part of the LabTech Group, which includes a £3bn portfolio comprising assets such as Camden Market and the tallest skyscraper in Israel, the Azrieli Sarona Tower.
The new venture is part of a wider trend for co-working providers to take on more “mature” clients. In 2017, WeWork launched an enterprise division which deals with clients that have more than 1,000 employees. So far, the company’s enterprise client roster includes Facebook, Microsoft and HSBC.
Click here to read EG’s full interview with Dotan Weiner, chief operating officer of Labs.
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