Co-living under fire in Ireland: Department of Housing says no rental rights for co-living individuals
This article sheds light on how co-living markets are emerging around the world and what repercussions can come from Ireland’s rejection of co-living altogether.
Co-living is a market that has shown promise around the globe. It has come to a point where it threatens to disrupt conventional real estate. However, developers around the world are embracing the change. Multiple investments from leading real estate firms are emerging both in the United States and elsewhere. In some countries though, such as Ireland, co-living is not receiving a warm welcome.
The state of the co-living industry around the world
The growth of co-living spaces around the world has been unprecedented. There have been countless reports of residential complexes based on these concepts emerging in different parts of the world. Richard Branson’s Virgin Hotel is planning a co-living inclusive hotel in Miami, India. It is expected to witness $700 million investments in student co-living within the next five years and startups providing shared housing are raising millions of dollars in other parts of the globe too.
In Dublin, Ireland though, things are a bit different. Just recently, The Department of Housing granted permission for a co-living complex in the region but what followed was not being expected.
Dublin is stepping up the game by banning co-living developments
Bartra Capital, the developer behind the project had initially announced that people who were looking to get residence in their apartment complex would not have tenancy rights. The government has denied this privilege to co-living individuals because they would be sharing spaces like kitchens etc. While this may sound absurd, the authorities have gone one better.
A Sinn Fein Bill to ban co-living completely in the country has passed the first stage of approval. A party spokesperson has said that giving the green light to co-living developments will send the wrong signal to developers and other people involved in the real estate sector.
Ireland’s first co-living space
The whole issue began when Bartra Capital was given permission to build Ireland’s first co-living complex in Dublin. The building in Dun Laoghaire town center is planned to have 208 units and provides community kitchen services. This idea involves people being able to use the same kitchen for their needs and eliminating the need for this facility in each unit.
What this means for the world market
Real estate is one of the most vital markets worldwide. The volumes in revenue that it brings can force governments to take similar steps if concerned companies decide that co-living is a threat to them. For the time being, there are no indications of such an action. Real estate developers and businesses in the field are themselves including co-living spaces within traditional residential areas.
Whether or not Ireland’s moves will impact the global co-living market is yet to be seen. The nature of this news is troubling because it can plant similar ideas elsewhere too. Co-living has the capability to co-exist with old school housing and can even bolster its impact by providing low-cost alternatives to students and travelers in different countries.