Macquarie Real Estate Partners (MREP), managed by Macquarie Asset Management’s Real Estate division, has announced the creation of Millbray, a new group focused on land lease communities in Australia. Millbray is fully owned by MREP and aims to meet the increasing demand for quality residential options among Australians over 50.
The company will develop, own, and manage land lease communities, with an initial focus on building new communities from the ground up. Millbray plans to deliver at least 5,000 homes along the eastern seaboard of Australia. So far, it has secured more than 2,000 home sites in Queensland and New South Wales with a combined development value exceeding A$1.7 billion.
James Kemp, Head of Real Estate Asia Pacific at Macquarie Asset Management, said: “MAM has extensive experience investing in the Australian living sector. We continue to have high conviction in this sector including in the sub-sector focused on the aging population. Millbray is our latest investment in an Australian living platform and our eleventh investment in living platforms globally.
“The Millbray team was assembled through our ability to identify and attract high-quality teams in sectors where we want real estate exposure. Our credibility in doing this comes from our extensive experience in establishing, managing and scaling operating businesses. As a fully integrated business, Millbray enables MREP to access the land lease communities sector in a way that seeks to maximise outcomes for residents, as well as for MREP.”
Justin Ayre, Managing Director at Macquarie Asset Management, added: “The land lease sector is increasingly attracting interest from institutional real estate investors. The challenge for these investors is how to access such a fragmented sector with an aligned and experienced management team.
“With a rapidly growing over 50s population in Australia, land lease communities provide a high-quality housing solution for residents. Millbray’s communities will provide residents with high quality purpose-built housing and resort style amenities within a secure community, and with convenient access to medical, transport connections and community services. As a dedicated land lease communities group, Millbray is focused on designing, creating and operating communities that place its residents’ lifestyles first.”
Construction has started on Ashcroft—Millbray’s first project—in Flagstone, Queensland. The development includes 293 homes across 12 hectares with amenities such as a lap pool, gymnasium, bowling green, pickleball courts and cinema. The site is located near health facilities and public transport options; first residents are expected by 2026.
Macquarie Asset Management’s Real Estate division operates globally with more than three decades of experience identifying opportunities shaped by major trends.