This year has been a whirlwind and we have not only had a pandemic to contend with but financial burdens and a new way of living.
Many of us are reassessing and adapting the way we live, work and play and it is no surprise these social changes are paving the way for new home and workplace trends.
Micro apartments have become a hot trend both internationally and here, with living spaces needing to be more flexible and convenient. A 2018 report from IP Global revealed that, in Europe, there was an 85% increase in transaction for micro-apartments from the previous year.
The popularity of micro-apartments has been driven by affordability, lower running costs, and eco-friendly elements with the report stating that they appeal to singles and young individuals and are typically situated in central nodes where public transport, employment and education is easily accessible.
Leading cities across the world, such as London and New York, have been at the forefront of micro-living trends and with the upcoming online launch of Citizen Hyde Park – one of the first micro-apartment buildings in South Africa, this trend is entering the local property market.
This trend is changing the way we live and creating a dynamic way of life for on-the-go individuals, says Farrel Osher, Citizen Hyde Park developer. “We are proud to be leading this paradigm shift…It’s about designing around resident’s day-to-day demands, creating homes that suit their immediate needs and accommodating their lifestyles through vibrant communal spaces.”
He says Hyde Park is a prime location that allows individuals to live within a leafy, suburban area, while still having access to the city where one can work and socialise.
Furthermore, the micro-apartment offering reduces carbon emissions by providing an array of amenities within one address, including a co-working space, gym, versatile entertainment/function room, laundromat, convenient grocery store and coffee shop, shuttle and car hire service, communal dining and braai areas, and secure bike storage facilities.
“That’s not to mention having easy access to the Gautrain and other public transport, business hubs, shopping centres, restaurants and bars. We wanted to create a space where you are within walking or cycling distance of desirable amenities. It’s your passport to a world that epitomises convenience.”
The millennial market and first-time buyers are leading this property demand; they are more inclined to change jobs, are in the beginning stages of chasing their careers, open to using public transport and are very social.
Research from Cushman & Wakefield shows that the micro-living market is being driven by single people who make up 42% of households in Germany, and couples that make up a further 34%. Single households are expected to rise to an alarming 19.3 million by 2040.
Hyde Park alone has experienced 23% increase in population over the last 9 years, and that is due to a younger, booming market attraction, Osher says. This gives investors a “huge opportunity” to capitalise on the demand and gear their units for short or long-term rentals.
“Micro apartments (make financial sense) and offer an array of benefits such as higher rental yields and capital appreciation. For instance, a standard studio apartment in Hyde Park is approximately R1.57million, while prices at Citizen Hyde Park start from R840 000.
“While you will be paying less towards your bond repayment you can expect to rent out your unit for the average area rental of approximately R10 000 per month or take advantage of short-term rental solutions for business and holiday travellers.”
He says Citizen Hyde Park takes micro-living to another level as the studio, 1- and 2-bedroom apartments have full back-up power, onsite water storage, state-of-the-art security, furniture packages and fibre.
Residents will also enjoy having a myriad of facilities within a few steps of their home. In addition, as the central location makes one less dependent on private vehicles, they can easily save at least R4 000 each month by using public transport and facilities within the building instead of paying monthly car instalments, insurance, car maintenance and petrol.
“This lifestyle is like nothing Hyde Park has seen – It is truly revolutionary.”
The online launch will take place on October 30.