Aware Super is set to commence its first purpose-built essential worker affordable housing development in Melbourne, after acquiring a prominent Queens Road site this week.
The Fund, supported by investment partner Altis Property Partners, has purchased the nearly 7000 square metre Bayview on the Park site, with plans to develop it as a major residential hub.
Aware Super Chief Investment Officer Damian Graham said the Fund intended to build more than 300 units on the site, the majority of which would be rented as essential worker affordable housing.
He said this latest acqusition supported Aware Super’s growing interest in the build-to-rent sector both in Australia and internationally and, took its total commitment to essential worker affordable housing to well over $900 million.
”We know that finding safe, secure, quality affordable housing close to where they work is a real challenge for essential workers – many of whom are our members – and we are determined to play our part in the solution through investments such as this,” Mr Graham said.
”Aware Super has been investing in essential worker affordable housing for more than three years and during that time we have refined our approach from purchasing excess stock to underwriting shovel ready projects to now building and developing units ourselves.
”In fact, we are one of Australia’s largest build-to-rent developers, with several other sites at various stages of development and completion in Sydney.
”We are delighted to have found the right location to expand our build-to-rent portfolio into Melbourne.
”The Bayview on the Park site ticks all the boxes for us. It is in a desirable location close to hospitals, schools, transport and other amenities, enables us to develop affordable housing assets at scale, and most importantly, will deliver strong returns to our members not just in Victoria but nationally.”
This latest acquisition increases Aware Super’s commitment to essential worker affordable housing to nearly 1400 units across Australia.
Through these investments Aware Super provides safe, secure, quality and affordable rental accommodation to teachers, nurses, emergency services personnel, aged care and childcare employees and others who work in associated industries.
Altis Property Partners Executive Director Alastair Wright said the Queens Road development was a significant one for the partnership and its largest investment in Victoria so far.
”We are delighted to have assisted Aware Super to secure such a prominent and sought after site so close to the Melbourne CBD, Albert Park and St Kilda Road precinct.
”This is just one of several build-to-rent projects we have in the pipeline and we look forward to working with Aware Super to deliver these important developments over the coming months and years.”