Major trends in the real estate sector are fueled by the expanding population and the changing living and working preferences of the younger age group, real estate services provider Santos Knight Frank (SKF) said on Tuesday.

Santos Knight Frank said the median age of the workforce in the Philippines is the youngest in a group at only 24.3 years, followed by India at 27.9, relatively younger compared to Japan’s over 40.

A work-at-home set-up is hindered by factors such as being prone to distractions and slow internet connection, co-working offers a better environment which allows people to collaborate and share ideas in person.

Relative to this, the Philippine Statistics Authority in a 2010 census-based projection projected the Philippine population to have grown to 142 million by the year 2045, a 50 million increase in just 35 years. At present, the Philippines has a population of around 106 million.

“It’s generally a concept that’s used towards younger people. What we have seen, people older than the millennials, they tend to go to the service office a bit more. That’s a little more private, sometimes a little bit more upscale, that’s generally been their market. And then the younger they get into the co-working space,” Senior Director of the Occupier Services & Commercial Agency Morgan McGilvray said.

The rise in co-working spaces is one of the eight real estate trends the SKF is seeing this year. According to their data, there are 135 locations in Metro Manila categorized as co-working, serviced and shared offices, most of which are situated in financial districts Makati (38 percent) and Taguig (27 percent).

Property giants Ayala and Robinsons, in particular, ventured into the market with their brands ClockIn and work.able, respectively, owing to the arrival of foreign co-working operators such as WeWork and Common Ground.

Co-working spaces like The Company and iioffice has also pioneered the phenomenon in Cebu, SKF said, adding that international and local operators established in Manila are expected to enter Cebu in a matter of time.

McGilvray said that the co-working, which benefits small firms, self-employed workers or entrepreneurs, has a great market in the Philippines.

“In the near-term, I would expect more occupants to come in, to set up. Eventually they might hold up a little bit and say, okay, do we have enough co-working, do we have too little co-working, maybe we shouldn’t grow quite so quickly, but that wouldn’t be for at least a few years. I think for now, it will continue to grow,” said McGilvray.