A complete guide to Build-to-Rent (BTR) management in London

Malaysian investors looking to buy London property in the current landscape, Build-to-Rent (BTR) is no longer a foreign concept. It has quietly turned into a core part of London’s rental space. This shift has occurred because BTR offers a more structured approach and professional management compared to traditional buy-to-let ownership. Build-to-rent is designed to work over years, not months.

This guide explains how build-to-rent management works in London, what the services and costs involved are and why many long-term investors, including those from Malaysia, are drawn to this model.

What is Build-to-Rent management in London?

Build-to-Rent developments are not built with resale in mind. Buildings are designed for purpose-built rental developments, owned and managed specifically for long-term renting.

Unlike traditional buy-to-let, BTR schemes are set up at scale, with dedicated on-site management, amenities and longer tenancy structures. For discerning investors, this option generates predictable income, lower operational friction and stronger tenant retention.

Why is Build-to-Rent growing so quickly in London?

London’s affordability pressures, population growth and continuous tenant demand are some of the factors making professionally managed rental housing a practical necessity rather than a lifestyle choice. The capital of the UK consistently attracts overseas students, professionals and relocating families, while home ownership remains out of reach for many.

London Build-to-Rent market overview

How is Build-to-Rent different from Buy-to-Let?

Buy-to-let includes individual property ownership and requires hands-on decision-making, whereas Build-to-Rent operates on dedicated rental schemes with professional management that helps reduce volatility and management burden.

BTR vs Buy-to-Let

Why do tenants prefer Build-to-Rent properties?

Tenants choose Build-to-Rent for various reasons. This includes stability, convenience and professionally maintained living environments. These factors often help eliminate uncertainties associated with private landlords.

What tenants value most in the BTR scheme is the option of longer leases, which leads to reduced relocation stress. On-site management ensures faster issue resolution; timely maintenance helps with predictable monthly costs, and the shared amenities option results in a better quality of life.

What services are included in Build-to-Rent management?

Tenant sourcing, rent collection, handling lease administration, repairs and maintenance, compliance, safety checks, furnishing coordination, and on-site staff & concierge services, as well as day-to-day operations, are typically included in Build-to-Rent management.

What returns can investors expect from Build-to-Rent in London?

BTR investments typically deliver moderate yet stable rental yields, supported by high occupancy and long-term tenant retention. Performance indicators for BTR in London are promising as rental yields are between 4-5%, occupancy levels stand at 95%, average tenancy length is two to three years, and capital growth is steady.

What are London’s top Build-to-Rent locations?

Well-connected outer and regeneration-led neighbourhoods top London’s BTR landscape. These are larger-scale developments supported by land availability and transport access.

Key BTR hotspots

• Wembley: Offers convenient transport links with large residential schemes.
• Croydon: Ideal for wider connectivity and is price-efficient.
• Canary Wharf: Caters to a more professional tenant base.
• Stratford: The neighbourhood’s infrastructure makes it a highly in-demand location.
• East London corridors: Preferred for its vast-scale projects and hassle-free accessibility.

Does Build-to-Rent receive any government support?

Yes, BTR is formally recognised as a distinct asset class within the UK’s private rented sector, but with specific planning guidance. Under the UK planning framework, BTR schemes often comprise price-efficient rental allocations, while benefitting from planning policies carefully designed to increase housing supply.

This institutional backing has transformed Build-to-Rent into a mainstream investment category.

How Benham and Reeves Malaysia supports BTR investors

Benham and Reeves’ Kuala Lumpur office was established in 2013, and since then, we have supported thousands of Malaysian investors with buying, selling, letting and managing their UK properties. Working closely with the London offices, we offer assistance with identifying the best Build-to-Rent opportunities, provide accurate rental and market appraisal reports, mortgage guidance and manage legal coordination.

If you would like advice tailored to Build-to-Rent management or London property investment opportunities, our Malaysia team is available to guide you through this process.

Speak to Benham and Reeves Malaysia for a one-on-one consultation.