Gaw Capital Partners (GCP) through one of its managed funds has completed its investment in naked Hub, the Shanghai-based network of coworking spaces. Citing a source, Forbes reports this to be $15 million.
The size of the investment was not disclosed. The new expansion of capital will be used to finance the opening of new naked Hub workspaces inside and outside of China, adding 24-30 new naked Hub locations, approximately 150,000 square meters and 30,000 members, across China, Hong Kong, Singapore and other key cities in southeast Asia.
Humbert Pang, managing principal head for GCP in China, said the company was glad to be part of the growing trend in the coworking office market especially with an operator with a proven commitment and track record in China.
“The lifestyle and hospitality approach of naked Group is very similar to Gaw Capital’s DNA ― passion, responsibility and creativity. The potential synergies between the two groups will further enhance both of our positions as market leaders in the region,” Pang said.
Coworking is projected to grow 68 per cent annually from 2016 and 2018, GCP reported. The industry is reported to be entering a new growth phase, with more than 7000 co-working operators competing worldwide.
“Beginning with its home base in Shanghai, naked Hub strives to become a top player in coworking across China and Asia,” GCP said in its statement.
The private equity firm has invested and manages a number of creative offices in the US, including 1161 Mission Street, EM Square and Hamm’s Building in San Francisco, The Yeon Building, and The Mason-Ehrman Building in Portland.
Acting as a bridge between east and west, GPC has brought to bear its experience in transforming workspaces in the US to China, where it is reimagining creative office loft spaces during the renaissance of its famed mixed-use property, Pacific Century Place in Beijing.
GPC noted it is joining hands with naked Hub to further explore the emerging market of coworking.