Listed New Zealand retirement village operator Arvida Living has posted a net profit of $198.9 million NZD ($181.3 million AUD) after tax for the year, up 52% on the previous year, and says last year’s Arena acquisition was a boon for the company.
Arvida snapped up the Arena Living portfolio, comprising six villages across Auckland and Tauranga, for $345 million NZD ($330 million AUD) from investment giant Blackstone last October. Five of the six villages were the Lendlease portfolio sold to Blackstone in 2016 for a rumoured NZ$100M.
According to CEO Jeremy Nicoll (pictured), the new villages have outperformed expectations for Arvida.
“The villages in prime Auckland and Tauranga locations delivered a number of immediate benefits that we have been able to realise as well as presenting longer term options for future growth,” he said.
The operator now has total assets of NZ$3.4 billion, up NZ$1.2 billion on FY21, and has increased total settlements by 44% on the previous year to 580; total gross sales proceeds rose to NZ$325.2 million, up NZ$97.8 million on the prior year.
“This was a very strong result by our sales teams in a challenging market. It reflects continuing positive sentiment towards retirement village living and the benefits of community, security and access to care,” said Jeremy.
Arvida now has a portfolio of 5,456 units and beds in 35 retirement communities across New Zealand, adding a net 1,089 units last year; it built 221 new units across 10 sites.
