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Build To Rent (BTR) Sector growth in UK

UK Build To Rent (BTR) sector is continuously rising and achieving new heights. Investment
opportunities are very high in this sector due to the rise in demand for rented homes with easy
maintenance. Institutional and Retail Investors are investing Billions of Pounds in this sector for
stable returns for a long period of time…

Growth Factors

  • High rental growth due to high demand and shortage of supply in UK Homes.
  • High Inflation in recent years.
  • People are more interested in rental homes compared to the past due to affordability issues.
  • People are open to moving to different big cities because of better job opportunities
  • People are looking for a high-quality home that meets their needs and a good service in the rental industry
  • Covid-19 has also changed the mindset of people. They are more interested in private rental properties for themselves instead of sharing with other people on a rental basis.
  • UK is a desirable location to live in for people from all over the globe.

Investment in Build to Rent

As per British Property Federation and Savills survey existing investors were particularly active in 2021. However, in addition, the pool of investors looking to access the market is deepening. New Investors are also taking a keen interest in this market and investing in new projects in this sector, a move which has intensified competition to either create or acquire stock.


As per Development Finance Today Magazine big property developers are entering the Build To Rent Sector i.e. Strawberry Star Group, The Harlow development.

The government last December increased housing targets by 35% in 20 cities selected for additional growth. The cities are #London, Birmingham, Liverpool, Bristol, Manchester, Sheffield, Leeds, Leicester, Coventry, Bradford, Nottingham, Kingston upon Hull, Newcastle upon Tyne, Stoke-on-Trent, Southampton, Plymouth, Derby, Reading, Wolverhampton, Brighton, and Hove.

Current Build To Rent Market Status

New analysis from British Property Federation (BPF) shows there are now 212,177 build-to-rent homes in the UK, including both London and the regions, of which 70,785 are complete, 42,119 under construction, and 99,273 in planning.

Penny Davidson, an Associate Director of Residential Valuations in CBRE said: ” The BTR market is gaining momentum and this is further demonstrated with some key changes to our Prime Regional and Other Regional Centre yields.”


How to Invest in Build to Rent

Build to Rent isn’t just for well-known developers. Individual property investors can also take advantage of the sector’s potential. If you want to know more about investment opportunities in the Build To Rent (BTR) sector in London and the southeast, we can certainly help you with that!

At PLMD Group we offer property investors the opportunity to invest in a share of the rental income that we produce from our multiple sites. We have more than 70 real estate assets under management and more than 20 years of experience in real estate development & management. We are always on the lookout for undervalued real estate and land with the potential to become a high-value development and provide a solid return on investment in this Build To Rent Sector.

If you’re interested to find out more, please get in touch or email our investment team at invest@plmd.co.uk. We would love to tell you more about our exciting investment opportunities! #PropertyInvestment #PropertyDevelopment #Property #UKProperty #BuildtoRent #PropertyFinance #PLMDGroup

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How to Invest in Build to Rent

Build to Rent is not a new concept, it has been around since 2012, although it has really started to take off in the last couple of years and is now making the headlines in a big way. 

There is huge potential and opportunity for the Build to Rent sector in the UK given the growth and demand of the rental market.

You may be wondering, what is Build to Rent? And how can you invest in Build to Rent? This blog explains all you need to know…

What is Build to Rent?

Build to Rent is an emerging submarket of privately rented residential property developments built specifically for renters rather than for sale.

The developments are typically owned and managed by institutional investors and professional property development specialists like PLMD Group.

Build to Rent developments are designed to appeal to the rental market as opposed to long-term home ownership. 

Renting a property appeals to many people for many reasons. Some couples prefer to rent together before committing to a joint mortgage and others like to travel and spend a lot of time overseas and so the flexibility of renting suits their lifestyle.

Another reason why the UK rental market is growing is because many people cannot afford to get on the property ladder or choose not to buy property. A recent study revealed that first time buyers spend on average 4 years saving for a mortgage deposit and 22% of those surveyed saved for more than 5 years. With the goal posts moving further away, some people give up on saving or choose to rent instead. This is just one of many factors driving the growth of the UK rental market.

What are the benefits of Build to Rent?

Build to Rent developments are designed with renters in mind. Some of the key demographics of renters include young city professionals, pet owners and those aged 55 and over.

There are many unattractive aspects to traditional renting and Build to Rent challenges those. For example, many renters are living in cold and damp properties that their landlord’s refuse to repair, some experience unfair rent increases and high upfront charges, and most renters are on short term leases which do not provide security or peace of mind.

Renters want to live in modern accommodation with good transport links and local amenities. They want the benefits of living in beautiful new build properties and good quality homes without the price tag – and Build to Rent provides exactly that.

To cater to the needs of modern-day renters, many Build to Rent developments come with:

  • Communal spaces
  • Lounges
  • Gyms
  • Event spaces
  • Laundry service
  • Concierge service
  • Commercial spaces

Some developments resemble a hotel more than a home, but this lifestyle and community environment is appealing to many.

There are more benefits of Build to Rent that are beneficial to people other than renters. Build to Rent also:

  • Creates new jobs
  • Boosts the local economy
  • Helps to regenerate rundown areas giving them a new lease of life

How to Invest in Build to Rent

So now that you understand what Build to Rent is, we’ll explain how you can invest in this growing submarket of property investment…

Build to Rent is not just for big name developers. Individual property investors can also leverage the opportunities that the sector has to offer.

Think of passive Build to Rent like being a Buy to Let landlord. You can enjoy the perks of receiving a regular passive income without the hassle of finding tenants or managing the property. At PLMD Group we manage the entire property development cycle from start to finish; from acquiring land or a development site right through to advertising the completed units and finding tenants.

We offer property investors the opportunity to invest in a share of the rental income that we produce from our multiple sites. We have more than 70 real estate assets under management and more than 20 years of experience. PLMD Group is poised for growth with an ambitious goal to increase our portfolio of assets under management from 70+ units to 1000+ units in the next 7 to 10 years. We’re always on the lookout for undervalued real estate and land with the potential to become a high value development and provide a solid return on investment.

If you would like to join us on that journey, please get in touch! We’d love to have a chat with you over coffee and explain what we do in more detail.