Singapore-headquartered hotel management and booking platform RedDoorz has entered the long-term housing rental segment in Indonesia by launching community living service KoolKost today.
The new service went through a trial period in 2019 with the introduction of more than 100 properties in 14 big cities, including Jakarta, Surabaya, and Jogjakarta. RedDoorz said that partners who took part in the KoolKost trial program since mid-2019 saw an increase of over 30% in room occupancy.
RedDoorz’s competitor Oyo has also launched a similar service called Oyo Life in Indonesia last year. Moreover, co-working service provider CoHive has also entered the segment by introducing CoLiving in 2019.
Long-term private rooms with shared facilities, locally known as “kost”, are a popular choice for young professionals and college students in Indonesia, as they are usually located near office areas or universities. Following the rise of co-working spaces, the demand for co-living spaces with “value-added” facilities is also increasing in the country.
According to a report by the US-based real estate service firm Jones Lang LaSalle, Indonesia’s young population and rapid urbanization pose a backdrop for the co-living demand growth. Besides, the new mass-transit projects, including the Mass Rapid Transit and Light Rail Transit in Jakarta, present an opportunity for co-living operators.
KoolKost properties have been selected using RedDoorz’s AI-powered proprietary supply management solution, RedEagle, to find quality matching properties, said the company. KoolKost offers a flexible rental system, where all rooms are fully furnished with ensuite bathrooms, and are equipped with essential facilities such as internet connectivity, housekeeping services, water refills, and 24-hour customer service.
Meanwhile, KoolKost support its partners to increase revenue and occupancy rates by leveraging RedDoorz’s experience and technology in hospitality management, said the company.