Demand for student flats makes Sheffield the regeneration hotspot of Yorkshire
Sheffield has become the regeneration hotspot of Yorkshire region due to the demand for student rental properties, a survey says.
The city is ahead of Leeds and Bradford with projects and investment said to be worth an estimated £2.1 billion, research by Sheffield-based student accommodation provider UniHomes shows.
Sheffield has already seen a huge level of redevelopment in recent times with work ongoing in phase two of the Heart of the City scheme after more than £130m worth of regeneration.
Bu there’s more to come with phase two bringing a further £470m of investment to Sheffield, with a focus on social and professional improvements such as the redevelopment of Fargate, a city centre park and more prestige office buildings. This could create as many as 7,000 new jobs to the area.
UniHomes survey says that this further investment places the city as the frontrunner in the Yorkshire region where key regeneration projects and investment are concerned.
At an estimated £2.1 billion, Sheffield sits ahead of Nottingham (£2bn), Leeds (£990m) and Bradford (£17.9m) and is fast becoming the driving force behind the changing face of Yorkshire.
New Era Square is one example of the changes to Sheffield’s landscape, with the 430,000 square foot development presenting a wealth of retail and social outlets, as well as commercial space and a student apartment complex ready to house 650 students.
With such a heavy concentration of students, UniHomes has moved into New Era Square, spread over a floor of one of the area's commercial developments.
The landmark office building at the heart of New Era Square has open plan floors with basement parking and stunning views over the city. Its plaza, has a mix of retail, food and drink outlets.
But it’s not just students and businesses that are expected to flock to New Era Square. The average rental yield in the area currently sits at 6.07%, 2.06% higher than the wider area of Sheffield and higher still than the average seen across Yorkshire and the Humber.
UniHomes predicts that the combination of the area's regeneration, the relative affordability for students and the strong returns on buy-to-let investments should bring yet more investment to New Era Square and the surrounding area.
Co-Founder and Director of UniHomes, Phil Greaves, said: “Sheffield is fast becoming the driving force behind the extensive regeneration of the Yorkshire region and these ongoing improvements are going to draw more people to live, work and learn in the city which will only help strengthen the local economy even further.
“Regeneration projects such as New Era Square are helping to lead this change and we’re extremely excited to get settled in and explore what the area has to offer. However, our decision to move there has been very much a strategic one as the area is already a hub for student life in Sheffield.
“Above and beyond the already existing student accommodations, we expect to see an influx of investment in the surrounding areas from those keen to take advantage of consistent demand and above average rental yields.”