The UK’s Student Housing Boom
Purpose-Built Student Accommodation (PBSA) is one of the UK’s fastest-growing real estate sectors. Investment volumes hit £7.2 billion in 2023, the highest level on record, as global institutional investors continue to pour capital into high-yield student housing developments.¹
Rental growth has also been substantial. The 2023/24 academic year saw student rents increase by 8.02%, outpacing the wider residential market.² Demand fundamentals—high student applications, chronic supply shortages, and the sector’s resilience—suggest PBSA will remain a lucrative asset class for years to come.
However, beneath the investment boom, a significant challenge is emerging: compliance with the Building Safety Act (BSA). Many PBSA developments now fall under the UK’s strictest building safety regulations, creating serious legal, financial, and operational risks for investors and operators who are unprepared.
The Compliance Challenge
The Building Safety Act 2022 introduced the Higher-Risk Building (HRB) classification, applying to buildings that meet the following criteria:
Over 18m in height or seven or more storeys
Contains at least two residential units³
Many PBSA developments meet these thresholds, meaning they are subject to:
Mandatory registration with the Building Safety Regulator (BSR)
Appointment of an ‘Accountable Person’ responsible for compliance
Strict adherence to the ‘Golden Thread’ of building information
Failure to comply can result in:
Unlimited fines and criminal penalties
Restricted ability to sell or refinance assets
Increased insurance premiums and investor risk exposure
Despite these regulations, many PBSA investors and operators remain unaware of their obligations, putting them at risk of financial losses and reputational damage.
Beyond Compliance
While compliance is critical, poor information management presents an even broader challenge for PBSA operators. Many rely on fragmented, outdated, and manual processes to store and retrieve essential building data, leading to operational inefficiencies and compliance blind spots.
The Common Pitfalls of Poor Information Management in PBSA
Multiple, siloed systems – Compliance data sits in one system, maintenance records in another, and tenancy agreements elsewhere, making it difficult to get a clear view of an asset.
Lost or inaccessible documents – Fire risk assessments, maintenance logs, and supplier contracts are often scattered across emails, SharePoint folders, and outdated filing systems.
Poor handover processes – When assets change ownership or new FM teams take over, critical historical data is often lost, leading to costly re-inspections and compliance gaps.
Slow response to maintenance and safety issues – Delays in retrieving critical documents can increase repair costs, frustrate residents, and impact operational efficiency.
The ‘Golden Thread’ Mandate
The Golden Thread is a legally required digital audit trail of all building information, designed to ensure safety-critical records are accurate, up to date, and accessible throughout a building’s lifecycle.
The problem? Many PBSA operators still rely on disorganised spreadsheets, disconnected systems, and manual processes, making compliance a logistical headache.
This is where Building Passport comes in.
By using a dedicated digital compliance platform, PBSA owners and operators can:
Maintain a real-time, centralised Golden Thread of compliance and safety data
Provide instant access to regulators, insurers, and due diligence teams when required
Reduce admin burden and human error by automating compliance workflows
Avoid costly fines, project delays, and legal risks by ensuring full BSA alignment
How Building Passport Transforms Information Management
A single source of truth – Store all essential building information in one structured, digital hub, including compliance records, maintenance logs, warranties, and certifications.
Instant access, anywhere – Whether a building manager needs a fire safety certificate, an operator needs a lease agreement, or a contractor needs historical maintenance logs, all documents are just a few clicks away.
Seamless handover between stakeholders – When a PBSA asset changes hands, critical building information remains intact and easily transferable.
Streamlined FM and operations – With clear, structured, and instantly accessible records, FM teams can resolve issues faster, reduce admin burden, and avoid unnecessary repeat inspections.
The Competitive Advantage of a Structured Digital Information Strategy
PBSA operators who invest in better information management don’t just ensure compliance—they gain a real competitive edge by:
Reducing operational costs – Less time wasted chasing documents leads to lower admin overheads.
Improving asset value – Better information management leads to faster, more efficient transactions when selling or refinancing assets.
Enhancing resident experience – Faster response times to maintenance and compliance issues improve tenant satisfaction and occupancy rates.
Strengthening investor confidence – Institutional investors prefer well-managed assets with strong governance and digital records.
Final Thought
With billions being invested into PBSA, operators cannot afford to rely on outdated systems for managing critical building information.
The most successful student housing operators will be those who integrate compliance, operational efficiency, and data accessibility into a single, streamlined strategy.
With Building Passport, PBSA operators can:
Ensure full compliance with the Building Safety Act
Improve operational workflows and reduce admin burden
Protect asset value and future-proof their investments
Want to see how Building Passport can help your student housing portfolio? Get in touch today.
References
Knight Frank UK PBSA Investment Report, 2024
Cushman & Wakefield UK Student Accommodation Report, 2023
UK Government: Higher-Risk Building Definition
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