Co-living Industry Likely To Touch Rs 99,700 Cr Mark By 2023: Report
New Delhi: The market size for co-living industry in India is expected to touch Rs 99,700 crore mark by 2023 from Rs 45,800 crore in 2018, representing an annual growth rate of 16 percent, according to a report by NAREDCO and KPMG.
The demand for beds under the co-living business model is expected to grow to 57 lakh by 2023, up from 36 lakh in 2018. The current capacity of the exiting co-living space providers is just about 1,08,000 beds. Only a small fraction of the current demand has been met by co-living space providers until 2018.
The factors that will contribute to healthy demand for co-living space in the country is the rapid urbanization which is expected to reach 40 percent by 2030. Another factor is the growing number of students being enrolled in institutes and colleges of higher studies.
The demographics of the country is also fuelling demand for co-living spaces. About 18 percent of population is aged between 18 and 24 and about 40 percent of the millennial workforce is urban migrants. This is leading to a huge demand for such spaces.