Mentions Better Renting

Michael Fotheringham, the director of the Australian Housing and Urban Research Institute, says the number of corporate landlords is increasing and should “in theory’” offer more stability to tenants.

“Institutional investors behave slightly differently [to small-scale investors], in that they’re more focused on rental yield and the longer term, and therefore tend to be more friendly to longer leases,” he says. “And because they’re often partners in the development of sites, [the buildings are] often higher quality.”

But because corporate landlords are “regulated exactly as well as small-scale investors”, there is no more protection for renters that would ensure “a guarantee of good behaviour”, Fotheringham says.

The executive director of advocacy organisation Better Renting, Joel Dignam, says Victoria should pull itself into line with the ACT and expand its rental protections to also ban no-grounds evictions after the first 12 months of a lease.

“[Forcing people out of a rental is] really hard to justify for a corporate landlord,” Dignam says. “They’re clearly not moving in, they’re not selling the property.”