A new build-to-rent housing model is being launched in Greater Western Sydney, following established similar models in both the US and Europe.
Kanebridge Property Group has launched the build-to-rent housing model across three of its major developments, in tandem with the launch of its build-to-rent management and services division, Kanebridge Lifestyle Services.
Head of property & investments at Kanebridge Michael Martin said that the model has been established to provide affordable modern housing for those unable to purchase property of their own.
“Multifamily build-to-rent has the advantage of providing consistency to tenants, both in terms of rent in the latest amenities.”
Mr Martin said that KLS offers tenants a “vast array” of benefits and inclusions.
“Each lease will give tenants an option to upgrade or downgrade to an apartment in another development as changes in their personal circumstances may dictate, without incurring punitive charges.”
He added that a major plus in this particular model is its technology.
Mr Martin said: “Through an app specifically built for their developments, a KLS resident will have remote access technology, the ability to book any of the multitude of facilities being offered in the development — whether paying rent or booking childcare services, booking KLS’ own fleet of share cars, visitors parking, cinema, dry cleaning and community events.
“The KLS app will be linked to Visa and is cryptocurrency ready, which will also allow residents to manage payments of bills and expenses.”
Mr Martin also said that KLS will be able to tailor specific amenities to its tenants depending on their demographics.
“For example, seniors will have an on-site nurse and heart and movement monitoring technology within their apartments. Similarly, tailored amenities will be on offer for students and young families,” Mr Martin said.
He said that after three years, tenants will qualify for vendor finance to enable them to buy an apartment should they wish to.
“Long-term tenants who have rented for five years will also have the opportunity to invest in the KLS management property trust and participate in investor opportunities in other KLS build-to-rent projects, with their on-time rental payment history acting as their line of credit,” Mr Martin said.
He said that Kanebridge is pleased to be an innovator in the affordable housing market.
“This is a very exciting opportunity for tenants, who will want the option to rent into a lifestyle designed with their demographic in mind, rather than just leasing an apartment to occupy.
“We expect it will be particularly attractive to Millennials and young families, and those looking for flexibility in their living arrangements. Our flexible leasing options allow people to easily upsize or downsize as their lifestyles and circumstances change.
“As developers, we should be creating solutions to the increasingly unaffordable housing market, particularly in Australia where the median housing price is one of the highest in the world, and particularly at a time when the banks are now putting a hand brake on tenants’ ambitions of entering into the new home owners market due to a restriction on the approval of new home loans.”