UK build-to-rent investment volumes in 2023 reached a total of £4.3bn, with single-family housing investment accounting for 47% of the total investment in the sector.
Last year saw £2bn invested into SFH, up nearly tenfold from the £272m invested in 2022, according to preliminary data from CBRE.
Investment into the sector accelerated in Q4 2023, with almost £1.6bn of total BTR investment recorded in the final quarter, of which £1.2bn was directed at the SFH sector.
Major deals from Q4 include Blackstone’s £800m single-family deal with Vistry, Greystar’s £141m forward funding of Renshaw’s Yard in Staines-upon-Thames (pictured) and the £76m forward funding of 1NQ by CDL in Manchester.
Andrew Saunderson, head of UK residential capital markets at CBRE, said: “Following a subdued third quarter, the build-to-rent sector rebounded significantly in Q4 with notable investment activity, particularly in single-family housing as more housebuilders seek to de-risk their schemes through an SFH strategy.
“As we enter 2024, investors will be buoyed by tentative signs of a broader economic recovery and interest rate stability, which should lead to greater pricing certainty and strengthen appetite for BTR opportunities.”
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