Unite reiterates outlook on solid trading
By Abigail Townsend
Date: Friday 09 Jan 2026
(Sharecast News) - The Unite Group said on Friday that it remained on track to meet full-year targets, despite universities adopting a more cautious approach.
Updating on trading, the property developer and manager - which specialises in student accommodation - said fund valuations were down marginally in the fourth quarter.
The Unite UK Student Accommodation Fund eased 0.7% as at 31 December, to £2.84bn, reflecting quarterly rent growth of 0.5% offset by four basis points of yield expansion. The London Student Accommodation Joint Venture shed 1.4%, at £2.08bn.
Over the year, however, the two funds were up 0.7% and 0.5% respectively.
Trading in the fourth quarter was also in line with expectations, leaving Unite on course to deliver adjusted earnings per share of between 47.5p and 48.25p.
Looking to the current year, Unite said 64% of rooms were reserved for the 2026/2027 academic year, down slightly on the previous year's rate of 67%. The real estate investment trust noted that universities were adopting "a more cautious approach" to renewing single year or expiring multi-year nomination agreements.
However, it continued: "The UK 18-year-old population will grow by 4% this year, supporting demand for university education, and we continue to see good engagement from university partners.
"Based on these discussions, we anticipate further demand for beds from universities later in the sales cycle."
Joe Lister, Unite Students chief executive, said: "Sales progress to date is consistent with our guidance of 93% to 96% and rental growth of 2% to 3% for the 2026/27 academic year.
"We are focused on delivering our strategic priorities, namely driving operations excellence and optimising capital allocation.
"These underpin our medium-term outlook and our path to return to earnings growth from 2027."
Unite also announced on Friday a £100m share buyback programme, as part of its revised capital allocation policy.
As at 0830 GMT shares in Unite were up 1% at 575.92p.
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