Co-Founder and Managing Director James Kelly said the business had bought three pieces of land named in the $275 million capital raising presentation in February 2024.
"Subject to successful completion of due diligence and execution of binding contracts, these sites will add approximately 740 homes to our development pipeline,” James said in an update to the ASX on Tuesday, 23 April.
However, the South Melbourne-based land lease operator announced a 16% reduction in the number of new home settlements expected this financial year.
On 22 February 2024, Lifestyle Communities forecast similar settlement numbers to the 356 recorded in FY23, but a slower than expected take-up for its beachside and northwest Melbourne communities led to a downgrade to a range of 290 to 310.
James attributed the drop in home sales because buyers are to still to sell their homes: 92 customers are marketing their existing homes for sale to facilitate their settlement and 50 customers are expected to list their existing homes for sale in the coming weeks.
“Our construction program is on track, and we have no issue delivering homes for settlement when needed. We were pleased to achieve 110 new home sales in the first quarter of calendar year 2024 which indicates that demand for our product remains. It’s a matter of external timing for customers to sell their homes which remains difficult to forecast,” said James.
Lifestyle Communities has seen the first residents moved into its Riverfield resort in Clyde, 48km southeast of Melbourne’s CBD and in Phillip Island, 120km southeast of the state capital.
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