Stockland has announced a drop in profit of 79%, down to $104.6M, after it wrote down the value of its property portfolio by $355M, largely in its Residential book. Meanwhile its Retirement Living group made an EBIT of $45M and an operating profit of $38M, up 6% on last year. With assets of just over $1B, new Retirement Living CEO Stephen Bull says return on assets rose from 4.2% to 4.5%, and they are targeting 6.5% by 2015 and 8.0% by 2018.
With 62 villages and 8,082 ILUs, they sold 851 ILUs over the 12 months, an average of 16 per week. The average price was $356,000. 36% were newly developed ILUs.
Retirement Living accounts for 10% of Stockland’s real estate assets.