Student property is an asset that comes with many benefits for those looking to invest in the private branch of the sector. From strong yields to the lack of fear over void periods throughout the year, buyers have increasingly seen the value in student homes as the volume of students has increased steadily since 2011. But could this type of property, and the development of new homes, also be beneficial to the areas they are built in?
We’ve seen many positives from the rise of new developments in general in the last few years, with the likes of Manchester and Liverpool being revitalised by modern flats and apartments. And the same could be true where the need for more and more student properties allows new development to take place.
For example, in Coventry, an area that is traditionally infamous for its less than inspiring rebuilding after the Second World War, the necessity for new student homes is being embraced by local authorities as an opportunity.
The city is in need of expansion in the market, according to Coventry University itself, which is predicting a swell in student numbers of 4,000 students within the next five years. The fact these students need somewhere to live is being welcomed by the council as well, which said that the use of derelict land and out of use city centre areas is a huge bonus, helping to boost the areas in general.
Kevin Maton, the council’s cabinet member for business, told the Guardian: “If you came here four or five years ago, post-recession, there was no buzz in the city centre.
“But since 2013, there have been more people around, more bars open, more restaurants open. Students are the advanced guard of creating that activity, that buzz. They help make it easier to persuade other businesses and investors there is something going on here.”
It’s a similar story elsewhere across the UK as well, with cities such as Bristol, Birmingham and Leeds seeing new developments of student property popping up in the next few years. These properties bring more people and businesses to the right areas of the city, helping to give them the opportunity to not only do their part for investors, but for their local area as a whole.
Should the student market, and property by extension, continue the growth that we’ve seen in recent years, it could therefore become a vital asset for towns and cities the length and breadth of the country.