Colourful and Multifaceted – The Future of Living
As societal and population structures evolve, so too do requirements for contemporary living spaces. One of the most significant ongoing demographic shifts is the increase in average life expectancy across the globe as a result of healthier lifestyles and declining birth rates. According to forecasts from the World Economic Forum, more than a third of the EU population is expected to be over the age of 65 by the year 2100.
One thing is certain: This growing population of seniors will require age-appropriate living space and that presents real opportunities for the real estate industry, which will be called upon to construct senior-friendly, barrier-free apartments offering convenient – ideally pedestrian – access to essential infrastructure such as healthcare services, public transportation, shops, and other amenities.
However, the demand for modern living spaces extends beyond senior citizens. Demands on living space are increasingly evolving – across generations. In an increasingly knowledge and service-oriented economy, more and more school leavers are deciding to pursue a university education, a shift that also intensifies demand for modern student accommodation.
Added to this, urbanisation is advancing at an inexorable pace, with more and more people moving to cities, in part in the hope of enhancing their career prospects. According to the United Nations, around 68 per cent of the world’s population is projected to live in cities by the year 2050. And while remote working is becoming increasingly popular, it remains an impractical option for a significant proportion of the workforce. Essential workers, in particular, will have no option but to continue to live and work in cities.
The more these demographic trends assert themselves, the more we will have to rethink where and how we want to live in the future. One example of an innovative housing solution is the multi-generation house, of which there are around 540 in Germany. Popular with young and old alike, the concept offers numerous benefits. The synergy between younger and older generations helps safeguard seniors from loneliness and promotes their continued integration into society – by giving them the chance to provide practical assistance, such as helping with childcare or homework, for example.
Simultaneously, more and more young professionals are looking for housing in bustling urban centres. Career starters in particular often prefer the flexibility that shared living arrangements offer over traditional long-term rental contracts, especially as they often want to avoid being tied to a permanent place of residence.
“Co-living spaces” are also emerging as a compelling option, allowing residents to retreat within their own four walls whenever they want to while also enjoying the company of others in communal areas and during organised leisure activities. For those seeking added convenience, additional services such as cleaning, fitness classes and restaurant visits are available for an supplementary charge.
Looking ahead, the concept of communal living is poised to become more attractive among older adults. Instead of having to worry about home maintenance, this type of housing offers essential social support and opportunities to actively participate in community life. Hybrid houses and multi-purpose spaces are also becoming increasingly popular, particularly as they allow greater flexibility in terms of layout and space utilisation. These spaces can be reconfigured to meet changing needs, moving away from traditional single-purpose designs.
Moreover, the concept of the “15-minute city” is rapidly gaining momentum in response to the challenges posed by urban sprawl. This innovative urban planning approach aims to give residents access to all essential services – such as schools, government agencies, and shops – within a quarter of an hour by bike or on foot. As a knock-on effect, CO2 emissions would fall as no one would be so reliant on cars anymore.
At the same time, housing needs to remain affordable. Recent data indicates that rents in major cities have been rising faster than incomes, forcing many people out of the housing market. For a significant portion of the population, modern living space is simply unaffordable. According to a report by the EU’s Housing Partnership, more than 80 million people in Europe currently spend more than 40 per cent of their household income on rent. In light of this alarming shortage of affordable housing, PATRIZIA has launched its first impact investment strategy, “Sustainable Communities”, which aims to develop affordable housing for low-income and middle-income households. The first communities are currently being developed in Milton Keynes near London and in Dublin.
The desire to strike an optimal balance between work, leisure and relaxation is reflected in the latest generation of special-purpose accommodation. Today’s students expect more than just a room of their own: they want communal study areas and additional amenities such as on-campus fitness facilities. Unfortunately, in many European university cities, the availability of purpose-built student accommodation remains critically low and is often available to less than 10 per cent of the student body.
A prime example of the future of modern and versatile living spaces is currently taking shape along the banks of the Havel River in the Spandau district of Berlin. Here, groundbreaking residential and neighbourhood concepts are being developed, featuring a diverse array of housing options, including 1,700 one-, two-, and three-room units, townhouses, barrier-free flats, and shared apartments. Havelufer Quartier is designed from the ground up to foster social interaction and boasts a wide range of amenities, such as restaurants and fitness studios, that enhance community engagement. More multifunctional residential complexes based on the Havelufer Quartier model are sure to follow in the very near future.