Brave Ideas How Does Iconic Offices Create ‘Super Normal Profit’ for Office Landlords?
Brave Ideas Season 16, Episode 9
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What happens when a Dublin estate agent spots an arbitrage opportunity, rolls out eight buildings with no brand and no bank debt, then pivots into 60,000 SqFt management deals for global AI companies?
In this episode, Brave Corp CEO, Caleb Parker and cohost Eyal Lasker from Flexspace AI site down in the MUTE showroom for a detailed conversation with Joe McGinley, Founder and CEO of Iconic Offices in Dublin, Ireland to unpack what “super normal profit” really looks like in flex real estate.
Joe explains how he moved from running an estate agency to securing his first site to becoming Dublin’s largest coworking brand. He breaks down the different “versions” of Iconic, from 5,000 SqFt Georgian and Victorian buildings to a 60,000 SqFt management deal one door from St Stephen’s Green, and how that evolution shifted Iconic’s customer base from SME value seekers to global companies, including several of the top AI firms in the world.
We go deep on culture, brand, and operations, and Joe shares what he thinks about lease arbitrage versus management agreements, why some owners are trading fixed rent for control and “super normal profit,” and how Iconic structures its role across design, planning, and delivery to reposition entire buildings.
Listen to learn how a crash era arbitrage play evolved into a premium flex brand sitting at the top of the Irish market, and what that means for owners thinking about upside in their office assets.
In this episode you will learn:
* How Iconic evolved from 5,000 SqFt period buildings to 60,000 SqFt, amenity rich schemes
* Why design quality and experience are central to attracting global brands
* How Joe defines brand
* How Iconic approaches custom builds and floor by floor design for large enterprise members
* Joe’s view on flight to quality
* How he thinks about online bookings, on-demand products, and where e-commerce makes sense in flex
* The practical differences between lease arbitrage and management agreements, and why some landlords now choose upside participation over fixed income
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Key Takeaways for Operators
* Arbitrage plus design can be enough to start, not enough to scale
Joe’s first phase was simple, secure a whole building at a low rent, invest in a higher quality fit out than the market, and lease it up. That model got him to eight locations without a brand, a business plan, or investors, however scaling required a clearer proposition and larger, more complex buildings.
* Brand is behaviour, not a logo
Iconic’s brand is defined by how the team shows up for members and partners every day, not by guidelines on a slide. Long tenures on the leadership team and an 85 out of 100 Great Place to Work score indicate that internal culture is aligned with the external promise.
* Private offices remain the core, coworking is a tool
Iconic’s primary revenue driver is private offices, with coworking and on-demand elements used selectively to support atmosphere and building activation, rather than as the main business.
* On demand and e-commerce are coming, but not everywhere
Joe sees a clear role for online bookings across meeting rooms, day offices, and smaller private offices, however he draws the line at larger, customised floors, which still require a consultative sales process if you want to maximise value and fit.
Key Takeaways for Real Estate Investors and Landlords
* Management agreements can deliver control and “super normal profit”
For certain owners, particularly those buying large prime assets, the ability to retain control of the building, fund capex at their own cost of capital, and share in upside above market rent is more attractive than signing a long lease. That is where “super normal profit” shows up.
* Operator alignment comes from structure
In Iconic’s management deals, the owner funds capex and holds the assets, while Iconic provides business planning, design, construction oversight, and operations. Joe’s team spends years working on some schemes before opening, and only starts to benefit once the building trades, which aligns incentives around performance.
* The market is splitting into two tiers
Joe describes a visible two tier system in Dublin, with a clear gap opening between upper and lower quality stock. The middle is under pressure, which reinforces the need to invest in quality, amenity, and experience if owners want to compete with both home and premium flex.
* Flex is no longer a marginal product
Iconic now operates at the top of the Irish market, with a member base that includes global technology and AI brands. For landlords, this shows that high quality flex can sit alongside, and sometimes outperform, traditional leasing in prime locations.
* Partnership design matters as much as interior design
Joe starts each deal by understanding the building owner’s constraints, bank requirements, and return targets, then builds a structure to hit those outcomes. The same building can justify different models, depending on the owner’s objectives and appetite for upside versus certainty.
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