This white paper considers rental housing trends in the UK, focusing on high-growth towns which enjoy above average density in technology and higher education levels. Technology-rich environments attract innovation and growth, which in turn drives demand for high-quality rental housing.
Tech Towns are locations where housebuilders, developers and landowners have accumulated significant land banks. As the ‘for sale’ housing market cools, MGT predicts that partnership opportunities will emerge for real estate investors to provide forward-funding and development capital to catalyse delivery of rental units.
- MGT identifies the high-growth locations in southern England which are projected to significantly outperform the wider market.
- While the majority of PRS supply to date has been focused on urban, mid-to-high rise apartments, there is a significant and growing demand for semi-urban and suburban PRS.
- Southern England accommodates a network of commercial centres linked to travel-to-work areas (“TTWAs”), which are concentrated and inter-connected. This network of Tech Towns accommodates the largest concentration of technology companies in the UK and Europe.
- MGT research demonstrates that there is demand from renters into their 30s, 40s and even 50s. This demographic requires a rental housing product appropriate to their lifestyle and location preferences, with a proportion requiring a product that is suitable for families.
Download the full Tech Towns whitepaper here.