New Delhi, May 8
India’s co-living market is on an upward growth trajectory, projected to reach close to 1 million beds by 2030, a report showed on Thursday.
Currently estimated at around 0.3 million beds in the organised market, the demand has rebounded strongly in recent years and operators gearing up for expansion across tier 1 and select 2 cities, said the report by Colliers India.
The report stated that the resurgence of the sector is being fuelled by rapid urbanisation and migration to cities, especially amongst students and young professionals who continue to seek flexible, relatively affordable, community-driven, and hassle-free housing options.
Following a temporary lull during the pandemic, the demand for co-living is regaining momentum, driven by the inherent strengths of the sector.
Evolving demographic patterns, education and employment-driven urban migration, rising disposable incomes, and a growing preference for fully managed rental accommodations are all contributing to a sustained rise in demand for organised co-living spaces.
Of the estimated 50 million migrant population in urban India aged between 20 and 34 years in 2025, the demand base for organised co-living sector in terms of beds is currently estimated at 6.6 million.
Given the intrinsic nature of demand, leading operators are in an expansionary mode. As the co-living inventory is set to reach close to 1 million beds by 2030, penetration rates can significantly improve from 5 per cent to over 10 per cent by the end of the decade, the report mentioned.