A new major player is entering the Australian Build To Rent market in a significant challenge to traditional retirement villages, with Lendlease announcing its first BTR project in Brisbane.
Lendlease, which signalled its interest in moving into Australian BTR last October, is partnering with Canadian firm QuadReal Property Group for the $300 million project, which will see a 37-storey, 443-unit BTR tower built at Brisbane Showgrounds.
The units will comprise a mix of studios and one-, two- and three-bedroom apartments, with amenities similar to those found in retirement villages such as a 25-metre lap pool, a gym, an outdoor spa, a yoga studio, a BBQ pavilion, resident lounges, and a 24-hour concierge service.
Construction will commence early this year, for a completion date in 2025; this is a fast turnaround compared to most retirement villages, which can take upwards of seven years to build.
Dale Connor, CEO, Lendlease Australia (pictured), said that the ASX-listed company – which has sold off almost 75% of its stake in its Retirement Living division – is “actively pursuing” further BTR opportunities in other cities around the country.
“We see enormous potential in the emerging Build To Rent sector in Australia, with institutional investors attracted to high-quality residential real estate for its resilient income profile.
“In the Australian market we believe there’s strong demand for long-term, premium rentals in quality locations. Our partnership with QuadReal will bring the best of our shared global experience and capability to deliver one of the finest examples in Australia,” he said.
The Lendlease development is the second major BTR project to be announced for Queensland in as many weeks, with global property giant Sentinel purchasing a site on the Gold Coast for 300 units at the end of January.
