The global build-to-rent round up, 25 August 2023

A curation of news highlights from around the globe covering build-to-rent, co-living, and specialised residential assets.

New Zealand

·???????? Build-to-rent lessons from abroad: Charles Cooper, Auckland Managing Director at Colliers, and?Alan McMahon, National Director of?Strategic Advisory?at Colliers, travelled to the UK, after an earlier trip to Melbourne, alongside a group of clients to meet industry participants and inspect BTR assets. Our experience underlined the fact that overseas trends in the build-to-rent sector provide the blueprint for the growth of the asset class in New Zealand. While we still have much to learn, quality existing investors and operators are on the right track. Read the full story here.

·???????? Queenstown: Simplicity Living has confirmed its intentions to enter the Queenstown build-to-rent market with a development of at least 100 units. The development adds to Simplicity’s 1,200-unit pipeline as it advances on its medium-term goal of 10,000 build-to-rent units. Full article here.

·???????? Rental research: Research from Barfoot & Thompson, who manages more than 19,000 rental properties, has shown that pet-friendly rentals in Auckland fetched an average of 11.3% ($70) more in rent per week than those that did not allow pets. In the Auckland CBD less than 2% of rentals allowed, pets, and those achieved a substantial premium. Full article here.

Australia

·???????? Brisbane: Plans have been lodged for a four-tower development in Woolloongabba by Brisbane-based Belmonde Property Group in a joint venture with Sun Luxe Group. The $1.5B development is joining the development race to the 2032 Olympic Games in Brisbane, with one tower slated as a 230-room hotel and serviced apartment building and the other three as build-to-rent towers offering more than 1,380 apartments. Full article here.

·???????? Sydney: NSW-based developer Aqualand has started planning works on its first build-to-rent project to be developed on a North Sydney site. An existing office building would be replaced with a 40-storey development comprising 300 apartments and a ground floor retail precinct. Amenities would include a sky deck lounge, bar, pool, gym, and communal workspace. Full article here.

Europe

·???????? England: The recently completed Coppermaker Square build-to-rent development in Stratford, East London has had 281 of the 1,225 apartments fitted out and furnished in collaboration with BoConcept to provide spaces to inspire and allow tenant to express their personalities. Three key design elements of home comfort, personalisation and local awareness were used to inspire two key design collections. Full article here.

·???????? England: Construction has begun on the 81-unit Peelers Yard build-to-rent scheme in New Cross, Manchester. The scheme, from CERT Property, repurpose police and fire station buildings from the 1800’s with an original 25 metre chimney stack retained within the resident’s courtyard. Full article here.

North America

·???????? Canada: A sale of a Calgary multifamily building exemplified how office conversion to residential can increase the value of buildings. Westview Heights, a 343-unit apartment tower, sold for $83.4M equating to a blended price of $370 per square foot, compared to the $50 to $100 per square foot for office space. An additional building, which had converted five office floors to residential rental units, yielded an additional $13M from the converted floors, compared to the office floors. Full article here.

For information, advice, and opportunities in the build-to-rent, co-living, and specialised residential asset classes, get in touch with Colliers Strategic Advisory’s National Director, Alan McMahon, or Senior Analyst, Will Silk.