First CBRE


First CBRE “Market Report Student Accommodation” Proves a
Need for Investment in Germany of Up to 4.1 Billion Euro in High
Quality Student Apartments

  • Up to 47,000 addi­tio­nal sin­gle apart­ments requi­red in the upper seg­ment
  • The­re is a lack of hig­her qua­li­ty apart­ments in 53 of the 61 uni­ver­si­ty loca­ti­ons


  • With popu­la­ti­ons under 300,000, Karls­ru­he, Frei­burg and Münster are the most pro­mi­sing medi­um-sized cities from the per­spec­ti­ve of an inves­tor
  • Well-known uni­ver­si­ty cities such as Göttingen or Mar­burg fall only in the midran­ge
  • 26 indi­ca­tors check invest­ment poten­ti­al in the loca­ti­on, for the first time with detail­ed con­side­ra­ti­on of the uni­ver­si­ty land­scape

For almost 87 per­cent of the uni­ver­si­ty loca­ti­ons in
Ger­ma­ny with over 8,000 stu­dents, the­re is fur­ther demand in the seg­ment of high qua­li­ty
sin­gle apart­ments alo­ne. Accor­ding to cal­cu­la­ti­ons by inter­na­tio­nal­ly acti­ve pro­per­ty
con­sul­tancy com­pa­ny CBRE, the­re are curr­ent­ly around 260,000 poten­ti­al cus­to­mers for high
qua­li­ty housing among the 1.85 mil­li­on stu­dents who were stu­dy­ing at the uni­ver­si­ties of the
61 loca­ti­ons inves­ti­ga­ted during the 2011/2012 win­ter semes­ter. With respect to the situa­ti­on
on the housing mar­ket, in a con­ser­va­ti­ve cal­cu­la­ti­on, CBRE infers addi­tio­nal demand for
around 47,000 high qua­li­ty sin­gle apart­ments. This cor­re­sponds to a total invest­ment volu­me
of up to 4.11 bil­li­on Euro – with an avera­ge apart­ment size of 25 squa­re met­res and over­all
invest­ment cos­ts of 3,500 Euro per squa­re met­re for an insti­tu­tio­nal end inves­tor. The sta­ble
situa­ti­on on the Ger­man housing mar­ket and the con­ti­nuing high demand for small housing
offer excel­lent con­di­ti­ons for the invest­ment niche of stu­dent housing.

The­se are the results of the first “Mar­ket Report Stu­dent Accom­mo­da­ti­on”, which CBRE
pre­sen­ted yes­ter­day tog­e­ther with Inter­na­tio­nal Cam­pus and Youniq in Frank­furt am Main.
The detail­ed stu­dy included all uni­ver­si­ty loca­ti­ons with more than 8,000 stu­dents enrol­led in
the 2011/2012 win­ter semes­ter. 61 cities in Ger­ma­ny were the­r­e­fo­re ana­ly­sed and ran­ked.

In addi­ti­on to the housing mar­ket and socioe­co­no­mic figu­res, for the first time, the
“2012/2013 Mar­ket Report Stu­dent Accom­mo­da­ti­on” has taken into account the par­ti­cu­lar­ly
rele­vant – for the asset class of stu­dent accom­mo­da­ti­on – uni­ver­si­ty land­scape in the 144-
page ana­ly­sis.

A demand ana­ly­sis has been con­duc­ted for each of the indi­vi­du­al loca­ti­ons: “the value added
by our mar­ket report lies in the esti­ma­te of the addi­tio­nal demand for high qua­li­ty stu­dent
accom­mo­da­ti­on in a spe­ci­fic loca­ti­on. This esti­ma­te offers Ger­man and inter­na­tio­nal
inves­tors an excel­lent gui­de for an invest­ment decis­i­on in the asset class of stu­dent
accom­mo­da­ti­on and allows direct com­pa­ri­son of all the rele­vant loca­ti­ons in Ger­ma­ny,”
explains Dr. Hen­rik Baumunk, Head of Resi­den­ti­al Valua­ti­on at CBRE. The hig­hest over­all
demand for addi­tio­nal high qua­li­ty stu­dent accom­mo­da­ti­on – out­side of the metro­po­li­ses – is
shown by the medi­um-sized cities of Darm­stadt, Münster and Gie­ßen due to their favoura­ble
under­ly­ing con­di­ti­ons.

