Build-to-Rent investment soars to record high in 2021
Investment into the UK’s build-to-rent sector hit £2.1bn in the last quarter of 2021 as the sector capped off another record year of investment.
Investment soared to £2.1bn in the last three months of the year, taking the year to a record high of £4.1bn, according to preliminary data from global real estate advisor CBRE.
The final quarter capped off a rebound for the sector after investment activity slowed in the first six months of the year.
Total investment levels were up 14% on 2020, the previous record year.
Jason Hardman, Executive Director, Residential Valuation & Advisory Services, said: “The Build-to-Rent investment market had a stellar performance in Q4 with more than £2 billion of capital committed.
“This underlines the growing maturity of the UK Build-to-Rent market and reflects the phenomenal bounce back we have seen in the occupational market over the second half of the year.”
Build-to-rent investment activity was split between London and the regions over the year.
Deal activity for the last quarter was driven by real estate management firm Greystar’s acquisition of a minority stake in rental platform Fizzy Living, which saw it take over management of nearly 1,000 operational homes ata valuation of around £400m.
British asset management firm L&G meanwhile ploughed £500m into schemes across the country in London, Glasgow and Southampton.