Build to Rent


With one in five UK households now renting, there’s a growing preference for professionally managed and purpose-built homes, which has significantly boosted the Build to Rent (BTR) and co-living sectors.

Initially, the BTR sector’s growth was concentrated on multi-family housing in major urban locations, such as London, Birmingham, Manchester, and Leeds. However, the Single Family Housing (SFH) sector is rapidly gaining momentum, making up half the total BTR investment over the last year. Slower sales rates, the end of schemes (such as help to buy), higher interest rates and retractions in the traditional buy-to-let investment market have presented opportunities for investment. Housebuilders also recognise the benefit of multi-tenure schemes, and we’re seeing more partnerships between housebuilders and BTR investors. SFH can be delivered faster, increasing absorption rates, and forward selling can assist with cashflow of development costs (eg, s.106 obligations).

Rental growth and demand have remained strong, demonstrating the sector’s resilience to economic challenges. Over 120,000 homes were completed in the past year, a 23% increase according to the British Property Federation. Furthermore, 67% of UK local authorities now include BTR in their housing plans. Demand is outstripping supply, with over 30,000 enquiries for Simple Life properties in 2024.

The BTR sector has shown strong recovery and growth potential, bolstered by continuous investment and demand for quality, professionally managed rental housing. Savills’ 2024 data revealed that it took just 24 days to rent out a BTR home in the 11 largest UK cities, compared to 32 days pre-pandemic. At Simple Life, the average time between tenancies is even shorter, at just 10 days.

Rental reform is shifting the relationship between landlords and tenants. The anticipated ban on “no-fault” Section 21 evictions by summer 2025 and the availability of more information has empowered tenants, who are now more vocal about their rights. Technology and instant communications enable tenants to request services or report issues rapidly, and operators need to be able to react quickly to prevent reputational harm as brands become increasingly important in the sector.

Demand for co-living spaces remains robust, with CBRE reporting high occupancy rates. Long-term demand is likely to be driven by lifestyle trends that prioritise community and connectivity. Collaborative living environments continue to attract tenants, especially younger demographics seeking flexible and affordable housing options.

Housebuilding is a key focus for the Labour Government, with a goal of delivering 1.5 million homes during this parliament. BTR has a real opportunity to play a significant part in helping to achieve this goal.

How can we help you?

Find out how we can help you. Get in touch with one of our real estate lawyers or register for updates to stay up-to-date.

Main contacts

Explore the map further

Our buildings and communities are being redefined and repurposed. Working with clients from across the real estate sector gives us a viewpoint on the new trends evolving. On our map we look at the important changes affecting the real estate industry today and in future and offer insight on the challenges and opportunities for our sector across a range of assets and key themes. Please click on the links in the map to discover more.