Private school closures: What opportunities do they present for investors?

In Property Week, Real Estate Partner, Sophie Henwood considers the opportunities emerging from the increasing number of private school closures following falling pupil numbers and the introduction of VAT on school fees, examining how investors can approach these often complex and highly individual property assets.

Sophie highlights that former school sites can present a rare opportunity to acquire substantial buildings and land in sought-after locations. However, the wide variety of property types means redevelopment potential can differ significantly from site to site. From historic country houses and expansive campuses to modern urban buildings, each asset requires careful assessment to determine the most appropriate future use and whether a single-use or mixed-use scheme will deliver the greatest value. Potential uses may include residential development, hotels, life sciences facilities, care homes and event venues, depending on the characteristics of the site.

A key theme of her article is the importance of thorough due diligence before any acquisition. Sophie explains that investors must understand exactly what property interest they are acquiring, particularly where leasehold arrangements may impose restrictions on assignment, alterations or changes of use. She also notes that planning considerations, heritage constraints and engagement with local communities can have a significant impact on the success and deliverability of redevelopment proposals.

The article further explores the practical and commercial factors that influence viability. Sophie discusses the need to investigate restrictive covenants, access rights, utility infrastructure and potential capital investment requirements, all of which can affect redevelopment costs and timelines. She also highlights the importance of considering transaction structures, noting that conditional contracts or option arrangements may help mitigate planning risk when acquiring redevelopment opportunities.

She concludes that while former school sites can offer attractive opportunities, each property presents its own challenges, making a site-specific approach essential when assessing redevelopment potential and investment risk.

The full article was published by Property Week in July 2026.