Clamor for work-life balance begets ‘co-living’ business
Nearly half of young people from the Gen Z cohort agree that work is central to their identity, but striking a healthy balance between professional and personal lives remains a top consideration for job satisfaction, says a Deloitte survey.
The long commute, along with the stress that comes with it, is a big no-no for this emerging workforce. These young urban dwellers consider the walk-to-work lifestyle as a plus factor when choosing their accommodations.
But on their own, many of them can’t afford yet to buy or even rent condominiums near their place of work. This is why co-living has become a viable option for a growing number of these young office workers.
Unlike older generations who could only rent bed space from families who offered extra rooms, they now have the option to live in a co-living facility, a purpose-built residential property made up of smaller, self-contained studio units that are professionally managed and are within reasonable distance to the workplace. It is essentially a dormitory, not for students but for young professionals.
Value proposition
The SM Group entered this business in 2017 with the acquisition of MyTown, which then owned and managed five buildings in Makati and BGC with over 1,000 beds all operated under the MyTown brand. Since then, MyTown has expanded into a network of 14 residential facilities with a total of 4,156 beds in 1,353 rooms strategically located near these central business districts.
According to Jogee Arellano, CEO and general manager of MyTown Co-living, the demand for urban dormitories is gaining traction, especially among the young and vibrant working class.
The unique value proposition of convenience, community and affordability resonates well with the predominantly millennial and Gen Z professionals who choose to live near their workplace.
Monthly rates start at P4,260 per person in a deluxe six-bed shared room, and P4,610 per person in a unit with enhanced amenities. For those who can fork out a bigger amount, private living arrangements are available in “first-class” dorms at P17,260 per month.
Each MyTown room is fully furnished and includes amenities such as air conditioning, a refrigerator, a microwave oven, spacious cabinets, comfortable mattresses, and window blinds for privacy. Every room features a private toilet and bath, distinguishing MyTown from other dormitories that offer communal facilities.
Also, each room is equipped with submeters for both water and electricity, allowing tenants to monitor and manage consumption. Utilities such as water and electricity are billed separately from the rent, giving tenants the assurance that they only pay for what they use. The lease also includes free Wi-Fi and access to all amenities across all MyTown buildings.
MyTown’s first-class buildings offer amenities akin to mid-market condominiums. MyTown New York on Gen. Jacinto Street, Makati, for instance, has a swimming pool, movie theater, work lab and study room. MyTown on Panay Street, Makati, has a boxing gym.
This type of living arrangement, Arellano says, continues to attract “healthy interest from individual and corporate tenants looking for well-managed and strategically located co-living spaces.”
“The co-living sector has shown a notable recovery postpandemic. As a big percentage of the workforce returns to office setups and trainees resume in-person trainings, the demand for flexible and community-oriented living options like co-living has rebounded,” he says.
Also, a positive trend in occupancy rates was noted. “The increase in occupancy has been steady, with MyTown experiencing a modest yet encouraging uptick in occupancy rates,” he adds.
‘Townees’
MyTown also leverages technology to make the leasing process seamless and efficient. “We offer online scheduling for both physical and virtual viewings, ensuring that prospective tenants can explore our spaces in a way that suits them best,” he says. And as they cater to digital natives, all payments for leases can be completed online.
Calling themselves “Townees,” the moniker reflects well on the dynamic lifestyle of MyTown tenants, mostly between the ages of 22 and 35.
But while occupiers are mostly young, Arellano points out to an increasing number of tenants who are in the 40 to 50 age bracket, offering a mix of experiences and perspectives.
Regardless of age, the proximity to the workplace minimizes their commute, giving them the freedom to pursue work-life balance.
Ruby Claire Prima of Camarines Norte has been living in MyTown for six years. She finds that the convenience and vibrant community that MyTown jives with her varied interests.
The 26-year-old is the executive director of a foundation dedicated to innovative education. After clocking out, she also actively participates in an antihuman trafficking organization. And she doesn’t stop there; she also offers services on training, consultancy, media, production and talent management for marketing and sales.
“Outside of these responsibilities, I maintain my artistic pursuits. I am a singer/performer, content creator and host, while also supporting fellow artists. Living in MyTown allows me to give full attention to these pursuits and avoid needless stress, like lengthy commutes,” she adds.
Arellano says that MyTown initially attracted mostly workers from the business process outsourcing sector. Now, they are also housing tenants from banking, finance, manufacturing and information technology. “This broad range of career backgrounds enriches our community, making it more diverse and inclusive,” he adds.
At the heart of co-living is the creation of relationships and community-building. The ready-made community in MyTown played a crucial role in combating the pandemic-induced isolation.
More than just a place to live
“Community building in co-living spaces like MyTown played a significant role in addressing the loneliness many experienced during the pandemic. By fostering a sense of belonging and connection, our co-living environment provided tenants with the social interaction they needed, even during challenging times,” he adds.
To foster both camaraderie and personal development, MyTown hosts a series of regular events such as music events, themed parties, game nights and movie nights, among other leisure activities.
For Arellano, MyTown has gone beyond providing just a place to live. He says that the community aspect of co-living has “positively impacted the mental health of our Townees.”
“By offering seminars and orientations on mental health, career growth and financial literacy … We’ve created an environment that supports personal and professional growth, contributing to overall well-being and helping tenants navigate postpandemic challenges,” he adds.
In addition, MyTown also serves as a venue for holistic development by offering continuous learning and skill enhancement. Motivational talks, creative and wellness workshops, as well as community service and sustainability drives, are among the lineup of activities for Townees.
“This harmonious environment not only enhances the work-life balance we offer but also creates a space where everyone feels valued and connected,” Arellano says.
