CBRE Group has made a further $100m (€95.4m) in flexible workspace provider Industrious.
Early last year, CBRE said it was buying a 35% stake in Industrious for $200m and merging its flexible office space unit CBRE Hana into Industrious.
At the time, the commercial real estate services firm said it also expected to buy an additional 5% stake in Industrious in the coming weeks, which would result in a 40% total stake.
Announcing the new $100m investment in Industrious, which is being made in the form of a convertible preferred-equity security, CBRE said its investment in the workspace provider now totals $330m, adding that it continues to be the lead minority investor in the company.
CBRE said the new investment will enable Industrious – which is predominantly focused on the US currently – to ”accelerate its international expansion and execute key strategic growth initiatives”.
Industrious recently made its debut international transaction with the acquisition of The Great Room in Asia and Welkin and Meraki in continental Europe.
Industrious currently offers flexible terms in more than 60 markets across the US, Europe and Asia.
Emma Giamartino, CBRE’s CFO and investment officer, said: “Industrious’ sector-leading customer satisfaction scores, outstanding management team and business model set it apart in the flex-space sector.
“We are excited about the significant opportunities available to Industrious to bring its innovative, amenity-driven approach to more occupiers and investors around the world.”
Jamie Hodari, co-founder and CEO of Industrious, said: “The investment rests on our shared understanding that there is a monumental opportunity in front of us as companies rethink their real estate strategies.
“CBRE’s investment assures we have the capital we need in the coming years to grow on a global scale to meet current and future demand for flexible space.”
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