Student

Price Per Bed

Assess a PBSA or co-living acquisition on capital value and income per bed.

Beginner

Introduction

Who this is for: Investors appraising purpose-built student accommodation.

Why it matters: PBSA trades on price per bed as its headline comparable, but the income test matters more — a bed is only worth what it rents for, and PBSA income is highly sensitive to the 51-week letting cycle and void risk.

Typical scenario: A 120-bed scheme at £145 per week over a 51-week let, offered at £14.5m.

Common mistakes:
  • Using weekly rent without adjusting for the actual number of let weeks — PBSA is typically 44-51 weeks, not 52.
  • Ignoring that utilities are usually inclusive in PBSA, so operating costs are higher than standard residential.
  • Comparing price per bed across university towns with very different demand profiles.

Inputs

Asset & Price

£

beds

Income

£

weeks

%

Costs

%

Analysis

At £14,500,000 across 120 beds, the price is £120,833 per bed. Gross income of £860,778 (51 weeks at 97% occupancy) gives a net yield of 4.16% after 30% operating costs.

This analysis provides context, not financial advice. Consult a qualified adviser before making investment decisions.

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Sensitivity Analysis

Sensitivity

Adjust the variables below to stress-test this scenario. Results update instantly.

£14,500,000
£0£29,000,000
£145
£0£290
97%
0100

Export

Live Results

Price Per Bed

£120,833

Gross Income

£860,778

Net Income

£602,545

Net Yield

4.16%

A net yield of 4.16% is keen for PBSA outside prime London markets.
Gross Income Per Bed£7,173
Gross Yield5.94%
Operating Costs£258,233