WeWork on the verge of bankruptcy
An American real estate startup files for bankruptcy protection.
The start-up, founded a few years ago in the United States, buys real estate, converts it into office space and rents it out. The coworking spaces created in this way enjoyed great interest, especially by companies from the IT industry. However, the prolonged effects of the coronavirus pandemic, which popularized remote work, and mounting problems with managing real estate assets led to a debt of nearly USD 18 billion and, consequently, to the filing of an application for bankruptcy protection. The purpose of submitting such a document is to carry out a reorganization that will allow creditors to be satisfied. Due to the global nature of the company, its representatives declare that the decisions made are limited only to the United States and Canada. However, the voices do not subside, according to which the start-up’s bankruptcy will be announced within a few days. It is therefore not surprising that there is information about the first people interested in purchasing coworking spaces located in our capital. The former director of WeWork for Eastern Europe, who has already made such attempts in previous years, does not hide this intention.
