Restricted supplies of accommodation & strong demand underpinning rental growth, student housing represents a secure low-risk investment.
Student accommodation — a key asset class
The student market represents an incredible investment opportunity. Sigma Student Properties have tailored a perfect solution with our UK student accommodation yielding proven and sustainable returns.
The student buy-to-let market is now well established and increasing demand is outstripping available supply with consistent occupancy rates of 99% student accommodation delivers a robust, long-term, low-risk income stream. What’s more, bad debts are virtually non-existent with students paying their rent in advance.
Increasing yields (over time) will provide resale at a higher price with ample scope for yield compression and long term hold with income to provide a pension in the near future. Additionally Long term demonstrable high income will make property more saleable in the future.
How it works
Investors purchase one or more ‘en-suite rooms and or self contained studios which are leased back to a well established management company on a rolling agreement so that the building, in its entirety can be let as student accommodation.
The managed turnkey nature of the investment allows investors a hands off approach whilst taking advantage of increasing rates of return and capital appreciation.
Investors benefit from yields much higher than traditional ‘buy-to-let’ investments.
As the asset receives a higher income, it becomes more valuable and saleable every year, providing owners with the security that when they wish to exit the investment, the asset is just as attractive as when they bought it.