Patrick Maddern, Head of Asset Management & Development, told Aspen’s AGM last Wednesday that it leases its homes within a week of them becoming available. The group concentrates on housing valued at less than $400,000 per dwelling.
With its portfolio of land lease and residential property now exceeding 5,000 properties, and its sites valued at more than $500 million, land rents at its lifestyle properties average $186 a week in FY23.
"We expect to grow our land rents in real terms as they are currently about 25% below the Commonwealth Rent Assistance cap, therefore some of the growth will be funded by the government,” Patrick said. 
"Importantly, while we offer competitive terms to customers, we also deliver attractive returns to securityholders. Over the past three years Aspen's Operating Earnings per security increased by 21% per annum and Net Asset Value per security increased by 20% per annum.”
"We offer very competitive prices to customers, yet we make a healthy development profit margin of around 30% and return on invested capital of around 20%,” Patrick added.
Aspen Group has 10 active development projects, with over 100 new lifestyle houses being built. It has a secure pipeline of over 1,200 approved sites.
David Dixon joined us in our Westpac Conversations At The Wharf luncheon series last November. You can hear his different views on land lease communities here.
