The evolvement of the student accommodation market is now well under way, with the increase of private investment into the rental sector of PBSA's (Purpose Built Student Accommodation).
Today's modern day student in more discerning than their predecessors and reports suggest that students are now willing to pay more for this type of modern accommodation than the previous alternative of HMO stock.
The recent Knight Frank report suggests this differential will vary on the geographical location, but conclude "rents for PBSA are up to 75% higher than HMO's".
So what is a PBSA? As the names suggests, these are modern, purpose built student accommodation, which offer a higher quality of accommodation, normally en-suite, with rents that include utility bills, excellent facilities including internet connectivity and are often complimented by additional facilities, such as a gym, media rooms, games rooms, etc. They are normally managed by specialist operators, national or local and are quite often branded, giving prominence in the market.
Appleton Point is a PBSA student property and will offer students luxurious self-contained studios with an excellent range of facilities, such as a games room, television room, gym, with the benefit of high-speed internet and is also under the management of the highly regarded South Street Asset Management and their DIGS brand.
Investors have the opportunity to invest in this lucrative sector of PBSA, with these studios offered at just £51,000 with a 5 year 9% net rental return contractually assured.
For further information on Appleton Point, please click here.