Ontario Teachers’ Pension Plan and Hines, a leading global real estate investment manager, have completed the acquisition of two Build-to-Rent (BTR) assets in Brisbane totaling 354 units. 

“With the Australian population expected to see continued growth and consumer preferences in the country moving more towards the rental sector, we see strong, long-term potential in the Australian multi-family market,” says Jun Ando, Head of Asia-Pacific Real Estate at Ontario Teachers’ Pension Plan.

“These assets provide us with a strategic entry point into Brisbane and, working alongside Hines and Arklife, we will look to offer a compelling value proposition for tenants and create value for our stakeholders through active asset management.” 

The acquisition aligns with Ontario Teachers’ Real Estate’s Living strategy in Australia, which targets amenity-rich assets in vibrant submarkets close to transportation links, employment hubs, and entertainment centers. 

“These acquisitions reflect our continued focus on actively pursuing Build-to-Rent opportunities in Brisbane, as well as in other key Australian cities with strong fundamentals. Hines sees tremendous potential in Australian BTR for both investors and residents. It’s poised to offer stable cash flow and income growth while helping to meet the demand for quality rental housing in the country,” says David Warneford, Country Head of Australia and New Zealand at Hines.

The assets comprise 28 Robertson Street located in Fortitude Valley and 13-17 Cordelia Street in South Brisbane.

Robertson is an operational 89-unit BTR asset. The building was completed in October 2021 and stabilised within 6 months of operations. Robertson’s ESG features include the usage of renewable energy, storm water recycling, high-performance acoustic glazing and low-energy LEDs. 

Cordelia is a 265-unit premier BTR asset that is expected to reach practical completion in Q1 2025. Cordelia will deliver top-of-the-line amenities such as a gym, rooftop pool, residents lounge, co-working space, private dining room, and a sky garden. Cordelia will target a 5-star Greenstar rating and a 7.0 Energy Performance Rating under the Nationwide House Energy Rating Scheme.

Ontario Teachers’ Real Estate believes that the multi-family and broader living sector benefit from strong macroeconomic tailwinds and favorable demand-supply dynamics. Accordingly, Ontario Teachers’ has invested alongside like-minded local partners in living sector assets across the U.S., UK, and Australia. 

The vendor is the ADCO Group, one of Australia’s leading private construction and property groups. The projects were managed on behalf of ADCO by Arklife – a specialised BTR platform which is also co-owned by ADCO. 

Hines will provide asset management services and Arklife will continue to be the property manager for Robertson and Cordelia.

The transaction was brokered by Stuart McCann and Andrew Purdon of CBRE.