AustraLand, CapitaLand’s Australia-based unit, landed a deal for a public housing redevelopment project in partnership with St Hilliers. The 7.5-hectare project, which is located in Carlton, Victoria, is said to be worth about S$347.3 million (A$300 million).
AustraLand said yesterday that the project complies with the company’s strategy to diversify its residential clients.
“Our research indicates this area is in need of additional market-based accommodation,” said AustraLand General Manager Robert Pradolin.
“The multi-staged structure of the redevelopment enables us to re-use capital as stages are completed, making it a very capital efficient project for the consortium partners at a time when many other developers are experiencing difficulty in securing finance” AustraLand also said.
The consortium forecasts that the development documentation will be finalised by the end of July, and the homes will be marketed around mid-August.
The first release of homes will be available along Lygon Street, the target market of which are first-time home owners and investors. Unit prices will start at A$200,000.
Through this joint venture, more than 240 public and social housing apartments, and 500 inner city residential homes will be built in three Carlton sites.
The new homes will be developed with environmentally sustainable features that can capture wind or solar energy, or even recycle grey water. Public parks, pedestrian and bicycle pathways will also be added to the project’s features.
The project should be ready by 2017 as construction is scheduled to start in November.