Are sustainable buildings too costly to develop? MODEL founder and CEO Rory Hunter presents a compelling counter-narrative to the prevailing thinking by arguing that the real cost lies in “not” adopting sustainable practices.
MODEL, which is described as ‘the new Australian purpose-first build-to-rent (BTR) group’ aims to revolutionise the industry by decarbonising the built form at scale, prioritising occupant wellness, and ensuring robust returns for investors. The group’s philosophy is informed by Hunter’s extensive experience in developing award-winning sustainable property companies across Australia and South-East Asia.
Image: MODEL founder & CEO Rory Hunter | Photo credit: Jay Patel
Though the construction industry is responsible for 39% of global emissions, building sustainably is still considered prohibitively expensive, especially by Australia’s property sector. Through a new white paper, Tomorrow’s Too Late – Regenerative Decarbonisation in Build to Rent, Hunter looks to dismantle this misconception, drawing insights from key industry stakeholders including the Property Council of Australia’s Sustainable Development Committee, Clean Energy Finance Corporation, and Green Building Council of Australia.
“The white paper advocates for a paradigm shift, urging the industry to view built forms as part of the climate solution, not the problem,” says Hunter while elaborating that MODEL stands as a testament to this vision.
“It’s not just a BTR group but a movement to create spaces where care for self, community, and the planet coexist. With a foundation in climate action, community building, and design innovation, MODEL promises carbon neutral homes that prioritise mental health and wellbeing.”
With global efforts to combat climate change gaining momentum, the transition to a sustainable, net zero built environment is not just inevitable – it’s imminent. “Yet, alarmingly, a significant portion of Australian developers remain unprepared, often underestimating the magnitude and pace of this change," he says.
According to the white paper, the BTR sector has the potential to be a market innovator in sustainable design, construction and living, responding to the clarion calls for climate action, the swift shifts in policy, and the evolving demands of a conscious consumer. It offers not just a pathway, but also a blueprint to exceed Australia’s legislated 2030 targets and 2050 net zero emissions.
"The future of development is about creating long-term value and risk mitigation, not just short-term cost-cutting. Those who fail to anticipate and adapt to this rapidly evolving landscape risk being left behind, facing not only financial repercussions but also a growing disconnect from an increasingly environmentally-conscious market," Hunter explains.
MODEL is set up to decarbonise at pace through dedicated, large-scale BTR projects.
“Our development projections are for 1,000 apartments in Melbourne with a development value of $500M by next year and 5,000 apartments by 2030. It’s through this scale we can deliver exponential benefit to both the environment and our investment partners.”
MODEL will set high sustainability standards, targeting 6 Star Green Star, 9 Star NatHERs, and Living Building Challenge certifications, while also committing to a minimum 10% improvement in biodiversity – decarbonisation measures that will bring about positive societal and environmental change.
MODEL's strategy promises to deliver ‘alpha’ returns to investors who are seeking sustainable projects. “MODEL bridges the gap between societal needs and business investment realities. MODEL developments will be consciously built for adaptation, which helps manage the long-term risk of our capital partners as climate issue, social needs and corresponding policy evolve. MODEL can reduce the risk of investors’ assets becoming obsolete,” Hunter adds.
Image: Gillies Hall at Monash University’s Peninsula Campus | Photographer: Peter Clarke | Source: MODEL
