India co-living market size to grow more than double by 2025: report

By 2025, market size of co-living across India's top 30 cities is expected to grow more than double and reach US$ 13.92 billion from current US$ 6.67 billion. The demand for co-living market, in terms of beds, is anticipated to grow to 5.7 million from 4.19 million, whereas, the share of private beds likely to increase from 15 per cent to 30 per cent of the total demand in co-living segment, according to a Cushman & Wakefield India report.

With inflow of investments from national and international institutional in investors, bringing in much needed seed capital and future funding rounds, the said market is evolving at a rapid pace. The increase in investments would allow the new business model to thrive and achieve scale in India.

Mr Anshul Jain, Country Head & Managing Director-India, Cushman and Wakefield said, "Co-living is an evolving sector and is expected to grow more than 2X by 2025 in the top 30 cities which are the major economic centres in the country…Furthermore, as the business evolves, co-living shall transform the face of the rental housing market in urban centres, similar to what we are witnessing with flex-working in the office rental space".  

The operators of such facilities are tying up with the developers for built-to-suit property option which is an upcoming trend likely to prevail in sector.  Operators are opting for ready to move in properties, which are refurbished and renovated as per their requirements, are showing preference towards properties having 50-60 room.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.