AustralianSuper-backed affordable housing developer Assemble is merging with Hesta’s affordable housing vehicle, Super Housing Partnerships, to deliver A$15bn (€9.1bn) of affordable Australian housing over the next decade.
The enlarged platform will operate under the Assemble brand and is expected to attract new institutional investor partners to participate in scale housing investment opportunities across the housing spectrum.
Assemble has adopted a co-leadership approach, with Kris Daff continuing as managing director at Assemble, and Carolyn Viney appointed as CEO.
AustralianSuper chief executive, Paul Schroder, said: “Assemble’s new capability helps solve a key challenge for institutional investors – like AustralianSuper – looking for scalable opportunities to invest in a range of housing choices to deliver appropriate risk-adjusted returns for members.
“We believe all Australians should live well in retirement, and to do that they need both super and housing. Through investments like this, super funds can play an important role in responding to the current housing supply crisis while delivering on our purpose for members.”
Assemble and AustralianSuper last month kicked off their first specialist housing development in the inner Melbourne suburb of Kensington. It has plans for five other projects in Melbourne.
Hesta CEO Debby Blakey, said: “Partnering in Assemble is an exciting opportunity to develop innovative solutions that break down barriers to large-scale investment in housing and that aim to deliver strong and stable long-term returns for members, by helping to address one of our nation’s biggest challenges.”
Hesta, which had committed A$240m to Super Housing Partnerships, is involved in a separate build-to-rent project, also in Kensington.
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