【莱坊-2024研报】Build to Rent Market Update Q3 2024.pdf

UK BTR

market update

On track for a record year for BTR completions.

Investment volumes subdued in Q3…

Investment volumes in the third quarter of 2024 were muted, following a record-

breaking first half of the year. A quieter Q3 reflects a seasonal lull in activity over

the summer period, as well as the fact that deals are taking longer to put together.

The market also remains in price discovery mode, with a wide spread of bids on

some assets. In total, 14 deals completed, with a combined value of £640 million.

…but investor appetite undimmed

Despite a quieter third quarter for investment volumes, there is still strong

appetite among investors to acquire assets. Our agency and valuation teams

are tracking a further £1.6 billion of transactions that are under offer or due

to complete, of which 84% is for multifamily transactions. Outside of our

investment figures, there has been a flurry of recapitalisations and equity raises,

including a £755 million preferred equity commitment between Ares and Lone

Star at Wembley Park, advised by Knight Frank, while Greystar raised €1.5 billion

to invest in its European value-add fund focused on rental residential real estate.

Such deals and commitments confirm the long-term attractiveness of the sector.