A number of cities have emerged as Build-to-Rent hotspots over the last few years. As the sector goes from strength to strength, more and more cities, towns, and regions are becoming ripe for cherry-picking as operators look to launch the next high-end community.
But which places reap the most benefits when it comes to Build-to-Rent? We’ve put this short guide together detailing the cities with the most potential to see Build-to-Rent become the defacto way to rent a home in the UK.
The crux of Build-to-Rent communities are located in London, and with good reason. The capital is the ideal home for community-led living, especially as the city can be somewhat isolating – especially if you're new to London.
It might seem somewhat odd talking about potential when the capital has most of the Build-to-Rent units, but it's still the best place to invest. There are more than 150,000 Build-to-Rent units, of which 83,000-plus are located in London. It’s a Build-to-Rent hub, and neighbourhoods across the capital are ripe for investment to help continue the boom.
London Build-to-Rent hotspots
- Canary Wharf
As Build-to-Rents' second city, Manchester has exploded in the last few years when it comes to community-led living. In particular, Manchester city centre and Salford lead the way, with neighbourhoods like The Northern Quarter, Ancoats and Spinningfields all featuring stylish homes.
The city’s rise to prominence has been nothing short of phenomenal, and there are already a plethora of Build-to-Rend communities. With rents and house prices set to rise further in this Northern powerhouse, it’s easy to see why so many investors think that Manchester is a great place to invest – especially when it comes to Build-to-Rent.
Manchester Build-to-Rent hotspots
- Salford Quays
- The Green Quarter
- NOMA Innovation District
Birmingham is an up-and-comer for Build-to-Rent. Its potential hasn’t quite yet been realised, but an increasing number of investors are looking at the UK’s second city as a great place to invest. Outside of London, Birmingham has the highest number of renters, and it’s in need of more community-led living.
Over the last few years, investment has picked up in the city. And it’s only likely to increase further as investors realise its potential to be a Build-to-Rent hotspot. So far, there has been around £16bn has been invested in the Build-to-Rent sector, and we expect Birmingham to make up a significant chunk of further resources invested in the future.
Birmingham Build-to-Rent hotspots
- The Jewellery Quarter
- Moseley and Kings Heath
Other honourable mentions both in cities and towns
While we think that London, Manchester and Birmingham have the most potential, we shouldn’t forget the other towns, cities and regions ripe for investment. Keep an eye out on commuter towns, in particular, for places where Build-to-Rent investment could increase significantly.
- Milton Keynes
- Yorkshire and the Humber
Building to rent
There’s no doubt about the importance of Build-to-Rent, with London and Manchester leading the way. If you’re looking to find a gem to invest in, then these cities should be your go-to locations. After that, there’s plenty of potential in other cities and towns, as the Build-to-Rent bandwagon continues building up steam.