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The UK’s Build-to-Rent (BTR) sector continues to evolve at pace, driven by shifting tenant expectations, technological innovation, and a growing appetite for professionally managed
rental living. As the market matures, developers, investors, and operators alike are refining their strategies to meet demand for quality, sustainability, and community-led design. Below,
we explore three key trends currently shaping the future of the BTR landscape in the UK — from regional growth and digital transformation to the rise of greener, more connected living environments.

The Top Three Trends

1. Regional Growth & Market Diversification

The UK BTR pipeline has surged, with the regions now outpacing London in growth—
completions outside the capital rose 14% in the last year, compared to 9% in London.
Developers and investors are increasingly targeting cities like Birmingham, Manchester and Leeds, reflecting a shift towards more widely distributed rental investment.

2. Technology and Operational Efficiency

Technology is becoming a must-have in BTR, not just a nice-to-have. Smart home systems, digital leasing platforms, integrated resident apps, and AI-enabled operations are being adopted to enhance resident experience and cut operating costs. For property management firms, this means elevating service delivery and operational insight are key differentiators.

3. Sustainability & Community-Driven Design

Sustainability has moved from regulatory compliance to a competitive edge. Energy-efficient designs, green space integration, and community-oriented amenities are driving resident appeal and investor interest. Developments that prioritise resident well-being and social environment (e.g., shared gardens, co-working spaces, flexible lease models) are gaining favour in a market where tenants increasingly want more than just a flat.
As the UK Build-to-Rent sector continues to expand, these trends highlight a market that’s becoming more dynamic, sustainable, and resident-focused. Regional growth is broadening opportunity, technology is redefining efficiency, and sustainability is shaping long-term value. Together, they signal a maturing sector built not just for investment, but for better living — where innovation and community go hand in hand.

Nest Living: Redefining Build to Rent Management

At Nest Living, we believe renting in this day and age should be more than just a transaction, it should be a lifestyle. That’s why we’ve created a management company dedicated predominantly to Build to Rent (BTR) developments, designed with residents, investors, and developers in mind.

Why We Exist

The UK rental market is evolving. Renters are increasingly looking for more than just four walls – they want community, convenience, and service. Developers and investors, meanwhile, want to know their schemes are managed by experts who understand the balance between delivering great resident experiences and achieving long-term asset performance.

That’s where Nest Living comes in. Being part of one of the largest privately-owned management companies in the UK, we’ve seen first-hand how traditional block management models often fall short in the BTR space. Nest Living exists to fill that gap: a specialist, forward-thinking operator that makes renting simpler, smoother, and more rewarding for everyone involved.

What We Do

Our focus is on delivering exceptional service in Build to Rent developments. That means:

Building vibrant communities through engagement and events.
Driving operational efficiency to protect investor returns.
Creating seamless move-in and day-to-day resident journeys.
Taking care of compliance, building safety, and sustainability at every step.

By blending hospitality-style service with rigorous property management expertise, we’re setting a new standard for BTR operations.

Our Experience

Although Nest Living is new, our foundations are strong. Behind us is a team with years of experience in residential and block management, working across some of the UK’s most complex and high-profile properties. From managing large-scale developments with commercial units, to overseeing heritage-listed buildings and high-rise estates, we know what it takes to deliver at scale and under pressure.

This experience gives us a unique edge: we bring proven systems, tested processes, and a hands-on team that’s already trusted by landlords, developers, and resident management companies across the UK.

Looking Ahead

Our goal is ambitious: to become the most trusted Build to Rent management partner in the UK. We want Nest Living to stand out not just for the properties we manage, but for the communities we help shape and the experiences we create for residents.

Operationally launching 1 September, Nest Living marks the start of an exciting new chapter – for us, for our clients, and for the residents who will call our schemes home.

If you’re a developer, investor, or operator looking for a management partner who will bring energy, expertise, and innovation to your scheme, we’d love to talk

UK Build to Rent Market Update - Q3 2024

24 October

savills.co.uk

More housebuilders are recognising Single Family Housing (SFH) as a key long-term investment strategy.

