Renewal SA sell site for BTR project
The Australian arm of US based investment manager Sentinel Real Estate Corporation has snared a site in Adelaide’s Bowden for a high density Build to Rent project.
The 4000 square metre block (outlined, image, top), Lots 49 and 50, Third Street, was offered by Renewal SA which has been developing the area, a 16.3 hectare former Clipsal factory, as a master-planned residential-based mixed-use precinct.
Another portion recently made for a carbon neutral apartment complex.
Upon completion in over 10 years, about 3500 residents are expected to call the area home.
“Bowden has been at the forefront of innovative housing in South Australia for more than a decade,” Renewal SA chief executive, Chris Menz, said.
“Having one of the world’s leading institutional Build to Rent providers, Sentinel, choose Bowden as the location for its first South Australian venture will raise that bar again,” he added.
“Not only will it deliver greater choice and a more professionally managed and transparent rental experience for tenants, it will also free up availability in other housing segments that are currently oversaturated,” according to the executive.
Bowden, 2.5 kilometres north west of the CBD, abutting North Adelaide, is the state government’s first higher density urban renewal project.
Sentinel brings BTR to SA
Sentinel’s property management brand, Kinleaf, will develop the Third St site.
“We’re proud to be the first group to bring institutional Build to Rent to Adelaide and play a role in providing greater housing choice to South Australians, Michael Streicker, Sentinel Real Estate Corporation director, said.
“Our Build to Rent communities are designed and operated with renters as the priority, offering them a more convenient and refined rental experience where environmental and social sustainability are integrated throughout,” he added (story continues below).
“Following our successful delivery and stabilisation of Australia’s first purpose-built Build to Rent communities in Western Australia, as well as the establishment of our first projects in Victoria and Queensland, we’re looking forward to working closely with Renewal SA to deliver this first-of-its-kind project for the state,” according to the executive.
The carbon neutral project aims to have a minimum 5-star Green Star rating from the Green Building Council of Australia and an 8-star NatHERS rating.
“The Build to Rent sector is emerging as another way to help address housing shortages and ease the rental squeeze – and it’s great to see such a major global property player back Bowden as the place to do just that,” South Australian Housing and Urban Development minister, Nick Champion, said.
“In addition to the approximately 250 premium and sustainable rental apartments, the first of its kind project in Adelaide will provide residents with a range of thoughtfully curated lifestyle amenities, experienced on-site management and maintenance teams and integrated retail offerings,” he added.
The Bowden deal comes nine months since Sentinel formed a partnership with Dutch pension fund PGGM to create a $1.5 billion Australian BTR portfolio – expected to contain 1300 dwellings.
The pair have since acquired a block at Robina, on the Gold Coast, for a c300-unit project.
Sentinel, with another institutional investor is also developing an asset of this type, Element 27, in Perth’s Subiaco with plans for another in Scarborough, 10 kilometres north west of there.
In West Melbourne, that pair is also building a BTR property incorporating the historic Don Kyatt spare parts factory, bound by Adderley, Roden and Hawke streets.
To be known as The Briscoe, it will contain 172 units over seven floors.
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