While our previous articles explored what coliving is, its core benefits, and the diverse audiences it serves, there's another fundamental distinction that shapes the coliving experience: how these communities are organized, managed, and governed. Two primary approaches have emerged in the coliving ecosystem, each with distinct philosophies, operational models, and resident experiences.
These two modalities—operator-led (top-down) and community-led (bottom-up)—represent fundamentally different pathways to achieving the shared goals of coliving. Understanding these approaches is essential for anyone considering joining or creating a coliving community, as they significantly impact everything from daily operations to community culture.
Two Paths to Shared Living
Before diving into the specifics of each approach, it's worth noting that these modalities exist on a spectrum rather than as rigid categories. Many successful coliving spaces incorporate elements of both approaches, creating hybrid models that leverage different strengths depending on their specific context and community needs.
Nevertheless, most coliving spaces tend to gravitate toward one of these two fundamental orientations:
🏢 Operator-Led (Top-Down) Coliving
Definition: A professionally managed approach where a company, developer, or organization structures and oversees the coliving model, designing space, programming, and operational systems before bringing in residents.
Core Philosophy: Coliving as a service—providing a curated, convenient living experience with professional management handling most operational aspects.
🤝 Community-Led (Bottom-Up) Coliving
Definition:
A grassroots approach where shared living emerges organically through resident-driven organization, governance, and decision-making, with the community collectively shaping its own structure and culture.
Core Philosophy: Coliving as a collaborative creation—empowering residents to build and sustain their own intentional community based on shared values and collective governance.
Let's explore each of these modalities in depth.
Operator-Led Coliving: Housing as a Service
The operator-led model has dominated much of the commercial coliving sector's growth, with companies like Common, The Collective, Quarters, and WeLive (while it existed) pioneering this approach. This model treats coliving as a comprehensive housing service, with professional management handling most aspects of the living experience.
🔍 Key Characteristics
1. Professional Management Structure
◽ Dedicated staff managing day-to-day operations
◽ Clear organizational hierarchy with specialized roles
◽ Standardized processes for everything from maintenance to community events
◽ Community managers who serve as both service providers and community facilitators
2. Curated Resident Experience
◽ Pre-designed community programming and events
◽ Carefully crafted physical spaces optimized for specific interactions
◽ Standardized onboarding processes for new members
◽ Consistent service levels and amenities across locations (in multi-site operations)
3. Consumer-Provider Relationship
◽ Residents primarily in a customer role
◽ Emphasis on convenience and service quality
◽ Comprehensive "package" of housing, utilities, amenities, and community
◽ Professional conflict resolution and issue management
4. Scalability Focus
◽ Standardized operational models that can be replicated across locations
◽ Emphasis on operational efficiency and economic sustainability
◽ Brand consistency across multiple properties
◽ Technology-enabled management systems
🟢 Strengths of the Operator-Led Approach
1. Convenience and Reliability
"Moving to a new city for a job was overwhelming enough without having to worry about furnishing an apartment or finding a social circle. In my coliving space, everything is taken care of—maintenance requests are handled quickly, utilities and WiFi are included, and regular community events helped me build a social network. I can focus entirely on my career knowing all the living logistics are handled by someone else." — Professional in an operator-led coliving space
The operator-led model excels at creating a frictionless living experience. With professional management handling everything from maintenance issues to community programming, residents can focus on their own priorities without the time commitment required in self-managed communities.
2. Consistent Quality Control
"What I appreciate about professionally managed coliving is the consistency. The common areas are always clean, amenities are well-maintained, and there's a clear standard for everything from noise levels to guest policies. It creates a reliable living environment where I know exactly what to expect, which has been really important for my peace of mind." — Resident of an operator-led coliving community
Professional operators typically implement rigorous quality standards across their services, amenities, and physical spaces. This consistency creates reliability that many residents value, particularly those coming from traditional rental experiences.
