Mt Gravatt has emerged as a focal point in the burgeoning co-living trend, with demand for shared accommodation far outstripping supply.
This comes as more than 350,000 Australians are now living in group households, a figure that has reached an all-time high amid soaring rents and a housing affordability crisis.
Some people propose co-living to solve the housing shortage, where residents share some spaces while having private rooms. However, critics argue that it is primarily a strategy for property owners to maximise rental income.
Property developers like Gallery Group promote co-living as a “good value” proposition for singles and couples, likening it to a shared workspace. The company’s model involves converting single-family homes into multiple self-contained rooms, each with an ensuite and secure storage in the kitchen. According to the developer, this approach creates “three separate income streams” and offers “high-income meeting capital growth.”
Gallery Group’s co-living rooms are currently listed at $300 per week, potentially generating $900 a week in rent for property owners. Other developers in Australia, including Heaps Good Homes and Victorian House and Land Specialists, are making comparable claims of high returns.
The growing popularity of co-living has led to a surge in demand for shared accommodation in certain areas. In some suburbs, the number of available rooms falls short of the demand, while in others, there are more seekers than available rooms.
Mt Gravatt is one such suburb where the number of people seeking co-living arrangements significantly exceeds the number of available rooms. This situation is mirrored in other areas, such as City Beach in Perth, Sydney’s CBD, and the Rocks.
Bondi Beach currently stands out as the most competitive area for finding shared accommodation, with 174 rooms available and 944 people looking. Melbourne’s CBD also has a high number of rooms for rent and a large number of people searching.
As the housing crisis continues, the debate over co-living as a viable solution or a profit-driven scheme is likely to intensify.
Published Date 18-July-2024