Over the course of the past five months, my investigation into renting for less than £500 pcm within zone 2, including all bills, has taken me all across London.
Primarily, I wanted to assess whether it was at all possible for a young, economically active individual like myself to live within the rental system on such a low budget.
But I also wanted to find out whether there were any policies in place to tackle the issue of the core workforce of the capital being priced out of central London.
My project began in a windowless office block in Hampstead, NW3. I then sampled shared living in Camden, NW1, spent time on a canal boat in Hackney, E8, lived in a flat-pack home in Wimbledon, SW19, became a security guard in Hammersmith, W12, joined a family in a housing co-op in Southwark, SE1, and finally took my home onto the roads with a horsebox around the city.
During this experience, I began to formulate an idea of what is working in the sector and what should be addressed by those investing in and developing rental property.
Temporary vs permanent
Having covered seven different alternative spaces in the past four months, I do believe it is possible to live within the budget I was set at the beginning of this project.
But to do so, I had to get creative and accept the rough with the smooth.
Pretty much all the accommodation I experienced existed as a short-term solution; be it a guardian scheme, a houseboat or a flat-pack home, they all lacked permanence.
Don’t get me wrong, the housing co-operative certainly provides a solution, but its target audience is not young professionals.
The only long-term solution I really experienced was the model adopted by The Collective in Camden. By creating smaller, functional and more efficient units, it is able to provide affordable accommodation.
But it is operating as a house of multiple occupancy rather than a pure residential model. It would be ideal if it were possible to adopt this type of model and unit size in a residential block.
Size doesn’t matter
My time at the Y-Cube – the flat-pack home that resembled an inflated Monopoly hotel in a Wimbledon car park – and The Collective both highlighted that the size of the unit really doesn’t matter for occupants of my age; our priority is purely location and price – for me in that order, although the Knight Frank tenant survey identifies that for 65% of people it is affordability that is the key concern followed by location (23%).
I would much rather have a cosy crash pad that was centrally located and affordable, over an unaffordable but spacious one, or even a cheaper big flat further out of town.
As part of my work at Knight Frank, it is generally acknowledged that the current minimum space standards in the housing design guides restrict developers from building smaller units (no less than 50 sq m for a one-bed property) – and thereby are restricting the supply of cheaper rental units onto the market to appeal to the young, city-based workforce.
I can understand the reasoning behind the guidelines – they are in place to prevent families living in space-restricted units – but for someone in my position it does not make sense.
It is my belief that these space standards should be addressed in recognition of the different demands of young workers and the accommodation they need.
Location is key
Clearly, your responsibilities change when you settle down and your need for space outweighs your demand for a central location.
The opposite is true for the young. My most enjoyable rotations were those closest to my work or with a decent transport link close by – if there was an outdoor space nearby, then that was also a big bonus.
Living near the South Bank, being next to Hampstead Heath or being five minutes’ walk from Marylebone were all three of my favourite locations as they allowed me to stay out later and make the most of my surroundings.
Sense of community
Community was a concept I had not considered before starting the project. This side of living, especially in schemes which involve sharing with others, is critical.
Although I had my gripes with guardian schemes, they were a great place for meeting like-minded people in similar positions in their careers.
Not only do you need central communal areas to hang out, but you also need to make sure you have the right mix of tenants. I found the mix of mostly overseas students and a few young professionals at The Collective meant that I felt I was at a different stage in my life to most other people there.
Young are design conscious
In addition to being cost-sensitive, I believe many of today’s young people are becoming increasingly tuned towards the aesthetic aspect of their environment, as I am.
If you create a product that replicates student digs, then it will be treated as such and the chances are that you will struggle to fill it.
However, as I found out with the Y-Cube, if you are able to combine design with efficient use of space, then it should be much better looked after and generate greater demand.
The ups & downs
It is difficult to pick a single highlight of the project.
I particularly enjoyed the freedom of being on a houseboat, and going for jaunts up and down the canal after a busy day in the office.
I loved being next to Hampstead Heath in the middle of summer and making the most of the natural ponds and it was fun hanging out with a young family at the housing co-op.
In terms of low points, my patience was tested by using a cold bucket to shower at night on the houseboat. Living with rats in the empty office was bit much, and I think my first night in the horsebox wins worst night sleep due to the freezing temperatures combined with being positioned adjacent to an incredibly busy road.
What next?
I hope Lowe Cost Living might create a springboard to help the industry better understand tenant needs.
It has certainly given my team at Knight Frank a more authentic understanding of what is required for a private rented sector product. Most research into the sector is based on data, conjecture and speculation rather than on-the-ground experience.
I am now busy planning my next move and, rest assured, after everything I have learned I will not be going back to sub-standard, overpriced accommodation.
I must convey my thanks to both Knight Frank, for all the support I have received from colleagues and managers, and to Estates Gazette for deciding to run with the story and support it so comprehensively.
Stay tuned in the new year, as I don’t think we’re finished just yet. I am determined to use my experiences to challenge the existing PRS model and discuss a new way forward with whomever wants to listen.
