Global real estate conglomerate City Developments is bursting onto Australia’s burgeoning build-to-rent sector with a bang, promising construction start to projects in both Brisbane and Melbourne “within the next few months”.
CDL Australia Holdings, a wholly owned subsidiary of Singapore-listed City Developments Limited, has announced more than 500 build-to-rent apartments across the two locations.
It will be the company’s first build-to-rent projects in Australia.
“The group is very positive about the future of the build-to-rent sector in Australia,” CDL’s head of development Cameron Laird said in a statement.
The projects are at Toowong in Brisbane’s inner west for an anticipated 320 apartments, and Melbourne’s growing Fishermans Bend precinct with about 240 apartments.
CDL first entered the Australian market about eight years ago with apartment and townhouse projects.
“We are extremely pleased with the strong foothold we have gained since our re-entry into the Australian property sector with our Ivy and Eve project in Brisbane in 2015 and the opportunity to leverage the rising demand for rental accommodation with build-to-rent projects in Brisbane and Melbourne,” Laird said.
That foothold includes the company’s Brickworks Park community in Brisbane’s inner north. Construction has already begun on the first stage of the 215-apartment project at the historic brickworks site in Alderley, Brisbane.
Construction is also under way on a joint venture with Metro Property Development for 96 townhouses in Brisbane’s western suburbs. The first phase of the project—Treetops at Kenmore—is fully sold, according to CDL, while about 60 per cent of the second phase is sold with a third phase yet to be released.
Last year CDL finished construction on another joint venture—The Marker in West Melbourne—comprising 198 apartments, some retail including an Aldi supermarket, and food and beverage outlets.
The developer said it is also planning construction on a joint-venture in Fitzroy, in Melbourne’s inner north, which will include 56 apartments and five terrace homes, again with ground-floor commercial and retail leases.
The global real estate company has offices in 28 countries.