Sharechat Logo

Summerset targets Auckland elderly with new Hobsonville village

Tuesday 3rd April 2012

Text too small?

Summerset Group, the retirement village operator and developer that listed in November, is looking to target Auckland’s ageing population and has bought property on the city’s northern fringe for a new village.

The company bought 7.6 hectares in Auckland’s Hobsonville for an undisclosed sum as it looks to expand in the country’s biggest city, it said in a statement. The deal needs Overseas Investment Office approval because Australian investors still own 56 percent of the group.

Details of the village will be released once resource consent is completed.

“In addition to the already ageing population, Auckland’s population is growing faster than any other region in the country,” chief executive Norah Barlow said. “This purchase is another step towards reaching our target of delivering 250 units per annum within five years.”

Summerset’s underlying annual earnings of $8.1 million beat the forecast in its initial public offering prospectus, and delivered 122 units, more than expected.

The company expects its Monterey Park village will cash in from Auckland Council’s North West transformation project which will bring new amenities, such as public transport links to the rest of the city.

Summerset will develop the village over five to seven years, and will offer the full range of services including independent villas and apartments, a village centre with recreation facilities, and a care centre with rest home and hospital level care.

It opened two villages last year in Nelson and Hamilton, and is still developing sites in Warkworth and Hastings. It has also completed work at its Manukau site, which will be Summerset’s biggest investment.

The shares rose 0.7 percent to $1.52 in trading yesterday, and have climbed 8.6 percent from the IPO price of $1.40 in November.

BusinessDesk.co.nz



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Shares in Summerset Group halted as Quadrant Private Equity sells its stake
Summerset occupation rights sales grow 19 percent in 3Q
Summerset 1H profit almost triples as it sold more rights and land value doubled, shares gain
Summerset plans to list in Australia after investor demand in larger market
Summerset shareholder Quadrant promises exit will be 'orderly'
Summerset on track to meet 2013 build target, Barlow tells annual meeting
Summerset presses ahead with $100M Lower Hutt site
Summerset Group 1st-qtr occupation right sales rise 20 percent vs. 4th-qtr
Quadrant completes sale of 18.6 percent of Summerset Group, trading halt lifted
Quadrant cedes control of Summerset in selldown via UBS NZ; stock halted