A survey by Knight Frank and AccommodationforStudents.com highlighted growing demand from university students for high-quality, purpose-built accommodation, representing a terrific opportunity for investors in the student property market – and a compelling commercial opportunity for brokers of property, too.
Even the reforms to tuition fees in 2012 failed to halt the rental growth for student properties and demand is now at record-high levels, delivering strong yields for investors. Students across the country are prepared to pay a premium for high-quality, purpose-built residences, according to the research.
However, despite these rental growths and strong market performance, many students are still paying for accommodation that is rated as low-quality. The vast majority of students in the UK live in old-fashioned, often run-down Houses in Multiple Occupation, but that is changing with a new approach from developers who are identifying and meeting the real needs and requirements of the modern student – and therein lies an opportunity for property brokers.
How can a broker get involved?
Case study: specialist developer in the market, Select Property Group, is creator of market leading student accommodation provider Vita Student, contractually assure investors minimum seven per cent return every year for the first five years. It is a long way from the traditional ‘student digs’ stereotype, but meeting the needs of this demanding market.
Residents in Vita Student apartments are treated as customers, with in-house concierge managers knowing every resident by their first name. As well as studio apartments with high-quality fixtures and fittings and innovate designs, students have access to a full range of cutting edge-communal facilities, including movie rooms and gyms. Vita Student fully manages the developments, maintaining the high quality lifestyle experience and desirability of the apartments through the years.
It’s a great revenue opportunity for brokers selling Vita Student.
The benefits are:
• Product direct from the developer
• Average commissions of £7,000 per property that’s paid within seven days of contract exchange
• Proven delivery of over 1,500 properties and thousands more in the pipeline
• Full sales support and training
• Full access to comprehensive assets and a live availability portal
Click here to find out more about selling Vita Student on behalf of leading developer Select Property Group.