Investment into UK PBSA hits £2.45bn in H1 2024
In global property consultancy Knight Frank’s latest UK Student Housing Market Update for H1 2024, the company reveals that investment into the UK PBSA sector reached £2.45bn. This is much higher than the £1.1bn invested in H1 2023.
Q2 2024 marked the strongest quarter since 2022, with £1.7bn invested in the sector. This figure is inflated due to Mapletree’s acquisition of the Cuscaden Peak Portfolio, which includes 31 PBSA schemes across the UK and Germany. The UK assets are valued at approximately £960m.
Following a trend from previous years, regional assets continue to lead investment. Since 2019, on average, £2.1 bn has been invested annually in standalone regional assets.
This compares to an average annual spend of £570m on single assets in London over the same period. According to Knight Frank, the lower turnover in London reflects a lack of supply of PBSA opportunities, opposed to faltering demand …