A new report from real estate services company CII-ANAROCK offered insight into how changing demographics, growing entrepreneurship and digitization are shifting the demand for new workplace options.
‘Emerging Asset Classes: The Future Looks Promising’ found that coliving, student housing and coworking have rental yields between 7% and 11%, an increase from India’s national average of 3% from traditional housing formats.
“Coliving, student housing and senior living are the next evolutionary step in the residential real estate domain, while coworking has evolved from traditional office real estate,” said Anuj Puri, real estate confluence and chairman at ANAROCK. “The drivers behind this evolution are changing social dynamics, a highly enabled start-up environment, rising interest in higher education by migratory student populations, and the need for quality housing solutions for senior citizens.”
Additionally, while the coworking sector has grown tremendously, domestic coworking providers have kept their presence in tier 1 cities, while global operators are branching out into tier 2 and 3 cities.
