Build to Rent a growing thorn for retirement villages

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Mirvac’s first Build to Rent, LIV Indigo at Sydney Olympic Park, is 80% full, and 10.3% are aged 50 and beyond – a figure which has pleased the developer and should have all retirement operators worried.

The Community Apartment Project (CAPs) model is similar to retirement villages but without the Deferred Management Fee (DMF) and it is becoming a serious challenge to village retirement operators.

There are 16,000 Build to Rent apartments in the pipeline and there is barely a day without a new venture.

It was announced yesterday developer Landream had been given approval by Future Melbourne Committee to build a 267-unit Build to Rent tower, next to Queen Victoria Markets, switching from a plan for build to sell apartments that had been approved for the site it bought late last year.

Read more about Build to Rent and homeshare as alternatives to the traditional rental market in SATURDAY, the premium digital magazine for aged care and retirement living executives.