BTR booms with a surge of developments across the UK
Back in 2015, built-to-rent properties were hardly dominating the market. In fact, throughout the entire year, only 1,257 BTR apartments were completed in the UK. However, over the past 12 months, these American-inspired purpose-built developments have been booming as major cities such as Liverpool, Birmingham, Manchester and Sheffield see a surge in completed buildings.
2019 was a fantastic year for the BTR sector as housebuilders were working on planning, construction and completing over 150,000 properties across the UK. Of these, over 40,000 units were completed in the last year, marking an increase of 33% on 2018’s figures and an impressive 3,000% increase in the numbers from 2015.
The annual investment into the sector reached highs of £2.4 billion at the end of 2019, with over £273 million being invested during Q4. Surprisingly this towering figure actually marked a 22% decrease from 2018’s investment numbers. However, the outlook for 2020 is favourable as £1.5 billion worth of deals are reportedly already under offer.
Currently, regions outside of London are leading the way when it comes to completed units. Key cities away from the capital such as Manchester and Leeds have seen a 51% spike in BTR developments over the past year alone. This shows the potential of these cities as factors such as HS2 and north-shoring continue to boost the demand for property within these areas.
While built-to-rent properties have been firmly established in American as ‘multifamily’ developments, the concept is still relatively new in the UK. However, with a generation of renters, more developers and housebuilders are quickly seeing the benefits of this approach, particularly in city centre apartment schemes.
So, to make the most of this opportunity, those creating BTR buildings to sell need to ensure they can find a buyer before the market saturates.
How Kooky can help
The BTR market is snowballing as more housebuilders continue to jump on the trend. With new developments popping up all over the country, those looking to sell quickly can find themselves struggling to stand out against a sea of competition.
At Kooky, we’re always looking for under construction or built developments containing between 30 and 150 units, which do not necessarily need to be designed as BTR developments. We understand how important it is for housebuilders to sell their developments quickly, so we’ll buy every unit in one go, meaning you don’t have to worry about organising multiple sales.
Our process prioritises speed and simplicity. To make sure everything runs smoothly, our board approved offers are not subject to RICS valuations. We also know how important working closely in order to achieve a swift exchange and we always try, where possible, to work towards a 4 week exchange of contracts. To make the deal even better, we’ll also provide you with a large upfront deposit of up to 30%, so you can receive the profits on your latest venture as soon as possible.
Our approach may seem too good to be true, but trust us, it’s just a bit Kooky. So, if you have a development with 30-300 units available, then get in touch with our team today or fill out the form at the bottom of this page.