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Robert Irving Burns

Purpose-built student accommodation

Purpose-built student accommodation (PBSA) offers landlords and investors a great opportunity to start or expand an existing portfolio, enjoying long-term, stable yields and low maintenance costs.

RIB works with investors at all levels to help them get the most out of new PBSA development opportunities in prime Central London locations.

What is purpose-built student accommodation?

Purpose-built student accommodation is a type of housing that is intended for use by students only.
They are constructed by private developers and are typically designed to feature a large number of private studios or grouped flats, where kitchen and living areas are shared. The buildings also often include amenities such as gyms, games rooms, and other leisure facilities.

Benefits of purpose-built student accommodation for investors

  • Higher percentage returns

PBSA schemes tend to offer strong returns on investment, with a certain percentage guaranteed by the developer for a fixed period.

  • Strong returns

Demand tends to be higher than supply in university areas, which is one of the primary reasons why yields are often higher too.

Is it worth investing in purpose-built student accommodation?

On average 2.8 million young people head off to university every year in the UK, with many of them studying away from home. The government is aiming to increase international student arrivals to at least 600,000 by 2030, and they are more likely to stay in purpose-built accommodations than anywhere else.

It is estimated that an additional 300,000 students will begin their studies by 2030, and with a ratio of 1.4 students for every available purpose-built student bed, the need for more beds is higher than ever. Based on these figures it seems clear that the sector will continue to remain a profitable area for property investors for the foreseeable future.

Our range of professional purpose-built student accommodation management services includes investments and surveying, valuations, rent reviews, property management.