With a network spanning more than 120 countries, IWG operates not only as a workspace provider but as a platform, offering access to a global ecosystem of offices alongside additional business support services. László Márkus, the company’s country manager, speaks to the Budapest Business Journal about regional opportunities, partner-driven growth, and how flexibility is becoming a core business expectation rather than a perk.

BBJ: How does IWG prioritize expansion within Hungary, and which cities beyond Budapest are currently the biggest opportunities?

László Márkus: We are focused on growth right across Hungary to meet the growing demand for hybrid and flexible workspace solutions. Budapest remains our core market, as it is the country’s primary business hub, and demand is naturally very strong. At the same time, there is a clear and growing need beyond the capital, particularly in larger regional cities and in suburban areas around Budapest.

This shift is driven by the same structural trends we observe globally. Companies increasingly want to bring work closer to where people live, reducing commuting times and supporting more flexible, hybrid working patterns. Employees expect this level of flexibility, and businesses are adapting accordingly. This approach is not only beneficial for employees but also fundamentally cost-effective for employers.

We operate 23 locations across Hungary, including 19 Regus centers, two Spaces locations, one HQ and one Signature site. The majority of these are located in Budapest, with two locations in Debrecen, and one each in Szeged and Miskolc. Each workspace provides state-of-the-art private offices, meeting rooms, co-working and creative environments for companies of all sizes, accessible through the IWG app, which also connects members to the company’s global network and a range of additional business support services.

We are looking at new locations with thriving business communities. This includes not only major regional cities but also fast-growing suburban zones, enabling professionals to work wherever is most convenient and productive. I see strong potential around Lake Balaton. The “staycation” concept has gained traction, and flexible workspaces could fit very well into that lifestyle, allowing people to combine work and leisure more seamlessly. I would also like to see further expansion in western Hungary, closer to the Austrian border, where there is strong cross-border economic activity.

BBJ: How do you decide which of your brands best fits a specific Hungarian market or city?

LM: Our brand portfolio is similar to that of major hotel chains like Marriott or Hilton; we have a solution for every type of building and customer. Regus, our largest and best-known brand, caters to a broad business audience, including corporates and SMEs that require professional, efficient workspace solutions in well-connected locations. Spaces targets businesses seeking a more creative, collaborative experience, combining design-led environments with a strong sense of community. In Hungary, we look at factors such as the local business ecosystem, workforce demographics, and the maturity of the flexible workspace market when deciding which brand to introduce in a given location. At the same time, we are looking to further expand our portfolio by introducing more HQ-branded locations, as well as smaller centers under our OpenOffice brand. These concepts allow us to stay ahead of local market needs across Hungary, providing greater flexibility and long-term value for partners and customers, particularly in secondary cities or suburban areas. A new HQ center will be opening in Budapest’s District XIV in the near future. This expansion brings coverage to a previously underserved residential area, opening up new access to workspace closer to where people live.

BBJ: How does your capital-light, partner-led expansion model work in practice in Hungary, and what makes a strong local partner?

LM: Our expansion model is based on a partnership model with property owners and investors. We work closely with local landlords and property owners to transform traditional or underutilized office spaces into profitable, flexible work environments that better match today’s market needs. For partners, this approach offers several advantages. It significantly improves occupancy rates, diversifies income streams, and helps future-proof their assets in a rapidly changing office landscape. At the same time, it allows us to expand our network quickly and efficiently, with terrific mutual incentives. A strong partner in Hungary is typically one who understands the local market well, wants to capitalize on the long-term shift towards flexibility, and is open to innovation. This model has proven highly effective across markets globally where the office sector is transforming, as it enables both sides to adapt more quickly to changing demand.

BBJ: How are Hungarian companies using flexible workspaces to improve employee retention and attract talent?

LM: The competition for talent in Hungary has intensified in recent years, and flexibility has become a key differentiator for employers. Companies are increasingly using flexible workspaces to offer employees greater choice in where and how they work. This can mean working closer to home, avoiding long commutes, or having access to a professional workspace on demand. These factors directly impact employee satisfaction and retention, while also enabling companies to tap into a wider talent pool beyond their immediate headquarters. One of our recent studies reveals that 81% of CHROs state that eliminating long daily commutes would positively impact performance, and 67% believe it would improve employee wellbeing.

We are also seeing a shift in the type of clients we serve. While flexible workspaces were traditionally associated with SMEs and startups, large corporations and companies of all sizes are now showing growing interest in immediate, scalable solutions. They value the ability to adjust their office footprint without long-term commitments quickly. Flexibility is no longer seen as an added benefit. It is becoming a baseline expectation among employees, and companies that fail to provide it risk falling behind in the talent competition.

BBJ: How do you communicate the cost and sustainability advantages of flexible workspaces to more traditional Hungarian businesses?

LM: When engaging with more traditional businesses, the conversation typically starts with cost efficiency and risk management. Flexible workspaces allow companies to avoid long-term lease commitments and align their office costs more closely with actual usage. This shifts their cost structure from capital expenditure to operating expenditure, providing greater financial flexibility and reducing risk, especially in uncertain economic conditions.

Once this financial logic is understood, it becomes easier to introduce the additional benefits. Shared workspaces are inherently more efficient in terms of resource use, as they reduce underutilized office space and optimize energy consumption. Access to a global network of workspaces across major cities, smaller regional hubs and even towns and rural areas significantly reduces carbon emissions by removing the need for long daily commutes into a»CBD five days a week.

Sustainability is therefore a natural extension of the model, even if it is not always the initial driver. Over time, as companies become more aware of their environmental impact and the impact of commuting on carbon emissions, this aspect becomes increasingly important in their decision-making. Ultimately, flexible workspaces offer a combination of financial, operational, and sustainability advantages, making them a compelling option for businesses of all sizes in Hungary.

This article was first published in the Budapest Business Journal print issue of May 22, 2026.

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