The build-to-rent sector is gaining traction in London with 30 per cent of the proposed new tall building schemes in 2017 coming under the rental home category.
New London Architecture (NLA) and GL Hearn’s Annual London Tall Buildings Survey, now in its fifth year, shows that the appetite for tall buildings (20 storeys and above) in London remains strong. There are now 510 tall buildings in the pipeline, up from 455 in 2016 with a capability to deliver around 106,000 homes. A record number of 115 schemes are under construction.
Since the first report in 2014, 122 tall buildings have been completed and a further 96 are expected to be completed over the next two years. Analysis suggests that living in tall buildings is becoming increasingly accepted as a key part of London’s housing mix. Over 90 per cent (458) of the tall buildings coming forward are residential.
“The Build-to-Rent sector is also featuring more in tall buildings, reflecting the growing demand for well-designed homes for rent and interest from the investment sector. Data shows that 30% of the proposed schemes in 2017 were Build-to-Rent compared with none in 2013,” the survey report added.
Interestingly, a third of the entire pipeline is in Outer London, in zones 3, 4 and 5, particularly in Opportunity Areas and around transport connections, which are considered suitable locations for tall buildings in principal.
Peter Murray, Chairman of New London Architecture said: “We continue to see a steady increase in the number of tall buildings coming forward and with London’s population continuing to increase and the demand for new homes only getting higher, our view remains that that well designed tall buildings, in the right place, are part of the solution."