This article is from the Australian Property Journal archive
GLOBAL investment firm, the US$4.5 billion Forum Partners, has acquired a portfolio of villages from Ingenia Communities Group.
Ingenia will sell of the majority of the group’s Deferred Management Fee (DMF) portfolio into a new vehicle, to be owned jointly by Forum and Ingenia.
Ingenia will retain a 10% interest in the vehicle and will manage the assets on behalf of Forum.
The five communities are Ridgewood Rise (WA); Lakeside (WA); Rockhampton (QLD); Forest Lake (QLD); and Ridge Estate (NSW).
The five communities being divested represent approximately 82% of the DMF portfolio value at 30 June 2016. The price represents an 11.7% discount to the 30 June book value.
This deal follows Forum’s acquisition of Ingenia’s New Zealand student accommodation portfolio in 2014.
Ingenia CEO Simon Owen said the sale immediately releases net cash of $41 million for redeployment in growth opportunities and the proceeds will fund further growth in Ingenia’s lifestyle communities business.
“The sale of these assets will provide Ingenia with additional funds to invest in the ongoing expansion of our lifestyle portfolio and represents a major step in delivering our strategy to divest the group’s remaining non-core assets, refocusing the business on rental assets,” Owen said.
“Forum is not only an experienced global real estate investor but they are well known to us from when we divested our New Zealand student accommodation portfolio to them back in 2014.”
With the acquisitions of the Happy Wanderer Caravan Park at Hervey Bay and Avina Van Village in Sydney due to settle in October, Ingenia has continued to progress its pipeline of acquisitions. In addition to this, Ingenia recently received DA approval for 55 homes at The Grange in Morisset demonstrating our ongoing track record of delivering on the group’s development program.
Australian Property Journal
