Stockland Group will sell four aged-care facilities to Opal Aged Care in a deal worth $25.6 million.
The facilities, with 366 beds and a possibility of a further 92, are located with Stockland’s Retirement Living Villages at Cardinal Freeman in the inner-western Sydney suburb of Ashfield, Lourdes at Killara on Sydney’s north shore, Gillin Park at Warrnambool in southwest Victoria and at Salford Park in East Melbourne.
The price is below the book value as at the end of 2013, reflecting the redevelopment of the Cardinal Freeman site.
Stephen Bull, chief executive of Retirement Living, said the sale came after a long search to find an operator “capable of taking over this area of our business”.
“The provision of a continuum of care is an important part of our offer to residents and we are pleased to continue to offer this service at four existing facilities located within our villages,” he said, flagging the possibility of other Opal Aged Care facilities within other properties that are part of the Retirement Living portfolio.
Opal, which was recently known as Domain Principal Group, will now own 60 facilities in Australia, with 4900 residents. It is owned by AMP Life and Singapore-based investment firm GK Goh Holdings, which both control 47 per cent of the company.