Insights from Faye Stutts on the evolution of the flex space industry and how to capture new opportunities
Faye Stutts, National Director of Coworking Partnerships
We talked to powerhouse, Faye Stutts, who shares her latest insights on the evolution of the coworking and flexible workspace industry.
Faye Stutts, National Director of Partnerships for Coworking and Flex at Vari, is one of the most recognizable people within the industry. Her deep experience includes positions in coworking, sales and leadership. Faye is not only influential in how we think about our coworking and flex spaces, but she has also become integral in shaping the industry through the strategic partnerships she creates.
In conversation with iPostal1’s very own William Edmundson, they explore how the industry has changed since the pandemic, how the industry is adapting to the shift in demand for flexible workspace options and what the future may hold for operators and their business partners.
William: Faye, we’d love for you to share with us what you’ve been seeing across the industry and how that’s influencing workspace operators' plans to meet future needs.
Faye: “Since starting out in the industry in 2012, I’ve worked on different sides and gained different perspectives. What I’ve seen over the course of time is that there are still old school, traditional spaces with reception, conference rooms and hallways but now the majority are selecting locations that have close amenities such as restaurants within walking distance. I’m also seeing lots of open space concepts, with collaboration areas full of bells and whistles, such as beer taps that are geared towards client events where folks can come together and collaborate.
Another change is seeing operators partnering with other buildings that allow them to utilize big spaces for meeting rooms so they don’t have to take a giant chunk of their own rentable space and turn it into a training room that may or may not be used.
Having the ability to offer multiple different solutions for different group sizes and all different businesses is what I’ve seen change throughout the past decade.”
W: I agree Faye, it’s a very exciting time and there are some very cool spaces being developed like Hines, Texas Tower. Their innovative concepts around shared space amenities are incredible, everything from outdoor parks, fourteen floors up and even ballroom-style pre-function lounge spaces where people can mingle and have a drink.
So, back at Vari, I know you’ve been seeing a lot of operators upgrading and changing their workspaces. This is due to them adapting to the shift from solopreneurs using our workspaces. Still, now companies are letting people work in a hybrid way permanently and they are seeking out flexible workspace options.
Can you tell us about how that has shaped the advice you are giving and how this shift is driving the trends you’re seeing in how operators are using their space and the furniture you supply?
F: “You know, there are a lot of Fortune 100 companies allowing all their remote markets to have a stipend which enables them to choose their own remote workspace. What we’re seeing is that they are selecting a 100% turnkey solution that is furnished and comes with all the amenities, technology, café. But it’s the furniture piece that’s very important to them and we have been able to provide really flexible solutions; very simple, very effective and very fast for all the operators. So much so, that when they land the corporate user and they need say 20 more workstations the operator can provide that quickly when working with us as we can deliver that within 15-20 business days enabling them to maintain better cash flow, instead of taking a gamble on numbers as they aren’t 100% sure what they’ll need. We find that this is becoming a very positive experience for our coworking operators.”
W: I agree, back in the traditional days of executive suites that were furnished, the team rooms were unpredictable because you didn’t know what the team looked like in terms of numbers, equipment needed or space allocation. Thankfully with Vari, you can turn orders around into quick furniture delivery.
Do you get a lot of custom orders based on who the end user is going to be and can you talk us through from the thought process to ordering and installation?
F: “We do for sure, so the first question I always ask is who is the client, the end-user? What industry are they in? For example, if it’s a tech client I know that white isn’t going to be their jam, they’re going to go with more of a black and leathers as it just feeds into their nature. Also having some privacy and separation from the rest of the workers is important, a lot of the tech companies don’t like to be sitting next to each other chatting all the time, they like their private space. Typically, I’ll get a white box space of 1,000-3,000 sqft team room and I have to build out 4 private offices and do an open space plan for 20 people with 3 executives. So, at this point, I would provide our wall system to build out the private offices along with all the furniture for the entire workspace including soft seating and reception area because they want to make it their own little hybrid office. The timeline is usually around 15-20 business days, and often we exceed expectations and can deliver in under 15 days but we always aim to under promise and overachieve!”
W: Thank you, Faye, that’s amazing. I’ve been an operator for a good chunk of my career and with an operator's hat on I wanted to ask, if I was trying to understand how the furniture needs to be configured for a particular client, then could I come to you and say I need help trying to solve this problem. The client needs a workspace for X many people and they requested these specific things. Are you able to guide them, even counsel them to find a great solution?
