Global leader in alternative investments with $285 billion in assets under management, AXA IM Alts, has announced the launch of its new Australian Build-to-Rent (BTR) strategy.
In its first landmark project in Australia, AXA IM Alts — in partnership with St George Community Housing (SGCH) — will focus on building 350 mixed-tenure social and affordable dwellings in Westmead, Western Sydney.
AXA IM Alts’ commitment is supplemented by funding from the National Housing and Finance Investment Corporation (NHFIC), which is providing a $300 million umbrella facility to the partnership.
Nathan Dal Bon, CEO of NHFIC, said that this “ground-breaking agreement” shows that “NHFIC can partner with the community housing sector and institutional investors to find innovative new ways to deliver much-needed affordable housing.”
The Westmead BTR strategy marks the first time NHFIC, a community housing provider and institutional capital, have come together to deliver at scale under a model that can be reproduced in the future.
Head of Australia at AXA IM Alts Antoine Mesnage said the partnership “will allow us to bring forward much-needed supply of high quality, sustainable and affordable new homes while aligning with our broader ambition of investing with the purpose to help improve society and quality of life.”
The Westmead project will be managed by SGCH and delivered by the NSW property development and construction group, Deicorp.
Dwellings will be located adjacent to the new Westmead Health and Innovation Precinct — one of the largest health, education, research and training precincts in Australia.
“Westmead is an area with one of the highest concentrations of key workers nationally and is set to benefit from the expansion of the surrounding health and innovation precinct over the coming decade,” Mr Mesnage explained.
“We recognise the need for quality key worker housing in major employment hubs across Sydney, and our first project in Westmead will offer a solution to these workers who are essential in supporting the needs of the community.”
Commenting on the project, Group CEO of SGCH Scott Langford said: “We are excited to be bringing together institutional capital with the capability of major partners and the support of NHFIC to increase the supply of affordable and sustainable housing through regulated not-for-profit community housing.”
The project is expected to be completed in 2025.
