Industry super fund giants AustralianSuper and Hesta will step up their investment in housing development with a $15 billion pipeline over 10 years after acquiring controlling stakes in affordable housing developer Assemble.

The funds have each taken a 40 per cent stake in privately owned Assemble, which has also merged with fund manager Super Housing Partnerships, and the combined body aims to develop 17,000 homes over the next decade, said Carolyn Viney, chief executive of the newly enlarged Assemble, and previously Super Housing Partnerships CEO.