Gym, sauna, private toilets.. Thanks to the private sector’s contribution, “luxury student accommodation” is attracting an increasing number of students in Belgium’s university towns. Focus on these new student accommodations.
Students used to have just student halls. These were sometimes strict, sometimes less monastic. But community housing, with its noisy corridors, its party atmosphere and shared bathroom wasn’t what everyone wanted. Like “traditional” tenants, students prefer new or renovated buildings. And they increasingly like to have their own private toilets. Some developers have understood this and are developing “service flats” for students. With higher-range finishes combined with services like laundry, a caretaker service, a high-speed internet connection, a room for bicycles, study rooms and a shared fitness area …
The property company Eckelmans has specialised in this niche since 2008. Under the “Génération Campus” brand, it has provided nearly 3,000 student accommodations, mainly in Louvain-la-Neuve, Woluwe, Liège and Namur. Not all of them are “service flats”, but the increased offer is accompanied by a (net) rise in quality standards. One example is… The Garden Campus. This 5,700m² residence, located in Namur, has 150 private studios. Each flat has its own kitchen and bathroom. The building also offers its occupants two study rooms seating 24 and a large shared lounge with fitness room. Such “Luxury” services are at a cost, the cheapest rent is 499 euros a month, all inclusive, for an 18m² studio. It can reach 711 euros for a double studio.
But alongside stakeholders like Eckelmans and Upgrade Estate, who have been present in this segment for a long time, more traditional developers intend to shake up the market. For example the Woodskot project in the centre of Brussels (BPI), DeltaView in Auderghem (Immobel) and the top-of-the-range project The Link in Auderghem (123 flats), developed by Home Invest Belgium. In Brussels, two new university residences housing about 300 students each should be ready in 2018. These are based on the same principle: private studies, top-of-the-range finishes and integrated services.
Purchase gaining ground on rental
According to Century 21, students, and especially their parents, are also opting to purchase a studio or 3-room flat rather than rent student accommodation. Nearly one in ten students are opting for this solution. For investors, the purchase of a studio or “upgraded” student accommodation is a good investment, since the return on these assets, even when offered at very high sale prices (150,000 euros at 550 euros rental per month, i.e. a return of 4%) is better than that of the traditional student accommodations (115,000 euros at 350 euros rental per month, i.e. 3.6%).
Tags: housing, luxury, service flats, student accommodation, university
