Another high rise building is planned for Canberra's city, adding to a number of developments already approved or proposed for the area.
Developers Innovate RE lodged an application to build a 16-storey mixed-use commercial and residential development at on the corner of Moore and Rudd Street. The development would be a "build-to-rent" model.
Under the build-to-rent model, investors team with developers and governments to build apartments at a large scale, solely for the purpose of renting them out at an affordable price.
Build-to-rent differs from traditional rental housing as residents sign up with the accommodation provider, rather than signing a residential lease with a landlord or property agent.
According to the application, the proposed development on Block 4 Section 31 in the city would be the first of its kind in the ACT and operate as short-term commercial accommodation, with 501 rooms. It would have 362 "micro-apartments" with a range of accommodation options, including share apartments, studios and individual apartments.
Studio apartments are about 20 to 30 square metres in size and larger one-bedroom apartments are about 48 square metres.
Lease terms range from nightly stays through to 12-month leases. Communal areas including a gymnasium, private dining rooms, co-working spaces, cinema rooms, a library and laundry.
A small cafe, a bar and restaurant are also proposed for lower levels.
The application says the development was not subject to the requirements of the multi-housing development code but instead it falls under a commercial accommodation use.
The 1400 square metre site currently has a four-storey commercial office building with ground floor retail. It's unoccupied except for a ground floor cafe. Demolition of the existing building, construction of basement car parking, street infrastructure and communal facilities are also proposed.
The application lists Robert Milicevic of Rovera Constructions as the owner of the block, but the managing director of Innovate RE, Christo Winters, said the company had signed a contract to buy the site from Rovera Construction.
"We see this project as an opportunity to regenerate the site and provide new life and vibrancy into this part of the city," Mr Winters said.
"The site’s location is ideal for our accommodation model, providing excellent access to the ANU, the CBD, and multiple transport options.
"Our project is designed to be a sustainable transport oriented development, providing a variety of alternate options to using private cars, such as the on site car share and bike share service for residents."
He said there was a need for rental accommodation for students, graduates and young professionals.
"Canberra currently has the lowest residential vacancy rate of the major cities in Australia and the highest median rents," he said.
"We have talked to numerous Canberra residents about the challenges involved in finding rental accommodation, particularly in and around the CBD and ANU."
There will be an on site management team, who will manage leasing, day to day tenancy issues, building maintenance and management, and provision of a variety of community events and other services to the residents.
Submissions close on the development application on January 14.