Think Tank calls for young professional asset class

A new residential asset class should be created for young professionals to help ease the housing crisis, according to a think tank.

Centre-right think tank Onward has suggested a new residential building type - Purpose Built Young Professional Accommodation (PBYPA) for young professionals aged up to 35, which would see the delivery of compact studio or micro apartments in cities, with these developments being exempt from certain “key regulations” including Nationally Described Space Standards.

These developments, Onward said, would “prioritise affordability and central location over other amenities”. PBYPA would be a new sui generis (use of its own kind) class and would be straightforward to create as the mechanisms “already exist”, thanks to the presence of Co-Living and Purpose Built Student Accommodation.

These types of asset class, Onward explained, were not subject to minimum space requirements in London and “have special affordable housing requirements”. But neither of these existing classes were suitable enough for young professionals.

According to Onward’s report, PBYPA would fill a gap in demand from young professionals working in cities including London, Manchester, Bristol, Bath, Brighton and Leeds.

The government, Onward said, had failed to focus on urban densification in its aim to …