3. Immediate Community Activation
"As someone who's naturally introverted, the structured community events were exactly what I needed. Within my first week, I had attended a welcome dinner, a neighborhood tour, and a workshop where I met several neighbors. The community programming created natural opportunities to connect without the awkwardness of having to initiate everything myself." — Introverted resident in a professionally managed coliving space
Rather than waiting for organic community development, operator-led spaces typically feature robust programming from day one. This immediate activation is particularly valuable for residents who want ready-made social opportunities without the work of building them from scratch.
4. Professional Conflict Management
"When tensions developed around kitchen use during peak hours, having professional staff to mediate made all the difference. Rather than letting it fester, they organized a community discussion, implemented a solution with clear guidelines, and followed up to ensure it was working. Having that neutral third party prevented the conflict from becoming personal." — Resident in an operator-led coliving community
Interpersonal tensions are inevitable in any shared living environment. Operator-led spaces typically feature established conflict resolution protocols and trained staff to mediate disagreements, creating a more neutral pathway to resolution than purely resident-managed approaches.
5. Simplified Entry and Exit
"The streamlined process made all the difference when I needed to relocate quickly for a job opportunity. From the straightforward application to the clear move-out procedure, everything was transparent and efficient. Compared to the traditional rental market with complicated leases and security deposit disputes, this model saved me considerable time and stress." — Former resident of a professionally managed coliving space
The contractual and operational clarity of operator-led models often makes both joining and leaving more straightforward. Clear lease terms, standardized onboarding, and professional management of resident transitions help reduce friction during these critical junctures.
🔴 Challenges of the Operator-Led Approach
1. Potential for "Community Washing"
"The marketing materials showed people cooking together and having these deep connections, but in reality, most people just came and went. The community manager organized one event a month that hardly anyone attended. It felt like living in a slightly friendlier hotel, not the vibrant community I was promised." — Former resident of a professionally managed coliving space
A significant critique of some operator-led models is that they market community as a feature but deliver primarily on convenience and amenities. This disconnect between marketing and reality can lead to resident disappointment and high turnover.
2. Limited Resident Agency
"When several of us wanted to create a community garden in the unused courtyard, we hit roadblock after roadblock with management. We had the residents, the expertise, and even offered to fund it ourselves, but ultimately they said it didn't fit their 'property standards.' It made me realize we were just tenants, not true community members with any real say in our living environment." — Resident in an operator-led coliving community
When most decisions are made by management rather than residents, some community members may feel disempowered or disconnected from the space. This lack of agency can undermine authentic community development and resident investment in the coliving experience.
3. Operational Rigidity
"When many of us started working from home, the coworking space became overcrowded. We suggested converting part of the underused event space for additional work areas, but management insisted on sticking to their pre-designed spatial program. Their inability to adapt to our changing needs made daily life unnecessarily difficult." — Former member of a professionally managed coliving space
Standardized operations that work well for efficiency can sometimes create inflexibility when addressing unique community needs or evolving resident priorities. This rigidity can make it difficult for operator-led communities to adapt organically.
4. Profit-Mission Tension
"In the first year, the community felt genuinely supportive and thoughtfully managed. Then the company's priorities seemed to shift, and everything changed. Rents increased dramatically, staff turnover was constant, and community programs were cut. It became clear that community was just window dressing for what had become a pure profit play." — Long-term resident of an operator-led coliving community
Many operator-led spaces must balance business objectives with community-building goals. When financial pressures mount, this can sometimes lead to decisions that prioritize profitability over community health, potentially undermining the coliving experience.
5. Turnover Challenges
"People treated it like a hotel. Every month, there were new faces at community events, and by the time you started to form connections, they'd move out. The operator focused so much on filling units quickly that they didn't seem to value creating a stable community. After a year, I realized I knew the staff better than any of my neighbors." — Former resident of a professionally managed coliving space
While operator-led spaces often excel at immediate community activation, some struggle with long-term community sustainability, particularly if residents view their stay as a consumer experience rather than a community commitment. This can lead to higher turnover and less depth in community relationships.
Community-Led Coliving: Housing as a Collaborative Creation
The community-led model has deeper historical roots, drawing inspiration from cooperative housing, intentional communities, and cohousing movements. In this approach, residents collectively shape, govern, and sustain their living environment based on shared values and collaborative decision-making.