The top 20 university locations
‍The top 20 uni­ver­si­ty loca­ti­ons by cal­cu­la­ted addi­tio­nal demand (maxi­mum) for high qua­li­ty sin­gle apart­ments

In addi­ti­on to popu­la­ti­on deve­lo­p­ment and stu­dent num­bers the figu­res ana­ly­sed also include
details of the num­ber of places in stu­dent halls and of the rate of pla­ce­ment in
accom­mo­da­ti­on in the respec­ti­ve uni­ver­si­ty loca­ti­on. On the level of the uni­ver­si­ty land­scape,
the fac­tors taken into account include non-uni­ver­si­ty faci­li­ties, sup­port rate and the
avai­la­bi­li­ty of exter­nal fun­ding. “With this stu­dy, we want to con­tri­bu­te grea­ter trans­pa­ren­cy in
the mar­ket for stu­dent and small housing. The fore­cast of the con­fe­rence of cul­tu­re minis­ters
on first year stu­dent figu­res for 2012 is now alre­a­dy being signi­fi­cant­ly excee­ded. We are
the­r­e­fo­re expec­ting gro­wing stu­dent num­bers, which will fur­ther boost demand. As such, the
demand shown by CBRE for almost 50,000 addi­tio­nal high qua­li­ty apart­ments will see a
fur­ther signi­fi­cant increase in the coming years,” Inter­na­tio­nal Cam­pus AG Chair­man Horst
Lie­der comm­ents on the ana­ly­sis.

The CBRE “2012/2013 Mar­ket Report Stu­dent Accom­mo­da­ti­on” is based on exten­si­ve
qua­li­ta­ti­ve rese­arch and nume­ri­cal data available by Sep­tem­ber 2012. “No other publi­ca­ti­on
about the stu­dent housing mar­ket in Ger­ma­ny fea­tures a com­pa­ra­ble level of detail. The
ana­ly­sis enables decis­i­on-makers from the eco­no­my, admi­nis­tra­ti­on and poli­tics as well as
inte­res­ted mem­bers of the public to gain a com­pre­hen­si­ve over­view. Thanks to the mar­ket
report, it is pos­si­ble to make invest­ment decis­i­ons on a more foun­ded basis and to pro­vi­de
inter­na­tio­nal inves­tors with an initi­al esti­ma­te of the addi­tio­nal demand for high qua­li­ty
stu­dent apart­ments,” says Rai­ner Nonnengässer, Chair­man of YOUNIQ AG.

Accor­ding to cal­cu­la­ti­ons by CBRE, the­re is a need for invest­ment in addi­tio­nal high qua­li­ty
stu­dent apart­ments in a total of 53 of the 61 uni­ver­si­ty and col­lege cities con­side­red. The
loca­ti­ons with the grea­test poten­ti­al for suc­cessful invest­ments in the long term are Munich,
Ham­burg and Frank­furt am Main. Here, a strai­ned housing mar­ket is accom­pa­nied by a low
rate of stu­dent pla­ce­ment in accom­mo­da­ti­on in stu­dent halls. Cou­pled with a rela­tively high
stu­dent inco­me and sta­ble deve­lo­p­ment pro­s­pects for the­se cities, CBRE is the­r­e­fo­re
expec­ting con­tin­ued high demand for sophisti­ca­ted stu­dent accom­mo­da­ti­on.

If the uni­ver­si­ty land­scape cate­go­ry is con­side­red on its own then Munich, Stutt­gart and
Ber­lin hold the top spots. In the cate­go­ry of under­ly­ing socioe­co­no­mic con­di­ti­ons, Munich,
Erlan­gen and Regens­burg are the ran­king win­ners and in the housing mar­ket cate­go­ry, the
same loca­ti­ons as in the over­all ran­king are most con­vin­cing – only the order dif­fers
(Ham­burg 1st, Frank­furt 2nd, Munich 3rd).

