Could build-to-rent offer a new model of affordable, sustainable rental? Sam Davis, Stantec’s mechanical section manager, says landmark projects today could help the industry deliver sustainability at scale tomorrow.
Build-to-rent, or BtR for short, is purpose-built residential accommodation held for long-term rental, rather than sold to individual owners.
Around 15,360 BtR apartments were at various stages of completion in Australia by the end of 2021, according to EY. But by the end of the decade, up to 175,000 apartments – or five per cent of Australia’s rental stock – could be BtR.
This is still well behind the United States where BtR, or multi-family as it is better known there, accounts for around 12 per cent of existing housing stock.
Each BtR development is designed with the resident experience front-and-centre, such as concierge services and a curated events calendar, the choice to paint the walls or own a pet, flexible leases and security of tenure.
A single owner can also drive better sustainability outcomes, Davis notes.
“Our build-to-rent clients take a long-term view, and care about things like the maintainability of plants and lifecycle cost assessments,” says Sam Davis.
“But they also care about creating good experiences for tenants. This is an inherent driver of sustainability because energy efficiency measures make apartments cheaper to operate.”
Stantec client Sentinel, for example, has $10 billion of BtR assets under management globally, including a pipeline of 1,000 apartments in Australia.
Sentinel’s Element 27, Australia’s first BtR project, includes the ‘usual suspects’ of sustainability: solar panels, LED lighting, rainwater recycling and double glazing. But it also boasts electric car charging stations, occupancy sensors, an embedded metering network and a centralised geothermal system. Less than five per cent of Australia’s residential stock can lay claim to an 8-star NatHERS rating, and Element 27 is one of them.
Stantec is also working with Development Victoria on the rejuvenation of the Fitzroy Gasworks, which will showcase the Victorian Government’s first BtR development.
The masterplan for Fitzroy Gasworks has been awarded a 6 Star Green Star Communities rating, with the affordable BtR development set to be all-electric and fossil fuel free. Ironically for a development on the site of a former coal gasification plant, there will be no gas or combustion fuels, such as wood or coal fires, within the BtR building.
“This project has ambitious sustainability objectives. Because the building must be net zero ready – with maximised photovoltaics and no gas – the design team has been forced to look for a range of new solutions,” says Davis.
“We’ve undertaken detailed heat load modelling to understand how the building will operate to ensure we can deliver the most efficient electric system.” This modelling isn’t standard practice, but Stantec can now apply the lessons learnt to other projects.
The modelling uncovered some surprises, Davis notes. “Once you look at a building holistically, rather than apartment by apartment, you can see how little heating is actually needed. This knowledge helped us to refine the heating component of the project.” Again, those lessons are portable to other projects, Davis notes.
Net zero ambitions can be challenging for professional services to deliver. But the best firms are rolling up their sleeves and rising to the challenge.
“It is inspiring to be working with clients that are committed to quality assets that will stand the test of time. By taking a long-term view of their assets, these clients are demonstrating how build-to-rent offers a new model for sustainable, affordable rental.”
Sustainability is at the heart of Stantec’s purpose, promise and values. Learn more about Stantec’s climate ready solutions.