Development of a nine-story wooden multi-family rental building in the suburbs of Sydney～A mass timber construction that reduces environmental burden～

December 2, 2025

For Immediate Release

Sumitomo Forestry Co., Ltd.

Development of a nine-story wooden multi-family rental building in the suburbs of Sydney

～A mass timber construction that reduces environmental burden～

Sumitomo Forestry Co., Ltd. (President and Representative Director: Toshiro Mitsuyoshi; headquarters: Tokyo; hereinafter, Sumitomo Forestry) is pleased to announce that its wholly owned subsidiary Sumitomo Forestry Australia Pty Ltd. (President: Yasuhiro Odagane; headquarters: Melbourne, Victoria; hereinafter, SFAU) is working with the Australian company Cedar Pacific (hereinafter, CP) on the joint development of a wooden multi-family rental building located in the suburbs of Sydney. This co-living*1 project will be a nine-story building with a total of 217 units. Construction is scheduled to begin by mid 2026 and leasing is expected to start by the end of 2027. The basement and first floor will be built using reinforced concrete (RC) and the second to ninth floors is intended to use mass timber.*2 With Australia's Green Star 5 Star*3 sustainability rating and other environmental certifications, this building strives to be both environmentally conscious and comfortable to live in.

• Property characteristics
  
  
  

  The property is located in Wolli Creek, approximately eight kilometers southwest of the Syndey CBD (Central Business District). Conveniently situated near major areas with direct access to Wolli Creek Station, the building is one train stop from Sydney International Airport (approximately two minutes), three train stops from the CBD (approximately 11 minutes) and about three to six minutes by car to the entranceway of the Princess Highway and the M5 Motorway. Approximately 60 percent of the Wolli Creek population is made up of young adults aged 20 to 34 and about 30 percent of residents are single. This property consists entirely of studio apartments*4 and mainly targets single

  occupants, such as young professionals, students and expatriates. Each unit is equipped with a kitchen and a bathroom, and the building plan includes a full range of shared communal amenities, such as a gym, co-working space and rooftop terraces.

  The plan is to adopt mass timber for the structural system over eight levels, aiming for an approximately 30% reduction in the amount of CO2 emissions generated during construction (embodied carbon) compared to RC construction. In addition, the building is expected to fix approximately 1,500 tons (CO2 based) through the planned use of about 1,800 m³ of timber.

• Participation details

  A wholly owned subsidiary newly established by SFAU, CP and other overseas institutional investors will invest in this project. This is our second project with CP, following a 475-unit, 31-story build-to-rent (BTR)*5 building currently under development in Brisbane, Queensland (scheduled for completion in December 2026).

• Sumitomo Forestry's entry into co-living rental housing development

  The persistent shortage of housing in Australia due to population growth and inflation has become a serious social issue. Especially in Sydney, land prices and construction costs have soared and affordability has declined, making it difficult for young adults and single people to purchase or lease housing. Co-living rental housing features small, furnished private apartments and shared communal indoor and outdoor spaces, offering the convenience of urban living. As a result, they are gaining popularity among young adults and singles as a new style of living. Sumitomo Forestry entered the BTR market last year working with CP. Through the development of BTR, co-living and other types of multi-family housing that primarily use wood as a low-environmental-burden building material, we hope to contribute to resolving housing shortages, improving housing affordability and lowering carbon emission levels in Australia.

  Sumitomo Forestry Group is engaged in a broad range of global businesses centered on wood, including forestry management, the manufacture and distribution of wood building materials, the contracting of single-family homes and medium- to large-scale wooden buildings, real estate development, and wood biomass power generation. In our long-term vision Mission TREEING 2030, we are seeking to promote the Sumitomo Forestry Wood Cycle, our value chain to contribute to decarbonization not only for our own company but also for the whole of society by increasing the CO2 absorption of forests and popularizing wooden buildings that store carbon for long periods of time. With the global expansion of mass timber construction in Japan, Europe and other parts of the world, we are working to accelerate decarbonization initiatives in Australia.

• Property overview (planned)

  Name	Wolli Creek Co-Living Project
  Location	Building 14, Discovery Point, Wolli Creek, NSW
  Total development area (total floor area)	9,200 m2 (6,300 m2)
  Units	217 studios (average per-unit area: approximately 29 m2)
  Structure/method	RC/wood hybrid structure (basement ~ floor 1: RC structure; floors 2~9: wooden structure)
  Start of construction	Mid 2026
  Completion	End 2027
  Start of rentals	End 2027

  [Syndey area map] [Wolli Creek vicinity map]

  
  
  
• Cedar Pacific

Cedar Pacific corporate website: https://www.cedpac.com/

*1 A type of rental housing that usually offers simple, furnished private apartments along with shared facilities, such as a lounge, kitchen and co-working space.

*2 Engineered wood of relatively large mass formed by combining multiple types of wood. Representative examples include CLT (cross-laminated timber) and LVL (laminated veneer lumber).

*3 A rating system developed and operated by the Green Building Council of Australia (GBCA). Ratings range from 4 stars to 6 stars.

*4 A type of apartment where the bedroom, living room, kitchen, bathroom and other areas are integrated into a single space.

*5 BTR (build to rent), a type of rental housing designed for long-term residency. Each unit is fully equipped with a kitchen, bathrooms and other facilities, and often includes access to high-quality amenities, such as gyms, pools and concierge services. Our first collaboration with CP was announced in a press release dated April 5, 2024: "Sumitomo Forestry's first BTR multi-family housing development in Brisbane, Australia." Reference: https://sfc.jp/english/news/pdf/20240405_01.pdf