Market Trends of India Student Accommodation Industry
Urbanization Helping to Grow the Market
The rapid growth of cities has necessitated the establishment of higher education institutions, such as universities and colleges, in urban areas. As a result, the demand for student accommodation in urban areas has increased significantly. Students are seeking accommodations that provide a superior standard of living, including modern amenities, safety, and amenities such as gymnasiums, communal areas, and study lounges. The prospect of steady rental income and a high occupancy rate has enticed considerable investment into the student accommodation industry by institutional investors and property developers.
Higher Education Enrolment Booming the Market
Currently, there are more than 40,000 international students enrolled in Indian colleges from 164 countries. Furthermore, the government launched a "Study in India" campaign in 2018 to provide premium education services to international students at competitive prices. This campaign is expected to attract approximately 2,000,000 students in India by 2026. The influx of students into the higher education sector has had a significant impact on the student accommodation market. This is true both domestically and internationally. In the case of international education, the majority of students travel for their studies, which has led to a significant increase in the demand for Purpose Built Student Accommodation (PBSA). PBSA and other housing solutions are available in close proximity to universities and colleges. As tuition fees increase, students are increasingly willing to split the cost of accommodation by living in Group Housing or PBSA.
