UKO’s BTR offering sees growing demand

Co-living and build-to-rent (BTR) operator UKO has just opened its 18e The Sydney asset in partnership with Sasco Developments at a time of peak demand across the group’s portfolio.

The group announces a stabilized occupancy rate of 98% on all of its Sydney assets, to which the latest offer in Alexandria will seek to be added.

The group’s portfolio consists of more than a thousand apartments ranging from 45 to 120 square meters with weekly rents ranging from $700 to $1,500 and co-living studios that cost tenants between $490 and $650 per week. .

UKO co-founder Rhys Williams said the group expects “demand to remain strong in the post-COVID environment, driven by positive net migration and an insufficient supply of rental accommodation, which we do not expect to resolve in the medium term”.

He announced that developments in other major capitals and regional centers have already started, with the hope that the brand will increase its operations to 2,500 apartments by the end of 2024.

“The ability to deliver a superior experience to clients and high returns to private developers, institutional investors and family offices has helped fuel the growth of the business. Rental yields across the portfolio have increased by 20% post-COVID-19, with occupancy rates hitting record highs,” Williams said.

He believes the reason for such extensive and consistent use of company properties is “the opportunity to embrace community life, much of which has been driven by the need for companionship”.

A prime example of the strength in demand for UKO apartments is the fact that the new Alexandria project, titled Industry, was 70% pre-let prior to opening and is now 100% occupied in the month following the start. operations.

“The demand for cohabitation continues to outstrip the supply,” Williams said.

Joseph Sassine, director of Sasco Developments, said that following the success of the Alexandria project – the third undertaken by the two companies – the pair have begun planning a fourth project, located at Meadowbank, “will be the first building mixed-use encompassing co-living with 162 co-living apartments, 133 BTR apartments and a shopping mall”.

UKO’s industrial project is the latest in a series of public and private rental construction projects, such as those initiated by the Victorian, LAWand Western Australia governments – encouraged to try to reduce housing pressures on tenants vacancy rates across the country continue to fall to record lows.


Source link

Comments are closed.