Business Blog Business & Networking Why Businesses in Saudi Are Choosing Serviced Offices

Serviced offices in Saudi: why businesses are making the switch

By Perla Saba

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A new way of working  

Imagine walking into an office for the very first time. The space is sleek, the receptionist greets you with a smile, and everything feels professional and ready for business. That impression sets the tone for the entire relationship. As Jeff Bezos once said, “Your brand is what other people say about you when you’re not in the room.” In Saudi Arabia, where opportunities are growing rapidly, more companies want exactly that kind of environment, but without the cost, stress, and long contracts of traditional offices. This is why serviced offices are quickly becoming the smarter choice.

The changing face of Saudi Arabia’s office market

Saudi Arabia’s business landscape is moving at full speed, and the office market is racing to keep up. In Riyadh, almost every premium office is already taken, with vacancy rates sitting at just 0.5% in mid-2025. At the same time, rents have jumped by nearly 23% compared to last year. For many businesses, especially those just starting out or expanding into Saudi for the first time, these numbers can be a real challenge for growing businesses.

It’s not just Riyadh feeling the pressure. Jeddah and Al Khobar are also experiencing tight supply and rising costs, making it harder for companies to find the right space without overcommitting. Add to that the energy of Vision 2030, which is driving a wave of new industries and foreign investment, and the competition for good offices becomes even fiercer.

All of this has left many businesses asking themselves: why lock into a long, expensive lease when there are smarter, more flexible options? That question is exactly what opened the door for serviced offices to shine.

Flexible workspaces on the rise

The rise of serviced offices in Saudi Arabia isn’t just a passing trend. The numbers prove it. The flexible office market is set to grow from USD 1.56 billion in 2025 to USD 2.62 billion in 2030, with a healthy annual growth rate of 10.9%. Coworking spaces are also expanding quickly, growing from USD 0.60 billion in 2024 to USD 1.05 billion by 2030.

What these figures show is clear. Businesses are moving away from the old model of rigid, long-term leases and choosing more agile, service-rich solutions that give them room to grow.

This shift is also being fueled by a changing work culture. Hybrid and remote work are now part of everyday business life, and many companies want spaces that can adapt to these new ways of working. Serviced offices and coworking environments provide that flexibility, giving teams a professional base without forcing them into a one-size-fits-all model.

Why businesses are making the switch

Serviced offices are gaining popularity because they remove many of the challenges of setting up a traditional office. In fact, office fit outs in Saudi Arabia can cost between USD 600 and USD 1,000 per square meter depending on the level of finish. For a growing business, that kind of upfront expense can quickly tie up valuable cash. With serviced offices, all of that is included in one predictable monthly fee.

Just as important, serviced offices save time. Leaders don’t need to deal with internet providers, cleaners, or maintenance issues. Those details are already taken care of, which allows teams to focus on what matters most: their clients, their growth, and their goals.

Flexibility is another key reason for the switch. Unlike traditional leases that lock companies in for years, serviced offices make it easy to scale up or down as needs change. In a fast-moving market like Saudi Arabia, that kind of freedom is invaluable.

Speed, convenience, and flexibility

In business, time really is money. Setting up a traditional office can take months, from negotiating leases to installing internet. Serviced offices, on the other hand, are ready to use immediately. Servcorp, for example, offers fully furnished and IT-equipped offices where companies can start working on day one. This makes them perfect for international firms entering Saudi Arabia or local startups eager to hit the ground running.

Just as important, serviced offices give businesses the flexibility to adapt. Teams expand, downsize, or pivot, and offices need to keep up. With Servcorp’s flexible contracts, sometimes starting from just one month, companies can grow at their own pace without being tied down by long-term commitments.

Professional presence that builds trust

Where you work says a lot about your business. A prestigious address in Riyadh or Jeddah, combined with a welcoming reception area, immediately communicates professionalism and stability. It reassures clients and partners that they are dealing with a credible, capable organization. This is why serviced offices are designed not just to provide space, but to create an environment that reflects the quality of the business inside.

One of the most valuable parts of that experience is the receptionist. Far from being a “nice to have,” receptionists play a crucial role in shaping client perceptions. A survey by Moneypenny found that 95% of people believe first impressions directly impact a business relationship, and receptionists are central to creating that positive experience. This highlights how important human interaction still is, even in a digital-first world. The warmth of a greeting or the professionalism of a call answered correctly can set the tone for an entire partnership. Serviced offices also remove the everyday distractions that come with running a workplace. Cleaning, IT systems, maintenance, and utilities are all handled in the background. That means leaders and teams can spend less time worrying about logistics and more time focusing on growth, strategy, and client service.

These benefits align perfectly with Saudi Arabia’s broader transformation under Vision 2030. As the country attracts more international companies and fosters new industries, serviced offices provide a fast, affordable, and credible way to establish a presence. They allow businesses to move into premium locations without the long contracts or heavy setup costs, helping them tap into opportunities at the speed this market demands.

Final thoughts: Choosing growth with confidence

The move toward serviced offices in Saudi Arabia isn’t just about saving money. It’s about building flexibility, making strong first impressions, and removing the stress of managing an office. From the receptionist who answers the phone to the prestige of a prime business address, every detail contributes to how a company is seen.

In a market as dynamic as Saudi Arabia, serviced offices give businesses the confidence to grow, adapt, and succeed. They make it possible to step into a professional space from day one and focus on what truly matters, building relationships, winning clients, and driving growth.

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