As part of the sharemarket cash raising aveo revealed its future projections for its 80 villages, covering 10,200 ILUs. 2008/9 capital growth in value of ILUs sold was 6%, but 5% is predicted to 2009/10. Their estimated discount rate has eased 1% to 12.5% in 2008/9. And they assume the next generation of residents will be older, with an average ILU tenure of just nine years and serviced apartments four years (considerably down from their current valuation model of 11.4 years and 5.4 years respectively).
Opinion
RIP: We are seeing the death of the family-run aged care operator
It feels like I am writing an obituary to family-run aged care facilities. Once the backbone of the sector, multi-generation operators are now selling out at a pace not seen before. The sell-off is accelerating, with three landmark deals in just two...
