The primary renter pool for a micro-apartment is, unsurprisingly, Millennials, who have historically been priced out of costly rentals in major cities. There is also appeal among older renters who are looking to downsize. As for who’s not renting a micro-apartment, that would be young families and couples, since limited space for one person means very limited space for more than one person. In many cases, micro-units are single occupancy, meaning property managers won’t rent them out to more than one person anyway.

According to the ULI report, one in four renters would consider living in a micro-apartment, citing benefits like lower rents, preferable locations, reduced utility costs, and the ability to live alone. And among those who do move in to a micro-unit, satisfaction rates are similar to those who live in conventional apartments, however they’re less likely to renew their lease.