Fresh off completing its $3.85 billion purchase of retirement village operator Aveo, Scape Australia is reportedly in a four-way bidding battle for Lendlease’s 25.1% stake in Keyton, valued at around $500 million.
The Australian Financial Review reports that second-round bids have been lodged by Scape – which operates under The Living Company brand – alongside Japan’s Nippon Steel Kowa Real Estate, superannuation giant AustralianSuper, and Singapore’s $150 billion-plus sovereign wealth fund GIC.
Lendlease engaged investment bank Gresham Partners to sell its stake in June 2023, and the final round of bidding is now underway. A winner is expected to be announced within four to six weeks, according to the Financial Review.
Scape’s Co-Founder, Managing Director and Group CEO Stephen Gaitanos has previously stated that the company aims to expand its portfolio to at least 100,000 housing units by 2030 through diversification into seniors’ housing, growing its build-to-rent portfolio, and entering the Japanese market. Scape currently holds 26,000 housing units across Australia.
Lendlease has been at the forefront of Australia’s retirement living sector for over 30 years, operating 75 villages with more than 13,000 homes. In 2017, it sold a 25% stake in Lendlease Retirement to Dutch pension fund APG for $450 million, followed by a 25% stake sale to Aware Super for around $420 million four years later. A further 24.9% was sold to Aware Super for $490 million in April 2024.
