AustralianSuper is investing $500 million in equity to develop 1400 apartments in Melbourne that tenants can buy after renting for up to five years, but the country’s biggest industry super fund is also steering clear of build to rent, which it says is not as attractive a proposition.

AustralianSuper chief executive Paul Schroder did not rule out future investment in build to rent residential development, but said the build-to-rent-to-own model pioneered by developer Assemble offered less leasing and occupancy risk as well as having a clearly defined exit path.