Build-to-rent
Boosting rental supply in NSW
Supporting the NSW Government's commitment to deliver more secure and affordable homes, we are leading build-to-rent programs for renters in regional NSW and essential workers in metropolitan Sydney.
Build-to-rent housing is designed and built to provide long-term rental homes, typically in the form of apartments which provide people with secure tenure and stable rents.
The build-to-rent projects in the South Coast and Northern Rivers will increase the supply of rental housing in two regional areas where people are feeling the stresses of rising rents and limited housing availability.
Through a $450 million investment from the NSW Government, we will also deliver 400 build-to-rent apartments for essential workers to rent at a discount to market rent in metropolitan Sydney, closer to their jobs and services.
Build-to-rent projects
South Coast project
We are delivering 60 build-to-rent apartments in Bomaderry, north of Nowra, that will provide future renters with easy access to transport and other amenities.
Northern Rivers project
We are delivering around 50 build-to-rent apartments in East Lismore, close to shops, education, open space and other community infrastructure.
Annandale project
We are delivering 220 build-to-rent units for essential workers at The Joinery Annandale - a vibrant precinct with shops, public open space and homes for renters and buyers.
FAQ
What is build-to-rent housing?
Build-to-rent is purpose-built housing designed for rent, rather than sale. It is designed and built specifically for long-term renters to provide secure housing, typically in the form of apartments.
In Australia, build-to-rent is predominantly owned, managed, and operated by institutional investors as long-term assets, with revenue generated through the lease of the dwellings over time.
Why is Landcom delivering build-to-rent in regional NSW?
Housing affordability and availability is one of the biggest pressures facing NSW residents. More than one-third of households renting in regional NSW are experiencing rental stress, leaving a large portion of the population vulnerable to changes in interest rates, wages and rental prices.
While build-to-rent is very common in European and North American cities, it is only just taking hold in Australian cities. However, investors have not yet ventured into regional areas, which is why the NSW Government is backing build-to-rent in regional NSW.
The build-to-rent projects in the South Coast and Northern Rivers regions are pilot projects to deliver rental housing in two regional areas where people are feeling the stresses of rising rents and limited housing availability.
As a NSW Government owned development organisation, Landcom is well suited to coordinate planning, approvals and construction of these projects.
The NSW Government is funding development and will retain ownership of the housing, which will be managed by a suitable government agency or a community housing provider.
Why is Landcom delivering build-to-rent for essential workers?
Housing affordability and availability is the biggest single pressure facing NSW residents, with mortgage payments or rent the largest expense for most households, particularly for essential workers.
Essential workers like nurses, paramedics, teachers, police officers and firefighters provide invaluable services to people across NSW. Without them, NSW would grind to a halt, but many are being priced out of the market and can’t afford to live near their jobs.
Through a $450 million investment from the NSW Government, Landcom will deliver 400 build-to-rent homes for essential workers to rent at a discount to market rent in Sydney, closer to their jobs and services. The first project site secured is in Annandale, with investigations into additional sites underway.
As a NSW Government owned development organisation, Landcom is well suited to coordinate planning, approvals and construction of these projects.
The NSW Government will retain ownership of the build-to-rent properties, which will be managed by a suitable operator. Homes NSW is supporting Landcom to explore operational models and define ‘essential worker’ to inform tenant eligibility, the application process and how rental subsidies will be provided. Further information will be made available closer to project completion.
Will Landcom deliver other build-to-rent projects?
The build-to-rent projects in the South Coast and Northern Rivers regions are pilot projects to deliver rental housing in two regional areas where people are feeling the stresses of rising rents and limited housing availability. Landcom is seeking to deliver a sustainable and replicable build-to-rent model that could support the rollout of more regional build-to-rent projects in the future.
The NSW Government has invested $450 million into Landcom to deliver 400 build-to-rent homes for essential workers to rent at a discount to market rent in metropolitan Sydney, closer to their jobs and services. The first project site secured is in Annandale, with investigations into additional sites underway.
Who will manage the build-to-rent properties and tenancies?
The build-to-rent properties will be retained by the NSW Government. The properties and tenancies will be managed by a suitable operator or community housing provider, with details made available closer to project completion.
Will the build-to-rent projects include affordable housing?
Yes. At our Bomaderry and East Lismore projects, 20% of homes will be affordable rental housing. Our Annandale project will feature a mix of affordable rental housing, housing to buy and build-to-rent apartments offered to essential workers at a discount to market rent.
Affordable rental housing is different to build-to-rent and social housing. It caters to people on very low to moderate incomes, and is usually managed by a non-government organisation, like a private rental with eligibility criteria. Rent is priced so tenants can afford other basic living costs such as food, clothing, transport, medical care and education.
The NSW Government will retain ownership of the build-to-rent properties, which will be managed by a suitable operator or community housing provider. Details will be made available closer to project completion.