This article is from the Australian Property Journal archive
GLOBAL real estate firm Hines has begun its foray into Australia’s nascent build-to-rent market, buying an inner north Melbourne site for a 250-unit apartment complex.
The 10 Ballarat Street property is located in Brunswick, a suburb already set for a new Mirvac build-to-rent project and a number of boutique alternative residential offerings.
“10 Ballarat will provide its future residents all the benefits of proximity and access to transport connectivity, retail and entertainment amenities while living in a lower scale, greener and more residential pocket of Melbourne,” Hines said, adding that the project will place a “strong emphasis on the importance of creating living spaces that are committed to sustainability and ESG efforts”.
It is the first acquisition since the June appointment of Hines’ new head of living, Sam Bisla, tasked with leading the establishment of the build-to-rent platform.
“Hines is a true vertically integrated global BTR player and bringing this global IP to bear has allowed for a deeper insight into the 10 Ballarat acquisition, as well as its design, construction and operations,” he said.
“Hines, along with the world’s largest institutions, has seen the long-term defensive nature of the asset class during a turbulent time,” Bisla continued.
“We see an investment window in Australia and are strategically building our pipeline and are expecting to scale up the Hines Australian build-to-rent portfolio in the short term.”
At 4 Ballarat Street, build-to-rent and rent-with-the-option-to-buy developer Assemble Futures is developing 171 sold-out apartments that give residents the chance to sign leases of up to five years and the option to buy their home at the end of their tenure.
Meanwhile, Mirvac has partnered with local developer Milieu for the 500-apartment Albert Fields project in Brunswick, on a combined one-hectare site.
Rival listed developer Stockland bought up a neighbouring 4,010 sqm site and has plans for a $50 million-plus residential development.
The sale was handled by Colliers James Wu, Oliver Hay, Hamish Burgess and Trent Hobart.
