Junction community housing provider has vision for 2,000 new build-to-rent homes in South Australia by 2030
The concept for South Australian community housing provider Junction's $36 million apartments project in the heart of Tonsley Innovation District, in Adelaide’s south.
Image courtesy Junction
South Australiancommunity housing provider Junction's $36 million apartments project in the heart of Tonsley Innovation District, in Adelaide’s south, in 2024, was part of its impressive pipeline to deliver up to 2,000 social, affordable and market homes over the next five to seven years.
Social non-profit enterprise Junction was in talks with offshore and institutional investors to back its ambitious plan to develop the 2,000 new social and affordable homes in South Autralia by the end of the decade. The organisation revamped its strategy and unveiled a 2030 Vision, responding to the deepening national housing crisis and Australian government measures to increase the supply of social and affordable housing.
A central plank of the strategy was to turbocharge affordable build-to-rent accommodation across Adelaide. Junction hoped to get investment from specialist and offshore funds, and potentially local superannuation and insurance funds.
Junction chief executive Maria Palumbo said the affordable build-to-rent model had proven a success in places like Canada and Singapore, and she saw an important role for Junction and other community housing providers to stimulate growth in Australia: “There’s a lot of scepticism in Australia about it (built-to-rent) working, but there’s other countries that make it work. There’s a lot of offshore funds that are interested, and what this is about is creating a structure that makes their transaction as simple as possible.”
Palumbo said that, while Australian super funds had been pondering the merits of investing in build-to-rent developments for several years, the model was emerging as a promising alternative for those unable to secure home ownership.
Junction's Tonsley project, for 50 apartments as part of its first stage, was supported by a $15.2 million injection from the Australian government’s social housing accelerator programme, delivered with the South Australian covernment and community housing providers. A Junction community and service centre also would be built onsite, boosting support for residents and the local community.
Maria Palumba said the development will enable South Australians of different ages – at different stages iof life – to access secure and affordable housing alongside support services within a connected community. With large community spaces, a co-working area, community cafe and a bike hub, the project was designed to connect and empower community. The apartments, varying in size and style, would all be built to 7.5 stars under the nationwide house energy rating acheme with high-quality, low-maintenance features and thoughtful layouts, including large, private open balconies to maximise views and natural light.
As part of a second stage of the project, Junction was planning an additional 63 affordable apartments within an eight-storey building.
