Tesco PLC (LSE:TSCO) has partnered with IWG PLC (LSE:IWG), the FTSE 250 office landlord, to transform excess supermarket space into a work hub.
In a trial at one Teso Extra store in south London, the upper mezzanine level will offer 3,800 sq ft of co-working space, with 12 desks and a meeting room.
FTSE 250-listed IWG is a flexible-office company that owns the Regus and Spaces brands, with the new office to be run under the Spaces brand, with boss Mark Dixon telling media that IWG will manage the workspace for a small fee.
The store will open to workers at the end of this month, keeping regular store hours of 6am to midnight, Monday through Saturday, and 10am to 4pm on Sunday.
"People don’t want to spend hours commuting every day and instead want to live and work in their local communities," Dixon said in a statement.
"A Tesco Extra in a suburban location, in the middle of a vibrant local community, is the perfect location for flexible-office space."
IWG plans to add 1,000 new locations to its network this year, and reported the last quarter of 2021 as the company's best-selling quarter in more than 30 years.
No details were given about the number of Tesco hubs planned.
Tesco is also taking advantage of online delivery to monetise excess store space, with the shift coinciding with the wider shift to the suburbs that began during the pandemic.