Changes to legislation in Victoria is set to allow property trusts to gain access to financing for environmental upgrades, likely to result in significant increases to opportunities for green retrofitting in Melbourne’s city centre.

 

The amendment to the City of Melbourne Act will permit property trusts to enter into environmental upgrade agreements, which will connect local government charging powers to the city’s financial institutions.

 

Melbourne’s property trusts will now be able to apply for secure capital from financial institutions at competitive rates for up to 10 years, to be repaid through a Council charge that stays with the retrofitted building.

 

Melbourne’s Lord Mayor Robert Doyle said the amendment will provide enormous opportunity for property trusts to transform many of Melbourne’s commercial buildings.

 

“We want to ensure that as many buildings as possible have the chance to take up the opportunity to retrofit their buildings and reap the environmental and financial benefits. That is why we went back to the government and asked for further legislative change,” Lord Mayor Doyle said.

 

“Property trusts are well equipped to undertake building retrofits and this legislative amendment will enable this group of sophisticated building owners to reduce energy and water use and lower carbon emissions in our city.
 

“When we signed our first agreement last year under the 1200 Buildings program, we demonstrated that Melbourne is committed to supporting the retrofitting market. This change in legislation is another important step forward in ensuring the environmental sustainability for our city well into the future.”

 

For information about the Sustainable Melbourne Fund and Environmental Upgrade agreements, visit www.sustainablemelbournefund.com.au.