F: “Absolutely, that’s exactly what we do at Vari. It’s really interesting actually, because I think the biggest issue for people coming to me is that they have no idea how to explain all of the different needs that the client they are partnering with wants and how to lay that out. So, we also have an internal design team that supports me in helping the client map out the space. They are dedicated to the coworking vertical that we work with, and they can put together a detailed layout that identifies all the finishes, furnishings etc. and this is a free service that we offer for larger spaces. This is a great starting point because it allows me to then jump on a call with the client and walk them through the options and after that, the whole process becomes pretty seamless. It’s a great tool because it helps the client visualize what the space can look like and then we reconfigure until we get it right.”
W: At iPostal1 and iWorkspacemail, we’ve got lots of clients that are seeing so much change going on all around them. And as they’re looking to take on more space, renewing leases and taking on new locations, what kind of advice would you give them as they start planning the layout of their new and additional spaces?
F: “Well, there are a couple of things I would always do for an operator in this situation. Firstly, anyone who provides me with a layout of how they think they’d like the space laid out with blocks and furniture etc. I would give them a 1 for 1 swap showing what they have asked for. But I would also give them two alternative options showing other possibilities for optimizing their new space. One option would be showing less density where they could grow into the space over time depending on demand but allowing them to protect their cash flow today. And we’d always reassure them we could deliver in only a couple of extra days if they needed additional furniture at short notice.”
W: That’s great to hear Faye, as in the current environment operators are finding space comes available with little or no notice so to have a quick turnaround to get the space up and running so quickly means it’s a commercially viable opportunity.
So, let’s talk a little about budgets and how you help operators with cash flow.
F: “Definitely. My nature is to be very open and transparent, and one thing I ask a lot lately is ‘What is your budget?’ simply because if I know your budget is lower at the start then I can recommend solutions that will work for you right away. For example, if you say I need to hit $8/sq.ft then that helps me tremendously to go straight to my designer and say here are the items/products that we need to use and we’ve got to hit this budget.
Another great opportunity for operators is that they can come and talk to me before they sign a lease and see if the numbers even work. This helps them to make better decisions about the viability of a lease and ask themselves ‘Can I even afford to be here?’ Operators can tell me the max and min they need to hit and I can try and work somewhere in the middle. I think just being straightforward with me helps a lot so there’s less backwards and forwards on the money if there’s a budget consideration.”
W: That’s really helpful for operators to know there are solutions with Vari whatever the budget.
If you were an operator looking for a coworking space to move into right now, what would be the top amenities that you would look for right now?
F: “Great question, one of the things I love about coworking and look for is something unique, like a speakeasy, a fun room that you can flip at night or perhaps even a Bourbon room that’s really quirky. I know Tim with Caddo and one of his buildings in Dallas has a bank vault and they’re looking to transform that into a Bourbon room. I thought that was an awesome idea, because I would totally come in every Friday and 100% visit, just for the Bourbon! So I always look for things like that, outside of the normal space which you know is going to be great but also the fun events that bring people, be interactive and allow you to take a pause from work where you can meet a bunch of great people, that’s what I love.”
W: I’m so glad you said that Faye, because there are a lot of employers now who are facing the challenge of making it interesting for their people to go into the office for work. You know, people are working from home in the pj’s but having those amenities near where you’re working or the cool speakeasy in your coworking building is really going to help employers get people back to the office. I think Common Desk’s speakeasy in the downtown Dallas space is a great point of difference to encourage people to be part of a community, rather than working alone at home.
F: “Oh absolutely. Vari does so many great on-site events for all their employees, and they celebrate every culture. They even did a culture map where you plot the pin to represent where your cultural origins are from to help the team at Vari understand who their people are and what they can do to support them and their wonderful cultural roots. For example, we have done events that showcased Korea and Japan and we even did a Halloween costume event where the CEO and COO dressed up, so it was really great to see their fun side too.”
W: Faye, thank you for sharing your truly valuable insights into what you’re seeing right now in the coworking and flex space industry. But also thanks for sharing how your partnerships with operators are helping them navigate their way to realizing great opportunities, too.
If you’d like to contact Faye Stutts at Vari directly you can connect with her on LinkedIn, or with the following contact details
Faye Stutts, National Director of Coworking Partnerships
faye.stutts@vari.com
M: 469-288-8507