🔍 Key Characteristics
1. Collective Governance Structure
◽ Decision-making distributed among residents
◽ Flatter organizational structure with rotating responsibilities
◽ Consensus-based or democratic processes for major decisions
◽ Self-organized working groups or committees handling different aspects of community life
2. Co-Created Community Experience
◽ Resident-initiated and resident-led events and programming
◽ Evolving community culture based on current residents' input
◽ Participatory design of shared spaces and systems
◽ Personalized integration of new members based on community context
3. Member-Collective Relationship
◽ Residents primarily in a co-creator/stakeholder role
◽ Emphasis on participation and shared responsibility
◽ Collective ownership of community challenges and successes
◽ Peer-based conflict resolution and community accountability
4. Sustainability Focus
◽ Emphasis on long-term community resilience and stability
◽ Balance of economic, social, and environmental considerations
◽ Adaptation to changing member needs and external conditions
◽ Relationship-centered systems and processes
🟢 Strengths of the Community-Led Approach
1. Deep Resident Ownership
"There's something profoundly different about living in a space you've helped create. From designing our community agreements to making decisions about how our budget is spent, every aspect of our home carries our collective fingerprint. When visitors comment on how warm and personal our space feels, I'm not surprised—it's because we truly own this community in every sense except the legal deed." — Member of a community-led coliving house
When residents actively shape their living environment, they typically develop stronger psychological ownership of both the space and the community. This investment often translates to higher resident satisfaction, greater care for shared resources, and more authentic community engagement.
2. Authentic Community Development
"I've lived in both types of coliving, and while professionally managed spaces had more amenities, what we've built here feels deeper. Our relationships weren't formed through organized events but through late-night conversations in the kitchen, collaborative projects, and genuinely showing up for each other during difficult times. It's messier but more authentic—we're not just friendly neighbors, we've become chosen family." — Resident in a self-managed coliving community
Community-led spaces often excel at cultivating deeper relationships and more authentic community dynamics. When residents collaboratively build their community rather than consuming a pre-packaged experience, the resulting connections frequently show greater depth and resilience.
3. Adaptive Responsiveness
"When we needed to adapt our living arrangements quickly, our community governance model really showed its strength. We were able to make collective decisions in days rather than weeks. There was no management approval needed or corporate policy to wait for—we saw a challenge and collectively adapted to meet it in real-time. That kind of responsiveness has been invaluable." — Member of a resident-governed coliving spac
Without rigid operational structures, community-led spaces can often respond more nimbly to changing resident needs or external circumstances. This adaptability allows the community to evolve organically based on current realities rather than predetermined plans.
4. Value Alignment
"What makes our house work is that our operations reflect our values, not just in theory but in practice. We prioritize environmental sustainability, so our decisions about energy use, food purchasing, and waste management are all aligned with those values. Our shared principles become concrete actions because the people making decisions are the same ones holding those values." — Resident of a values-driven community-led coliving
Community-led models typically feature stronger alignment between operational decisions and community values, as the same people who hold those values are making the decisions. This consistency can create a more coherent and values-driven living experience.
5. Financial Accessibility
"I never could have afforded to live in this neighborhood in a traditional housing arrangement. By sharing responsibilities and eliminating the profit margin that would go to a professional operator, we've created an affordable living situation in an otherwise expensive city. We trade some convenience for significant savings, but more importantly, this model has made community living accessible to people with varying income levels, creating a diverse household that benefits everyone." — Member of a community-led coliving house
By distributing responsibilities among residents rather than paying professional staff, community-led models can often achieve greater affordability. This cost structure can make coliving accessible to broader demographic groups and create more economically diverse communities.
🔴 Challenges of the Community-Led Approach
1. Participation Burden
"I moved in excited about the community governance model, but didn't realize how much time it would consume. Between weekly house meetings, committee work, and the chore rotation, I was spending 8-10 hours a week just on house responsibilities. It became unsustainable with my work schedule, and I eventually had to leave a community I otherwise loved." — Former resident of a self-managed coliving house
The self-managed nature of community-led spaces requires significant time and energy from residents. This participation burden can become unsustainable if not equitably distributed or if residents' capacity to contribute changes over time.
