Our Story
Paul Keursten (Right) & Mark Seftel (Left)
Paul and Mark first met in the Maboneng Precinct, Johannesburg, introduced by Architect Enrico Daffonchio who recognised their shared passion for creating beautiful and functional spaces. With Paul’s existing shared workspace in Utrecht, Holland, and Mark’s idea of creating a collaborative workspace for techies in Maboneng - the partnership was an instant fit.
A workspace for everyone.
Paul quickly persuaded Mark to incorporate a workspace for everyone, not just for techies, offering a meeting ground where diversity and innovation happened naturally. A coral reef. Halfway between Soweto and Sandton, and accessible to all, the Maboneng Precinct served as the perfect neutral meeting and coworking location.
Soon the two set their sights further afield, the V&A Waterfront. On invitation by the CEO, David Green, who saw value in what Paul and Mark had started as a dream, to concept and finally a working reality in the Maboneng Precinct, Workshop17 Watershed at the V&A was born.
“The impact of the new location was instantaneous. It catapulted both the growth and awareness of the company into a recognisable and serious player in the emerging co-working space in South Africa.”
This “new way of working”
The impact of the new location was instantaneous. It catapulted both the growth and awareness of the company into a recognisable and serious player in the emerging co-working space in South Africa
Expansion and growth across the country was soon part of the plan, unfortunately it was beyond the V&A Waterfronts mandate, which led them to Growthpoint, (50% owner of the V&A). Growthpoint was excited about “this new way of working,” and the opportunity of it becoming the new working normal - our future. The transition from start-up to a scale-up company, with a huge asset manager as a partner was a big learning experience for the two partners, enabling them to grow Workshop17.
The almost Billion rand start-up
In July 2019, WeWork valued at $47 billion at the time, was considering buying Workshop17. The price tag was a substantial billion rand, this was no means a thumb suck, but rather in line with WeWork’s own valuation method and put forward by a leading corporate financial team. In early September, the deal was imminent, and in the pipeline. Two weeks later, WeWork’s valuation crashed (understandably), followed by the pandemic. The two Workshop17 disruptors were quickly faced with the harsh reality of debt and no real perspective on how to service it but remained committed to the purpose.
The Workshop17 North Star
The pandemic also had a big positive: it propelled shared and flexible workspace from a niche offering to a mainstream solution. Seeing what Workshop17 can achieve and the role it needs to play within the broader society, is what keeps this team going through both the highs and lows
Paul and Mark combine a strong sense of purpose, the drive to create beautiful spaces to work, and the intent to grow a platform for innovation and entrepreneurship where people can do something that's not only good for themselves but also has a positive contribution for others and the world around them.
The business remodel
During the early days of the pandemic, being asset heavy, without having the real assets (buildings), committing to fixed leases and high fit out costs was not a sustainable business model. Left with two choices, liquidate or continue and restructure the entire Workshop17 business model, the pair were left with a tough decision. Determined to fulfil their obligations and drawing from decades of hotel hospitality industry success, Workshop17 pivoted to management agreements. Workshop17 became an asset light service and management business, with a clean balance sheet, and able to take control of its destiny.
The Next Phase
Workshop17, with its 10 years of experience and its highly motivated teams in locations and in HQ, is ready to take on the next phase of its journey: growing from 8 to 15 locations in the next 3 years. Part of the Workshop17 journey is about finding strategic partners who can contribute to the success of our members while growing our footprint
While Paul is measured, impact, people and purpose-driven, Mark is zealous, with innovation and opportunity in his DNA - the two, however, are both passionate about making an impact on the changing nature of work and together they have big plans for Workshop17’s future.
