Unite Group (LSE:UTG), the UK's leading owner and developer of purpose-built student accommodation, has reiterated its full-year adjusted earnings per share guidance of 41.5 to 43.0p for FY2026, with reservations for the 2026/27 academic year running ahead of the same point last year.
Across the Unite Students portfolio, 86% of beds are now reserved for 2026/27, up from 85% at this stage in the prior cycle, with the balance shifting toward direct-let sales at 33% of beds versus 27% last year and away from nomination agreements, which account for 53% compared with 58% previously.
The unchanged like-for-like income growth guidance of 0 to 2% now rests on a different mix of drivers: expected occupancy of 94 to 96% and rental growth of 1 to 2%, compared with the prior assumption of the lower end of 93 to 96% occupancy and 2 to 3% rental growth.
At the Empiric Hello Student portfolio, acquired earlier this year, 71% of beds are reserved for 2026/27 against 61% at the same point in 2025/26, with occupancy now expected to reach at least 87%, up from a previous estimate of approximately 85%.
Property valuations fell in the second quarter, with the Unite UK Student Accommodation Fund portfolio independently valued at £2,928 million, down 2.2% on a like-for-like basis, and the London Student Accommodation Joint Venture portfolio valued at £1,959 million, down 3.7%, both driven by yield expansion rather than rental weakness.
Unite said it will provide a further update on disposal strategy and portfolio repositioning alongside its interim results.
