New communities are expected to spring up in areas of Birmingham such as East-side and the Gun Quarter due to increasing demand for student accommodation.
Property specialist Knight Frank says that within the coming five years there will be scope for more than 3,500 beds to be developed by private suppliers of student accommodation.
The firm claims that Birmingham has not attracted the same levels of interest from accommodation providers as many other student cities due to a shortage of suitable sites and planning policy preventing development in certain areas of the city, such as Selly Oak.
But it believes this will change following the completion of The Heights, a 564-bed scheme in Corporation Street and subsequent progress on phase two totalling a further 347 beds.
The sites have been developed by the country's largest provider of student accommodation, Unite Group, and the company has further opportunities in the pipeline to meet burgeoning demand.
Marcus Roberts of Knight Frank said: "The private student-accommodation market has boomed in some regions of the country, providing high-quality studios and multi-bedroomed apartments.
" Operators work in mutually-beneficial association with local universities to ease their accommodation shortages and direct let to the student population, working to strict location and specification criteria.
"However, they often find themselves directly competing with residential developers due to higher land values and in some cases have been pushed out.
"But, by concentrating their efforts in areas which are not traditionally residential and taking advantage of the city-living boom, their schemes have acted as a catalyst and in Birmingham especially, will lead to the increment of development opportunities across the city as a whole."
Knight Frank says that Birmingham's best-known student community is Selly Oak, where the majority of properties are leased by individual private landlords many of which are poorly maintained.
The firm also said that initial concerns that the student-housing market would not be big enough to sustain both individual landlords and large private providers have not been proved - Unite is now operating a waiting-list system to cope with demand. James Hunt, regional acquisition manager with Unite, said: "As the largest provider of quality student accommodation we are also on the lookout for opportunities to invest in new areas and reach new markets. Last year alone, we accommodated over 26,000 students across the UK and are introducing new facilities to meet the needs of our customers."
Mr Roberts added: "Schemes such as The Heights on Corporation Street and Londonderry House on Newton Street have attracted students keen to take advantage of modern apartments, which typically provide five ensuite study rooms together with shared kitchen/lounge facilities.
"Other major draws are the secure setting and quality specification with internet and satellite connections and ensuite facilities - a far cry from the digs of my university days.
"Private schemes are built to a good specification and also benefit from onsite amenities, including facilities such as quiet rooms, common rooms, a resident's gym and laundrettes which add to the general improvement of the area and go some way to allaying fears of a ghettoised community that is only populated during university term-times.
"In fact, these developments are leading the field in identifying potential new communities and I expect residential developers will start to follow them into these areas, pushing the city's boundaries.
"Other regional cities which have benefited from investment include Coventry and Wolverhampton.
"Coventry has three schemes on line, with almost 1,000 beds either occupied or under construction.
"Despite some initial reservations, local residents and the council have now recognised the benefits of such development and the available inward investment opportunities."
