Build to Rent prioritising the tenant experience
23 October 2019
Build to Rent is the newest asset class to hit the Australian property market designed to improve the tenant experience by focusing on three key elements – community, convenience and flexibility.
At it’s core, Build to Rent typically caters to the modern person who appreciates a premium feel and is driven by technology.
All Build to Rent developments are built with longevity in mind and a focus on quality. Owners are willing to spend more on build and fit out in order to achieve the long-term vision of creating a desirable brand that people will be attracted to. High tech amenities that have a sleek design aesthetic assist in adding to the overall appeal for tenants.
A sense of community is another common trend amongst Build to Rent developments. Hudson Yards in New York and the soon-to-open Pavilion by Mirvac in Sydney Olympic Park are great examples of how Build to Rent developments foster their own community hubs. Shops, culinary experiences and high-class amenities (think pools, gyms, and health spas) can all be found in close proximity to the development. In addition, regular social events assist owners to build tenure by creating an opportunity for tenants to meet and interact. And this rising trend for social and communal spaces is not limited to residential tenants, our recent A-REIT survey highlighted the changing nature of office spaces as demand for co-working and flexible spaces continues to grow.”
Convenience is king when it comes to Build to Rent developments. In this modern world, tenants want answers now and issues fixed immediately. Onsite building managers ensure any tenant issues are handled promptly with minimal disruption. Owners want tenants to stay for as long as possible and as such provide flexibility that caters to different life stages. One, two and three bedroom apartments are often available, providing tenants with the option to move to different apartment configurations should their families expand or needs change. Furnished and unfurnished options, as well as a centralised location, also add to the sense of convenience for tenants.
It is this sense of community, convenience and flexibility that makes Build to Rent appealing to renters who are prioritising lifestyle over a mortgage.
Want to learn more about Build to Rent?
BDO’s Real Estate and Construction specialists are attuned to the shifting trends affecting the industry. Over the coming months, BDO will be providing a deep dive on the ‘Build to Rent’ model, unpacking the mystery behind the asset class.
If you would like to learn more, please contact a member of our team.