Top marks for London! New launch of student accommodation for sale
Jones Lang LaSalle’s 2012 The Private Investors: Insights to real estate wealth report has named the UK’s capital as the no.1 international location for student accommodation for sale.
Focusing on the ‘most exciting real estate markets and top international university destinations’ across the globe, the industry experts ordered cities based on international student populations and commercial real estate investment.
The total international student population in London is around 465,000, with China, India and Malaysia as the most popular places of origin of students.
London’s abundance of highly sought after universities combined with its cultural diversity makes the city a hotspot for property investment.
“For the year ahead, investor demand is expected to be maintained, but there will be a continued polarisation between highly sought-after prime assets and less attractive secondary assets,” the Jones Lang LaSalle stated.
International students have a tendency to stay in purpose-built accommodation in the UK due to the security of the building itself, its close proximity to campuses and the facilities within the development.
Due to the uncertainty surrounding the Eurozone crisis, London property has become a ‘safe haven’ for many European and international investors. An overall lack of volatility surrounding London’s property market has helped Jones Lang LaSalle to forecast a 4% house prices in 2012, which is set to be followed by 8% per year by 2014.
The 2012 The Private Investors: Insights to real estate wealth report also stated that an overall lack of accommodation in London’s rental market will ‘ensure that prices and rents in the city remain stable.’
This optimistic forecast has helped to create a buzz around London student property investment, with many investors searching for an opportunity in a prime student location.
Exclusive to London Property Agent, Experience International, a new development of student accommodation for sale has been launched in Kingston, Greater London, which offers investors the opportunity to secure a 3 year 9% NET rental assurance.
“We’re pleased to launch a new student accommodation investment which is situated in close proximity to Kingston University’s Campuses,” Steven Worboys, MD of Experience International stated. “This is a rare opportunity for investors to enter the world’s number one location for this sector and secure first class returns from a well-established and proven business model.”
Investors can purchase one or more self-contained studio suites available from the low entry level of £89,950. The rental income, which is paid monthly, is bonded throughout the duration of the assured income period ensuring that investors receive a stable and passive income.
Purchased on a 250-year leasehold, 5% interest will be paid on deposited funds throughout the build phase and there is a developer buyback option in place from years 3-5.
As universities in the UK become increasingly commercial and courses evolve to attract the best calibre of student, investors will secure long-term tenancies from the increasing demand for rooms which is underpinned by an expanding, international student population.
With a student population of 24,720 students, Kingston University is already a popular choice for international students with 4,124 of the university’s total population is made up from overseas students from around 151 countries.
For more information about student accommodation for sale contact Experience International on 0207 321 5858 or email enquiries@experience-international.co.uk.