We are working to attract inward economic investment into Scotland’s towns, cities and communities that will deliver housing, improve public service delivery, economic benefits and contribute to Scotland’s net zero carbon target.
Build to Rent (BTR) is being supported by the Scottish Government as a new way of providing newly-built good quality, private rented housing at scale.
SFT has played a significant role in the emergence of the Build to Rent (BTR) market in Scotland since 2016. This role has involved championing Build to Rent in Scotland by liaising with investors, developers and other stakeholders to stimulate interest in Scotland. Formally we are also the administering agent for the Rental Income Guarantee Scheme.
The Rental Income Guarantee Scheme (RIGS) aims to provide the developer and their investors with greater confidence during the early stages of occupation when the letting risk is likely to be at its highest. RIGS seeks to help developers and their investors to overcome this challenge by offering a guarantee which will compensate the developer for part of the shortfall if the expected levels of rent are not achieved. Further information can be found by clicking here to the RIGS website.
Build to Rent is an opportunity to increase housing supply, not only in city centres, but also in suburban areas providing additional choice for families. SFT recently commissioned Savills to undertake demand research on Suburban Build to Rent. The research, aimed at Scottish developers, local authority planners and investors, shows suburban family homes that are specifically built for long-term rent, in places people want to live, should be a strategic part of Scotland’s housing development pipeline, which would reduce pressure on all parts of the housing market and provide those living in the rental sector with improved choice and a stronger sense of security.
The Scottish Government and SFT led intervention in catalysing the market for BTR has been successful and together we continue to monitor progress of delivery on the ground.