There was further news of investment in student accommodation this week as plans for a £20 million student accommodation complex were submitted to Coventry City Council.
The partnership between Complex Development Projects (CDP) and Unite Group intends to create a 286 bedroom development, also including a number of retail units, in the heart of the city.
With a planning decision not expected until March, it remains to be seen if the development will go ahead, however if it succeeds, several existing buildings will be demolished to make way for a number of major new buildings to be built on Far Gosford Street. The project start is intended for later this year and estimated build times allow for the development to be complete in time for the beginning of the academic year 2017.
In Coventry there has been a continual process of regeneration that has been taking place around Far Gosford Street for almost a decade and the project would be the largest and final regeneration project in the area.
Ian Harrabin, managing director of CDP, said: “The development of site one will fill in the huge gap left by the construction of Sky Blue Way and reconnects the street with the university and city centre.”
The proposed development is in line with a general upsurge in investment in student accommodation across the UK over the last few years. Student Accommodation is seen by both retail and institutional property investors as an attractive market. The thinking behind this is simple as nationally, the increase in the number of students attending UK universities has created a shortfall in purpose-built accommodation. This shortfall has continued to ensure that student accommodation has been in high demand since around 2000.
Since then, the number of UK students going on to attend higher or further education institutions has increased dramatically from 29% up to 48%, a recent OECD report has shown. This trend seems unlikely to abate, and so the demand for student accommodation looks set to continue as will its attractiveness for various categories of property investor.