Besides the significant hassle setting up legally in foreign countries, co-living places are a target for immigration and labor law enforcement, since the guests are almost certainly working without work permits. Harder to stay under the radar as a digital nomad when you’re living at a place that advertises as a haven for DNs.
There’s no best place to work from. DNs tend to congregate more in some places (Chiang Mai, Ubud, Medelin) than others for various reasons, mainly price. Big cities are expensive, beach towns don’t have the infrastructure or can’t attract enough DNs.