Kio Investment Management has agreed to acquire a development-approved Build to Rent project in Melbourne from Malaysian developer UEM Sunrise, strengthening its Australian rental housing platform with a new scheme in one of the city’s established inner-city suburbs. 

The transaction covers a site at 21–53 Hoddle Street in Collingwood, where plans have already been approved for a 407-home Build to Rent development. Kio has agreed to purchase the site for A$47.3m and has also entered into a A$268.1m fund-through agreement under which UEM Sunrise will design, develop and deliver the project before completion. 

Development approval for the scheme was secured in December 2024. The project will comprise two residential buildings centred around publicly accessible open space, alongside retail, food and beverage outlets and other neighbourhood services.

The Build to Rent development will deliver a mix of studio, one-, two- and three-bedroom apartments, supported by resident amenities including co-working space, concierge services, a swimming pool, gym, cinema room, bicycle storage and electric vehicle charging facilities. 

Construction is expected to begin later this year, with completion targeted for 2030. Under the agreement, UEM Sunrise will remain responsible for delivering the development, while Kio will become the long-term owner and operator once the scheme is complete. 

The Collingwood acquisition follows Kio’s continued expansion across Melbourne, Sydney and Brisbane, with the company expecting to open its first Build to Rent development next year. The latest transaction also highlights the continued use of fund-through structures in Australia’s Build to Rent market, allowing institutional investors to secure development pipelines while experienced developers remain responsible for project delivery. 

For UEM Sunrise, the deal forms part of its wider Australian growth strategy. The developer has operated in the country for over a decade and has previously delivered major residential schemes in Melbourne, while also progressing projects in Perth.