How Co-Living Is Reshaping City Rental Markets

Lucas and Luna dive into the co-living trend that's quietly transforming urban housing. In this episode, they focus on the rise of co-living operators like Common and Ollie, which are leasing entire apartment buildings and renting out individual rooms with shared common areas. They examine how this model is attracting institutional investors like Blackstone, which poured $300 million into Common in 2024, and why vacancy rates for co-living spaces in New York and San Francisco are half the market average. Lucas explains the unit economics: operators pay 15-20% higher rent per square foot than traditional multifamily but achieve 30% higher net operating income by renting by the room. Luna questions the regulatory pushback, including San Francisco's 2025 ordinance capping unrelated tenants in single units at three people. The hosts also touch on how co-living is evolving beyond millennials to include remote workers and empty nesters, and what this means for traditional apartment developers. #CoLiving #RealEstateInvesting #Multifamily #Common #Ollie #Blackstone #InstitutionalInvestors #UrbanHousing #RentalMarket #UnitEconomics #Regulation #SanFrancisco #NewYork #RemoteWork #EmptyNesters #Business #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo