Build to Rent (BTR), also known as “multi-family housing,” is a new concept in the real estate industry that allows developers to build specifically for the rental market. A Build to Rent development is a residential property that is designed, built, and operated with the sole purpose of renting it out to tenants. This concept has seen a lot of growth in recent years and is becoming an increasingly important part of the rental property market. In this article, we will explore the definition of Build to Rent  how it works, and the benefits it offers to both tenants and investors.

What is Build to Rent?

Build to Rent (BTR) is a relatively new concept in the real estate industry that refers to the construction of purpose-built residential properties that are specifically designed for renting out to tenants. This means that the property is built with the needs of renters in mind, from a location that is attractive to schools or shopping centers to apartment amenities such as laundry rooms, fitness centers or outdoor spaces. These properties are managed by a single operator, or a specialized asset manager, to ensure that the tenant experience is seamless.

How Does Build to Rent Work?

In a Build to Rent project, developers will build entire apartment buildings or complexes for the sole purpose of renting them out to tenants. This means that the properties will be constructed with the necessary facilities and amenities to accommodate renters, often with larger communal spaces, top-notch property management services, and pet-friendly facilities in some instances. With BTR, the idea is to create a community that attracts and retains renters, ensuring high occupancy rates, longer-term leases, and fewer vacancies

Build to Rent developments come in different styles and sizes, ranging from low-rise apartments to high-rise towers. Some operators could focus on specific renters, such as professionals or university students, and design their properties accordingly. The developer or landlord will manage all the tenants as these properties are generally leased on longer-term contracts in order to secure a steady rental income for the landlord.

Conclusion:

Build to Rent has emerged as a new concept for professional property investors and developers. It brings a host of benefits to both tenants and landlords. Tenants enjoy top-notch apartment amenities and communal spaces while landlords enjoy longer-term leases and lower maintenance costs.