Most feasibility work comes from consultants who have never run a facility. This one is built on real operating data across 50+ markets. We tell you plainly whether the market has demand, whether the building converts, and whether it pencils, before you sign an LOI.
of US industrial stock is sub-100K sf, the space cowarehousing serves
small-bay rent growth since 2020, vs. +30% for broader industrial
small-bay vacancy vs. 7.0% broader industrial, the widest gap on record
median LTV:CAC across the segment, better than most SaaS
Sources: Newmark Q1, CompStak, Cushman & Wakefield Q1 2026, and the Biz Ops Studio Cowarehousing Benchmark Library. Figures are reference points, not a market-specific forecast.
Think coworking, but for warehouse and light-industrial space. Small private bays, flexible month-to-month terms, and shared infrastructure that no single small tenant could afford on their own.
Cowarehousing operators lease or own a building and subdivide it into small private units, typically 125 to 2,000+ square feet, then rent them on flexible terms to e-commerce sellers, makers, contractors, food and beverage producers, 3PLs, and content creators.
The tenant gets a warehouse without a five-year lease or a forklift purchase. The operator layers in shared loading docks, receiving, pick-and-pack, mailbox and business address, conference rooms, and forklift rental, then charges a premium per square foot for the flexibility and the services.
It is the "missing middle" of industrial real estate: too small for a traditional triple-net lease, too operationally demanding for a passive landlord, and exactly the slice of demand that small-bay vacancy data shows is starved for supply. Storage is 80 to 85% of revenue. Services are the margin engine.
For a building owner or developer, it is a way to turn an obsolete office floor, a struggling strip retail box, or a vacant flex building into a multi-tenant cash-flow asset with self-storage-like economics and far better rent per foot.
Also called
Co-warehousing, micro-warehousing, flex bays, small-bay flex, warehouse condos for rent
Operators
Saltbox, WareSpace, Cubework, ReadySpaces, Portal, Loloft, Rise CD, Elevator
Tenants
Shopify / Amazon sellers, subscription boxes, makers, contractors, food & bev, 3PLs, creators
Best buildings
Vacant flex, tired office, big-box retail, older small-bay industrial
A feasibility study turns "this could be interesting" into a defensible decision. What you get out of it depends on which seat you sit in.
Brokers
You have a vacant flex, office, or retail box that traditional tenants keep passing on. A cowarehousing angle opens a new buyer and tenant pool, and a credible feasibility study gives you something concrete to put in front of owners and investors.
You win: a differentiated pitch, a faster path to a signed deal, and a reason for owners to keep you on the next repositioning.
Building Owners
Cowarehousing can lift gross rent per square foot well above what a single triple-net warehouse tenant pays, with self-storage-style diversification across many small tenants instead of one big lease-renewal cliff.
You win: a clear-eyed read on conversion cost, achievable rent premium, and net effective uplift before you commit a dollar of capex.
Developers
Whether it's a ground-up small-bay project or a value-add reposition, the question is the same: is there real demand in this submarket, and will it absorb? The study models unit mix, absorption to stabilization, and the demand cluster around the site.
You win: an absorption and unit-mix model your capital partners will take seriously, plus a named list of demand drivers within a 5-mile radius.
This is not a coworking-style fad chasing cheap money. The supply-demand imbalance shows up in hard rent and vacancy data.
Sub-100K sf is 41.9% of US industrial stock, yet small-bay vacancy sits at 4.1% against 7.0% for broader industrial: the widest gap ever recorded. Demand has outrun supply.
Small-bay rents are up 40% since 2020 versus 30% for industrial overall. Rate is no longer the moat. Flexibility and services are what tenants will pay a premium for.
Tired office, struggling retail, and older flex are trading at discounts. Cowarehousing is one of the few reuses with the unit economics to justify the conversion capex.
A single, sourced report on a fixed structure. Every factual claim is cited inline. It ends in a weighted scorecard and a clear verdict, not a maybe.
Building type, configuration, parking, docks, clear height, flood zone, and submarket, plus a conversion vs. ground-up framing.
Metro and submarket fundamentals: overall and small-bay vacancy, and NNN asking rents by product type for your specific market.
Named e-commerce, 3PL, light-manufacturing, and contractor demand drivers within a 5 to 10 mile radius of the site.
Whether warehousing, light manufacturing, and multi-tenant industrial are by-right, plus the confirmation items that can kill a deal.
Operator pricing benchmarks vs. local traditional industrial rents, stated as a gross premium and a net effective uplift after opex.
Fit-out cost by amenity tier, adjusted for what the building already has, with the gating questions: docks, slab loads, truck circulation, HVAC.
Lease-up timeline to 85% stabilization under two or three unit-mix scenarios, grounded in local absorption data.
A weighted Market Readiness Scorecard, a Go / Conditional Go / No-Go call, and a numbered pre-LOI diligence checklist.
Every study closes with a weighted scorecard across demand fundamentals, vacancy and competition, cluster density, physical suitability, zoning risk, achievable rent premium, capital intensity, and absorption confidence. The verdict names the single biggest execution risk in one sentence.
Strong across the board. Proceed to LOI with the diligence list.
Workable, with one named condition to resolve first.
A fatal flaw or weak fundamentals. Walk, and here's why.
Start with a quick market read, go deep on a single site, or get a full institution-grade feasibility study. Each tier builds on the one before it.
Turnaround: about 1 week
Turnaround: about 2 to 3 weeks
Turnaround: scoped to the engagement
Final scope is confirmed on the intake call. Tier 1 and Tier 2 fees can credit toward a higher tier if you move up.
Why this study, from this operator
Most feasibility work is done by generalist CRE consultants who have never run a cowarehousing facility. This one is built on operating data and a benchmark library that exists nowhere else.
The study is anchored in real operating data, not a spreadsheet of assumptions. Pricing, CAC by channel, churn, retention, and absorption come from operating data across 50-plus markets and a proprietary benchmark library compiled across the operator landscape.
Of the 25-plus KPIs operators actually need, only 7 can be triangulated against public data. The other 18, including CAC, LTV, services attach, and channel quality, exist only inside the Biz Ops Studio library. That is the difference between a guess and an underwrite.