AVEO Group announced that the Retirement Villages Group has completed the sale of its 37.7% interest in New Zealand retirement village owner and operator Metlifecare.
Total proceeds amounted to $NZ280 million which have been used to retire RVG’s $A186.3 million of secured debt, leaving RVG as a debt free wholesale fund with cash reserves of approximately $A52.6m.
“As a debt free fund, RVG will now be able to fully concentrate on enhancing its substantial Australian portfolio. This transaction will also enable management to expedite the transition of Aveo Group to a pure and expanded retirement group,” CEO Geoff Grady said.
“Since the announcement of the sale to Infratil and NZ Super in October, New Zealand investors have shown increasing interest in investing in the Australian retirement sector and recognise that Aveo Group occupies the leading position in Australia,” he added.
RVG’s Australian portfolio comprises 30 retirement villages, with 3,489 units in CBD centric locations in NSW and Victoria. Aveo Group’s retirement portfolio comprises 76 retirement villages for 12,000 residents across Australia.
Property Review
