Sumitomo Forestry Announces Partnership For an ESG-Focused Build-to-Rent Program in Australia and New Zealand

Cedar Pacific, a leading Australian property investor, and Sumitomo Forestry Co., Ltd., a major Japanese company engaged in various businesses relating to forestry and wood management, announced a strategic partnership to develop Build-to-Rent (BTR) assets in Australia and New Zealand.

This collaboration will leverage both companies’ expertise to deliver high-quality, sustainable residential communities that meet the growing demand for rental housing in the region with a commitment to achieving high ESG credentials.

The partnership brings together Cedar Pacific’s development expertise in Australia and New Zealand with Sumitomo Forestry’s deep understanding of sustainable timber building solutions and commitment to ESG principles.

The joint venture will focus on developing Build-to-Rent communities that are not only well-designed and amenity-rich but also built with a focus on environmental sustainability and social responsibility.

George Konstandakos, General Manager at Sumitomo Forestry Australia, added, “Our combined expertise will allow us to deliver innovative BTR communities that promote the use of timber technologies such as Cross Laminated Timber (CLT) to meet the needs of residents and contribute to the creation of a more sustainable future.”

The partnership is expected to develop a significant portfolio of BTR assets across Australia and New Zealand in the coming years. The first planned project in the joint venture is 50 Quay Street in Brisbane, which is part of the State of Queensland Treasury’s affordable BTR pilot program.

The project, which has begun construction with Hutchinson Builders, incorporates 475 apartments overlooking the Brisbane River and includes 50% of the apartments offered at below market, affordable rents.

The development is being constructed to 5-star Green Star standards with the intention to operate at net carbon neutral from day one. The JV has a pipeline of other projects in Melbourne, Canberra, Brisbane and Auckland, and details of the developments will be announced in due course.