Mirvac to convert Newstead development to affordable housing
Developer Mirvac plans to significantly increase the number of apartments it originally proposed for one of its new residential towers in inner-suburban Newstead as part of a pilot Build-to-Rent project backed by the Palaszczuk Government.
Artist's image of Mirvac's proposed development at 60 Skyring Terrace
The company wants to convert its already approved 23-storey and 25 storey twin towers at 60 Skyring Terrace to accommodate affordable housing.
It has lodged plans with the Brisbane City Council to build 395 mostly studio or one bedroom apartments on the site (60 more than what was originally approved), fewer car parks and more than 500 bicycle parking spaces.
The development will be one of two Build-to-Rent projects the Government has backed, promising to produce 750 apartments in total with up to 240 dwellings to be provided at a discounted rent. The other development is a Fraser Properties project in Fortitude Valley.
The Government is embracing the Build-to-Rent model as a means of increasing the supply of affordable housing in south-east Queensland.
These are usually large-scale residential properties which have been specifically designed, built and managed for long-term ownership and rental.
Such developments generate long-term rental income for developers, rather than up-front sales or capital growth, thereby driving incentives for an increased focus on residential tenants.
The finished product is meant to provide for a growing renter market seeking secure, long-term rentals.
The Government also has tenders out for two more Build-to-Rent projects, one of them at the old Children’s Court complex at 50 Quay St, close to the Brisbane CBD.
In a report accompanying Mirvac’s application, town planners Urbis said changes to the approved development were needed to meet the requirements of a Build-to-Rent project.
This “necessitates an increased focus on communal amenity spaces, greater variety in unit mix, increased on-site management, a more sustainable approach to vehicle ownership and improved provision of servicing to accommodate resident turnover,” it said.
“This development will play an important role in shaping housing tenure and lifestyle options for the future of Brisbane residents,” the report said.
The projected, dubbed Shore, will complete the development of Newstead’s Festival Place precinct which contains mostly upmarket properties. Construction is expected to begin later this year, with the first residents moving in by late 2023.