1
2
89,678 33,835
27,055
21,351
The Build to Rent lifestyle
As the sector grows and matures,
renters are beginning to gain a greater
understanding of what it means to live
in a professionally-managed residence and
have additional amenities and facilities
on offer. After the last couple of years,
a home which offers security of tenure,
comfort, a sense of community and a
wide range of amenities is hugely
appealing for renters. For many, living in
a BTR home has become a lifestyle choice
rather than a temporary step.
While Generation Rent, those aged 25
to 34, are a key and growing segment of
demand, they are not the only
demographic attracted to the BTR lifestyle.
In their latest report 'Who Lives in Build to
Rent', London First, BPF, Dataloft and the
UKAA reveal that BTR caters for a wide
range of tenant types. These include
older age groups (8% are over 55) and
households with different incomes and
affordability levels. They work in a range
of employment sectors, including 28%
finance/professional, 12% tech and 17%
public sector. While most are singles,
couples or sharers, a small and growing
proportion of families are choosing BTR.
THE ROLE OF
BUILD TO RENT
16 The London Report 2022 | The role of Build to Rent
Build to Rent (BTR) is an important and rapidly expanding tenure class. Built
solely for renters and owned by institutional investors, these homes are
professionally let and managed by specialist operators such as Foxtons. This
sector accounted for 10% of Foxtons flat lets in 2021, a rise from 2% in 2017.
Although still a small proportion of the rental sector, it is growing quickly. In
2021 there were 34,000 BTR homes in London, a 25% increase over the
previous year. In the next few years this is set to rise to almost 90,000 homes.
25%
9.3%
12.1%
INCREASE IN
BTR HOMES
IN LONDON over 2021
PREMIUM
FOR BTR HOMES
OVER THE LOCAL AVERAGE
Savills, Molior, BPF
Foxtons, lets, 2021
Dataloft, Savills,
Molior, BPF
EXPLOSION OF
BUILD TO RENT
IN LONDON
PIPELINE
2021
2020
2019
2018 17,100
Cumulative BTR completions since 2018. Pipeline
includes completions to date plus those under
construction or in the planning pipeline.
1 BED FLAT
2 BED FLAT