New global partner joins Lendlease’s $500m Docklands build-to-rent tower

Lendlease has secured a new international partner for its landmark build-to-rent (BTR) tower rising at 899 Collins St, marking a significant vote of confidence in Docklands and Australia’s fast-growing rental living sector.

Tokyo Tatemono, one of Japan’s oldest and most respected real estate companies and a member of the Nikkei 225, has acquired a strategic minority stake in the $500 million project from Lendlease. It marks the company’s first investment in an Australian rental housing development and its first partnership with Lendlease.

Tokyo Tatemono joins existing partner Nippon Steel Kowa Real Estate (NSKRE), which teamed up with Lendlease last year to deliver the project in the heart of Victoria Harbour.

Construction is already under way, with completion expected in early 2027.

The 24-storey tower will see 499 premium BTR apartments overlooking the Yarra River, offering studios through to three-bedroom homes. Residents will have access to an extensive suite of amenities – including an outdoor pool, rooftop BBQ area, dog park, cinema, wellness zones, music and podcast studios, and private dining rooms. The building will be fully electric, with a target 5-star Green Star rating and a 7-star NatHERS rating.

Lendlease says the new partnership reflects rising global interest in Melbourne’s rental housing market and the company’s ability to attract aligned investment partners.

“Welcoming a highly-aligned partner in Tokyo Tatemono to the project reflects the strength of our shared vision and growing confidence in the sector,” Lendlease chief executive of development Tom Mackellar said. “It also highlights the strength of our network of international partners and continued demand for high-quality opportunities across our development pipeline.”

For Tokyo Tatemono, the Docklands project represents a major strategic step offshore after more than a century of building residential and commercial projects across Japan.

We are honoured to join Lendlease and NSKRE in the 899 Collins Street project, marking our first build-to-rent investment in Australia,” Tokyo Tatemono managing executive officer Fumio Tajima said. “By combining Lendlease’s global development and operational expertise with our long-standing experience in residential development and leasing, we look forward to contributing to the creation of a new standard in rental living in Australia.

Once complete, the tower will sit at the western edge of the CBD, providing direct access to Docklands’ waterfront, cafés, dining, public transport and major cultural attractions. Lendlease says the project will enhance the vibrancy of Victoria Harbour while helping meet growing demand for high-quality, long-term rental housing.

The company now has more than 2800 new BTR apartments in delivery across Australia and the US, alongside an established portfolio of around 2400 apartments in the UK and US. •