This article is from the Australian Property Journal archive
VILLA WORLD has teamed up with Singapore’s Ho Bee Land to develop a master planned community in Wollert in Melbourne’s north.
The site totalling 15.73 ha was acquired by Villa World and the JV plan to deliver a 285 lot land master planned community to be known as Elyssia, with an average lot size of 394 sqm and an average sales price of $300,000.
The JV will obtain project specific financing for the development in due course with capital contribution and share profits on the basis of 51% (Villa World) and 49% (Ho Bee).
“This joint venture is a continuation of our capital management strategies, and demonstrates that appropriate partnering arrangements can maximise our return on assets for the benefit of shareholders,” CEO Craig Treasure said.
“We are delighted to be undertaking this project with Ho Bee Land, a Singaporean listed real estate developer and investor with significant global property interests,” he added.
The Wollert joint venture is expected to contribute ~$5.2 million to 1H18 NPAT, with development revenue contributing to the Company’s profit from FY19.
As a result, the company is now targeting 1H18 NPAT of $17 million – $18 million (1H17, $19.6 million), and reaffirms its NPAT guidance of at least $41.6 million for FY18, up from the previous guidance 1H18 NPAT of $10 million – $12 million.
Australian Property Journal
