Those leases and the costs of building out new offices are forcing WeWork to raise cash and cut costs after its IPO failed. That means We has nearly 500,000 workstations to lease out during a wave of bad publicity surrounding its failed IPO and the ouster of Neumann as chief executive. That reflects leases signed before the botched IPO and is up from a monthly average of 23,000 in the first half of the year. Lease costs are set to increase as more locations open, free-rent periods end and scheduled rent increases kick in. WeWork also faces cash costs for thousands of layoffs that are expected as part of its efforts to control costs.

Source: Wall Street Journal October 22, 2019 11:01 UTC