NYC, San Francisco Offices Brace for Pain From WeWork Bankruptcy

WeWork Inc.’s collapse is spreading through the battered commercial real estate industry, threatening to upend dozens of leases in cities including New York and San Francisco.

The coworking giant’s spiral into bankruptcy hit landlords along the way as it renegotiated and sought to exit many leases. Now, the bankruptcy filing Monday and a plan to terminate nearly 70 of those contracts is set to exacerbate the issues facing many of WeWork’s landlords: The tenant wants out and could have more power to leave.

“It’s a lot of space potentially coming on the market,” said Ruth Colp-Haber, chief executive ...