Australia: Local Residential, the BTR platform backed by Macquarie Asset Management, has revealed plans for an apartment project in central Melbourne.
The development in the inner suburb of Southbank, will have a GDV of A$270 million (£132 million) and will boost Local’s asset pipeline to more than A$1.34 billion (£650 million), according to the company.
Construction on the site at 65 Haig Street is scheduled to begin in Q3 this year, with completion targeted for late 2027.
Chris Axsentieff, head of investments at Local, said: “This project will continue Local’s goal of delivering much needed housing, that improves rental landscape for Australians and spurs the kind of institutional Investment that the recent MIT legislative changes seeks to encourage.” said
Local says 74 per cent of the new project’s apartments are configured as studios and one-bedroom units tailored to singles and couples, Local said. There will be no car parking, enabling the developer to cut costs and align with “urban living preferences”.
The project will feature 1,250 square metres (13,455 square feet) of amenities, including coworking spaces, health and wellness facilities, an indoor heated pool, a sauna and steam rooms, a gym, a rooftop lounge, a private dining area and dedicated pet facilities.
“The addition of this core Melbourne asset to our portfolio responds to the significant undersupply of suitable housing across Melbourne, delivering right-sized housing in greater locations to renters who want quality housing and access to retail, transport, employment, shopping, and all that Melbourne has to offer,” said Axsentieff.
The project news came after Local reached a final closing of its inaugural fund in 2024 with investments in two Melbourne projects with an end value of A$650 million (£320 million).
The fully deployed fund, called Local Residential Turnkey Venture I, has invested in a 406-unit project in South Melbourne and a 425-unit development in the city’s Box Hill suburb, with the vehicle receiving committed capital from a large North American pension fund.
Local was founded in 2021 by co-CEOs Dan McLennan and Matt Berg — both formerly of Melbourne-based developer Grocon.
