You’ve probably heard the surprising story of Bedly.
It’s the latest hot topic circulating in the CoLiving community.
And it has people a bit concerned. Not to mention confused about the next step for global CoLiving.
But it’s also important to separate fact from fiction amidst all the flashy (but potentially misleading) headlines.
In short, Bedly quickly shut down, but contrary to some news suggestions, no residents were thrown out on the street or suddenly ejected without warning. Luckily, Outpost Club stepped in to take over some of their NYC locations, while PlaceMe acquired most of their Boston portfolio.
While this may seem discouraging in some ways, it’s also positive in others.
CoLiving has been rapidly on the rise for a few years now, and this continues to be the case.
However, this shutdown of some CoLiving spaces, such as Bedly as well as HomeShare in SF (which received less press about closing back in April of this year), makes it clear that there is an issue of execution, not demand. The takeover of these spaces reinforces that CoLiving itself is not going away, it is simply changing hands.
And in many ways this is a good thing.
One marker of a strong industry is when it reaches a stage of natural filtering and competition, creating higher quality services to keep up with demand. Self-regulation kicks in, so to speak.
In other words: CoLiving is rich in quantity, and now the quality is refining itself.
But this is also a lesson in best practices.
One of the challenges facing operators today is restrictions placed by certain localities; for example, NYC. With detailed specifications about what is required to constitute a living space (not to mention rules on density and number of people per room), businesses in this sector must be hyper-aware of the most current guidelines and ensure that they are fully abiding.
All in all, this situation is a reminder that CoLiving, like all great markets, is always evolving and improving. And part of that process is the life cycle of some operations, which make way for even better things to come.
We sought the truth straight from the source and interviewed the two founders of the companies that took over some of the 600 leases that Bedly had under management. The interviews are live HERE:
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