The rise of coliving spaces in real estate

Coliving is a new housing concept that combines the advantages of shared accommodation with those of conventional rental. It's a shared living space, where each resident has a private room and access to common areas such as a kitchen, bathroom, gym, workspace, etc.

This new form of living is booming, both in France and around the world. In France, the coliving market represented 8,300 beds in 2021, and is expected to reach 24,000 by 2025.

 

Reasons for the coliving boom

The rise of coliving is linked to several factors, including :

• Housing shortages in big cities: coliving makes it possible to offer affordable housing, especially in big cities where property prices are high.
• Changing l ifestyles: younger generations are more mobile and more open to new lifestyles. Coliving offers a flexible, adaptable solution to the needs of people who often move from city to city or region to study or work.
• Digitalization: coliving is a concept that relies on new technologies, particularly for managing reservations and services.

The different types of coliving spaces

There are different types of coliving space, depending on the target audience and the services offered. We can distinguish :

• Student coliving: this type of space is generally located close to universities and offers services tailored to students' needs, such as workspaces, gyms and relaxation rooms.
• Coliving for young professionals: this type of space is generally located in large cities and offers services tailored to the needs of young professionals, such as coworking spaces, meeting rooms and catering areas.
• Coliving for seniors: this type of space is generally located in the city center and offers services tailored to the needs of seniors, such as personal assistance services and social areas.

The advantages of coliving

Coliving offers many advantages, including:

• Affordable housing: coliving makes it possible to offer affordable housing, especially in large cities.
• A flexible solution: coliving offers a flexible solution, adapted to the needs of people who often change city or region.
• A community: coliving creates a community, with common spaces and shared activities.

The disadvantages of coliving

Coliving also has some disadvantages, including:

• Lack of privacy: coliving can be a challenge for people looking for privacy.
• Rules for living together: residents of a coliving space must respect rules for living together, which can be restrictive for some people.

 

Is coliving a profitable real estate investment?

Coliving is a booming new market that is attracting many many investors. The potential profitability of this type of investment is high, not least because of the strong demand for affordable, flexible housing.

However, it's important to study the market carefully before embarking on a coliving investment. In particular, you need to consider the location of the space, the target audience and the services on offer.