Unite boosted by growing student numbers but warns on Renters’ Rights Bill
Student of accommodation provider Unite has posted an uptick in the value of its two property portfolios, buoyed by high occupancy and growing rents, but warned the upcoming Renters’ Rights Bill will increase costs for students.
Unite said the value of its UK-wide portfolio grew by 0.6 per cent to £2.9bn, while its London portfolio grew 0.7 per cent £2bn.
UK-wide rental values increased by 1.3 per cent in the three months to June 30, the company told markets, while London rents rose 0.6 per cent.
More than four fifths of beds have now been sold for the 2025/26 academic year, with demand boosted by two per cent growth in applications from UK 18-year-olds and 29 per cent growth in student visa applications up during the first five months of the year.
Despite tighter visa requirements, many potential overseas students have been looking to the UK as an alternative to American universities, which have become less friendly to international students during the Trump administration.
“Student numbers are expected to increase for the 2025/26 academic year due to a growing UK 18-year-old population and improving trends in international student recruitment,” Joe Lister, chief executive of Unite Students, said.
“Sales momentum has picked up in recent weeks, in-line with our expectations for a later sales cycle, and we continue to target occupancy of at least 97 per cent. Demand for our accommodation remains underpinned by our alignment to the UK’s strongest universities and nomination agreements with our university partners,” Lister added.
During the three months, Unite achieved planning permission for a 2,000-bed site in Newcastle and signed a framework agreement for a 2,300-bed site in Manchester.
Renters Rights Bill to increase costs for students
Unite warned that the Renters’ Rights Bill, currently in the House of Lords and expected to become law later this year, will “significantly impact” the Houses of Multiple Occupancy (‘HMO’) sector.
It expects the bill to result in higher costs for students and a reduced supply of HMO student housing over time.
Unite anticipates the bill to come into effect during the 2025/26 academic year and impact tenancies the following year.
The company said it “continues to engage with Government to understand the impact of transitional arrangements for existing tenancies at the time of implementation.”