Birmingham city centre seeing boom in build-to-rent sector


In Birmingham, 2,000 purpose-built privately rented properties are currently under construction to keep up with the growing demand, especially from students and young professionals.

Birmingham is a growing city with a thriving rental market. An article by The Times analysed the build-to-rent market in Birmingham and why it’s a flourishing sector. With plentiful work opportunities, a population of young people, and appealing upgrades to the transport system, the powerhouse of the Midlands boasts a plethora of investment opportunities in the build-to-rent market.

As build-to-rent is a relatively new sector to the UK property market, there’s room for much more growth and investment. Construction on build-to-rent schemes has increased by 40% in the last year, according to the British Property Federation, and it’s a sector that’s likely to continue growing as the dynamics of the housing market continue to change.

Growing young population

With nearly 40% of Birmingham’s population under the age of 25, the build-to-rent properties coming to the city are predominately aimed at those aged between 18 and 35. Many of the purpose-built flats being built in the city centre offer amenities appealing to young professionals, such as gyms, communal areas, and concierge services. These new-builds are ideal for those who prioritise a higher standard of accommodation.

Since Birmingham is one of the youngest cities in Europe, the rental market continues to boom. The city is home to four universities with good retention rates. According to a study by Centre for Cities, 49% of graduates choose to stay in Birmingham after they’ve graduated. Since the city has a range of employment opportunities, it’s easy to see why many students are staying even after they receive their degree.

An entrepreneurial city

As the UK’s second most entrepreneurial city, Birmingham saw 18,590 start-ups created in 2018. That’s a whopping 41% increase since 2017. Large employers in a variety of sectors are also relocating to Birmingham. The city is home to Deloitte, HMRC, PwC, and HSBC. Located a 20-minute walk from Birmingham New Street station, Brindleyplace has become a financial services hub. The Jewellery Quarter, which is situated in the north western part of the city centre, is home to the largest concentration of businesses involved in jewellery trade within Europe.

Employment prospects are expected to continue to improve. The economic and employment boom in Birmingham has also positively impacted the region’s property market. A recent study found there’s a clear link between cities with strong employment growth and house price rises. In Birmingham, there’s been a 12% rise in employment levels and a 23% increase in house prices over the past three years.

Transport upgrades

Transport upgrades are expected to bring even more growth to the city. Birmingham New Street station was previously voted the worst rail station in the UK, but with a five-year, £1bn project, it has been transformed into not only a transport mecca but a shopping mecca as well. There’s also a planned tram extension on Broad Street and the opening of the HS2 station on Curzon Street still to come, which will drive more investment in Birmingham’s city centre.

With growth expected in a variety of areas, Birmingham is set for a thriving future, especially in the build-to-rent sector. According to Knight Frank’s investor survey, Birmingham is forecast to outperform all other UK cities in the next five years, making it an ideal place to invest in.

Highgrove Mews

High Net Yield Freehold Houses

  • Commutable to London (27 mins to central Paddington station)
  • Rental demand extremely strong with large industry presence in Reading
  • Freehold with 4% net yield

£284,955 - £457,000

St Petersgate – Stockport Manchester

New Launch - Stockport Manchester, apartments from £160,000

  • Discounted launch prices from £160,000
  • Excellent transport links with 3 trains per hour to London Euston and only 9 mins journey to Manchester Piccadilly
  • Experienced development team

Assured Rent Housing Association Leases

Assured Rent Housing Association Leases

  • Assured rent & no rental voids
  • Tenant damage cover & newly refurbished inline with requirements of a corporate sitting tenant
  • Free property and lettings management

From £62,000

Emerging Birmingham Commuter Town With Properties From Just £104,000

The emerging Birmingham commuter town where properties are selling in an average of just 24 days

  • A collection of 62 two bedroom apartments and 28 one bedroom apartments.
  • DE14 is one of the fastest selling postcodes in the West Midlands.
  • 23 minute train journey into Birmingham New Street Station.

Properties from £104,000

Mill, Stockport

The Northwest's emerging property hotspot

  • Discounted off-plan 2-bed prices from £162,000
  • Completion date - Q4 2021
  • Rental yields - 6% plus

Discounted off-plan 2-bed prices from £162,000

South Central – Birmingham City Centre Apartments

Highly anticipated 28 storey launch in Birmingham City Centre with an impressive roof garden and communal facilities.

  • 154 units across 28 storeys
  • Residential multi-media community room, gym, roof garden and sky cinema
  • Excellent future connectivity via the metro system to other key transport hubs and locations around the city

from £205,800


Talk to us

Speak to our UK property experts today: 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

+852 9865 4446

Open from 9am-6pm HKT

Stamp Duty Calculator


Unlock members only investment opportunities and full development details. Join now – it’s free, quick and easy.


Not a member? Sign up for free


Birmingham city centre seeing boom in build-to-rent sector


By submitting your details via this online form you agree to be contacted via email/phone/SMS by Direct Marketplace Ltd t/a BuyAssociation in relation to property investment and property developments . We do not share your personal details with third parties.  To view our full Privacy Policy click here.