This month, people will start moving into Coppermaker Square, a brand-new residential development in Stratford, east London. They will enjoy an on-site gym, a spa with a 25-metre swimming pool and jacuzzi, a co-working space, rooftop garden, concierge services, pet-friendly policies, and more. They can attend events such as gin tastings in the communal lounge, book in a handyman, hire gadgets such as cordless vacuum cleaners, and access an app that makes living there more convenient. And all this by simply renting an apartment.
Welcome to Build to Rent (BTR), a fresh, modern take on the rental market. Purpose-built residential buildings designed exclusively for rent rather than sale, these developments are professionally managed, let longer term, and come with a wide range of shared amenities.
In many ways, the growing popularity of the BTR sector is not surprising. With the average property price in London hitting £542,000 and mortgage rates climbing, the property ladder is getting increasingly unaffordable for many. At the same time, the private rental sector comes with its own issues, with rising rents, restrictive covenants, the threat of eviction, and landlords who may not carry out repairs as promptly as they should. There’s also a shortage of suitable private rental properties, with an estimated 50,000 landlords having left the sector since 2019.
Meanwhile, £30bn has been invested into BTR since the sector took off after the 2012 Montague Review recommended removing the barriers to long-term institutional investment into purpose-designed homes for rent. In 2022, there was a 22% year-on-year increase in the number of BTR homes under construction across the UK, according to the British Property Federation, with a growing number of schemes in Manchester, Birmingham, Leeds, Edinburgh and London. By 2032 about 8% of rental homes built will be BTR – an increase from 1.5% today.
Coppermaker Square, a collection of 1,200 build-to-rent apartments in Stratford, opens this month
The concept first gained a firm following in the US, where it makes up 12% of the entire real estate market today. Simon Bayliss, managing partner of London-based HTA Design and an architect with extensive experience in BTR, recalls travelling to the US in 2007 to learn more about the model. “Visiting places across cities such as Chicago, Boston, Washington DC and New York, you could see the appeal,” he says. “People might rent a flat, but they could do dinner parties for their 20 closest friends in the shared professional kitchen and dining space elsewhere in the building.”
The tenures were long – some people stayed for 10 years or more, downsizing to smaller units as their children grew up and moved out. As an architect, it was a real shift in mindset, says Bayliss. “You’re designing for permanence and for clients who will be owning the building for a very long time.”
“One of the big draws for renters is those included amenities. But it’s also about peace of mind,” says Theo Plowman, assistant policy director for real estate at the BPF, which recently conducted research into BTR occupancy. “You have maintenance on hand, and that professional management that only really exists in the BTR sector. You’ve got that security of tenure. For a BTR operator, the number one thing is stability. So they’re looking to keep tenants happy, they want them to keep renting as long as possible.”
This is a central tenet of the strategy at developer Unibail-Rodamco-Westfield (URW), says Keith Whitmore, its UK head of development, design and construction. A new entrant into the British BTR scene – albeit one with plenty of experience in the property sector, having created the two Westfield shopping centres well-beloved of Londoners – URW has plans for 3,000 new rental homes across London. The residents-first approach is clear to see at Coppermaker Square, its first development off the block.
“BTR schemes like ours offer a sense of security for occupiers, in addition to professional management with on-demand customer service,” says Whitmore. “However, what makes this development a cut above what might be available through traditional rental routes are the exceptional amenities, which reflect the shift towards making everyday health and wellbeing easy to fit into a busy lifestyle. Understanding our tenants’ requirements has been central to every decision we’ve taken.”
To get a better understanding of potential renters’ priorities, URW conducted a series of focus groups, led by Vanessa Luen, head of consumer insights, strategic and development marketing. “The main thing that stood out was they wanted that personal sanctuary – more comfort and more space,” says Luen. “Particularly after [the pandemic], a lot of people are spending more time at home. A gym and pool were highly desirable, as were touches such as wifi and USB sockets, underfloor heating, and high-spec appliances.”
Coppermaker Square residents can book and manage a range of services through an exclusive residents’ app
Truly a product of the smartphone age, renting at Coppermaker Square is a modern, digital-first experience, all powered by a residents’ app. “It’s like a one-stop shop – they can book meeting rooms, pay bills or for additional services like dog walking, give feedback, or report a maintenance fault,” Luen says. “And it gives us the analytics to understand their needs and adapt accordingly.”
With BTR expected to continue to expand in the years ahead, this revitalised new form of renting is increasingly becoming the smart choice for urban dwellers seeking to have it all.
Discover a new world of renting at Coppermaker Square
