WRE News: WeWork’s South of Fifth Location Set to Close Amidst Bankruptcy Restructuring

Miami Beach, FL – June 1, 2024 – WeWork is closing its South Beach co-working space as part of its Chapter 11 bankruptcy restructuring.

The company, which filed for bankruptcy in November, plans to shut down its branch at 429 Lenox Avenue in Miami Beach. This is the first Miami-Dade County location WeWork aims to close, as revealed in a recent court notice. Despite efforts to negotiate with the landlord, WeWork has confirmed the decision to end operations at this site.

Meanwhile, WeWork will maintain four other locations in Miami-Dade, including two in Coral Gables and two in Miami’s Wynwood and Brickell neighborhoods.

Overall, WeWork is restructuring its global operations, keeping or reworking 97% of its leases to reduce rent commitments by over $11 billion. The company plans to retain more than 170 locations in the U.S. and Canada and 337 worldwide. The restructuring includes shedding $4 billion in debt and securing $450 million in new financing, primarily from property tech firm Yardi Systems.