30 Aug 2023

Urbis Director, Mark Dawson and Tim Chislett, Partner, Allens, explain why we need government to simplify the process and support Build-to-Rent to help solve Australia’s housing crisis.

Build-to-rent (BTR) is one of the most effective keys to alleviating Australia’s housing crisis. It can provide a significant amount of housing supply nationally and at speed, in an environment where demand is growing and supply is shrinking. But, to make it truly shine, we need the right settings in place.

We continue to call for action to ensure the BTR sector can realise its full potential to create more liveable cities, drive economic growth and play a key role in alleviating the ongoing housing crisis.

Allens and Urbis

For years now, there has been a chorus calling for regulatory reform in the BTR space. This advocacy has been a tremendous example of the property industry coming together to ensure the right settings are in place for this important sector, which is still so new to the Australian market. As we explore in this report, we expect this advocacy and the resultant reforms will lead to continued investment and growth in the Australian BTR market, which is critical for our cities given the expected population growth and already historically tight rental vacancy rates.

However, we strongly caution against taking two steps forward and one step back with policies such as the previously proposed caps on rent. Not only will this hinder BTR’s potential, but it will also cause supply shortage (and, consequently, increase rents even more in the long term) at a time when we need solutions, not more problems.

Allens and Urbis are proud to be a part of this advocacy, and we continue to call for action to ensure the BTR sector can realise its full potential to create more liveable cities, drive economic growth and play a key role in alleviating the ongoing housing crisis.

In this report, we look at:

  • Where BTR was and where we are now
  • The role of BTR in Australia’s housing crisis
  • Proposed policies and their potential impacts
  • Where to next for BTR

To read the full report, please click the thumbnail below or here: Build-to-rent | From ‘nice-to-have’ to ‘must-have’

 

Media Coverage

Australian Financial Review: ‘Mirvac says proposed tax changes will make BTR challenging‘ (pay wall)

The Australian Business Review: ‘Mooted caps on rental increases a risk to the surge of build-to-rent apartment projects‘ (pay wall)