Small teams, big perks: Inside NZ’s workspace revolution

Imagine an office space in central Auckland or Wellington that comes with all the corporate perks - views, barista coffee, fully stocked bar, high-tech meeting rooms, yoga - you get the picture.

Traditionally the domain of big businesses, these premium office spaces are increasingly home to small teams, thanks to the rise in flexible workspace providers offering private offices within a co-working environment.

Small teams can fully customise the size and branding of their private office and access all the top-shelf amenities of a co-working space right outside their door.

And because flexible workspace providers typically employ a membership model with a monthly all-inclusive fee, businesses can choose an office that’s right for their current headcount without worrying about the prospect of being bound by a lengthy lease, should their requirements change.

Ideal for small teams - whatever the size of the business

It’s not just start-ups and SMEs who are adopting this approach - global corporates are making good use of it too.

DoorDash joined Generator - a flexible workspace provider with 2,000 members across five Auckland and Wellington locations - when they launched into the New Zealand market. They began with a 12-person private office in Generator Britomart Place, Auckland, in 2022.

Since then, the team has grown rapidly, and today they’re working from their third space at Generator - a large suite with their own kitchen, meeting rooms and breakout space fully customised with the DoorDash brand.

Bradley Thomas, New Zealand General Manager at DoorDash, says working at Generator has meant they didn’t have to commit to one lease as the DoorDash New Zealand team continues to grow and instead they could scale up when they needed to. Another benefit is they haven't had to commit any resources to setting up and running their office, and can instead focus their efforts on their continued expansion and growth across New Zealand.

“Our team doesn’t have to worry about organising a cleaner or ordering supplies. And they love having all the social events and wellbeing activities on tap. Those things are off our to-do list, and we can focus on growing DoorDash in New Zealand.”

Strong demand for private offices from small teams

In response to growing demand, Generator is developing more of their footprint into private office spaces suitable for teams of 4-15, says Generator Manager Amy Brown.

Shifting to a more flexible workspace doesn’t mean your team has to give up their privacy or even their own unique offices, she says.

“You can choose to have a totally private office inside Generator with all the desks your team needs but with the added bonus of having really cool and first-rate amenities literally right outside your door.”

With over 55% of the floor area in Generator locations dedicated to fully serviced spaces like cafés and bars, members’ lounges, breakout pods and meeting rooms, smaller teams get “to have their cake and eat it too.”

“You’re paying for what you’re using, but you’re actually getting a whole lot more.”

No crystal ball? No problem

A Generator membership offers full flexibility, and members can take on more or less space as their needs change, says Brown. “This flexibility is critical in the current climate, especially for smaller teams.”

Currently, business confidence is falling and costs are rising in New Zealand. The latest Auckland Business Chamber confidence survey (May 2024) reveals that Auckland businesses are bracing for continued economic headwinds, with 65% surveyed having negative business confidence, up from 52% last quarter. Over the next 12 months, 77% of businesses expect costs to rise, the same survey found.

“None of us have a crystal ball to predict things like future headcount,” says Brown. “A fully flexible Generator membership gives you the ability to quickly scale up or down as required and we can work with you to make sure you are only paying for what you need.”

Additionally, there is no upfront capital expenditure associated with a move to Generator. Instead, everything from furniture to office fit out, IT, reception, cleaning and utilities is covered by one predictable monthly bill.

“That’s a peace of mind that you can’t really put a price on.”

‘Not just another customer’

IT company Red Hat really knows how to make the most of Generator’s fully flexible memberships. A global business with a small New Zealand headcount, they moved to a 12-desk private office in Generator Britomart Place, Auckland, in 2019. They soon outgrew that and moved to a 20-desk office in the same building.

Post-COVID, Red Hat adopted a hybrid work policy, and moved back to a 12-desk office. If their team are all working from the office at the same time, they make the most of Britomart Place’s two members’ lounges. When clients visit, they make use of Britomart’s multiple meeting rooms.

Expanding into Wellington in 2021, Red Hat established a private office for eight at Generator Waring Taylor. The company is looking to expand their office space again next year.

“We love that working at Generator gives us the flexibility to make shifts that respond to business needs as they change,” says Derek Wilson, NZ Country Manager and Enterprise Sales Lead at Red Hat.

“Our team can make the most of all the Generator sites - in Auckland, we are based in Britomart Place but will frequently work from Madden as it’s closer to key customers. Likewise, our Wellington office is at Waring Taylor, but we often work from Bowen to be close to Government partners.”

“The whole Red Hat team really enjoys having personal relationships with the Generator team, in both Auckland and Wellington”, says Wilson. “You don’t feel like you’re just another customer,” he says.

This article was originally published in Stuff.