Student housing is starting to catch the eye of serious investors around the world. Across Europe, Asia, and now even South Asia, more investors are turning their attention to a once-overlooked corner of the market: student accommodation. But not just any kind, we’re talking about residences built specifically for students, from the ground up.
What’s Changing?
A few years ago, most students would end up sharing a flat, renting a room in someone’s house, or applying for space in overcrowded university halls. It was never ideal, but just what was available.
But things are shifting. Today’s students, especially those studying far from home, want more than just a roof over their heads. They want security. They want space to focus. And they want to feel like they belong somewhere.
This is where purpose-built student accommodation, or PBSA, steps in.
These buildings are designed entirely around student life, think private rooms, collaborative study lounges, fitness centres, laundry facilities, security teams, and keycard access. It’s a far cry from the cramped, outdated digs many of us remember. This is housing designed with intent.
Investors Are Paying Attention
According to Reuters, in a major July 2025 move, Macquarie, one of Australia’s largest financial institutions, acquired MILESTONE and BaseStack Living, two of Europe’s most recognised PBSA platforms. Together, they operate over 12,000 beds across Germany, the Netherlands, Italy, and beyond.
And Macquarie’s not alone. Greystar, Blackstone, Legal & General — many of the world’s largest players have been increasing their exposure to this asset class. Why? Because it makes sense. University enrolment is growing fast. Quality student housing isn’t. And even when the economy dips, education demand tends to hold steady.
In other words, PBSA sits in a rare sweet spot: high demand, long-term visibility, and relatively low volatility.
The Data Supports the Shift
Across Europe, the spotlight is still on residential and logistics when it comes to investor preferences; no surprises there. But what’s catching attention this year is student accommodation. For the first time, it’s broken into the top three most preferred sectors, with 67% of institutional investors showing interest. It’s a strong signal that what was once a niche asset class is now seen as a serious, long-term investment play, according to INREV survey. .
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That trend is reflected in the numbers, too. According to recent forecasts, the global student housing market is expected to climb from $12.7 billion this year to nearly $20 billion by 2033. That’s nearly 5% compound growth over the next decade — a figure most traditional real estate segments can only envy.
A New Standard in South Asia
This is where Luna, Lahore enters the picture.
Developed by One Homes, Luna, Lahore is Pakistan’s first-ever purpose-built student accommodation for women, set right in the heart of Lahore’s academic zone. With over 100,000 students enrolled at nearby institutions like UMT, COMSATS, and University of Lahore, the project is strategically placed to meet real local demand.
But it’s not just the location that matters — it’s the thinking behind it.
Designed for the Modern Student
Luna has been thoughtfully designed around the needs of today’s young women. It features quiet study spaces, a fully equipped gym, a shuttle service for safe commuting, and even an on-site convenience store — all within a secure, professionally managed environment.
It’s a far cry from the ad hoc arrangements students have had to settle for in the past. And that’s precisely the point.
With investors and institutions around the world rethinking their real estate portfolios, PBSA offers something distinct: dependable demand, consistent cash flow, and measurable social impact. It sits at the intersection of smart economics and meaningful investment — a rare combination in today’s market.
For those watching global trends and looking ahead, one thing is becoming increasingly clear: purpose-built student housing is the next big thing.
