CEFC and AXA IM Alts Commit $100 Million to Sustainable, Affordable Housing in Australia

Pioneering Investment to Integrate Clean Energy in Build-to-Rent Developments

The Clean Energy Finance Corporation (CEFC) will invest $100 million in a groundbreaking build-to-rent (BTR) strategy led by AXA IM Alts. This initiative aims to use clean energy tech. It seeks to build high-quality, sustainable, and affordable housing in Australia’s largest cities.

Addressing Housing Affordability and Sustainability

Australia faces a dual challenge of housing affordability and environmental sustainability. CEFC and AXA IM Alts aim to tackle these issues. The BTR model involves the construction of residential properties specifically for long-term rental purposes, rather than for sale. This approach offers several benefits:

Stability for Tenants: Long-term leases provide renters with greater security and the ability to establish roots in their communities.

Professional Management: Experts manage the properties. They ensure high standards and good maintenance.

Scalability: The model allows for the development of large-scale housing projects, addressing supply shortages in urban areas.

Clean Energy Integration

A key component of this investment is the incorporation of clean energy solutions to enhance sustainability. Planned features include:

Solar Photovoltaic Systems: On-site solar panels to generate renewable electricity for common areas and individual units.

Energy-Efficient Appliances: Install high-efficiency heating, cooling, and lighting systems to cut energy use.

Sustainable Building Materials: Use low-carbon materials to reduce construction’s environmental impact.

Economic and Environmental Impact

This $100 million investment should boost the economy by creating jobs in construction, renewable energy, and property management. Also, the cut in energy use and emissions supports Australia’s goal of net-zero emissions by 2050.

Leadership Perspectives

CEFC CEO Ian Learmonth said, “This investment shows our commitment to tackling Australia’s housing crisis and promoting sustainable living. By partnering with AXA IM Alts, we are setting a benchmark for future residential developments.””

Laurent Jacquemin, Head of Asia-Pacific at AXA IM Alts, added, “We are proud to collaborate with CEFC on this pioneering initiative. Integrating clean energy into the BTR sector not only makes environmental sense but also enhances the long-term value and appeal of these properties.”