This article is from the Australian Property Journal archive
ASPEN Group is undergoing due diligence over two assets worth more than $25 million, to be financed by its recently announced $80 million Westpac facility.
The group said the acquisitions remain subject to contract and would be immediately accretive to earnings.
Settlement on the site is expected in the first half of the 2018 financial year.
Aspen extinguished its debt and created $60 million of cash reserves in 2015 after it disposed of its interest in Aspen Parks Property Fund, and looked to reposition itself as an affordable accommodation property landlord.
Prior to yesterday’s announcement it has since acquired three tourism sites and received DA approval for expansion of two of its existing retirement accommodation assets.
It also revealed yesterday that settlement on its acquisition of the BIG4 Koala Shores Holiday Park in the Hunter region had stalled, but is expected to go through in the first quarter of 2018.
The site is a combination of freehold, long leasehold and Crown licence, with the process of transfer of the Crown licence having “become protracted”, the group said.
It said the delay would not impact the group’s forecast distributable earnings for the end of the 2017 financial year, expected in the range of 4.8cps to 5.2cps.
Australian Property Journal
