U.K. build-to-rent investment hits record high in 2021

The U.K. build-to-rent residential sector recorded a total of £2.1 billion (€2.5 billion/$2.8 billion) of investment in fourth quarter 2021, taking the full-year total to a record high of £4.1 billion (€4.9 billion/$5.5 billion), according to preliminary data from CBRE. Investment levels were up 14 percent on 2020, the previous record year, illustrating the resilience of the sector in light of the continued challenges posed by the COVID-19 pandemic.

In 2021, build-to-rent investment activity was evenly split between London and the regional U.K. markets. Notable deals that completed in fourth quarter 2021 included Greystar’s acquisition of a minority stake in the Fizzy Living platform, assuming management responsibilities for the portfolio alongside majority stakeholder ADIA; Patrizia’s £100 million (€120 million/$135 million) forward commitment of Oliver’s Place, Huntley Wharf in Reading; Cortland’s forward funding of Colliers Yard in Manchester for £158 mil