I have a membership to Novel Coworking. The space is awesome and the membership costs a fraction of WeWork.

I think it's because Novel actually owns the spaces they lease out so they can lower costs while still controlling quality. They can't grow at the breakneck pace of WeWork, but why should they have to? Unlike Uber there aren't any network effects when you have more spaces. If you provide a cheaper, better space in the same neighborhood it doesn't matter if WeWork is in hundreds more locations. Uber has an advantage with more drivers and market saturation leading to better service, but WeWork has nothing. Sooner or later they'll be completely overtaken by competitors.