2. Governance Complexity
"We once spent three entire house meetings—that's nine hours—debating whether to replace the living room sofa. The consensus process was excruciating, with some people insisting we wait until we could afford a sustainable option, others wanting something immediately, and endless discussions about style preferences. Sometimes I wished someone would just make a decision so we could move on with our lives." — Member of a community-governed coliving space
Collective decision-making processes, while valuable for building consensus, can sometimes be inefficient or contentious. Without skilled facilitation, community governance can consume excessive time and energy or lead to decision paralysis.
3. Knowledge Continuity
"When the last founding member moved out, chaos followed. No one knew where the water shutoff valve was located, how to adjust the heating system, or even the details of our rental agreement with the landlord. We essentially had to reverse-engineer how our own house functioned because knowledge had been passed informally and never documented." — Resident of a community-led coliving house
As residents come and go, community-led spaces may struggle to maintain operational knowledge and community practices. Without formal systems for knowledge transfer, these communities risk repeatedly "reinventing the wheel" or losing important institutional memory.
4. Interpersonal Intensity
"A conflict between two residents over noise eventually divided the entire house into factions. Since we handled everything ourselves, there was no neutral party to mediate. The tension affected everything from meal sharing to maintenance tasks, and eventually several people moved out. In retrospect, we needed better conflict resolution systems from the beginning." — Former member of a resident-managed coliving community
The collaborative nature of community-led spaces means that interpersonal dynamics directly impact operational functioning. When conflicts arise, they can affect not just social relationships but also essential household operations.
5. Scale Limitations
"Our community started with a small group and functioned beautifully. When we expanded by taking over the building next door, our consensus-based governance nearly collapsed. Communication became exponentially more difficult, factions formed, and decisions took forever. We had to completely restructure our governance with committees and representative decision-making to survive the growth." — Long-term resident of a community-led coliving project
While community-led approaches can work beautifully in smaller communities, they often face challenges when scaling beyond a certain size. The coordination costs of fully participatory governance tend to increase exponentially with community size.
Hybrid Models: Blending Top-Down and Bottom-Up Approaches
While the operator-led and community-led modalities represent distinct approaches, many successful coliving spaces create hybrid models that incorporate elements of both. These balanced approaches seek to combine the efficiency and reliability of professional management with the authenticity and ownership of community governance.
🔍 Common Hybrid Structures
1. Professional Operations + Community Governance
◽ Professional staff handling day-to-day operations and maintenance
◽ Resident councils or committees shaping community policies and culture
◽ Clear delineation between operational and community decisions
◽ Staff roles focused on facilitation rather than direction
2. Resident-Managed Communities with Professional Support
◽ Core operations managed by residents
◽ Professional consultants or part-time staff supporting specific functions
◽ Training and capacity building for resident leaders
◽ External expertise for specialized areas (legal, financial, conflict resolution)
3. Graduated Involvement Models
◽ New residents enter with minimal responsibilities
◽ Increased governance participation available as interest and tenure develop
◽ Multiple pathways for contribution based on skills and capacity
Core group of highly involved residents with broader community participation
4. Federated Communities
◽ Individual houses or units with high autonomy
◽ Shared resources and support across multiple communities
◽ Professional coordination at network level
◽ Local decision-making at community level
✅ Selecting the Right Model for Different Contexts
The "best" approach to coliving varies significantly based on several key factors:
1. Community Size and Scale
◽ Smaller communities (under 20 residents) often thrive with more community-led approaches
◽ Larger communities typically require more structured operations and may benefit from professional management
◽ Multi-site operations almost always need some degree of centralized management
2. Resident Demographics and Needs
◽ Mobile populations like digital nomads often prefer the convenience of operator-led models
◽ Long-term residents typically value the agency of community-led approaches
◽ High-need populations might benefit from professional support services within a community-empowerment framework
3. Physical Setting and Design
◽ Purpose-built facilities typically align with operator-led approaches
◽ Adapted or retrofitted spaces often work well with community-led models
◽ Campus-style settings can effectively combine both approaches, with professional management of infrastructure and community governance of social spaces
