Coliving is an emerging asset class that has rapidly gained popularity in major markets in the UK, North America, Asia and Europe over the last decade. Emerging now in Australia Coliving is quickly becoming a mainstream and attractive concept. 

According to Conal Newland, National Director at Savills Australia, Property used to be primarily about sectors – residential, office, retail, leisure. But the lines are blurring, fuelled by demand from a new generation of city dwellers who want to live, work, and socialise with like-minded people without having to travel, trends which have been accelerated during the COVID pandemic.

“Whilst there are many different variants on the Coliving model, the common themes tend to include:

Fully furnished accommodation; Flexible medium term (e.g., 3+ months) rental periods; Buildings which include shared/communal living spaces; and Social event programmes to foster a sense of community and interaction between residents. 

“They are also typically located in highly desirable inner city / city fringe areas that are rich in amenity and are in proximity to public transport and places of work or study” he said.

Coliving is ideally suited to upwardly mobile young professionals (typically aged 20 – 35), who in many cases are willing to trade size of living spaces for the features mentioned above. 

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“While much of the developed world is ageing, Australia’s capital cities are forecast to remain youthful, and will remain attractive to young, mobile, and well-educated professionals. This creates opportunity for investors and providers of high-quality flexible forms of accommodation” said Mr Newland.

According to Paul Savitz, Director at Savills Australia, the appeal of Coliving is not exclusively limited to the “Millennial” demographic, and in other markets around the world, this emerging form of housing has found popularity with people outside of this cohort that are drawn to the flexibility and lifestyle that Coliving offers. 

Housing affordability is a key driver of this Coliving market, alongside transient populations; Desire for community; Scarcity of flexible, fully furnished accommodation designed for medium term stays; Population growth; Urbanisation and Growth in single person households.

In light of this, a brand-new, purpose-built, build-to-rent property comprising 33 luxurious self-contained studio apartments together with a 57 sqm flexible commercial tenancy and extensive shared spaces is set to hit the market.

Offered with vacant possession, the residential accommodation at 180-182 St Johns Road, Glebe, Sydney NSW provides the incoming purchaser the opportunity to operate with flexible short or long-term leases as Coliving, Student Accommodation, or as private residences.

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Located in the vibrant City Fringe Sydney suburb of Glebe – it is situated 1.5km from the Sydney CBD, and minutes from Sydney’s best universities, health, and entertainment districts.

Fronting St Johns Road, the commercial space can be operated as a wide range of uses including coworking, an office suite, coffee shop, specialist retail, art gallery or a showroom and is exclusively for sale through Conal Newland and Paul Savitz of Savills Australia.

The fully air-conditioned residences comprise 26 spacious double studios and seven efficiently designed private single studios, all furnished with built in storage, kitchenette, TV, dining and lounge area. All rooms have a private ensuite bathroom, with premium studios having access to a balcony or terrace.

“This is an aspirational and luxurious deluxe living environment that looks and feels like a high-end residential project, with a strong emphasis on quality design, using sophisticated and luxurious finishes” said Mr Newland. 

He went on to say that this is an asset that has been built for long-term ownership with a strong focus on durable materials which have a long lifecycle alongside low ongoing maintenance costs.

“With a highly efficient design, all rooms have been carefully planned to ensure maximum amenity within compact areas and are fully furnished with custom-made designer furniture.”

Appliances, including a combination oven/microwave, are included within fully equipped kitchens, and all rooms come with a wall mounted smart TV, ample storage, including large under-bed storage cavities, ultra-high speed fibre internet connection with Wi-Fi provided throughout the building and a highly sophisticated intelligent access control system, allowing for remote access for residents’ guests and tradespersons, reducing management costs and time, as people can be let into the building remotely.

The north facing common room (37 sqm), plays host to a community inspired integrated kitchen and dining space, which leads off to an impressive terrace with city views and BBQ area (70 sqm) designed for entertaining and socialising.

On the ground floor a highly visible 57 sqm commercial tenancy fronts St Johns Road which can be utilised as an extension of the residents’ shared communal space or converted and operated separately as a broad range of uses including an office suite, coworking hub, coffee shop, specialist retail, art gallery or a showroom.  

The lower ground floor is home to a communal laundry, 34 space bike store and residents’ storage. The secure building offers CCTV and an extensive solar panel system on the roof of the building to significantly reduce energy consumption costs. Individual electricity meters in studios offer the incoming purchaser the opportunity to measure each resident’s power consumption and on-charge for usage.

Mr Savitz said the property offers extensive on-site bicycle parking, together with other eco-friendly features such as sensors in each room which turn off power when rooms are unoccupied saving on unnecessary power consumption costs. 

“The property is consented for a maximum of 59 residents with a three-month minimum length of stay. The studios, all accessible via a central lift, cannot be strata subdivided.

“This ‘sustainable living’ property will appeal to local and offshore investors looking for an immaculately designed safe haven asset in one of the most stable cities in the world” he said.

“This boutique trophy asset sets a new benchmark for Australia’s emerging Coliving sector, combining a beautifully and thoughtfully designed living environment with an outstanding location. We expect that this property will hold great appeal for Student Accommodation, Build-to-Rent and Coliving operators that are looking to add a flagship Sydney asset to their portfolios, and for investors seeking stable income with outstanding long-term prospects for rental growth and capital appreciation.”

180-182 St Johns Road, Glebe, Sydney has been conceived as a market leading Coliving Building and is for sale via expressions of interest closing 3pm (AEST) Friday 16th April 2021.

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