Lendlease’s Averley estate masterplan in Victoria is among those being sold.
A dozen Australian housing estates, covering thousands of homes, are poised to change hands in a $1bn takeover bid involving a Thai developer after a final government approval today.
Stockland have partnered with Bangkok-based Supalai to take control of twelve Lendlease estates across Victoria, NSW, WA and Queensland.
The about $1.06bn takeover bid by the Stockland Supalai Residential Communities Partnership has faced scrutiny from a range of government bodies, including the Foreign Investment Review Board, which today approved the deal to proceed.
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The FIRB approval follows the Australian Securities and Investment Corporation, giving the purchase the nod in September.
It was the final regulatory barrier to the purchase going through and the partnership, which has Stockland as a controlling stake at 50.1 per cent Supalai tied in for 49.9 per cent, is now poised to become the biggest housing estate developer in the country.
Lendlease have advised the Australian Stock Exchange they believe the deal will be finalised in the second quarter of the 2025 financial year, pending the consent of landowners.
Ireland Brown director Ned Ireland and Supalai chairman Prateep Tangmatitham at a Victorian development site.
Stockland have also confirmed the details to the ASX and noted it could see them sell a further 1000 blocks of land in new estates than earlier financial forecasts had indicated.
Gersh Investment Partners Limited have advised Supalai on the acquisitions with Gersh executive chairman Joseph Gersh indicating the purchase was a “powerful endorsement” of Australia’s residential development sector.
“Without such investment, the Government’s ambitious program to address Australia’s housing shortage cannot possibly be met,” Mr Gersh said.
Estates Being Purchased From Lendlease
Kinma Valley (Queensland) – 2500 lots
Yarrabilba (Queensland) – 15,600 lots
Springfield Rise (Queensland) – 4500 lots
Shoreline (Queensland) – 3000 lots
Figtree Hill (New South Wales) – 1700 new homes
Calderwood Valley (New South Wales) – 5000 lots
The Treetops Park at Wollert’s Aurora development. Picture: Lendlease.
Aurora (Victoria) – 7500 lots
Atherstone (Victoria) – 4200 new homes
Harpley (Victoria) – 4300 lots
Averley (Victoria) – 1500 lots
Alkimos Beach (Western Australia) – 2139 lots
Alkimos Vista (Western Australia) – 550 new homes
Note: many lots have already been sold in certain estates, some estates will build both housing lots and medium density units
Supalai has operated in Australia for more than 11 years and is now connected with 25 housing estates and $850m in Australian investments, most of them master planned communities — but with a few apartment and unit developments also in the mix.
The firm’s involvement in the $1bn-$1.3bn Lendlease acquisitions accounts for about $600m.
Once finalised, the Lendlease deal will leave Supalai connected with estates set to deliver about 28,000 lots.
However Mr Gersh noted while regulatory approvals were now in order, there would still need to be landowner consents obtained for the deal to proceed. Though once these were completed the Thai firm were intending to try and bring housing online faster.
Then Prime Minister Scott Morrison speaking at LendLease’s Springfield Rise estate in Queensland. Picture: Jason Edwards.
Supalai is also looking for further opportunities.
“Supalai have indicated that they continue to be interested in acquisitions in Australia and to reinvesting in Australia with the proceeds of the developments in which they are currently engaged,” he said.
Mr Gersh noted that he and Supalai believed Australia could not resolve its housing crisis without further international capital and called for the government to review any tax and investment settings impeding this.
“It’s over to Australia to make it attractive to overseas investors,” he said.
Mr Gersh added that the country had a long history of international finance behind developing housing, and that there simply wasn’t enough domestic funding available to drive the housing the market here.
Lendlease will retain four development sites around Australia.
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