Student accommodation fund scores with property investors

This article was brought to you by Rentman the premium property management system

Property investors are rushing to put money into a fund targeting student accommodation, despite the downturn in investments in the wider UK housing market.

The Unite Student Accommodation Fund has attracted £428 million from third-party property investors.

This demand is indicative of the strength of the student lettings sector and the anticipation that a ready market of tenants will be in place despite the economic downturn.

Joe Lister, chief financial officer at Unite, told the Reuters news agency: "Valuations of student accommodation property continue to outperform the wider real estate sector and are well supported by transactional evidence."

Mr Lister added that almost all of the fund's property portfolio is occupied for the current academic year.

News of the findings comes as the Halifax University Town House Price Review found that 35 university towns have higher average house prices than those of neighbouring locations.

Find out more about letting agent software