The UK's build to rent (BTR) sector is growing rapidly, with increasing signs that the industry could fill a wide gap left by landlords who have exited the market under pressure from tax and legislative changes.

Statistics in a third-quarter 2019 report commissioned by the British Property Federation and produced by real estate consultants Savills provide the following: 

  • 148,046 BTR units are completed, under construction or planned across the UK.
  • 34,840 units were complete, compared to 26,633 in the third quarter of 2018 – a 20% increase in the last year.
  • 35,760 units are under construction, and a further 77,446 with planning permission.
  • 75,747 of completed, under construction or planned units are located in London. 72,299 units are outside of London.

Developers are working to fill the demand for BTR, with communities catering to renters popping up in locations across the UK. Today, we see pockets of development throughout London in various stages of completion, from Harrow and Wembley to Nine Elms, Walworth, the East Village, Barking, Croydon and the City of London proper. Rayners Lane, Kingsbury, Wokingham, Sidcup, Deptford, Upper Holloway and others got their first completed developments this quarter.

The average size of BTR developments continues to expand, growing to 245 units from 133 for schemes under construction – an indicator of investor confidence in the sector. The average size of schemes being planned is even higher at 325 units.

As for who's building and delivering the projects, local developers lead the pack at 28%, while UK house builders follow closely behind at 27%. Major UK developers (17%), contractors (14%), registered providers (9%) and major international developers (3%) rounded out the group.