Looks like it.[1] "An example The Information gives is that of a 20-year lease signed in New York’s financial district, on which WeWork got over a year of free rent. This free rent, however, was not spread out over the length of the lease, as is usually standard accounting practice. Instead, it was plugged straight into the current numbers, increasing near-term profits."

WeWork leases real estate on long term leases and subleases it on short-term ones. If occupancy drops, they're in big trouble, caught between declining revenue and fixed lease costs.

[1] http://www.businessinsider.com/weworks-financial-projections...