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Bournemouth Student Housing: Crisis or Blessing?

Posted by Matthew Goddard in , ,

Image courtesy of Flickr, Creative Commons

The plans for the proposed construction submitted by the Developers Stonehaven Holdings and Fortitudo have applied for outline planning permission from Bournemouth city council to construct the 13 storey block, which will be located on 17-23 Holdenhurst Road. Currently located at the proposed site is a semi-detached set of shops with flats above. The developers seem to imply an interest to use planning policy to force the sale stating that there is a "clear need for new housing that is established in both national and local planning policy".

These plans are being submitted in spite of another two student blocks opening within stone's throw. The 23 million pound Belation House which will provide just shy of 400 rooms furthermore, Bailey Point in Lansdowne road, worth a whopping 31 million, will house approximately 550 students. These two are not the only properties in the pipeline either

The application goes on to say that "The site is, therefore, a clear candidate for redevelopment to make more effective use of the land available and deliver much-needed student accommodation to serve the university town".

However, according to data we hold at StuRents the Bournemouth student housing market is oversaturated. We ran the numbers and based on our forecasts currently saw that if the Bournemouth student housing market continues to exhibit the same behavior that it has historically by 2020 the supply will grow faster than demand by around 8.5%. and this figure doesn't take into account the plans mentioned above so adding another 408 rooms will only intensify an already gloomy student housing market for investors.

Taking this into consideration there may very well be a "clear need for new housing" but a development taking the form of a 13 storey student block would be ill-advised, especially one that forces other businesses and residents to relocate.