Investment in the UK’s purpose-built student accommodation market helped activity in Europe’s broader residential markets hit a two-year high in the second quarter of the year.
Regional living investment leapt by almost 60% quarter-on-quarter and 17% year-on-year during the second-quarter to €13.9bn (£11.8bn), said JLL in a new report.
The agency cited “renewed strength” in UK PBSA and German multifamily as well as continued increases in sectors such as co-living and single family.
With €4.7bn invested, the UK accounted for a third of the regional total, up by 35% annually, followed by Germany at €3.1bn.
The UK PBSA market provided the quarter’s largest deal, as Mapletree Investments bought a £1bn student accommodation platform comprising 8,192 beds across the UK and Germany from Cuscaden Peak Investments.
Despite the rises, investment levels are a fifth below the five-year average across 2019 to 2023. This brought the first-half total to €22.7bn, 6% higher than a year ago but 36% below the five-year average.
Photo by Hollandse Hoogte/Shutterstock
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