Want to throw an awesome party or work in a creative environment? But you cannot find the perfect space? Today, we live in a world where you can easily rent out your house, car or offer your skill set to others in exchange for a fee. So, why can’t you rent out your office space? Look no further. The app Peerspace will help you find your perfect space!

Tell me more

Peerspace, launched in 2014 and founded by Rony Chammas and Matt Bendett, is an online peer-to-peer marketplace that connects individuals and businesses to find one-of-a-kind spaces that otherwise go unused (Peerspace, 2018). The idea emerged when Rony was a student at NYU trying to find meeting places, and saw how much open and underutilized space there was (Bercovici, 2014). Finding spaces with benefits for both parties mostly happen through word-of-mouth or platforms as Craigslist, which is inefficient. Therefore, Peerspace’s mission is to find and book short-term space through an easy and transparent process (Peerspace, 2018). Whether looking for personal or professional space, Peerspace is the solution for finding unique locations for meet-ups, pop-ups, and classes to off-sites or brainstorming sessions. Currently, Peerspace is available in the USA and the start-up has raised 18 million dollars from funders (Magistretti, 2017). The popularity of the platform goes not unnoticed as 60,000 people from world-class companies (Google, Vice) attend a Peerspace booking every month (Peerspace, 2018).

 

How does it works?

Peerspace is quite equivalent to Airbnb (Lawler, 2014) and involves an easy three-step process. It is a two-sided platform and connects a community of space providers and seekers. Entrepreneurs and collaborators can easily filter, discover, and book their space directly through the app. To find unique spaces you explore the marketplace. The spaces are ranged in main categories, from corporate event, dinner, film shoot, fitness class, to a party. From urban lofts and abandoned train stations to secret rooftop terraces, Peerspace got you covered! Each space is listed with a short description, images, location and the price rate per hour. After finding that one-of-a-kind space you connect with the host and confirm details. Finally, you make a reservation using the secure online booking process. When you want to list your space, you create a listing, respond to requests and create a memorable experience.

Peerspace is changing real estate

Peerspace is seen as the Airbnb for businesses. While empty galleries and photography studios sit underused, business people are tired of having meetings in same places (Said, 2016). The platform depends on value creations of their users and put them in charge. Non-profits and small businesses see Peerspace as an alternative to generate extra money at a time when rent costs are increasing (Said, 2016). The costs of doing business in cities as San Francisco and New York are high, where tech/financial industries and foreign investors are transforming real estate, which makes it hard for anyone not participating in those economies to keep up (Bercovici, 2014). The platform embodies collaborative consumption, because it helps to unlock the value of underutilized assets by renting them to others (Said, 2016). Moreover, the utility for the consumers is that it is easy to use, to access and to sign up. Peerspace’s revenue model is based on taking a 15% of each transaction and charges the space seeker a 5% service fee. Peerspace provides liability coverage up to 1 million dollar (Peerspace, 2018). Thus, the joint profitability criteria is met as the platform improves the joint value for both the users and Peerspace. Peerspace takes care of institutional agreements as the platform is transparent and there are no intermediaries, which makes the spaces on the platform affordable. Peerspace itself is objective as it is not involved in real estate and does not face judiciary challenges as Airbnb. The spaces on the platform are already commercial, are rented only for activities and not for lodging. The trust factor among users is bigger than on Airbnb. The social norm is met as Peerspace has built a strong brand by showing new users that large companies as Netflix and Salesforce use their platform, which creates a form of trust. So, the unique business model of Peerspace has become stronger as small businesses and people prefer to rent unique unused spaces.

The future

Peerspace – changing the way people think about accessing commercial real estate

Peerspace offers a solution to underused spaces and provides a platform to help businesses out. Rich foreign buyers have changed the property market by buying buildings as investments (Evans, 2015). The platform could lead to partnerships with municipalities of big international cities as the rent prices in these cities are increasing. Peerspace has proven its success and it is a matter of time that the platform will pop up in different countries.

References:

Bercovici, J. (2014). Introducing Peerspace, An Airbnb For Small Businesses. Retrieved from https://www.forbes.com/sites/jeffbercovici/2014/02/25/introducing-Peerspace-an-airbnb-for-small-businesses/#654e3cc76242

Evans, S. (2015). Manhattan’s ten ‘EMPTIEST’ skyscrapers: Luxury buildings that are only a quarter full as property market becomes monopolized by rich foreign buyers making investments. Retrieved from http://www.dailymail.co.uk/news/article-2905451/Manhattan-s-ten-EMPTIEST-skyscrapers-Luxury-buildings-quarter-property-market-monopolized-rich-foreign-buyers-making-investments.html

Lawler, R. (2014). Peerspace Raises $1.5 Million To Create An Airbnb For Creative Work And Meeting Spaces. Retrieved from https://techcrunch.com/2014/09/17/Peerspace/

Magistretti, B. (2017). Peerspace raises $11 million to provide unique event locations. Retrieved from https://venturebeat.com/2017/03/06/Peerspace-raises-11-million-to-provide-original-event-locations/

Peerspace. (2018). Peerspace mission. Retrieved from https://www.Peerspace.com/about

Peerspace. (2018). The most guests at your doorstep. Retrieved from https://www.Peerspace.com/host

Said, C. (2016). Peerspace rentals turn extra room into money for nonprofits. Retrieved from https://www.sfchronicle.com/business/article/Peerspace-rentals-turn-extra-room-into-money-for-9125148.php