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UK: New research from Savills reveals that investment in the UK’s build-to-rent (BTR) sector reached £2.2 billion in Q2 2026, making it the strongest second quarter on record.
Savills noted that investment in the first half of 2026 has already surpassed the full third quarter amounts of 2023, 2024 and 2025.
Two large deals accounted for the growth. Morgan Stanley and Ridgeback acquired the private rented sector portfolio of London & Quadrant Housing Trust for £1.045 billion, including almost 3,200 homes, while Greystar purchased 904 homes at Elephant Park in London for around £500 million.
North American investors accounted for 60 per cent of total BTR investment during the first half of 2026, while UK investors made up 35 per cent. Savills indicated overseas investment has remained buoyant with continued demand for rental housing throughout the UK.
Davina Clowes, head of London residential investment at Savills Operational Capital Markets, said: “The scale of capital deployed in the first half of the year demonstrates the sustained demand for high-quality assets in well-connected locations, despite a challenging macroeconomic backdrop.”
The company is anticipating business to remain throughout the year as buyers look for suburban rental homes and city apartment projects.
Highlights:
- UK BTR investment reached £2.2 billion in the second quarter of 2026, making it the strongest second quarter on record, according to Savills
- Morgan Stanley and Ridgeback completed the £1.045 billion acquisition of London & Quadrant Housing Trust’s private rented sector portfolio, including almost 3,200 homes
- Greystar expanded its London build to rent portfolio with the acquisition of 904 homes at Elephant Park for approximately £500 million
- North American investors accounted for 60 per cent of UK build-to-rent investment during the first half of 2026, while domestic investors contributed 35 per cent
- Savills said build to rent investment in the first half of 2026 has already exceeded full third-quarter totals recorded in 2023, 2024 and 2025, with further activity expected this year
