:
Australia: AXA IM Alts has acquired a development site in West Melbourne for a 100-unit build-to-rent (BTR) project.
The deal is AXA’a first in the Melbourne BTR market and its second project under its affordable housing strategy in Australia. It has partnered with Australian developer PDG to undertake the Adderley Street project which will be managed by St George Community Housing.
At least 50 per cent of the 100 apartments will be designated affordable housing to support key workers in the city and surrounding major employment hubs such as the Victoria Police Centre, Royal Melbourne Hospital precinct and the University of Melbourne.
Resident amenity will include a ground-floor outdoor terrace, and the rooftop co-working space, terrace and dining room will boast striking views of the city. The building will be 7.5-Star NaTHERS and 5-Star Green Star Rating, and incorporate EV chargers, solar panels, highly efficient all-electric appliances and bike storage.
Antoine Mesnage, head of Asia Pacific at AXA IM Alts, said: “Expanding into Melbourne marks a significant milestone in our strategy, bringing both portfolio diversification and scale. We like the residential space very much. We think that Australian capital cities – Sydney, Melbourne, Brisbane – have a particular supply-demand imbalance. The specific market conditions offer the opportunity to invest at scale. So we want to continue to find projects similar to these two.”
“We voluntarily allocate a minimum 50 per cent of our projects to affordable housing. We have track records investing in that space mainly in Europe and recently in Australia. The returns are comparable to market rents. We actually manage a portfolio of roughly 13,000 affordable housing units globally,” he added.
Highlights:
• AXA IM Alts has acquired a development site in West Melbourne for a 100-unit build-to-rent (BTR) project
• The deal is AXA’a first in the Melbourne BTR market and its second project under its affordable housing strategy in Australia
• It has partnered with Australian developer PDG to undertake the Adderley Street project which will be managed by St George Community Housing
• At least 50 per cent of the 100 apartments will be designated affordable housing to support key workers
