The expansion of Australia’s student accommodation sector is expected to provide some relief to the nation’s strained suburban rental market.

Since the start of 2024, an additional 5,605 student-only beds have been introduced, bringing the total development pipeline to 35,605 beds, with a significant concentration in Melbourne, Brisbane, and Sydney.

The latest Urbis Student Accommodation Benchmark Report highlights that 11,100 student housing beds are currently under construction, with a further 14,938 beds approved for development.

Among the major capital cities, Melbourne leads with 8,875 beds in the pipeline, followed by Brisbane (7,118), Sydney (6,849), Perth (5,354), and Adelaide (3,121).

According to Student Accommodation Council executive director Torie Brown, investor confidence in purpose-built student accommodation (PBSA) remains strong, driven by robust market fundamentals and ongoing demand from both domestic and international students.

Brown emphasizes that increasing PBSA supply is a key strategy for reducing student demand in the private rental market, which in turn could alleviate broader housing affordability pressures.