Summary:
- The UK PBSA market recorded £830 million investment in Q2 2025, contributing to a £1.6 billion first-half total that exceeds the long-term average, driven by strong investor confidence despite regulatory and cost challenges.
- Investor interest is concentrated on operational PBSA assets in prime locations such as Russell Group cities, where demand is supported by rising undergraduate and international student numbers, notably a 9.8% increase in Chinese applicants.
- Market momentum is expected to strengthen in H2 2025 with £2 billion worth of schemes and portfolios on or under offer, supported by anticipated Bank of England rate cuts, though supply constraints remain a significant issue amid limited new bed additions.
Original article:
https://www.property118.com/pbsa-investment-soars-but-supply-issues-remain/
