University housing sees £800m investment rush

More than £800m of capital piled into UK student accommodation last year as investors sought to benefit from a shortage of university housing and growing numbers of wealthy overseas students.
According to property agent CBRE, institutions and overseas buyers are being attracted to the sector by its stable income as the rest of the property market is riddled with economic uncertainty.
Research shows an estimated £836m was committed to deals and development in 2011, up from £770m in 2010 and £350m in 2009.
The CBRE research says 99pc of student accommodation is occupied in the UK. Rents increased over the year by 4pc outside London and by 5pc in the UK capital.
Deals in the last 12 months included Legal & General paying £116m for the Griffon Studios development for Imperial College.