Overview

In Q3 2024, the UK saw £800 million in investment activity—a significant increase compared to last year. This funding supports housing delivery in partnership with housebuilders and contractors. However, the construction pipeline has shrunk by 20% over the past year, with record completions not matched by new construction starts.

Additionally, the private rented sector (PRS) is showing signs of contraction. Build to Rent (BTR) investment is essential to replace lost rental supply with higher-quality, energy-efficient homes. Local authorities need to be more proactive in BTR delivery to meet growing demand.

SFH as a Key Investment Component

Single Family Housing has become a vital part of the UK residential investment market, accounting for half of total BTR investment in the past year—its highest proportion ever.

Key Players in the SFH Market

Growth in the SFH market includes both established and new investors. Notably, Countryside (now Vistry) and Sigma Capital have contracted over 8,000 homes. New partnerships, such as Vistry with Leaf Living, aim to deliver over 3,200 SFH homes by 2027.

A Shift Back to Single-Site Agreements

As sales to homeowners slow, institutional investors are seizing opportunities. Bulk deal investments reached £1.2 billion in the year to Q3 2024, while single-site SFH investments rose from £0.27 billion to £1.2 billion. With falling interest rates, the sales market is expected to strengthen, potentially leading to more single-site, purpose-designed developments.

Housebuilders are adapting their business models to include PRS partnerships, signaling a long-term commitment to SFH. They recognize the benefits of multi-tenure schemes, which can speed up delivery and improve funding for local infrastructure.

The Rise of Bespoke SFH

Investors are increasingly seeking custom-designed SFH that cater to the rental market, focusing on smaller units, sustainability features, and proximity to amenities. Housebuilders must develop pre-planning strategies to differentiate these homes from those for open market sale.

UK BTR Investment Overview

In Q3 2024, £800 million was invested in UK BTR, the second-highest Q3 figure in four years. To match the £4.5 billion invested in 2023, Q4 will need to exceed last year’s £1.9 billion. So far in 2024, 75% of transactions have focused on new home development, with SFH making up 50.4% of total investments.

UK BTR Development Insights

The UK’s BTR stock now exceeds 120,000 completed homes, a 23% increase from Q3 2023. There are 50,000 homes under construction and 103,000 in the planning pipeline, totaling 274,000 homes—up 5% since last year.

Despite record completions of 22,300 homes in the past year, new construction starts are declining, leading to a 20% contraction in the construction pipeline.

This evolving market presents exciting opportunities for our Build to Rent services, positioning us to help investors navigate these changes while delivering quality housing solutions.

Sources: Savills Research, British Property Federation (BPF)

What We Do?

In Short: we work with Build-to-Rent developments, predominantly offering management services.

At Nest Living, we are aware of the complex dynamics that exist within the Build to Rent industry. Our services are designed to give developers, investors, and property owners thorough insights and strategic direction, whether you’re looking for optimisation post-development or in the planning stages. We collaborate to find possibilities and reduce risks so that your project is successful from start to finish.

Making well-informed judgments is crucial in the ever-changing world of Build to Rent. When it comes to navigating the intricacies of the market, developers, investors, and property owners can benefit greatly from our services.

Management

Ensuring a seamless management transition from concept to reality

Unlock the potential of your residential and commercial developments with our comprehensive mobilisation services –

Effective mobilisation lays the groundwork for block management success. Our mobilisation services are made to guarantee a smooth transition to Nest Living. We set the foundation for a successful Build-to-Rent development by procurement of excellent service providers for the day-to-day works required, and creating strong operating procedures unique to block management. We enable property owners to realise the full potential of their assets right away with careful planning and implementation.

Consultation

Making well-informed judgments is crucial in the ever-changing world of Build to Rent.

We provide professional advice at every stage, with a strong focus on providing input valuable to the management, ensuring longevity of a development. Our staff is committed to supporting you in precisely and confidently achieving your goals, whether you’re looking for new prospects or making the most of your current resources.