In recent years we have seen considerable investment both by private individual investors and also large institutional investors into the student accommodation sector. In a market that has seen an increasing demand which looks set to continue should student accommodation be included in every property investor’s portfolio. The student accommodation market has also evolved considerably in recent years and out of date accommodation with shared bathrooms and shared houses have largely fallen out of favour. As with aspects of the modern student’s life their expectation of what the student accommodation provides has changed.
Most students now exhibit a preference for the new purpose built student accommodation with ensuite bedrooms, excellent internet availability and speed and secure modern amenities. Facilities such as gymnasiums, media rooms are also becoming popular. After speaking to prospective university students this year one point has emerged. The students enjoy not just the modern facilities but also the social aspect of the purpose built student accommodation developments is attractive to the students. The buildings are built with the students in mind normally with input from the student operator that will be managing the building and materials etc. used to reflect this. This type of student accommodation does not therefore normally have the problems associated with the more traditional houses of multiple occupancy ( HMOs ) .
The purpose built student accommodation normally falls into two categories; firstly the pods or cluster flats as they are sometimes known. These are multi bedrooms apartments with ensuite bedrooms and then within the apartment a communal lounge and kitchen area. There also may be a communal lounge and other facilities within the building. The second type is the self-contained studio these are larger and as the name suggests self-contained with a kitchenette as well as the en-suite bedroom. The block may also have communal facilities such as lounges media rooms or cinema rooms. Depending on planning some of this new purpose built student accommodation may also incorporate some commercial property with often a mini supermarket or coffee shop within the development.
Investment Property Consults have the expertise to assist clients in choosing purpose built student accommodation. The facilities and accommodation are not the only factors that should be , location of course plays an important part as well as demand generators.