1500 build-to-rent apartments up for grabs at a discounted rate

The Clean Energy Finance Corporation (CEFC) has invested $100 million in an innovative new affordable build-to-rent (BTR) strategy managed by AXA IM Alts, which aims to deliver 3,000 apartments in the initial stage with at least 50 per cent of them being offered at a discounted rate. They will be situated throughout key worker employment hubs in Australia’s major metropolitan cities. 

This strategy will lead the way in paving the way for developers delivering future affordable housing which also caters for tenants who have been locked out of the benefits of affordable, clean and sustainable living. The homes are set to be consistent with the International Energy Agency’s zero carbon buildings approach, suggesting that they will be highly energy efficient, 100% electric and capable of being powered by renewables. 

The first investment is a 397-unit residential development in Sydney’s Westmead, which is adjacent to one of the largest health, education, research and training precincts in Australia. This exciting project aims to supply affordable housing for key workers in Western Sydney. 

AXA IM Alts, a global leader in alternative investments and a leading real estate portfolio and asset manager in Europe, has partnered with leading Community Housing Provider, St George Community Housing (SGCH) to manage the Westmead property from completion along with other future projects in NSW.

The Westmead development is expected to be completed in late 2025, and will provide housing for approximately 1,000 people, with half the dwellings targeting key healthcare, teaching and emergency response workers within the precinct. 

“This investment brings the benefits of sustainability to an important segment of Australia’s residential sector, at scale,” said CEFC CEO Ian Learmonth.

"Making homes more resilient, healthy and comfortable by lifting sustainability standards helps meet our current and future housing needs as we move towards net zero emissions and unlock the advantages of sustainable living for more Australians.” 

Head of Australia at AXA IM Alts, Antoine Mesnage said: 

“CEFC's investment is an important milestone in the continued success of our Australian affordable housing programme and our wider global residential strategy, which we intend to grow alongside new capital partners.

“It also reflects our shared approach to addressing the shortage of good quality, sustainable housing stock for key workers in Australian cities.

“We have strong ambitions to continue to expand this residential strategy in Australia, allowing our clients to benefit from AXA IM Alts’ global expertise and local knowledge in the sector.

“The Westmead project, our strategy’s first investment, is expected to complete in 2025 and will aim to enable essential workers to live in good quality, institutionally managed  accommodation closer to their place of employment. 

“We seek to replicate this model at scale across Australia, with an initial focus on Sydney, Melbourne and Brisbane, and we have a number of pipeline opportunities identified to grow and diversify the portfolio further.” 

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