As part of the sharemarket cash raising aveo revealed its future projections for its 80 villages, covering 10,200 ILUs. 2008/9 capital growth in value of ILUs sold was 6%, but 5% is predicted to 2009/10. Their estimated discount rate has eased 1% to 12.5% in 2008/9. And they assume the next generation of residents will be older, with an average ILU tenure of just nine years and serviced apartments four years (considerably down from their current valuation model of 11.4 years and 5.4 years respectively).
Mergers & Acquisitions
Brookfield sells retirement village operator Aveo for $3.85B
Brookfield Asset Management, a leading global alternative asset manager headquartered in New York with over US$1 trillion of assets under management, has agreed to sell its retirement living platform, Aveo, to The Living Company for A$3.85 billion...
