Build-to-rent development on the rise
Purpose driven build-to-rent development is expected to gain more momentum in Sydney and Melbourne according to new research.
There is a growing rental population in these locations and a strong history of high housing costs.
GALLERY
The number of renter households in Australia has increased from 500,000 over the past decade. Compounding the case is also the fact that home ownership rates have been decreasing.
According to CBRE’s latest build-to-rent report, a growing pool of more than three million households will drive the regions sector if developers can provide the right product and amenity.
In this environment, Kelwyn Teo, the head of advisory at CBRE says build-to-rent development is expected to gain more momentum. He says, “Unsurprisingly, the highest proportion of renters in Sydney and Melbourne are in some of the most desirable and, therefore, more expensive locations.”
Land cost will be a factor, particularly in locations like Sydney. Teo states that most developments are anticipated to be in “fringe locations” and in and around “population growth corridors or employment hubs supported by good public transport systems such as Parramatta, Macquarie Park and Liverpool.”
Teo also says that a key driver of a potential build-to-rent market in our country would be professional management.
“This could include provisions such as having a storage facility on site with spare parts for appliances to reduce the time a tenant must wait for a replacement or having staff onsite to attend to breakdowns”, Teo says.
For more information please visit The Urban Developer
Images courtesy of The Urban Developer
Plans backed by mining billionaire Andrew Forrest to deliver a new 150-key hotel and public laneway in Fremantle ...
Japanese design firm Studio Aluc has transformed a century-old machiya townhouse into a refined short-stay hotel in central ...
The Queensland Performing Arts Centre has expanded its cultural footprint with the opening of the Glasshouse Theatre, a ...
Crosby Studios has completed the restoration of a 17th-century farmhouse in Roccalbegna, Tuscany, transforming a once-neglected rural structure ...
The new UNSW Health Translation Hub has opened as a landmark research and education facility designed to connect ...