We are proud to present one of our most recent projects: Coliving Chueca.
This new Coliving in Madrid, located in San Marcos Street, is a project we just recently opened at Alfareal. It has already attracted its first tenants thanks to its perfect location (next to Gran Via) and the quality of its apartments. In this article, we explain its characteristics and its value as an investment project.
Initially, one of the main challenges was creating a fresh and modern style that would fit well into a palatial estate, while incorporating the latest technologies into its design. But the development of the project proved successful, as it was proactively completed in less than six months.
About the Project
Our Coliving Chueca is a renovated historic building on two levels, ideally located in Calle San Marcos, in the heart of Madrid. The building has eight independent studios, each fully equipped with its own bathroom and kitchenette.
In addition, it offers utilities, internet and Netflix included, and weekly cleaning services. But that is not all. Coliving Chueca also has attractive common areas, including a lounge, gym, large communal kitchen and laundry room. These act as perfect meeting places to socialize and connect with the other tenants.
This project stands out for having an intelligent air conditioning system, as well as for improving the acoustic and thermal insulation of the property. These technological advances not only improve the user experience, but also contribute to greater energy efficiency and lower costs in the long run. As a measure of standard, quality and sustainability, all these features are part of Alfareal’s positive impact agenda.
What is Coliving?
It is a form of shared living that offers tenants the opportunity to live in a space designed to encourage social interaction and collaboration between people with similar interests and lifestyles. In a cohousing space, residents have their own private space, such as a bedroom or study, but share common areas such as living rooms, kitchens, and work areas.
For young professionals, Coliving is attractive because it allows them to live in a modern, well-appointed space, in a central location, with the relatively cheap costs and long-term commitments that come with renting traditional housing.
In addition, the cohousing model gives them the opportunity to meet and collaborate with people from different backgrounds and professions in Europe and more areas, which can lead to new job opportunities and adult friendships. It is also an option that offers flexibility, allowing tenants to choose short-term stays, which is especially valuable for those who have a nomadic professional life.
It’s a shared living concept that has become increasingly popular in recent years. It offers an innovative, flexible, fun and culturally valuable solution.
Compared to shared flats), Coliving is a much more attractive option. Residents have their own private space and can enjoy common areas for socializing and working. In other words, it offers a much more flexible lifestyle adapted to the needs of young adults, professionals, students and travelers.
Coliving as an investment
Definitely, Cohousing spaces are an attractive investment in the real estate market. The Coliving in Chueca, for example, is a residential asset operating in a highly sought after location, with strong rental demand in an area of low unemployment and a high education level of 43%. The central location of the asset, close to all the entertainment areas, makes it a popular place.
The market is experiencing constant growth, largely due to the fact that it offers professional service, spaces designed for socializing and greater flexibility than traditional accommodation. This type of shared housing has become an attractive option for young professionals, digital nomads and international students, among others, who are looking for a more flexible, social and profitable way of living.
According to El Economista, the global Coliving market grew at a CAGR of 25% between 2018 and 2020, and is expected to reach $15 billion by 2027. In addition, the segment of young professionals is the one that has most adopted this shared way of life, and this trend is expected to continue growing in the coming years.
A growing trend
Investing in a Coliving space is a direct way to benefit from this growing trend. Coliving Chueca is an example of this, since it has started to produce cash in operation. At Alfareal we have transformed an old house into eight studios in a historic building and we have partnered with Muppy, one of the most promising Coliving operators in Spain.
Coliving is a new way of living, but also of investing in the real estate market. As with traditional real estate, the assets can generate stable and growing income in the long term, especially in urban areas where there is a great demand for more affordable housing and flexibility. Investing in a Coliving space, then, can be an interesting strategy to diversify an investment portfolio and obtain attractive returns.
Our Coliving Chueca is an exciting and attractive option for both tenants and investors.
Do you want to know more about how to invest in similar projects?
Contact us to discover how to be part of the Coliving revolution.
