Empiric Student Property has reported better-than-expected results at the start of the 2023-24 academic year. The U.K.-based owner and operator of student accommodation revealed an impressive 99% revenue occupancy across its portfolio, surpassing its target of 97%. This represents a significant increase from the 98% occupancy rate recorded in the previous year. The company attributes this success to the strong demand from students.
Furthermore, Empiric Student Property has experienced a remarkable growth in rental rates, achieving a like-for-like average weekly rental growth of 10.5%. In light of these positive figures, the company has revised its dividend target for 2023 to 3.5 pence from 3.25 pence, indicating a remarkable 27% increase from the previous year.
Looking ahead, Empiric is optimistic about the future and has set a minimum target of 5.0% like-for-like rental growth for the academic year 2024-25. Chief Executive Duncan Garrood expressed confidence in the company’s outlook and dividend expectations, emphasizing the exceptional results as a testament to the quality of their portfolio, customer service proposition, and operating platform.
Overall, Empiric Student Property has achieved outstanding performance in occupancy and rental growth, positioning itself as a market leader in the student accommodation industry.
Note: Joe Hoppe contributed to this report.