Australia’s leading premium flexible workspace provider Hub Australia has announced a new site at Melbourne’s St Kilda Road, under a first-of-its kind operator agreement in Australia that Hub predicts will be the new frontier for commercial landlords post-pandemic.

Hub Australia’s 11th site, Hub St Kilda Road will feature two-storeys of premium workspace inside the former Victorian Police Headquarters building at 412 St Kilda Road. Set to open in October 2021, it will be the first Hub Australia site opened outside of the Melbourne CBD, in response to changing worker demands amid COVID-19. Hub Australia has a second city-fringe site incoming at Salta’s Industry Lanes development in Richmond, due to open Q1 2022.

A groundbreaking management agreement at 412 St Kilda Road between Hub Australia, building owner SC Capital and asset manager Artifex Property Group, is the first full operator agreement structure of its kind undertaken with a flexible workspace provider in Australia.

Arranged under Hub’s ‘Bespoke’ product, the flexible workspace provider will deliver its world-class hospitality services to all building tenants via amenity management of the level 11 business lounge, café and a range of serviced meeting spaces, in addition to two whole floors of flexible workspace totaling nearly 2,300sqm over levels 11 and 12 in the building. 

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The operator agreement significantly influences management of the building’s associated amenity and the flexible workspace, ensuring that the owner’s strategic objectives for the asset are met. By leveraging Hub’s operational and marketing expertise to ensure a positive financial outcome, Hub is then rewarded with a performance-based management fee in return.

Hub Australia Chief Property Officer John Preece said: “World-class customer service has always been at the core of Hub’s coworking offering and we know how valuable this expertise is for large commercial landlords. By partnering with progressive commercial operators like SC Capital and Artifex, we’re able to maximise a buildings’ return on investment, create premium and engaged workplace experiences, and help attract new tenants who see value in flexible workspace amenities.

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“It’s an exciting time for Hub Australia as we explore new ways forward, such as hybrid leases and operator agreement deals, for commercial buildings and workplaces post-pandemic. We’ve announced similar partnerships in Sydney, Adelaide and Canberra so far this year and we expect all of Hub’s future sites to be built on partnership agreements.” 

Artifex Property Group Director Chris Piasente said: “We are thrilled to be partnering with Hub Australia on this first-of-its kind operator agreement which will assist with ensuring 412 St Kilda Road exceeds the amenity standard that is expected by tenants. Hub will significantly influence the management of the building’s associated amenity and flexible workspace, leveraging Hub’s operational and marketing expertise to ensure a positive financial outcome. Hub will then be rewarded with a performance-based management fee in return.”

The new site announcement comes in the same month that Hub Flinders Street opened its doors in Melbourne as the city’s fourth Hub Australia location.

Located inside the heritage Ball & Welch building at 180 Flinders Street, the new premium 3,000 square metre workspace has just opened its doors to up to 500 members, including Manpower Group and Title Recruitment. The three Hassell Studio-designed floors include an expansive outdoor terrace, media studio, a dedicated licensed café and sprawling views across the city.

Sophisticated and flexible offices range from one to 100 person suites and other bespoke workspaces of up to 700sqm are available.

Hub Australia is leading the way in landlord partnerships, as one of the only flexible workspace providers specialising in the unique dual service offering. Management services can be white labelled and tailored to suit the building amenities including the concierge, meeting spaces and business lounges, and exceptional cafes.