According to the fourth annual investor survey* by international real estate consultancy Savills and Savills Investment Management, which included investors with a total of €540 billion in real estate assets under management , student housing is the most sought-after sector in operational real estate (OpRE) for the second year in a row, i.e. real estate segments with actively managed housing and accommodation concepts.
Furthermore, the number of investors betting on single-family homes, co-living, senior housing and nursing homes has continued to rise, indicating the continued maturation of these sectors in recent years.
With regard to the different types of usage concepts, the following property types have the highest priority for investors:
- Student housing complexes – 58% (Ø 63% in Savills’ surveys between 2023-2025)
- Multifamily buildings – 52% (71%)
- Single-family homes – 52% (44%)
- Co-living – 50% (42%)
- Senior housing – 42% (37%)
- Nursing homes – 42% (25%)
Investor interest has also increased in the hotel sector, led by serviced apartments including aparthotels, whose popularity has risen from 27% to 33% year-on-year.
From a geographical perspective, the United Kingdom and Ireland, followed by the DACH region (Germany, Austria and Switzerland) and Southern Europe (Italy, Spain and Portugal) are the most sought-after markets for investors over the next three years. About 16% of investors also have a pan-European strategy, which is in line with last year’s results.
When asked about their preferred way of entering the market, more than half of respondents (58%) said they preferred direct investment or joint ventures. In the current survey, investors’ interest in accessing housing and accommodation concepts via fund vehicles increased again, with 23% of respondents citing them as their preferred route, compared to only 8% in 2025. The increase in investors looking to use funds is likely to support fundraising activities in 2026. This allows investors to invest in housing and accommodation concepts without having to build the infrastructure needed to manage and operate direct investments.
Marcus Roberts, Head of Europe – Savills Operational Capital Markets, says: “Respondents to our survey intend to invest around €45 billion in housing and accommodation concepts in Europe over the next three years, with most expecting to be most active in 2027. After a difficult few years of raising capital, investors are more optimistic about the coming 12 months and expect conditions to improve, with value-add and core-plus seen as the easiest strategies to raise capital for.”
Harry de Ferry Foster, Head of UK, Savills Investment Management, says: “The improvement in investor sentiment is an encouraging sign that capital is gradually flowing back into the European property market. Demand remains uneven across sectors and regions, highlighting the importance of disciplined stock selection even in more resilient housing and accommodation concepts, and the need for active asset management skills in what has become a revenue-driven, fundamentally driven investment cycle.”
Richard Valentine-Selsey, Head of European Living Research & Consultancy at Savills, says: “Investment in the residential and accommodation concepts across Europe has accounted for a growing share of the total transaction volume since 2022, increasing from 30% to 38%. In 2026, almost two-fifths of respondents expect to further increase their allocations over the next three years.”
Florian Gust, Director Operational Capital Markets – PBSA & Micro-Living at Savills in Germany, reports: “Student housing in Europe is very popular with many domestic and foreign investors and Germany is one of the most sought-after locations for investment in this sector. We see many investors who want to build or expand a pipeline in this country and the demand on the investment market is correspondingly high. The transaction volume already increased noticeably again last year and various ongoing transactions point to a dynamic year 2026.”
*The survey was conducted between January and February 2026. 56 investors took part.
Further information can also be found at: https://www.savills.co.uk/research_articles/229130/388917-0
