The multifamily is based on a business model where investors build real estate for rent only. This well-developed trend in the United States and Europe is already being seen most notably in Mexico.

Coliving is the evolution of coworking in the housing market. It allows the provision of residential spaces, generally occupied by like-minded professionals, who in addition to sharing a workplace, share a house where they can continue to exchange work and life experiences.

This market will trigger an investment of approximately 6,370 million pesos for the construction of more than 11 thousand apartments in the next four years from firms such as Fibra Multifamily, Greystar, Hasta Capital, Retna and CCLA Group.

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According to specialists, the pandemic affected an average of up to 20 percent of the occupations of multifamily and institutional rental buildings in the country during the most critical months, however, at the beginning of this year, these recovered, which encouraged investors to continue with their plans dammed by the health emergency.

Managers and analysts point out that this sector, despite representing only 0.1 percent of the more than 5.1 million rental homes in the country, can solve the lack of options for young families without access to credit or who cannot buy a property.

Jorge Martínez, CEO of Fibra Multifamily highlighted that in Mexico there are 5 million rented homes, of which there are just 4 thousand institutional homes. Mexico is a young country that requires housing and they have not been offered quality institutional housing since the supply is very limited.

Fibra Multifamily is the first trust dedicated to the professional development of rental housing, and they plan to raise up to 3 billion pesos this year for the development of more than 1,150 new apartments in six cities of the country, where the offer is needed.

Of interest: Fibra Multifamily, the first exclusive trust for rental housing

Fibra estimates structuring a permanent capital vehicle to develop rental housing, which initially would have 1,150 apartments in different cities of the country, mainly in Guadalajara, Monterrey, Tijuana, Querétaro and León, said the director of Fibra Multifamily.

Rodrigo Suarez, CEO of Hasta Capital, commented that they plan to disburse 1.5 billion pesos to develop up to 500 new rental apartments in the next two years, in Mexico City and Monterrey.

He also pointed out an interesting comparison with the ratio of 500,000 professionally managed rental housing units to the number of Houston residents where 6 million people live.

Retna, indicated that after the pandemic this high-value rental market has been the hardest hit and has left thousands of apartments in areas such as Santa Fe and Polanco in Mexico City, without tenants due to the inability to pay rent after the crisis .

The Retna executive commented that the challenge will be to build a new offer, so the company aims to invest up to 150 million pesos in three new coliving and rental projects in the coming years.

At Solili we have apartments for rent in Mexico City

Original note