Flexible Office vs Lease in Frankfurt: Contracts, Terms, Deposits and Tax (2026)
October 10, 2026 | by Michael Monday
In Frankfurt the contract decides almost everything else: the term, the deposit, who fits out the space, and whether you need a local company to sign. This guide sets the three contract forms side by side and then covers what a company from abroad needs in place before it signs. Flexible space is quoted per Arbeitsplatz (desk) per month; conventional leases are quoted per square metre per month as net cold rent (Kaltmiete), before service charges (Nebenkosten) and VAT at 19%.
A Nutzungsvertrag or Dienstleistungsvertrag, not a Mietvertrag, monthly or for six to twelve months with one month’s notice. One all-in fee per Arbeitsplatz covers rent, Nebenkosten, utilities, internet, cleaning, reception and meeting-room credits; a deposit of one to two months is usual. Umsatzsteuer at 19% is added.
Managed office
Twelve to thirty-six months for a dedicated floor fitted and run by the operator, priced per desk or per month, for teams of twenty and up.
Gewerbemietvertrag (commercial lease)
Typically five to ten years with renewal options, rent per square metre per month as Kaltmiete plus Nebenkosten and Umsatzsteuer at 19% where the landlord has opted. A Kaution of three months’ rent as a bank guarantee is standard, with index clauses and a Rückbau obligation at the end. A lease longer than one year must meet the written-form requirement of §550 BGB.
Side by side
Flexible office
Managed office
Conventional lease
Contract
Licence or membership
Operator agreement
Lease
Term
1–12 months, rolling after
12–36 months
Years, with a break if negotiated
Fit-out
Done
Operator, to your spec
Yours to fund and remove
Price basis
Per desk per month, all-in
Per desk or per floor per month
Rent plus taxes, service charge, utilities
Deposit
1–2 months
1–3 months
Several months’ rent or a bank guarantee
Time to move in
Days to weeks
Weeks to months
Months
Setting up as a company from abroad
A foreign company can take flexible space with its registration extract and the signatory’s ID; longer managed-office terms may call for a German entity or a guarantee.
Incorporating a GmbH needs €25,000 share capital (half paid in) and a notarial deed, then registration in the Handelsregister and a Gewerbeanmeldung with the city; a UG starts from €1. Allow two to six weeks. The company needs a ladungsfähige Anschrift in Germany; operators’ virtual-office products can provide it if they accept service of documents. Regulated financial firms additionally need BaFin authorisation before trading.
Any German-facing website needs an Impressum with the company’s registered details.
Umsatzsteuer at 19% applies to office fees and, where the landlord has opted, to rent; a German VAT-registered business recovers it.
Who pays
Flexible space: the operator pays the introducer when a tenant signs; the tenant pays nothing and the rate is the same as going direct.
Leases: the broker’s commission (Maklerprovision) on commercial space is a matter of agreement and is commonly paid by the tenant, often one to three months’ net rent; the residential rule does not apply to offices.
SquareFoot is adding Frankfurt operators now; live listings for Frankfurt will appear on the markets page as they are collected. Guide written by SquareFoot; last reviewed October 2026.
Frequently asked questions
Is a flexible office in Frankfurt a lease?
No. It is a licence or service agreement for a fitted room with one monthly fee, usually one to twelve months and rolling after that. It gives no security of tenure and no fit-out obligation, which is the trade-off against a conventional lease.
Do I need a German company to rent an office in Frankfurt?
Not for flexible space, which a foreign company can take on a usage agreement. A commercial lease usually needs a German entity; regulated financial firms also need BaFin authorisation before they can trade.
Why do companies move to Eschborn?
Eschborn, just outside Frankfurt’s city limits, sets a lower trade-tax (Gewerbesteuer) multiplier than Frankfurt, which for a profitable company with many staff can outweigh the central address. Flexible offices there are correspondingly cheaper.
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