New State Capital Bets Big on Flex Work with Vast Coworking Acquisition

NEW ROCHELLE, NY – March 03, 2026 – In a significant move underscoring private equity's growing confidence in the flexible workspace sector, New State Capital Partners today announced its acquisition of Vast Coworking Group, one of the world's largest coworking platforms. The deal, a corporate carve-out from the franchising giant United Franchise Group, positions Vast for a new era of accelerated growth. Terms of the transaction were not disclosed.

Vast Coworking Group, a powerhouse in the industry, operates a sprawling network of more than 200 locations across the United States and internationally, covering approximately 2.7 million square feet and serving a community of roughly 70,000 members. The company's portfolio includes three distinct brands—Venture X®, Office Evolution®, and Intelligent Office®—each catering to different segments of the market. Jason Anderson, who co-founded the group, will remain at the helm as CEO, ensuring leadership continuity as the company embarks on this new chapter.

"We see compelling long-term growth trends in the coworking market, with significant opportunity for continued expansion," said Daniel Han, Senior Principal at New State. "Through Jason Anderson's thoughtful leadership, Vast has developed a highly differentiated and successful franchise network in this sector. Together, we see a clear path to drive value by accelerating strategic unit growth, enhancing franchisee support, and strengthening the member experience."

Private Equity's Strategic Play in a Post-Pandemic World

The acquisition is New State Capital Partners' second major platform investment from its oversubscribed Fund IV, which closed at $700 million in 2025, and marks the firm's third corporate carve-out in just 18 months. This pattern highlights a deliberate strategy: identifying and acquiring promising, non-core assets from larger corporations and providing them with the focused capital and operational expertise needed to scale independently.

New State, an entrepreneurial-minded firm with over 50 investments to date, focuses on founder-owned and privately held businesses, particularly in the business and industrial services sectors. The firm’s investment in Vast aligns perfectly with its thesis of backing scalable, services-based companies poised to capitalize on major market shifts. By carving Vast out from the diversified portfolio of United Franchise Group, New State aims to create a more agile, independent platform singularly focused on dominating the flexible workspace market.

For Vast, the partnership is about more than just capital. "New State isn't just bringing capital – they're bringing experience, perspective, and a real commitment to helping us grow," stated CEO Jason Anderson. "This partnership allows Vast to step forward as a focused, independent coworking platform with the support and resources to expand our footprint, strengthen our franchise system, and continue building long-term value for everyone in our Vast family."

The Franchise Model as a Growth Engine

What sets Vast Coworking Group apart in a competitive landscape featuring giants like Regus and WeWork is its business model. As the world's largest privately-owned franchisor of coworking spaces, Vast leverages a franchise-first approach that combines the benefits of local ownership with the power of centralized brand infrastructure and operational support. This model has proven to be a potent engine for rapid and sustainable scaling.

Local franchisees bring an entrepreneurial spirit and deep knowledge of their respective markets, ensuring that each location is tailored to the needs of its community. Meanwhile, the parent company provides a proven playbook, brand recognition, marketing muscle, and shared services that reduce operational burdens and increase the likelihood of success.

The company's multi-brand strategy further enhances its competitive edge. Venture X targets a modern, tech-savvy clientele with high-end designs and community-focused events. Office Evolution appeals to established professionals and small businesses seeking polished, private office environments. The 2024 acquisition of Intelligent Office significantly expanded the network, adding a brand known for its virtual office and professional support services. This diversified portfolio allows Vast to capture a wider share of the market, from solo entrepreneurs to satellite teams of large corporations.

Riding the Wave of a Shifting Work Landscape

The timing of New State's investment could not be more opportune. The global coworking market, valued at over $14 billion in 2024, is on an explosive growth trajectory. Industry analysts project the market could soar to over $40 billion by 2030, with some estimates reaching as high as $80 billion by 2035, fueled by a compound annual growth rate exceeding 15%.

This surge is driven by a fundamental and likely permanent transformation in how and where work gets done. The widespread adoption of hybrid work models has shattered the traditional 9-to-5 office paradigm. Companies of all sizes are rethinking their real estate strategies, moving away from costly, long-term leases in centralized headquarters towards more flexible, decentralized "hub-and-spoke" models. Coworking spaces provide the perfect solution, offering flexibility, scalability, and access to professional environments without the hefty capital expenditure.

Furthermore, the demand is not just from startups and freelancers anymore. Large enterprises are increasingly turning to flexible workspaces to establish regional hubs, provide options for remote employees, and test new markets. This corporate demand adds a layer of stability and revenue potential to the sector, making it an attractive target for institutional investors like New State Capital Partners.

A New Chapter for Vast and Its Members

With fresh capital and strategic oversight from New State, Vast Coworking Group is poised to aggressively pursue its growth objectives. The partnership's stated goals center on three key pillars: accelerating strategic unit growth, enhancing franchisee support, and strengthening the member experience.

Accelerating growth will likely involve a multi-pronged approach, from opening new franchise locations in untapped domestic and international markets to potentially acquiring smaller, regional coworking operators. New State's experience in scaling portfolio companies will be instrumental in identifying and executing these expansion opportunities.

Enhancing franchisee support is critical to the long-term health of the network. This involves more than just initial training; it means providing ongoing operational guidance, advanced marketing tools, and technology platforms that help franchisees run their businesses more efficiently and profitably. New State's 10-person in-house operations team is expected to play a hands-on role in professionalizing these support systems.

Ultimately, the success of any coworking space hinges on the value it provides to its members. The investment will enable Vast to innovate its offerings, from integrating smart-building technology for seamless booking and access, to curating more robust community events and wellness programs. As the line between work and life continues to blur, the most successful spaces will be those that offer not just a desk, but a productive, inspiring, and supportive environment. This acquisition provides Vast with the resources to lead that charge.

The transaction, advised by Morgan, Lewis & Bockius LLP for New State and by Ice Miller LLP and Boxwood Partners for United Franchise Group, represents a pivotal moment for Vast Coworking Group. It validates the power of the franchise model in the flexible workspace industry and sets the stage for a new phase of dynamic expansion, promising to reshape the competitive landscape for years to come.