Over 50 percent of people in the age group of 18-35 years are willing to rent co-living spaces and pay up to Rs 15,000 a month in top Indian cities including Delhi NCR, Mumbai, and Bengaluru, according to a survey by Knight Frank. The property consultant Monday released its survey report titled "Co-Living - rent a lifestyle" that revealed 72 percent of millennials (18?23 years) preferred co-living spaces. The survey was undertaken across top cities of India, including Mumbai, Bengaluru, Pune, Hyderabad, and NCR among a cross-section of people of 18-40 years ago. Nearly 40 percent of all respondents are most comfortable in paying between Rs 120,000?180,000 per annum towards rental housing in key cities of India. The sweet spot for rentals thus remains at a monthly outflow of Rs 10,000-15,000. Proximity to work and social infrastructure remained the top priority for millennials while selecting a location, while only 5 percent gave importance to rental costs. Knight Frank India CMD Shishir Baijal said, "Co-living aims to create a community-centered living environment that not only provides privacy in living arrangements but also promotes social contact through community spaces and programs." As an asset class, the biggest driving force behind the rising popularity of co-living spaces are young renters moving to new cities who are looking for easy access and reasonably priced rental accommodation, he added. "Though the concept is novel, it's here to stay, as Indian millennials currently account for 34 percent of the total population which is expected to increase to 42 percent by 2025. We feel that with the recent acceleration of growth in migrant population to key cities, organized players rental housing will be able to bridge the housing gap," Baijal said. Co-living inventory presents a lucrative rental income opportunity for developers/owner-operators. The study said that a stable co-living facility generates a net yield of about 12 percent while rental yields from a traditional 1BHK remain at 1.5-3 percent. Co-living inventory presents a lucrative rental income opportunity for developers/owner-operators. Baijal said there is great potential for rental housing in the country. "As more and more organized players enter co-living spaces, these are likely to attract institutional funding, assuring better yields to development and operating companies. This will, therefore, allow funds over time to further diversify their rental yield generating asset portfolios in India beyond office space and retail malls," he added.