Investment in the UK student accommodation sector climbed to £836m in 2011.
Deals and development commitment to the sector rose £66m, CBRE has calculated; an 8.6% rise on 2010 investment and more than double the £350m committed in 2009.
Key deals in 2011 include Round Hill Capital agreeing to pay some £400m for Blackstone’s Nido student housing portfolio.
Janet Siebrits, head of residential research at CBRE, said: “We have seen increasing interest from relatively new parties seeking to diversify their portfolios.”
Foreign investors are attracted by steady rental growth in the sector. In central London, student rents in the private sector have jumped to £282 per week according to recent research.
joanna.bourke@estatesgazette.com
