"The co-living sector is experiencing dynamic growth and innovation, offering new living solutions catering to a diverse urban population. With its increasing popularity, co-living presents significant investment opportunities, particularly in areas with high demand for flexible, community-oriented housing solutions."
Are the days of being tied to one place, one job and one house are a thing of the past? Life has moved on and the world of renting is moving with it...
Whilst the average age found by the 2024 Gerald Eve Report is 28, there’s an emerging group of discerning renters - Gen Z. Comprising of students and young professionals up to age 27 and carrying a wave of ambition and opinions, they hold a distinct set of design expectations when it comes to where they live.
With the huge increase in build to rent developments providing stunning interiors, along with all the modcons and lots of additional lifestyle perks added to the tenancy agreement, the competition is higher than ever to attract this demographic and future proof.
So, how do you design spaces that attract this trend-conscious, tech-savvy crowd?
1. Create Community
Whether they’re students or young professionals, Covid will have hit them at key life building moments, e.g. school yeas or starting university not as a keen fresher ready to party, but from behind a laptop. Community is therefore so important to many people of this generation, and they often seek out properties that make it easy to socialise and meet people. Pair this with the general pressures of moving away from family and friends, it's easy for feelings of isolation and loneliness to develop.
For co-living developments, shared spaces should be designed with this in mind. Open-plan kitchens, comfy lounge areas, and even outdoor spaces with seating can make all the difference.
According to the Native Student Life Report for 24/25 Food is the new night out so a shared space that encourages cooking (or opening the takeaway bag) and eating together is a must for this market.
Creating a space where your tenants can relax, study, or hang out with housemates will help them feel more at home, and ultimately that means longer stays and happier tenants.
2. Benefits & Amenities
This is a generation that has never experienced the daily commute, and the days of an office 9-5 are seemingly a thing of the past in most sectors. With hybrid working the new normal, if not being fully remote, it's not surprising the number one amenity people are looking for is co-working (Gerald Eve "Emerging Trends in Co-living" 2024 Report).
A dedicated space to not only get out of your personal room, but to network and chat to fellow housemates, developing personally and professionally at the same time.
Other amenities tenants love are communal cooking and dining spaces, gyms and outdoor spaces. Anything that can enhance their lifestyle and streamline monthly expenses.
3. Bold, Personal Style with a Sustainable Twist
Many of these post-millenials aren’t afraid of bold design choices and they’re into self-expression, so designing a space where tenants feel at home and can make their mark is key.
But don’t forget—they’re also eco-conscious. Sustainability matters greatly to this generation, so incorporate design elements that are both bold and sustainable. Recycled materials, energy-efficient appliances, and investing in durable finishes that don't need constant replacement are all great options here for both tenants and developers. You’ll not only be attracting tenants with an eye for style but also with a heart for the planet.
4. Tech-Ready Spaces for the Digital Age
If there’s one thing this next generation of renters can’t live without, it’s tech; considering the average Gen Z got their first mobile phone at 10.3 years old and have an average of 4 devices, it’s understandable it's now ingrained into their lifestyle. Whether it’s for working, gaming, or streaming, they expect to be able to access their devices and connect with the world seamlessly. Superfast Wi-Fi, and integrated charging stations are a must, especially with multiple people trying to access all at once.
Something often overlooked is how the walls align with the connectivity of the property. Wi-Fi signals can easily pass through materials such as plywood and plasterboard, whilst steel and plaster may cause issues - and with connectivity being a top priority for this demographic, it’s best to plan thoroughly as —it’s no secret that a property with spotty internet will have them moving out faster than you can say “dial-up” (more showing our own age there).
For co-living spaces, consider including common areas with dedicated spaces for work or study, complete with charging ports and comfortable seating. Create areas where they can plug in, meet their deadlines, or just chill out with friends.
5. Cosy, Yet Instagrammable Spaces
There’s a growing importance on creating visually appealing spaces, especially when targeting this particular group of tenants. For them, social media isn’t just a tool - it’s a lifestyle. They seek living spaces that are not only comfortable, but also ‘Insta-worthy’ - places they can proudly showcase on their platforms. Thoughtful design is more than just about amenities, it gives tenants an opportunity to express themselves online.
It also offers significant marketing potential for you. When your tenants proudly post their homes online, they create organic peer-to-peer promotions that can boost your property’s visibility and desirability. By investing in design elements that resonate with Gen Z’s social media-driven values, you open up the chance to organically turn tenants into brand ambassadors and ensure your properties stay in high demand.
6. Maximise Storage Without Sacrificing Style
There are a multitude of different hobbies and interests that Generation Z hold, from collecting ‘plushies’, gaming, to building a 20-step skincare routine. With so many different needs to be met, storage is critical. But how can you provide ample room without compromising on design? Think vertical storage, under-bed storage, and furniture pieces like ottomans or modular shelving. Built-in doesn't need to be fully bespoke or extortionate either, so speak to your interior designer about clever storage solutions that make the most of the space while keeping things stylish and organised.
Final Thoughts
Gen Z is a unique demographic with distinct needs and preferences when it comes to property design. By incorporating their love for multifunctional spaces, sustainable design, tech-ready features, and bold, personalised aesthetics, you’ll create spaces that not only attract tenants but keep them happy and engaged.
When designing your next co-living or BTL property, think about the lifestyle your target audience is living—and then bring that vision to life with interiors that are practical, stylish, and perfectly in tune with what they want.
Check out what your competition is offering, starting with nearby build-to-rent developments- they’re a good place to get inspiration from and use as a benchmark to stay competitive in this market.
At roost, we’re here to help you craft spaces that appeal to the next generation of renters. Ready to make your investment property stand out to this new generation of rentors? Let’s chat...
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