Investment

Our Investment Vision

MODEL exists to make Build to Rent sustainable, liveable and investable.

With environmental responsibility and long-term liveability at our core, we’re creating an asset class that performs better today and stays resilient for tomorrow.

This, combined with our vertically integrated platform that spans investment management, development management and property operations management, means that every MODEL project stays true to our vision.

Proving the Value of Sustainable Build to Rent

How profitable can sustainable development really be? To find out, we partnered with JLL, the global leader in real estate transactions, valuation and research, to examine the performance of established Build to Rent markets across Europe and North America.

Their report, MODEL: The Business Case for Sustainable BTR, analysed assets aligned with the sustainability benchmarks MODEL is committed to achieving. 

The findings were clear: sustainable development consistently delivers stronger returns and lower long term risk. Now, it’s time to prove that in Australia.

Key Findings from JLL’s Global Research

5–10% Rental Premium Advantage

Homes that are energy-efficient, environmentally responsible, and offer lasting rental security, are highly desirable but hard to come by. That’s why renters see value in paying more for a home that supports the way they want to live.

By integrating exemplary sustainability certifications, the findings show there is a projected 5–10% premium on weighted average rent compared to non-certified multi-family assets.

98% Stabilised Occupancy Rate

People stay longer in places that feel like home. And MODEL’s purpose-driven developments, located in culture-rich neighbourhoods, are designed to build that connection. This results in a projected occupancy rate around 3% higher than less sustainable Build to Rent assets.

Operational Efficiency: Over $1,000 Cost Savings per apartment per annum

Homes that run efficiently perform better. With lower energy and maintenance costs, improved building performance and integrated operations, MODEL developments are projected to reduce operating expenses by around 5%, boosting net operating income and strengthening asset resilience.

10–60 Basis Points Cap Rate Compression

Investors are increasingly recognising that ESG-aligned assets carry less risk and more long-term value.

By building for sustainability, MODEL’s developments stay ahead of shifting regulations, energy demands and tenant expectations, resulting in a 10 to 60 basis point reduction in capitalisation rates over traditional buildings.

Access to ‘Dark Green’ Capital

As global financial markets increasingly direct capital toward sustainable projects, MODEL’s portfolio of assets aligns with investor demand. By meeting globally recognised ESG standards (UN SDGs, TCFD and EU Taxonomy) MODEL is positioned to qualify for Article 9 ‘dark green’ impact funds under the EU’s SFDR.

This alignment also opens access to sustainability-linked loans, which reward high-performing ESG assets with reduced borrowing costs: typically 5 to 10 basis points lower than conventional lending.

Our Pipeline Plan

MODEL is targeting a balanced rollout of institutional-grade BTR communities across Australia’s east coast cities of Melbourne, Sydney, and Brisbane.

The initial $600 million Regenerative Decarbonisation BTR Fund will deliver the two Abbotsford seed projects, with over four additional pipeline sites currently planned for the next 2 years.

Each project follows a consistent framework: 150–300 apartments in amenity-rich, transit-connected suburbs, designed to scale toward a $4 billion portfolio by 2031.

Want to learn more?

Download the Executive Summary and see all sources. Or email us to access the full report.