The Queensland government is finally getting its hands dirty in Australia’s burgeoning build-to-rent sector with construction kicking off on a purpose-built project in inner-city Brisbane.
In a partnership with Mirvac, it is helping deliver one of the first large-scale build-to-rent developments in Brisbane as part of the state’s Covid-19 economic recovery plan.
The $270-million dual-tower LIV Anura project is being built simultaneously with Mirvac’s $180-million high-end Quay Waterfront Newstead riverside project.
Combined, the developments at 60 Skyring Terrace, Newstead, will comprise 538 apartments, with the build-to-rent component totalling 395 units across two buildings of 23 and 25 levels.
The Brisbane development follows the success of Mirvac’s first build-to-rent project LIV Indigo in Sydney Olympic Park, which opened its doors to renters late last year and already 80 per cent of its 315 apartments are tenanted.
In Melbourne, construction is under way on the diversified property group’s LIV Munro project opposite the Queen Victoria Market with completion due in late 2022.
It also has been granted development approval for LIV Aston, a 32-level build-to-rent tower with 472 apartments on the site of the former Melbourne Convention Centre that it expects to complete by mid-2024. Meanwhile, planning is progressing on another build-to-rent project, LIV Albert Fields, at Brunswick in the city’s inner-north.
Mirvac’s general manager build-to-rent, Angela Buckley, said the start of work on its Newstead projects was part of the group’s plans to ramp up its pipeline in Brisbane, with significant demand across all sectors of the property market.
“Developments like LIV Anura are crucial, with the city’s residential vacancy rate plummeting in the last year due to an extremely tight rental market,” Buckley said.
“Designed and delivered exclusively for tenants, it is expected to be the first project of its scale to open to residents in Brisbane.
“All these elements ensure we are creating a home and a fantastic lifestyle, not just a place to live, giving residents a sense of safety, belonging and personalisation, along with opportunities to connect with their neighbours.”
The development is due for completion in 2024 and will provide 100 per cent renewable energy to all apartments. A quarter of the apartments will be offered at a discount rent via a government subsidy to increase affordable housing.
Queensland Treasurer and Minister for Investment Cameron Dick said final planning was also under way for the commencement of construction of the second project to be delivered under the government’s build-to-rent program—Frasers Property Australia’s 210 Brunswick Street development in Brisbane’s Fortitude Valley.
He said the government was also currently evaluating expressions of interest for two further build-to-rent developments.
“Mirvac and Pacific Living have been shortlisted for one to be located at the state-owned 50 Quay Street, Brisbane, on the site of the former Children’s Court,” he said.
“Lendlease, Greystar, Australian Unity and Make Ventures have all been shortlisted for a second Build-to-Rent development to be constructed on a privately-owned site identified by the successful proponent.”
