The UK Build-to-Rent market has grown by 20% across the country and we’re thrilled. There are 148,046 Build-to-Rent homes, an increase of 24,509 extra homes since Q3 2018.
The number of completed homes has grown by 8,207, a whopping 31% rise. We’ve also seen growth across all stages of development - and it’s worth shouting about. There’s a rise of 23% of homes in planning and a 5% rise in homes under construction.
The capital and regions
The capital is leading the way with 51% of completed Build-to-Rent homes, followed closely by 49% in the regions. The number of homes in planning is also close, with 40,013 in London – a 26% rise and 37,433 in the regions – a 20% rise. At Movebubble we’re pleased to see strong growth in the regions, as urban renters want different options too.
The size of Build-to-Rent schemes
It’s great to see an increase in the number of homes within schemes - from an average of 133 homes in completed schemes to 325 homes for schemes in planning. There’s a total of 262 completed schemes in the UK - and 108 of them are in the 100 to 250 homes per scheme category. But this is also growing and we’re super excited. Another 150 schemes which are in planning are also in this category. So it’s increasing the number of Build-to-Rent homes available to our renters - and we’re thrilled.
The types of organisations developing schemes
There are different types of organisations developing Build-to-Rent schemes across the country. Local developers make up the largest proportion – a whopping 29%. And a much smaller three percent are major international developers. 17% of organisations are major UK developers and 27% are UK housebuilders.
Investment is strong in the major cities of Manchester, Birmingham and Leeds. But smaller urban areas are also recognised more. Eight schemes started construction this quarter – making up 1,400 homes. There are currently 35,760 homes under construction and half are being built by only ten developers – adding over 1,200 homes each. The rest make up 60 developers - many building schemes in their local areas. Of these, a massive 84% are developing single schemes between 25 to 700 homes.
Activity has ramped up this quarter. Grainger, one of the UK’s largest professional landlords is funding and buying schemes in Canning Town, Leeds and Sheffield. And Sigma Capital have acquired two East London sites in Havering and Barking – their first activity in the capital. We’re thrilled by how much the industry is growing – and we know it’ll continue. It’s great news and it’s increasing the variety and standard of properties available on Movebubble One.