Industry super fund HESTA is pouring $240 million into Build To Rent (BTR) projects through an investment in new specialist affordable housing fund manager Super Housing Partnerships (SHP).
BTR will challenge retirement villages for the Baby Boomer in our opinion over the next few years.
SHP will work with institutional investors to fund new BTR developments, focusing particularly on social and affordable housing; its first fund will focus on Victoria, with the potential for around 1,600 mixed-tenure dwellings.
“HESTA and SHP through establishing this unique approach have effectively built the pipes and pumps to allow institutional capital to flow towards addressing our national housing crisis,” said HESTA CEO Debby Blakey (above).
“We’re now looking to work with all levels of government to address blockages that are holding back institutional investment at scale.”
SHP venture partner Kris Daff (pictured) said the fund is a “crucial part of the solution” to Australia’s affordable housing shortage.
“We welcome HESTA’s significant $240 million initial investment as this commitment demonstrates the value of SHP to large institutional investors seeking real assets, while delivering vital outcomes for Australians struggling to access secure housing.
Other organisations such as Fresh Hope Communities and the NSW Government are also investing in affordable BTR developments, and the Urban Developers Institute of Australia (UDIA) has flagged it as an affordable housing solution.
