Why Co-Living Wants To Raid The Real Estate Sector | Co-Living in Real Estate Market
The global real estate services company JLL expects that by 2030, up to 30 percent of all office space will adopt the collaboration model in any way. This movement, in turn, opens the way to an emerging and efficient way of life in terms of capital. In Europe and the United States, Co-Living is already becoming a fast-growing asset class, ideal for real estate agents and new-age customers.
We examined seven reasons why Co-Living wants to raid the real estate sector:
Co-Living offers real estate developers a rental yield of 9% to 12% higher compared to the current average yield of 1.5% to 3% of the residential real estate market for a new asset class. It is interesting to note that common spaces also reduce the average cost of living for the consumer by approximately 15% through the optimal use of real estate and economies of scale. Co-Living consists of sharing low-use areas (kitchen, laundry, living room, etc.) with a larger community to increase the use of living space per square foot.
The sense of community.
Studies show that more than 40% of young professionals suffer from chronic loneliness. People have an innate need to belong to it. The Dutch have a good word to say: Gezelligheid. It means comfort, kindness, fun, rustic or friendly atmosphere, but also connotative belonging, time dedicated to those who are dear to you, general Co-Living, which gives a feeling of warmth.
This sense of community often lacks the life of nomads from around the world. With the intelligent combination of private and shared spaces, Co-Living makes it easy to connect with like-minded people. From movie nights to brunch, there’s always something to tie!
Imagine living in a charming hotel that feels like home. Based on the plug-and-play model, Co-Living prevents residents from doing their daily household chores. The monthly rent includes everything from maintenance, cleaning, laundry and decoration to water, electricity, Wi-Fi and entertainment. In this way, you can focus on things that really matter. In addition, the extended trip to another location is much more convenient.
With a global workforce, young professionals travel and move today. Traditional lease obligations do not work for this ever-present generation, which requires more than simple solutions. Co-living offers an agile home design that not only keeps costs under control, but also simplifies logistics. Depending on your needs, you can reserve an apartment for rent for 12 months or up to three months.
Friendly environment for women
Given the growing security problems, especially for women, it is important to create living spaces that convey a sense of comfort and security. It takes more than 24 hours of video surveillance for someone to feel safe. At Stay-abode, we saw an increase in the proportion of female residents from 28% to 40% among some of our roommates last year. Factors such as access card entry and background checks, as well as review procedures for employees and residents, make Co-Living a safer place to live.
It is easy to assume that a common living room is like paying for guest accommodation (PG). The hypothesis, however, could not deviate more from the truth. Although PG options fit into the bag, they are never really a lifestyle option. Co-Living focuses on design and service. In terms of infrastructure, a typical living space is much more luxurious than one or two conventional BHKs. It is for those who prefer a certain level of life.
As the demand for affordable housing in the city continues to grow and the urban traffic situation deteriorates, the housing landscape will change. As an emerging asset class, Co-Living will soon use established developers. It is only a matter of time before Co-Living is a long-term solution to the housing crisis.
Also Visit: What Makes Co-Living The Best Trend Nowadays