ASAP Business Partner JLL reports that the Millennial move towards communal living in Asia’s busiest cities, offering tenants very small rooms with shared facilities such as TV or cinema rooms and gyms, is attracting real estate developers and investors.
This is especially prevalent in Hong Kong, the world’s most expensive housing market where young workers often have to live at home until they can afford to buy an often tiny flat. Recent co-living Hong Kong developments include M-Living in Wong Chuk Hang, offering 80-100 square foot rooms and shared communal areas, with bills and cleaning facilities included.
Property investors see an attractive opportunity to gain extra revenue from services, while we have reported that some owners have been converting under-performing budget hotels to co-living developments.
In China, co-living is increasing, is government-supported and offers the chance to live in first-tier cities. In Singapore there is more access to affordable public housing, but ASAP Quality Accredited Operator Member Ascott’s Lyf co-living brand is part of its serviced apartments business, often part of mixed use developments. In Tokyo, years of deflation have been kind to renters and co-living is again less-developed.