In a shocking turn of events, the coliving platform Common Living announced its bankruptcy filing and imminent closure this week. This unexpected shutdown has left many Common Living property owners scrambling to find new ways to generate revenue with their properties that were previously listed on Common. After expanding to 7,000 units, Common’s collapse has raised questions and concerns about the future of the coliving industry.
The impact on Common property owners
The news is particularly devastating for property owners who invested in new builds specifically to list on Common. The platform’s closure means they must now quickly find alternative ways to generate income with their rental properties. The abruptness of this situation highlights the inherent risks in the coliving market and the importance of partnering with financially stable and reliable platforms.
Is coliving a doomed industry?
Although Common’s failure may lead some investors to declare the coliving industry doomed, this viewpoint ignores the sector’s success stories.
PadSplit, for instance, is thriving and growing steadily. Currently approaching 13,000 units, PadSplit has doubled the net operating income (NOI) for over 1,000 property owners and provided more flexible and affordable living options for over 26,000 renters. These achievements underscore that with the right model and management, coliving is both viable and profitable.
The broader housing affordability shortage
It’s important to place this news within the broader context of the ongoing housing affordability crisis. Over 50% of the U.S. population struggles to afford their rent, and one-third of all renters fail to meet basic application requirements.
This housing shortage underscores the need for innovative housing solutions that can offer affordable and flexible options to a broader range of people. When done right and using existing properties instead of new construction, coliving effectively addresses these needs.
PadSplit is a lucrative solution for Common property owners
For property owners impacted by Common’s closure, there is a silver lining: PadSplit offers a solid exit strategy. With over 80% occupancy and a 97% collection rate, PadSplit provides a profitable alternative. Property owners can earn 2.5 times more on coliving properties through PadSplit, making it a compelling option for those seeking stability and increased revenue.
Listing a property on PadSplit is both simple and efficient. Property owners can quickly transition their listings and start receiving vetted bookings, ensuring a steady income stream even amidst the fallout from Common’s bankruptcy. PadSplit’s strong performance metrics and proven track record make it a dependable choice in these uncertain times.
Moving forward with coliving
The closure of Common is undoubtedly a significant event in the co-living industry, serving as both a cautionary tale and an opportunity for reflection. It highlights the necessity for robust and adaptable business models in co-living. While Common’s failure may seem like a setback, it also opens the door for other platforms like PadSplit to demonstrate the potential and importance of well-executed co-living solutions.
PadSplit remains committed to providing flexible, affordable housing while ensuring property owners can maximize their returns. If you are a property owner affected by Common’s closure, we invite you to explore how PadSplit can help you navigate this transition and thrive in the evolving co-living landscape.
While Common’s bankruptcy is disheartening, it also underscores the resilience and potential within the coliving industry. PadSplit’s success proves that with the right approach, co-living is sustainable and an essential part of the housing market.
For property owners impacted by this development, PadSplit offers a path forward. It combines financial stability with a commitment to addressing the housing affordability crisis. Visit PadSplit.com to learn how to get started today.
