Last Thursday we profiled the land lease community operator Ingenia with its emergence as a $1 billion company, achieved in seven years since committing to the land lease community market.
We discussed that, with 3,000+ new land lease homes being built each year, this sector is arguably taking up the bottom end of the traditional retirement village market.
This 3,000 combined with the retirement village 3,000 new homes a year, make 6,000, which equates to the traditional 6% penetration by planned ‘retirement communities’ for all people aged 65+.
The land lease community sector is experiencing a ‘gold rush’ of new operators making it difficult to know who to watch. Here are the ranked major players according to Ingenia:
Stockland announced last year its retirement villages could not compete with land lease communities and so was joining that trend, announcing it would establish three; that figure has now expanded to eight but no homes have hit the ground yet.
While land lease communities’ origins were as manufactured homes, the sector has designed homes to be built on a slab on-site, with the result that the homes can be more significant.
Leading this trend is private operator Halcyon in SE QLD, with the established home pictured below reselling for $735,000 on Hope Island.