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Savills’ “Italy Student Housing” report provides an overview of the student housing sector in Italy, analyzing demand, supply, and investment trends in this asset class.
In the 2023/2024 academic year, the number of students enrolled in Italian universities exceeded 1.96 million, representing a 3% increase compared to the previous year. Italy remains an attractive destination for international students, whose numbers have risen by 127% compared to ten years ago and now account for 5% of all enrolled students. The number of students living away from home has also grown, albeit to a lesser extent. Among the major university cities, Rome ranks first in total number of students, while Milan leads in the absolute number of international students. Bologna has the highest proportion of international and out-of-town students relative to the total, and Padua recorded the highest year-over-year percentage growth in enrollments.

The total supply of student housing units in Italy currently stands at approximately 83,000, 69% of which are publicly funded. The private sector, although growing, accounts for only 31% of the total stock—a share that remains limited relative to demand, considering it covers just over 4% of the student population, one of the lowest percentages in Europe. By 2027, 73 new projects are expected to bring approximately 25,000 additional beds to the market, concentrated primarily in Milan, Rome, Padua, Turin, and Bologna. Milan remains the most dynamic city, with one-third of the new stock under development, while Padua, Turin, and Bologna have significant pipelines. In Rome, ten new facilities are expected to open over the next two and a half years.

Investors’ growing interest in the Purpose-Built Student Accommodation (PBSA) sector is confirmed by the record investment volume in Italy in 2024, amounting to €270 million, and by brisk activity in the first quarter of 2025 as well, with two transactions totaling approximately €80 million. Eighty percent of transactions involved the conversion of existing assets into student housing. In addition to major cities, interest is also expanding in secondary markets such as Padua and Pisa. PBSA facilities are proving attractive due to their living quality and the services offered, positioning themselves as a competitive alternative to traditional housing and capable of capturing both domestic and international demand.

The European PBSA market, despite having contracted from its 2022 peak due to macroeconomic uncertainties and rising construction costs, is expected to recover, with potential growth of 70% in investment volumes over the next two to five years, supported by solid fundamentals, supply-demand imbalances, and diversification strategies. Italy, along with Spain and Portugal, remains among the most promising emerging markets in Europe.