Private sector investment in student property has been growing rapidly in the past few years. Once only on the edge of most investors’ radar, it is now a popular and high-value sector that gets plenty of media attention. But just what is making student property so attractive to investors? There are a number of factors that entice people to put their money into the sector. Read more by clicking here.
One key factor is the shift in popular views of the student sector. Two decades ago, the sector was an obscure one which most investors had little access to. Now, it is a high-profile asset type and one which many funds hold exposure to. It has also become a sector with a reputation for comparatively high returns and relatively good security. Increasing numbers of university applications have turned it into a relatively high-demand type of property investment, and the impact that the high-profile tuition fee hike had on this a few years ago has now largely faded away. The result of all this is a well-regarded and respectably attractive opportunity for investment.
Following its transformation, the student property sector is also ideal for adding balance to a portfolio. It is a fairly stable, non-cyclical investment with plenty of capital in the sector, making it better-suited to this purpose than many of the other options available.