WHY DO YOU THINK THERE WILL BE DEMAND FROM TENANTS FOR BUILD TO RENT?

Even through the virus, housing in its traditional forms has largely remained unaffected by change.

While facilities have improved over the years, the principle fundamentals have not. Inflexible lease terms, early termination fees and unfurnished premised have pretty much remained, and been unchanged for decades. 

Meanwhile, rents have increased to unaffordable levels particularly for young people. More and more have been sharing accommodation in traditional 2 and 3 bedroom apartments, renting a bedroom and in many cases sharing with strangers to try to keep rental costs down.

This is not a long term sustainable model.

Co-living is an answer to young people’s desire for flexibility, more affordable premium living, access to facilities and amenities, while living in prime locations, and having the benefits of a community lifestyle. Many tenants are attracted to the Build-to-Rent market appreciate the flexibility of not owning a home. Not  committing  all their capital and savings into a home, with 25 or 30 year mortgages.

Some tenants will prefer to have a short-lease term to ensure they maintain that flexibility. Others will love it that for the first time, they can sign a 2, 3 or 5 years (or longer)  lease.

Location is key. One of the most attractive elements of a build-to rent product for young inner-city renters will be the greater access to amenity and services such as in-house cleaning, maintenance, landscaping and onsite property and facilities management. In other countries such as Asia and the UK, a noticeable trend has been many older tenants also choose this type of accommodation as a more flexible option.

Leases can be much longer (or shorter) than is available with normal letting. All maintenance is taken care of immediately. Services are instantly available, and provided. The tenant is the client.

In the traditional rental apartment model, the landlord is the (agent's) client. 

The landlord cannot take back their property on a whim in Build to Rent.

Build to Rent also Co-living offers many would-be renters a way to gain entry into the institutional
marketplace while simultaneously saving money in aggregate.

Take, for example, a traditional studio apartment compared to a room in a co-living facility in London.
While on a rent per-private-square-foot basis co-living spaces are more expensive than traditional units, the savings
potential is enhanced via greater space and service efficiencies.

Most developed western markets’ residential offerings are comprised of very aged housing stock (the median age of occupied rental units in the US in 2015 was 42 years).

These older buildings are typically less energy efficient, which can in turn elevate monthly utility costs to renters.

The improvements in efficiencies offered by modern apartments can offer measurable
savings as it relates to broader utility usage.

Newer apartments in more dense buildings (those having five or more units built after 2000) consume on average
12% less energy than those built in the 1970s; this, despite newer units having more energy-consuming devices than
older ones.

For one payment, a renter gains access to a fully furnished space that includes access to a gym and communal spaces,
well-developed programmatic platforms, regularly scheduled cleaning and all inclusive utilities for 20% less than the
comparable studio alternative, let alone the time saved before move-in.