Urban accommodation is in crisis. In cities across the world demand is rapidly outstripping supply, and renters are facing steadily increasing costs for smaller and smaller spaces.

Nowhere is this truer than London, the UK. Here you’d be hard-pressed to find a 1-bed flat for less than £1,000 ($1,450 / €1,280) per month, or £2,000 ($2,900 / €2,560) in the centre, and horror stories about terrible living conditions and exploitative landlords are absurdly common.

And then there’s the social aspect. Many city dwellers have few opportunities to meet and make friends, which breeds serious social isolation and can lead to mental health issues.

Co-living provides not only a space to live, but a ready-made community, tackling both urban isolation and rental nightmares in one fell swoop

However, a new housing model is emerging that could be the solution. Dubbed co-living, it provides not only a space to live, but a ready-made community, tackling both urban isolation and rental nightmares in one fell swoop. And next from month it will be put the through its paces like never before, with the launch of the largest co-living project in the world, located in north west London.

Dubbed Old Oak, it has been developed by property startup The Collective, which has previously produced a number of smaller rental properties, as well as several co-working spaces. This project, however, is of a grander scale than they or any other startup has previously achieved. And this week Old Oak opened its doors to the press for the first time, ahead of the arrival of the first tenants next month.

The co-living concept

The premise of Old Oak is to provide rental accommodation that includes a built-in community, enabling people who are new to the city to easily make friends and settle in. And while that could be said of any shared housing, The Collective really has given considerable thought to making this work.

Alongside rooms for 551 people, the 11-storey building hosts 900 sq m (9,690 sq ft) of space dedicated to amenities, which are free to access for residents and are all uniquely designed to suit different moods and activities.

I had the chance to look around a number of them, and they really are lovely spaces. Every floor has a shared dining room, with different themes for each, and there is a very cool gaming room equipped with consoles, board games, table tennis and a foosball table.

The cinema – a proper one, not just a space with a large TV – can be booked out for parties, and will be host to sports matches, movie nights and televised events, with ample soundproofing to prevent other residents from being bothered.

Even the laundry room is designed to encourage socialisation; it has a disco theme, with ample space to both dance and relax while you wait for your socks.

For those wanting a more laid-back experience, there is a beautiful library, complete with book exchange, as well as a sauna-equipped spa, gym and a ‘secret garden’, where residents can relax surrounded by restful greenery.

And if that wasn’t enough, there will soon also be a licensed restaurant and rooftop terrace, for community events, as well as working spaces equipped with everything from a 3D printer to full video and sound editing suites.

Essentially, it is a small town under one roof, but with better amenities, where you actually get to know your neighbours. And that is a pretty appealing prospect.

Exploring the downsides

Although the amenities available are more vast and varied than any other residential project for non-millionaires, the downside of this is that the rooms really are not big. They’re actually pretty tiny, even by London standards.

The most commonly available room is a Twodio, which crams a double bed, desk, private bathroom and storage space into just 10 sq m (108 sq ft). Just outside is a small but nicely put together kitchenette, which is shared with one other resident, and which opens into a corridor that, once open, will be bustling with people.

Each Twodio costs £250 ($360 / €320) a week, which is probably going to seem like an eye-watering amount of money. But wait – that includes all bills, high-speed WiFi, a concierge service and fortnightly room cleans and linen changes, as well as access to all the communal spaces. Now consider that the average room rental in London costs £743 ($1,080 / $950) a month before adding any of the bills, and The Collective’s offering actually looks pretty competitive.

When I first heard about the project I thought the rent was on the high side, but having seen the project in the flesh, I can honestly say it is very good value for money.

Of course, this setup isn’t for everyone. Those rocking a large gaming rig will, for example, struggle to make adequate room for their setup on the compact desk. Others may simply find the living space psychologically too small, although there is a slightly larger Studio space available, offering 12.22 sq m (131 sq ft) of space with a private kitchenette for £270 (£390 / €350) a week.

However, for many this will be the ideal solution to living in one of the most expensive cities on Earth. 11% of the bookings so far have even been from couples, many of whom will be sharing one compact Twodio between them.

More than a glorified hall of residence

Many of those who have reported on the project have likened it to student halls of residence, and it’s easy to see why. Recent graduates are being heavily targeted for the property, and the format of a small room with communal spaces is certainly similar.

However, I can say with certainty that this does not feel like a hall of residence; far from it. Apart from anything else, the whole space feels far, far more premium. The Collective’s in-house designer has done a remarkable job of making each space feel beautiful and unique, often resembling a particularly lovely Airbnb, and the furniture and furnishings are very high quality.

Instead of the quick-to-age Ikea furniture I was expecting, each room was equipped with beautifully made high-end furniture, much with a Scandinavian design. Even the crockery was above the norm, with what appeared to be Denby bowls in the English Pub-themed dining space.

What it really feels like is a model for future city living, where annoying tasks such as cleaning and bill paying are not required, and space to relax, work and play is ample

And then there’s the app. It’s still in development, but when it is finished residents will be able to do everything from book massages to make requests, making communication with the owners very easy.

In all honestly, what it really feels like is a model for future city living, where annoying tasks such as cleaning and bill paying are not required, and space to relax, work and play is ample.

“This is the way young people in London want to live,” explained Reza Merchant, CEO of The Collective, in his opening introduction to the project. “It’s about responding to what the modern generation wants and expects.”

The co-living revolution

Co-living is showing all the signs of being the next big startup-fuelled trend, and Old Oak is only one of many projects in the works.

Co-working mega startup WeWork, for example, is trialling WeLive, and its first major co-living project, located on New York‘s Wall Street, has a similar offering to Old Oak. However, the project is still in the beta phase, and its creators have not yet confirmed when it will open its doors to the masses.

Similar but smaller co-living projects are also growing in number, with Brooklyn-based Common having started a 19-room space.

Most significant, though is the reaction from would-be tenants. Common had 15 applicants for every room when it launched, and Old Oak is already garnering significant interest, despite only having begun promotional activities within the last few weeks.

There is an undeniable demand for a new approach to urban living, and these startups are catering to it perfectly

There is an undeniable demand for a new approach to urban living, and these startups are catering to it perfectly. It really is only a matter of time before others follow suit.

Of course while early signs from smaller-scale projects are very positive, The Collective is travelling in uncharted territory. As the world’s largest co-living scheme, Old Oak will inevitably run into unexpected issues as it develops, and other downsides to co-living on this scale will likely emerge.

And with the first short-term tenants arriving in May, and longer-term tenants arriving in September, it won’t be long before the co-living model proves its worth.