Mirvac Expands Build-To-Rent Aspirations to Melbourne, Acquires Site Alongside Queen Victoria Market
Following a successful bid to raise $750 million in capital last week, Mirvac has wasted no time in investing the proceeds by entering into an agreement with developer PDG to deliver a $333.5 million build-to-rent project.
The project, consisting of 490 residences, is part of a $450 million development of the ‘Munro’ precinct. It sits adjacent to the Queen Victoria Market site, also undergoing a $250 million renewal, and less than 500 metres away from PDG’s Elizabeth North project.
Mirvac CEO and Managing Director Susan Lloyd-Hurwitz said the build-to-rent market is one of the largest real estate classes in the world, and that it made sense for Mirvac to pursue the sector in Australia.
“It will deliver a secure and valuable revenue stream, as well as presenting us with a new and growing customer base,” she said.
The new project with PDG marks Mirvac’s second foray into build-to-rent, with its first development, Pavilions at Sydney’s Olympic Park, due for completion in Q3 next year. Leasing will open in June 2020.
The first stage of works for the Munro precinct is already underway. PDG will develop the build-to-rent project as part of the final stage, along with a hotel and retail offering.
“We are proud to develop a new benchmark in Australian housing alongside a well-respected company with a shared vision,” said PDG Corporation Managing Director, Vince Giuliano, of the Mirvac partnership.
Lord Mayor Sally Capp was equally enthusiastic about the project.
“We hope to see more build-to-rent projects considered in the future as a way to help meet the needs of our growing population.”
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