Watkin Jones Approved for 400-Unit Co-Living Cardiff 2026

Key Points

• Watkin Jones has received a resolution to grant planning permission for its 400-unit co-living scheme at Custom House Street, Cardiff
• The development will regenerate a long-standing vacant brownfield site in a prominent city centre location, close to Cardiff Central Station and St David’s Shopping Centre
• The scheme will deliver 400 fully furnished co-living studios with shared amenities including communal kitchens, dining areas, lounges, fitness facilities, and landscaped communal areas
• Publicly accessible co-working spaces on the ground floor will increase street-level activity, contributing to the vibrant city centre environment
• Watkin Jones says Cardiff continues to experience strong demand for high-quality rental accommodation, particularly from young professionals, with a clear shortage of city centre homes suited to smaller households
• The scheme aims to help retain graduates and young professionals in the city, supporting Cardiff’s continued growth as a leading business and education hub
• The development will enhance the surrounding environment through public realm improvements, supporting local businesses and bringing further activity and spend into the city centre
• Subject to completion of a Section 106 agreement, formal planning permission is expected in late summer
• The scheme builds on Watkin Jones’ existing presence in Cardiff, with phase one of its Central Quay development, Tai Afon, practically completing last month (May 2026)
• The proposed building will be 33 storeys (105.6 metres) tall, one of the tallest buildings in Cardiff
• Iain Smith, planning director at Watkin Jones, stated the co-living scheme marks an important step for a prominent site vacant for number of years
• Co-living concept is relatively new to Cardiff but already popular in Bristol and London

Cardiff (Cardiff Daily) June 4, 2026 — Watkin Jones has received a resolution to grant planning permission for its 400-unit co-living scheme at Custom House Street, Cardiff, marking a significant step in regeneration of a long-standing vacant site in the Welsh capital’s city centre.

What Details Define the 33-Storey Co-Living Building at Custom House Street?

The development will deliver 400 fully furnished co-living studios and a range of shared amenities, including communal kitchens and dining areas, lounges, fitness facilities, and landscaped communal areas.

The proposed 33-storey building will reach 105.6 metres in height, making it one of the tallest buildings in Cardiff.

Located at the junction of Custom House Street and Bute Street, the site is just 300 metres from Cardiff Central railway station and the new bus interchange. Its central location provides easy access to shops, restaurants, St David’s Shopping Centre, and other city-centre amenities.

How Will Ground-Floor Co-Working Spaces Impact Street-Level Activity?

Publicly accessible co-working spaces on the ground floor will increase activity at street level, contributing to the vibrant city centre environment.

Each studio will include a bed, wardrobe, desk, kitchenette, and en-suite bathroom, while communal spaces will include kitchens, lounges, co-working areas, a gym, a library, games rooms, and outdoor areas.

The development is designed by Rio Architects, with individual bedrooms providing comfortable living, dining, sleeping, and relaxing spaces alongside an en-suite bathroom.

Shared communal kitchens, living spaces, and events encourage social interaction and a community-oriented lifestyle.

Why Does Watkin Jones Say Cardiff Needs More City Centre Co-Living Housing for Young Professionals?

Watkin Jones says that Cardiff continues to experience strong demand for high-quality rental accommodation, particularly from young professionals, with a clear shortage of city centre homes suited to smaller households .

The scheme aims to respond directly to this demand, providing professionally managed living while helping retain graduates and young professionals in the city.

As reported by Iain Smith, planning director at Watkin Jones,

“Custom House will provide much-needed city centre living for Cardiff, while also making a significant contribution to the ongoing regeneration and wider economic activity in the city centre” .

What Evidence Shows Strong Rental Demand in Cardiff’s City Centre?

The co-living concept is relatively new to Cardiff but is already popular in other cities including Bristol and London, offering a convenient, community-focused, and flexible style of living.

The development will introduce Cardiff to the co-living model, which offers private studio apartments alongside shared facilities, particularly suits recent graduates and young professionals.

As reported by Nation Cymru, the 400 co-living units will typically serve young people wanting a more convenient and community-focused housing option. Watkin Jones has been involved in residential developments since 1791 and has delivered more than 60,000 homes across the UK.

When Will Formal Planning Permission Be Granted and What Section 106 Agreement Is Required?

