When we think of student accommodation, cramped rooms, leaky taps, and peeling walls are what spring to mind. However, what you may not realise is how much the student property landscape is changing. Gone are the days of run down and derelict dorms. We are in an age of modern and quirky housing, bringing a touch of luxury to student living.
Luxury Accommodation
The rise of luxury student accommodation entices a large proportion of students. Companies like Collegiate provide luxurious accommodation for students living in Spain and across Europe. Many of their establishments are equipped with every type of amenity you can think of, including an on-site cinema and games room, as well as a swimming pool and outdoor terraces. If you are interested in a property of theirs, whether it be in Barcelona or somewhere closer to home, be sure to take a look at them online and contact the team to make a booking.
New Developments
No matter where you look in a major city, you will see new landscapes being created, whether it be offices, apartments or student accommodation. With more and more people signing up to university, property developers are one step ahead, creating luxury accommodation for students. However, that’s not to say that concerns haven’t been raised over whether there is a demand for new accommodation.
Who Do Developers Target?
Many people believe that new and modern developments are solely created by property developers for affluent students. While this would not come as a shock, more and more international students are heading overseas to complete their studies. With the cost of tuition fees varying from country to country, some of which cost twice as much, it’s easy to see why foreign students are a good demographic to target. With the cost of living increasing, students from overseas may get better value for money in luxury accommodation, rather than studying at home.
Business Rates
One of the reasons why student accommodation is a property developer’s dream is because they are exempt from paying business rates. While hotels must pay business rates, large student blocks that are identical in size and structure are exempt. This is because hotels lie within the non-domestic rates corner, meaning they are not classed as a residential establishment because their sole purpose is to provide temporary accommodation with additional add on charges.
What the Future Holds
The demand for high-end student accommodation shows no signs of slowing down and is expected to rise in the foreseeable future. While this may be a good thing for property developers and investors, we could begin to see affordable options eroding. What’s more, students may end up being priced out of even the most basic type of accommodation. There are pros and cons that are linked with new student accommodation. If the demand is there, developments are going to be made, regardless of the impact it may have.
Whether it be Barcelona or London, the need for student accommodation is on the rise across the globe, giving property developers more reason than ever to create luxurious and profitable accommodation to keep up with demand.