Dealmakers bring $400 million mixed-use development in Melbourne closer to reality
Gadens has played a key role in the launch of Australia’s largest build-to-rent (BTR) project.
The national firm has revealed that it has advised Greystar, which has announced a $400 million mixed-use development in Melbourne. The launch of the project comes after Greystar’s success in the built-to-rent housing markets in the US and UK.
Greystar has announced the acquisition of two adjoining sites in South Yarra in the Victorian capital. Purchased separately in off-market deals, the blocks are one of the last development opportunities in the precinct. The project will feature 1,000sqm of retail, 5,000sqm of office space, and more than 500 pet-friendly BTR apartments.
Gadens said that the project’s launch comes as Australian industry groups take significant steps in establishing and developing a market of BTR housing, following the model’s success in the US and the UK. Gadens also highlighted the government’s openness to the idea, as well as the bullish sentiment on the nascent sector.
“Over the last 24 months, state governments have amended guidelines for foreign investor stamp duty and vacancy tax to provide exemptions for eligible BTR developments and have also provided investment funding for BTR pilot projects. A number of major property developers are looking to secure various BTR projects across Melbourne and Sydney. The staggering interest promises strong growth, presenting the likelihood of BTR becoming one of the most attractive real estate sectors to invest,” the national firm said in a statement.
The Gadens team on the deal was headed by partner Lui Scipioni, who was supported by senior associate Rebecca Shaman and associate Michael Mercier. The team advised on the acquisition of both sites, including undertaking and advising on the contracts of sale, Gadens said.
