01 Feb 2024
What's in store in 2024? Our CEO Robert Sloss shares his thoughts with BE News
BE News asked several industry experts for their predictions for the sector in 2024. Our CEO Robert Sloss shares his thoughts:
"We expect that available funding for BTR will gradually start to increase in 2024, as investors anticipate UK base rate reductions, with accompanying lower costs of capital. Despite a muted deal flow in the sector over the past 18 months, we believe that multi-family BTR will continue to be highly attractive to both domestic and international investors, due the performance of existing assets, the resilience of the income stream and the strong ESG characteristics of the asset class. Furthermore, BTR has an important role to play in the growth and revitalisation of city centres and helps to increase choices available for those in the growing rental market. In that vein, with more buildings reaching the end of their current lifecycle, due to regulation constraints and structural changes in occupancy patterns, we will continue to focus on the repurposing of stranded office assets to residential. We expect to see more of this as repurposing opportunities increase and the demand to live in city centres grows. As well as BTR, we believe that the nascent co-living sector is maturing and this typology lends itself well to renovated second cycle assets. We foresee the emergence of the next generation of high quality co-living, focusing on low carbon city living and centred around community."