Subject to completion of a Section 106 agreement, formal planning permission is expected in late summer. The Section 106 agreement is a legal contract between property developers and local authorities that secures contributions for infrastructure and community benefits.

What Previous Watkin Jones Developments Exist in Cardiff?

The scheme builds on Watkin Jones’ existing presence in the city, with phase one of its Central Quay development, Tai Afon, practically completing last month.

As reported by Alliance News on May 25, 2026, Watkin Jones PLC said it had reached practical completion of the first phase of a private development in Cardiff funded by Legal & General Group PLC.

Named Tai Afon, the development is 28 storeys high and includes 402 completed homes at phase one of the 718-unit scheme, located in Cardiff’s Central Quay.

The scheme was forward-funded by insurer Legal & General and is part of a wider £1 billion redevelopment of the former Brains Brewery site.

What Is the History of the Custom House Street Vacant Site?

As reported by Iain Smith, planning director at Watkin Jones,

“Bringing this co-living scheme forward marks an important step for a prominent site in the heart of Cardiff that has been vacant for a number of years” .

The majority of the application site is currently vacant and has been cleared of all previous buildings.

The brownfield site is the subject of full planning permission dating back to 2016 for a student accommodation scheme of 447 bed spaces within a 42-storey tower, but that scheme has not been completed. A public webinar discussing the plans was held in January 2025, and the statutory Pre-Application Consultation period started in February 2025.

How Will the Development Enhance Cardiff’s Public Realm and Support Local Businesses?

In addition to delivering new homes, the development will enhance the surrounding environment through public realm improvements, supporting local businesses and bringing further activity and spend into the city centre.

The wider Tai Afon development includes a public square overlooking the River Taff, complemented by over 19,500 sq. ft. of retail space.

As reported by Iain Smith,

“It reflects the strength of demand we continue to see for high-quality, professionally managed rental housing, and how our pipeline is evolving to meet changing living preferences” .

What Community Engagement Process Occurred Before Planning Permission?

Watkin Jones, in collaboration with Lichfields, the planning consultants, held two virtual webinars in January 2025 to gauge views from the local community and stakeholders on the plans ahead of submission. As reported by Iain Smith,

“The webinars will provide us with the opportunity to engage with the community, understand their perspectives and ideas. This feedback will help shape our development plans, ensuring that the final submission aligns with the needs of the surrounding community and future residents”.

Background: Watkin Jones’ Development History and Cardiff’s Co-Living Market

Watkin Jones is the UK’s leading developer and manager of residential properties for rent, with involvement in residential developments since 1791 and delivery of more than 60,000 homes across the UK. The company has experience in Cardiff, having developed the award-winning Bridge Street Exchange student accommodation and the ongoing Central Quay rental project.

The Custom House Street development represents Watkin Jones’ evolution toward co-living, an emerging form of housing that is relatively new to Cardiff but popular in Bristol and London.

The Cardiff city centre has experienced a significant shortage of homes suited to smaller households, particularly affecting recent graduates and young professionals seeking rental accommodation.

The £200 million investment into the Central Quay development is part of the wider £1 billion regeneration project in the Welsh capital, helping to address growing demand for rental housing in Cardiff.

Tai Afon, completing phase one in May 2026, offers studio, one, two, and three-bedroom apartments with concierge service, private dining, cinema, yoga and spin studios, gym, plus roof terraces.

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Prediction: How This Co-Living Development Will Affect Cardiff’s Young Professionals and Graduate Population

This development can affect Cardiff’s young professionals and graduate population by providing much-needed city centre living options that address the current shortage of homes suited to smaller households .

The 400 fully furnished co-living studios will offer professionally managed living with flexible arrangements, particularly suitable for recent graduates and young professionals entering Cardiff’s workforce.

By helping retain graduates and young professionals in the city, the scheme supports Cardiff’s continued growth as a leading business and education hub.

Young professionals will gain access to a central location 300 metres from Cardiff Central station, with easy access to shops, restaurants, St David’s Shopping Centre, and city-centre amenities.

The co-working spaces on the ground floor will provide additional workspace options for young professionals, while shared communal facilities including gyms, libraries, and games rooms will offer community-focused living that reduces isolation often experienced by recent graduates. The development’s public realm improvements will also support local businesses, potentially creating additional employment opportunities for young professionals in the city centre.