What Build-to-Rent Developments Offer Zurich Tenants Amid Spiralling Prices

Zurich’s fast-growing build-to-rent sector now accounts for more than 10% of all new apartment blocks across the city, offering tenants a modern alternative to home ownership as average sale prices cross CHF 15,000 per square metre.

The surge comes at a time when aspiring buyers face record barriers to entry. With the Swiss National Bank holding mortgage rates steady at 3.1% and property prices near all-time highs, renting is increasingly the only realistic option for many locals and expats.

High-End Rentals Fill the Ownership Gap

Nowhere is this more evident than in Zurich West. On Hardstrasse, PSP Swiss Property’s Skyline 41 opened last October, offering 140 units with concierge services, communal roof gardens and fitness studios. Rents start at CHF 3,100 per month for a one-bedroom flat – competitive by local standards, and without the daunting CHF 300,000 down payment a comparable Seefeld condo would require.

Swiss Life Asset Managers, another major player, is developing LifeAtMFO in Oerlikon on the former Maschinenfabrik Oerlikon site. Their 230-unit complex features coworking lounges and bike repair stations aimed at young professionals – a group developers say is taking longer to buy as affordability erodes. Even ETH Zürich has entered the fray, with dedicated postgraduate blocks in Binz-Alt-Wiedikon, where rents are capped for university staff and students.

Traditional landlords have also ramped up what’s on offer to hold onto tenants. The venerable SIEDLUNG Hardau cooperative, for example, recently invested CHF 7 million refurbishing communal kitchens, laundry hubs and children’s play spaces in their Altstetten properties in direct response to the competition from new BTR models.

The Numbers: Renting vs Buying in 2026

Data from Wüest Partner shows Zurich’s median advertised rent hit CHF 2,700 per month in June 2026, up 8% year-on-year. The typical two-bedroom resale flat in Enge lists for over CHF 1.8 million. Assuming a 20% deposit, buyers must save more than CHF 360,000 up front, and face monthly mortgage repayments over CHF 4,000 once maintenance and utilities are included. For renters, new build-to-rent blocks now offer stability through five-to-10 year leases, on-site amenities and even pet-friendly units, lowering the friction of frequent moves.

The contrast is most pronounced for residents under 40. Bank Cler’s housing satisfaction survey found 64% of Zurich renters in that age bracket considered switching to build-to-rent complexes in 2025, citing location, community activities and upfront savings as key draws.

For long-term residents, there is a trade-off. With home ownership increasingly out of reach—fewer than 18% of Zurich households now own their main residence—some see build-to-rent as a stopgap, not a solution to generational wealth gaps. Still, in neighbourhoods like Wipkingen and Glattpark, the model is gaining traction, particularly as legacy municipally-run flats see waiting lists stretch to five years or more. PSP Swiss Property says 82% of tenants in their BTR blocks sign on for at least four years.

What’s Next for Renters

Prospective tenants should examine build-to-rent offers carefully. Amenities and flexibility come at a modest premium versus older cooperative or city-run housing. But compared to buying, the monthly outlay is often lower and the upfront deposit a fraction. For those looking to move this summer, both the MFO site in Oerlikon and Skyline 41 at Hardplatz have new phases opening by September, with open house events planned every Saturday in July.

If Zurich property values continue their upward march, housing experts expect build-to-rent blocks to keep absorbing young renters and professionals. For those committed to staying flexible, it may be the most viable route to stable, modern accommodation in a market where buying is out of reach for all but the wealthiest.