4. Regulatory Environment
◽ Some jurisdictions have specific requirements that favor professionally managed operations
◽ Cooperative housing laws in certain regions create supportive structures for community-led models
◽ Insurance and liability considerations may influence governance approaches
The Evolution of Coliving Modalities
As the coliving sector matures, we're seeing interesting developments in how these modalities adapt and evolve:
🔹 Increasing Professionalization of Community-Led Models
Many grassroots coliving communities are adopting more formal structures and processes while maintaining their community-led ethos. This evolution includes:
◽ Developing clear legal structures for community governance
◽ Creating more robust documentation and operational systems
◽ Implementing training programs for community facilitation
◽ Establishing relationships with professional service providers
🔹 Growing Community Emphasis in Operator-Led Spaces
Meanwhile, many professional operators are deepening their community development approaches:
◽ Hiring staff with community facilitation rather than just property management skills
◽ Creating more meaningful resident participation opportunities
◽ Developing metrics and accountability for community health
◽ Allowing greater customization of the community experience based on resident input
🔹 Emerging Best Practices Across Modalities
Regardless of governance approach, certain practices are increasingly recognized as essential across the coliving spectrum:
◽ Transparent communication about decision-making structures and resident roles
◽ Clear processes for addressing conflicts and community challenges
◽ Intentional onboarding to set appropriate expectations and introduce community norms
◽ Regular opportunities to reassess and refine community structures based on experience
Conclusion: Choosing Your Path
There is no universally "best" approach to coliving governance—each model offers distinct advantages and challenges that may align differently with various community goals, resident needs, and operational contexts.
For potential residents, understanding these different modalities can help in finding a coliving experience that matches your expectations around participation, convenience, and community depth. Someone seeking maximum convenience with minimal participation requirements might thrive in an operator-led space, while someone wanting deep community connection and significant input into their living environment might prefer a community-led approach.
For coliving creators and operators, clarity about your governance philosophy is essential for everything from physical design to financial modeling to marketing. The governance approach you choose will shape recruitment, programming, staff roles, and countless operational details.
What remains consistent across these different modalities is the core aim of coliving: creating living environments that foster connection, resource efficiency, and quality of life improvements through thoughtful sharing. Whether that goal is achieved through professional service provision or collective creation, the destination remains the same—only the paths differ.
In our next article, we'll explore the economic aspects of coliving, examining whether the financial benefits truly justify the shared living approach for different stakeholders.
Next in the Series: #6 The Physical Realities of Coliving: Understanding Typologies and Products
After exploring who coliving serves, our next article will examine what coliving actually looks like in physical form. We'll explore:
◽ Building Typologies – From repurposed single-family homes to purpose-built high-rise complexes designed specifically for community living.
◽ Spatial Organization – How different coliving models organize space, from cluster arrangements to vertical villages.
◽ Integration Models – How coliving connects to its surrounding context, from standalone properties to neighborhood-integrated communities.
◽ Product Differentiation – The spectrum from essential to premium coliving offerings and how they target different market segments.
◽ Sizing and Density Considerations – How successful coliving balances efficiency with quality of experience through thoughtful design.
Understanding the physical manifestations of coliving is essential for residents seeking their ideal environment, operators targeting specific markets, and developers planning future projects. Join us as we explore the tangible forms that bring coliving's principles to life.
About the Author & The Coliving Expert
"Shared living isn't just an alternative—it's the future."
I'm José Alejandro Llanos, founder of CIVIT, the operating system for shared living, and creator of The Coliving Expert. I've lived, learned and worked across 48 countries, immersed myself in nearly every form of shared housing, and built a career around understanding how we can live better—together.
This article is part of my Foundational Series, designed to introduce newcomers to coliving and establish a rock-solid understanding of its impact. Whether you're a curious first-timer, a policymaker shaping the future, or an investor eyeing the next big housing shift, this series lays the groundwork.
If you're ready to explore how coliving is reshaping cities, communities, and human connection, subscribe to Coliving Pulse for expert insights or check out CIVIT to see how we're building the infrastructure for the next era of shared living.