India’s Co-living Market to Double By 2024
Colliers in its latest whitepaper said that the shared economy or popularly known as the Co-living segment in the country is expected to see a recovery in 2022. Though the pandemic marred the growth story of the co-living sector in 2020, it has already witnessed a sharp recovery in 2021. The co-living segment is expected to have 4,50,000 beds mainly driven by organized players by 2024 as opposed to 2,10,000 beds by the end of 2021. “With the situation improving rapidly, the sector has recovered substantially and is looking more optimistic. The primary contributor to the recovery is the growing rate of vaccination. The unemployment rate is down to 7% in November 2021, a gradual dip from 11.84% in May 2021. Also, amidst the pandemic, hiring by IT companies has gathered pace followed by robust performance of the sector which will only add on to the demand for the Co-Living in coming quarters,” said Ramesh Nair, CEO, India and Managing Director, Market Development, Asia, Colliers. “Co-Living has a strong long-term potential in the metro cities. However, the current market scenario has presented an opportunity to consolidate and reconfigure the market. While many players have exited the business as they could not sustain the financial stress of the previous year, others have capitalized on the opportunity to strengthen their position by strategic acquisitions and expansion in prime locations in metro cities,” said Subhankar Mitra, Managing Director, Advisory Services, Colliers India.