Full story at the Yorkshire Post

Many people will remember opening the door of their student halls bedroom for the first time to be greeted with a narrow single bed, an MDF desk and a durable carpet.

There was nothing luxurious about student accommodation but over the last decade the scene has shifted and for many students, the days of sharing a bathroom with four others are long gone.

With fees over a three-year degree course approaching £30,000, it appears that students are no longer prepared to accept poor quality accommodation.

According to property agent GVA, the latest generation of student accommodation typically includes fast broadband and wi-fi, shared study areas, plus flexible communal facilities in a secure environment. However, there is also a growing appetite for the top of the market with buildings featuring fitness suites, gaming pods and even private cinema rooms.

Deluxe student accommodation is increasing in cities like Leeds, Sheffield and York, which attract thousands of international students to study there every year.

However, a quick search throws up some eye-watering options for 18-year-olds today. One of the most expensive in Leeds is a studio apartment at YPP’s new Oasis Residence on Cookridge Street, which will set you back nearly £300 per week – more than double the average student rent in Leeds of £141.

According to the 2018 Leeds Crane Survey, the introduction of luxury student accommodation “recognises the need to provide high quality accommodation with additional amenity space and services beyond the traditional private bed student accommodation cluster flats”.

Read more at: https://www.yorkshirepost.co.uk/news/gaming-pods-and-private-cinema-rooms-the-demand-for-student-luxury-is-rising-1-9337206

• £1.4bn of student accommodation stock was transacted between January and July
  2018 volumes are forecast to reach £4bn
• Overall acceptances for places at university for 2018/9 fell by just 1% despite demographic dip
• The UK student accommodation market continues to perform well with £1.4bn worth of stock transacted in the first seven months of 2018, despite a dip in overall acceptances for places at university for 2018/19, according to Cushman & Wakefield. On average, there are currently two students for every purpose-built student bed.

Cushman & Wakefield’s mid-year UK Student Accommodation briefing revealed that a further £1.3bn of stock is currently under offer, with early estimates indicating that approximately £4bn will be transacted by the end of the year. In addition, there are approximately 11,000 bed spaces being marketed to investors totalling £725m. Portfolios represent 52% of transactions between January and July.

Russell Hefferan, Associate in Cushman & Wakefield’s Student Residential Investment team said: “After a relatively slow start to the year, transactions are now accelerating with around £1.30bn currently under offer. There is an increased level of demand for affordable, built out schemes, with asset management angles that are not necessarily in Russell Group locations. We are also seeing an increased appetite for forward fund opportunities in prime regional cities where there are strong supply and demand dynamics.”

According to UCAS, overall acceptances for places at university were down by 1.1% for 2018/19, with UK acceptances down by 1.9%, despite a near 3% fall in the number of UK 18-year olds. However, EU students placed has grown by 3%, with non-EU international students growing by 4%. UCAS data also shows that there are now clear divisions in the market, with acceptances to higher tariff universities growing by 1%, whilst those accepted to lower tariff institutions falling by 3% largely mirroring last year.

David Feeney, Associate in Student Accommodation Advisory at Cushman & Wakefield said: “Overall demand for accommodation remains strong, with an increasing number of students demanding a purpose-built bed space. A similar number of bed spaces will be delivered for 2018/19 entry as was the case in 2017, with the average price of a new en-suite bed at £148 p/w broadly in line with that observed last year.

“However, there are now clear divisions in the market – not only in terms of students’ choice of university, but in the success of stock in towns and cities across the UK. Whilst some locations are seeing significant rental increases, in others some rents are falling due to competition, product choice and market digestion issues.”