The Circuit is Cherokee County’s first co-working space, and an example of a growing and popular approach enabling Georgia’s small businesses to find affordable rental locations. You may not have heard of Alma Coffee, a Canton-based business started by fifth-generation coffee-bean farmers, but some notable excitement was generated when its owners announced that they would open the company’s first cafe at The Circuit in Downtown Woodstock. As reported by the Cherokee Tribune & Ledger News, the opening of Alma’s new cafe demonstrates the community’s record of economic growth and how co-working arrangements support local businesses.

Faced with a rise in the cost of commercial property rentals, co-working spaces help Georgia entrepreneurs connect with landlords who are willing to subdivide their properties and rent the smaller spaces for a lesser price. This overcomes the obstacle of traditional rental agreements that may contain a clause for assessing penalties in the event that a tenant shares their space without the owner’s authorization.

The concept of multiple entities coming together to operate from one mutual location, however, is not entirely an atypical arrangement. The co-working movement first began in 2005 with the growth of the gig economy. Freelancers without substantial financial means began renting commercial office space together, much in the same manner as college roommates sharing a rental house while in school. The original intent of co-working was to find an affordable location so that solo workers can be productive in environments that are more business oriented than coffee shops or their homes. Co-working may also foster synergy by allowing entrepreneurs to pool their resources together.

With an increasing interest in shared or co-working spaces, property owners may wish to explore the advantages of renting out their unused real property areas to a start-up business. If you decide this course of action might be beneficial for you, it may be in your best interest to create a sound rental agreement or commercial lease.

This information about sharing real property space is provided for educational purposes, and should not be interpreted as legal advice.