Britain saw record level of investment in the Build-to-Rent sector in 2017 with £2.4 billion being committed by developers and investors.
Quoting real estate consultant CBRE’s latest residential capital report, Simple Landlords Insurance noted that the investment in the Build-to-Rent sector increased by 22 per cent in 2017 with 41 per cent coming from North American investors.
These statistics clearly establish the emergence of Build-to-Rent sector in Britain as an attractive option for international investors. Rents have been consistently rising in Britain, as the demand for rental properties is increasing. In addition, landlords are exploring expansion of their rental property portfolio, thereby fuelling demand.
The report also noted that the Build-to-Rent land sales significantly increased during 2017 with a clear move away from prime to fringe locations. It means that the growth is evenly spread in Britain.
Many international investors are investing in Buy-to-Let properties, especially in London because of the steady rental income. London being one of the top property hubs, the demand for quality rental properties is leading to a consistent growth in rental values.
Around 40 per cent of transactions were recorded in the final quarter of 2017, underpinned by strong regional activity with 59 per cent of capital deployed in London