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n e w h a v e n b i z . c o m | S e p t e m b e r / O c t o b e r 2 0 2 0 | n e w h a v e n B I Z 19 demand to return to pre-pandemic heights, according to a research report by real-estate giant CBRE. Escape from New York One bright spot in retail is finan- cial services thanks to transplants from New York City and Fairfield, Wareck said. In July he helped a Stamford-based company lease a New Haven office and retail space for a fund-management business. e firm had earlier moved to Connecticut from New York but the pandemic sparked a search for space further afield. "ey felt it was a better way to move away from the city and have a better quality of life," Wareck said. "ere's really a great opportunity for the city of New Haven and the region to capitalize on these feelings of migration, people wanting to leave the denser cities like New York and Boston." Office space in particular may see strong demand going into the fall as the pandemic persists, said Dave Melillo, senior commercial associate for Pearce Real Estate and a bro- ker in the space for 25 years. Companies are looking for alternatives to traditional office complexes in big cities but may still need a footprint in the tri-state region. He urges caution, however, considering the still-evolving crisis. "We still don't know how this is going to shake out," Melillo said. "People are working at home but that collaborative aspect, ... you don't have that working at home. You still need to have a physical presence somewhere." Many inquiries on office space are coming in from Fairfield and New York but few are willing to make major commitments just yet, he said. City of industry Industrial tenants, however, are signing leases across the city, thanks New Haven's co-working spaces evolve with crisis By Liese Klein I t wasn't exactly a full house, but David Salinas was encouraged by what he saw in July at the first post-pandemic, in-person "Wine Down Wednesday" at District coworking space in New Haven. People were enjoying adult bev- erages at a distance and listening to live music in one of the complex's event spaces, part of the gradual revival of community spirit. "You have to slowly bring people back," said Salinas, CEO and co-founder of District, which bills itself as a "Technology & Innovation Campus" at 470 James St. in New Haven's Fair Haven neighborhood. Events like Wine Down Wednesday are essential to rebuilding District's sense of camaraderie between tenants, but Salinas said he is increasingly op- timistic about coworking's future in New Haven regardless of the current challenges to socializing. District opened in 2018 with 72 separate co-working offices spread across 18,000 square feet and expanded in January to add another 50 offices in an additional 30,000 square feet. Private offices rent for $550 a month, in addition to a "flexible desk" for $399 a month and other options all the way down to a $29 day pass. e office format allows for social distancing and intensive cleaning of common areas. "People can be in very safe environments; people can control their environment," Salinas said. "We've instituted the highest level of safety protocols." District has evolved its model to meet the challenges of the pandem- ic and is seeing higher demand for rentals and more attendance even in the dog days of a New Haven summer, Salinas said. Since reopen- ing post-lockdown, "We've seen uptick in both attendance in the space, as well as new memberships," he said. Big city alternative As the crisis has dragged on, more corporations are coming to District and other coworking providers looking for remote space closer to their workers' homes yet still adjacent to small-city ameni- ties. A New York media company recently rented coworking space for 13 people to house an entire division at District, and Salinas said he expects more major firms to seek alternatives to big-city office towers. "e appetizing thing about cowork is that we're a much more flexible option," Salinas said. "is has shown everyone that they can have not just a work-from-home but a work-from-anywhere policy." "e value proposition has changed," agreed Juan M. Salas- Romer, founder of Known Coworking at 139 Orange St. in downtown New Haven. Known opened its 6,000-square-foot facility in October, marketing its 12 offices, 42 desks and five confer- ence rooms mainly to e-commerce COMMERCIAL REAL ESTATE Dave Melillo entrepreneurs. Soon aer reopen- ing from the lockdown this spring, Salas-Romer noticed a surge in demand from big firms looking for flex-space. "It's more about the companies," Salas-Romer said. "We're seeing some companies looking for drop-in hubs for their teams, satellite offices where people come in once a week, … people are really eager to con- nect, they are missing the opportu- nity to collaborate with others." Known Coworking has also boosted its online programming for entrepreneurs on its Known Live platform, offering nine shows a month on topics like "How to host a successful virtual event." Salas- Romer expects that the ongoing fi- nancial turmoil due to the pandemic will lead to more entrepreneurship and demand for flexible options. "We'll see a lot of people starting companies and looking at spaces like coworking spaces," he said. Coworking also has growing ap- peal to those who are working from home for the long-term, said Salinas of District. "People are tired of Zooming in front of their beds; people are looking for a change of environ- ment, a change of pace. We're seeing people starting to fatigue at home with the kids and they're wanting to come in." n Tenants at co-working space the District relax during a COVID-19-friendly "Wine Down Wednesday." Continued on Page 33

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