In the eva­lua­ti­on of the 61 uni­ver­si­ty loca­ti­ons exami­ned with respect to poten­ti­al for
suc­cessful invest­ments in the long term, 45 loca­ti­ons achie­ve over 50 per­cent of the
maxi­mum achie­va­ble point score. A maxi­mum of 10 points can be award­ed in the over­all
ran­king and in each of the three sub­ca­te­go­ries, alt­hough the cate­go­ry of socioe­co­no­mic
figu­res has a 35 per­cent impact, the housing mar­ket cate­go­ry has a 40 per­cent impact and
the uni­ver­si­ty land­scape cate­go­ry has a 25 per­cent impact on the over­all result for the
respec­ti­ve city.

Top 10 loctions with the greatest potential
‍Top 10 loca­ti­ons with the grea­test poten­ti­al for suc­cessful invest­ments in the long term in high qua­li­ty stu­dent apart­ments

Sample calculation for Munich
Sam­ple cal­cu­la­ti­on for Munich

Cities in nor­t­hern Ger­ma­ny in par­ti­cu­lar show defi­ci­ts with respect to the under­ly­ing
socioe­co­no­mic con­di­ti­ons such as purcha­sing power and popu­la­ti­on pro­jec­tion. Even well-
known uni­ver­si­ty loca­ti­ons such as Göttingen and Mar­burg achie­ve only the midran­ge due to
their only avera­ge pro­jec­tions in buy­ing power and popu­la­ti­on. By con­trast, many medi­um-
sized cities such as Karls­ru­he, Münster and Frei­burg im Breis­gau are of grea­ter inte­rest for
inves­tors becau­se they dis­play attrac­ti­ve socioe­co­no­mic figu­res and a rela­tively strai­ned
housing mar­ket with no app­re­cia­ble vacan­cy rate and rela­tively high quo­ted rents over the 8
Euro mark. Regio­nal cen­tres and medi­um-sized cities in Baden-Württemberg, Bava­ria and
North Rhi­ne-West­pha­lia are par­ti­cu­lar­ly pro­mi­sing for invol­vement in the stu­dent
accom­mo­da­ti­on mar­ket. In the east of Ger­ma­ny, Ber­lin, Pots­dam, Dres­den and Jena
like­wi­se per­form well, being pla­ced in the upper half of the over­all ran­king. The rela­xed
housing mar­ke­ting in Dres­den, Jena and Leip­zig is prin­ci­pal­ly respon­si­ble for the fact that the
invest­ment con­di­ti­ons the­re are not rated more posi­tively.

The com­ple­te “2012/2013 Mar­ket Report Stu­dent Accom­mo­da­ti­on” can be obtai­ned from
CBRE for a nomi­nal fee of 4,500 Euro. Jour­na­lists can request a free copy of the mar­ket
report from CBRE.

Overall result
Over­all result

The top 10 in the socioeconomics category
‍The top 10 in the socioe­co­no­mics cate­go­ry

The top 10 in the housing market category
‍The top 10 in the housing mar­ket cate­go­ry

The top 10 in the university landscape category
‍The top 10 in the uni­ver­si­ty land­scape cate­go­ry

The top 15 medium-sized cities
‍The top 15 medi­um-sized cities (popu­la­ti­on < 300,000) and their demand for addi­tio­nal high qua­li­ty sin­gle apart­ments

Contacts Names and Press Contacts


Dr Hen­rik Baumunk 

Mana­ging Director/Head of Resi­den­ti­al Valua­ti­on 

Haus­vog­tei­platz 10

D‑10117 Ber­lin

T: +49 30 726154–264

PR: ROZOK Com­mu­ni­ca­ti­on Con­sul­ting

Mar­ti­na Rozok
Scharn­horst­stra­ße 28

D‑10115 Ber­lin 

T: +49 30 4004468–1

Youniq AG

Rai­ner Nonnengässer 


Eschers­hei­mer Land­stra­ße 6

D‑60322 Frank­furt am Main 

T: +49 69 247472151

Press contact

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