This article is from the Australian Property Journal archive
RETIREMENT living operator Ingenia Communities has added a mixed-use community to its NSW South Coast portfolio in a $15.8 million deal.
Kings Point Retreat is located in the popular tourist destination of Ulladulla and was redeveloped in recent years to add a new permanent home precinct, new powered sites and additional resort-style facilities.
It currently includes 53 permanent homes, with 27 short-term cabins and a further 67 powered and ensuite sites located on 12 acres of land.
Facilities include a playground, two swimming pools, tennis and basketball courts, gym, camp kitchen, waterpark, spas and sauna.
Ingenia now has 2,500 income-producing sites across 10 communities in the region, with Kings Point Retreat 20 minutes from the Ingenia Lake Conjola park.
The new acquisition is expected to settle this month and deliver a stabilised yield of over 7.7%.
Ingenia CEO, Simon Owen, said that the acquisition provided a mix of established yield and the potential for further upside as the group implemented and identified asset strategies.
“We are continuing to capitalise on our acquisition capability and pipeline to build our portfolio and rental base in key markets,” he said.
“With close to 20% of revenue derived from a stable permanent resident base, we see opportunities to grow revenue as we integrate the tourism operations into our platform and potentially remix the accommodation to increase yield.”
While it is expecting a reported $1 million revenue hit from the current NSW lockdown, Ingenia recently announced it was set to exceed its previous full-year guidance and is now forecasting EBIT to be up 30% for the 2021 full year.
