Billionaire Harry Triguboff is restructuring and expanding his executive team, saying he is planning a new round of growth for his Meriton apartment empire that includes likely site purchases worth $350 million.
Mr Triguboff, who turned 82 this week, said the company was on the “expansion trail”.
“I’m in a hurry to put strong people into the business,” he said.
A potential sale of the apartment developer, which Mr Triguboff has valued at up to $15 billion, looks further away. The Australian reported last month that talks on a sale had stalled, with Mr Triguboff saying this week there was “no need to sell” the business that will build about 3000 apartments this year.
“Nothing is happening (on the sale). It (Meriton) will be even stronger in a couple of years. I could sell then.”
Australia’s second-richest person revealed his plans to The Australian to sell Meriton last year, and has been in talks with Chinese developer Country Garden.
Others had also shown interest, Mr Triguboff said.
“Whatever happens, I’m concerned for the staff,” he said. “Not really for the family, to the family I gave a lot of money.”
Mr Triguboff’s 24-year-old grandson Daniel Hendler has been increasingly involved in the business managing projects.
Mr Triguboff has created two new positions in the wake of long-time general manager Peter Spira’s retirement last year. Former development director of Urban Growth Simeon McGovern will head Meriton’s new projects and planning while new retail and commercial manager Andrew Mednick started in January.
“Before Peter went I created a building (director) and a director of sales,” Mr Triguboff said.
“It’s quite a daunting adventure for anyone to come into this company.
“We have people that have been here a long time and when you put someone new in we have to see how they fit in.”
There would be more hires, he said.
Mr Triguboff, named Australia’s second-richest person by Forbes magazine this year, has bought a rash of new development sites in Sydney, spending $432m on land since January last year, and has a development pipeline of more than 13,600 units. Meriton has just received development approval for a two-building, 331-unit project at Sydney Olympic Park.
Meriton is negotiating on three Sydney sites with a total purchase price of about $350m according to Mr Triguboff, who would not be drawn on their locations.
He expects a further rate cut, which will continue to underpin Sydney’s white-hot housing market. “They are all Sydney sites. At this stage, Sydney is the place,” Mr Triguboff said.
Mr Triguboff also owns about 2200 investment apartments retained from his developments, which have long been eyed by investment banks for a potential listed property trust.
He has previously rejected the public arena, but this week said a listed residential property trust was “a good idea”.
“It could be the way to go, I’m learning about it,” he said.
This article first appeared in The Australian Business Review.