Insight

The End of the Amenities Arms Race: What Renters Really Want in 2025

20.5.25

03_Amenity Building

For years, the Build to Rent sector has been caught in an escalating "amenities arms race," with developers competing to offer ever more elaborate facilities.

From rooftop bars and cinema rooms to co-working lounges and cutting-edge gyms, developers have long battled to impress. But new research suggests they may have been prioritising the wrong things all along.

The Reality Check: What Residents Actually Value

Our recent survey of BTR preferences reveals a striking disconnect between what the industry has been providing and what residents actually prioritise. The results challenge fundamental assumptions about amenity provision and point toward a more nuanced understanding of what makes rental living attractive.

The Top Priorities:
1.    High-speed Wi-Fi: 88.01%
2.    Secure building access: 85.96%
3.    Laundry facilities: 84.57%
4.    En-suite bathroom: 83.62%
5.    Low cost: 83.12%

The Bottom Priorities:
1.    Shared kitchens: 51.40%
2.    On-site events/community activities: 59.79%
3.    Co-working space: 65.73%

The data tells a clear story: residents desire practical, reliable amenities over social spaces. The things that topped our survey—security, connectivity, cleanliness—are the basic building blocks of comfortable living, not the Instagram-worthy features that have dominated marketing materials.

 

The Intangible Premium


What's particularly striking is how highly residents value what we might call "intangible amenities"—security, professional management, reliable services. These don't require significant additional square footage or complex operations, but they fundamentally improve the living experience.


At a recent Bidwells-hosted roundtable attended by industry leaders, one participant observed: "High-speed Wi-Fi and secure building access are now core product expectations. People are wedded to these as basic requirements, not luxury add-ons."


This shift toward valuing intangible amenities reflects a maturing market where residents understand the difference between flashy features and genuine value. It also suggests opportunities for "lean BTR" models that focus on delivering exceptional service rather than extensive facilities.

The Demographic Divide

The amenity preferences reveal important demographic insights. While communal facilities score lower overall, they remain important for specific resident segments. As one operator noted: "We have the gamut from low to basically no amenity, to very highly amenitised buildings. They're built for different demographics."
The key insight isn't that amenities are unimportant—it's that different resident segments want different things:


•    Premium renters (paying £60+ per square foot) expect comprehensive amenities and will pay for guaranteed access to high-quality facilities

•    Value-conscious renters prioritise cost-effectiveness and practical amenities over communal spaces

•    Convenience-seekers value services like cleaning and maintenance over physical amenities

The Marketing vs. Reality Paradox


One of the most insightful observations from our roundtable was the disconnect between what renters say they want when viewing properties versus what they actually use once they move in. As one participant explained:

"There's a real risk with this data—people realise they don't actually use the gym every day, but when you're pitching to them initially, they imagine they're in that gym every day. It's like retirement village operators who say pools are a nightmare—you must put one in for marketing, but residents never actually use it."

This "aspirational vs. actual" divide creates a challenging dynamic for developers who need amenities to secure initial lettings but may be investing in facilities that provide limited ongoing value to residents.

The Economics of Lean Amenity Models


The shift away from amenity-heavy models has compelling economic logic. High-amenity buildings require:

•    Significant upfront capital investment
•    Ongoing operational costs for staffing and maintenance
•    Larger floor plates that reduce net-to-gross ratios
•    Complex management structures

In contrast, lean amenity models can offer:

•    Lower development costs
•    Reduced operational complexity
•    Better gross-to-net efficiency
•    More competitive pricing for cost-conscious renters

Innovative Approaches to Amenity Provision


Several creative solutions emerged from our discussions:

•    Centralised Amenity Hubs: One developer is creating community clubhouses where residents can opt-in to premium amenities rather than having them embedded in every building. "We're centralising amenities and giving people the choice—you need the offer, but does everybody need it?"

•    Multi-functional Spaces: Rather than dedicated-use rooms, successful developments are creating flexible spaces that can serve multiple purposes—a presentation screen that works for both cinema nights and business meetings.

•    Shared Bathroom Models: While controversial in the UK market, some developers are exploring American-style shared bathroom typologies to improve affordability while maintaining quality. "We're not brave enough yet to break that mould, but in the United States they've achieved better affordability outcomes."

The Architecture of Active Community

Amenity provision extends beyond the facilities themselves to integration within building design and operational models. As one architect noted: "There's nothing worse than going around a building with a pool that no one's in, or a gym that's empty. You need to think about who's going to choreograph the day-in-the-life of these spaces."

Success requires operational planning from the design stage, active community management programming, flexible design adapting to preferences, and realistic sizing based on actual usage rather than aspirational projections.

The Professional Management Premium

Perhaps the most important insight from the amenity discussion is that residents increasingly value professional management and reliable service delivery more than elaborate facilities. The top-ranking "amenities" in our survey—security, Wi-Fi, cleaning services—are all about operational excellence rather than physical infrastructure.

This suggests a fundamental shift in what "premium" means in the rental market. Rather than competing on facility quantity, successful operators will compete on service quality and operational reliability.

Looking Forward: The Amenity Evolution


The data points toward several emerging trends:

•    Service-First Models: Emphasising cleaning, maintenance, security, and community management over physical amenities

•    Opt-In Structures: Allowing residents to choose and pay for additional services rather than bundling everything into base rent

•    Technology Integration: Using smart building systems and apps to deliver convenience and connectivity

•    Outdoor Focus: Recognising that well-designed outdoor space consistently ranks highly with residents

•    Affordability Consciousness: Acknowledging that 83% of residents cite "low cost" as essential

The Strategic Implications


For BTR developers and operators, the amenity evolution requires strategic recalibration:

1.    Investment Prioritisation: Focus capital on high-impact, high-utilisation amenities rather than showcase features

2.    Operational Excellence: Invest in service delivery systems and community management capabilities

3.    Market Segmentation: Develop clear amenity strategies for different demographic targets

4.    Flexibility: Design spaces and operational models that can adapt to changing preferences

Conclusion: Quality Over Quantity


The end of the amenities arms race doesn't mean the end of amenities—it means the beginning of smarter, more strategic amenity provision. The most successful BTR developments will be those that understand their residents deeply enough to provide exactly what they value most.

As the market matures, residents are becoming more sophisticated in their preferences, choosing substance over style, reliability over novelty, and value over ostentation. The developers and operators who recognise this shift will be best positioned to deliver the rental experiences that residents actually want—not just the ones that look good in marketing brochures.

Get in touch with our team

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Iain Murray

Head of Operational Living

Iain spearheads our Operational Living department across PBSA, Co-living, Build to Rent, Later Living and Retirement.

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Kate Brennan

Partner, Operational Living

Operational living specialist combining strategic consultancy with valuation expertise—driving positive outcomes across build to rent, single-family housing, and residential portfolios nationwide.

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Ed Howe

Head of Operational Living Research

Ed is part of our Operational Living department and heads up operational living research, working alongside Iain Murray.

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How we can help

Optimising Your Amenity Strategy for Maximum Impact?

Understanding what residents truly value requires deep market research and strategic thinking. Our team can help you develop amenity strategies that deliver genuine value while maximising development costs and operational efficiency.
Our services include:

•    Resident preference surveys and market research
•    Amenity benchmarking and cost-benefit analysis
•    Operational model development and optimisation
•    Design brief development for maximum amenity impact

Whether you're planning a new development or assessing an existing portfolio, we can help you focus your investment where it will have the greatest impact on resident satisfaction and financial performance.

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