Proven to be a resilient sector regardless of economic climate, the student accommodation market is attractive to investors whose objectives are to seek uncorrelated investments which offer the potential for both attractive yields and long term capital growth. Europe’s major University cities represent one of the best opportunities to achieve these objectives.
There are several reasons why this sector of the property market has remained resilient to the global economic downturn:
Socially there remains an ambition amongst the younger generation to obtain higher education degrees.
Access to financial support for students in the form of direct grants, subsidies and low interest rate student loans.
Furthermore, increased programs available in English and Spanish along with increased funding from international student programs such as Erasmus has resulted in a growing registration pool of overseas students studying at European universities.
The UK currently represents a more mature market, having been established in the mid to late 1990s, whereas in the rest of Europe this market has only recently begun to emerge.
Successful completion of a University degree offers more options and better career prospects.
The student housing market has delivered solid and consistent returns throughout every year of the recent economic downturn, as year on year growth of student numbers across the globe has continued to increase. Within this global increase Europe dominates the international student market, attracting 46% of all international students.
3D Premium Student Apartment Rendering | Architectural Design by Mara Morales | Interior Design by Irene Jiménez