Twice as many build to rent homes are being delivered in the property hotspot of London as in the whole of the rest of the UK. More than 14,000 units are in planning, completed or under construction in London compared to just over 7,000 units in the rest of the country, a map compiled by the British Property Federation (BPF) has revealed.
The interactive map shows there are more than 3,400 completed units in London, compared to 240 in the rest of the UK. BPF has published an accompanying manifesto for the build to rent sector, in which it urges government to follow the lead of the Greater London Authority (GLA), and change national planning policy to stress that the appropriate affordable housing on new build to rent developments should be discounted market rent. This helps development viability, but also allows the investor to manage the ‘affordable’ and ‘market rented’ elements as one, in a tenure-blind manner, BPF says.
Melanie Leech, chief executive of the BPF said: “Government has everything to gain from encouraging this sector, which will attract significant institutional investment into UK housing supply, deliver new homes quickly, and drive up standards in the private rented sector, and we hope to see it continue to support it.”
Andrew Stanford, residential fund manager at LaSalle Investment Management and chairman of the BPF’s build to rent committee said: “The momentum behind build to rent continues. It is moving firmly beyond theory and into reality. With continued support from both national and local government this progress can continue. The growing number of long-term institutional investors in the sector will then find a suitable home for their capital, ensuring that housing supply and tenant choice can increase.”