CBRE find that PBSA sparks investor interest

According to the UK Real Estate Market Outlook 2023 by CBRE, student accommodation is one of the most promising sectors for investors in the coming years.

The UK Real Estate Market Outlook 2023 from CBRE | PBSA News
The UK Real Estate Market Outlook 2023 from CBRE.

The report by CBRE highlights several key points that indicate why student accommodation and the purpose-built student accommodation (PBSA) sector is a lucrative investment opportunity.

Most significantly, the number of students enrolled in UK universities, both local and international, is projected to increase over the next few years – driving demand for accommodation.

Because of this rise, there is a significant shortage of PBSA schemes in many popular university cities across the UK, leading to a supply and demand imbalance.

PBSA has high occupancy rates due to the shortage of supply, however, investors can expect a steady stream of income from their investments, making it an attractive sector for those seeking stable long-term returns.

From an investment perspective, student accommodation has continued to deliver strong returns for investors and is predicted to continue, with student accommodation offering attractive returns in the medium to long term.

Student accommodation has historically seen strong rental growth, and this trend is expected to continue in the coming years.

According to The UK Real Estate Market Outlook 2023 by CBRE, now is the time for investors to not only reap the lucrative rewards that the PBSA sector has to offer, but to contribute to the supply of much-needed housing for students.