AVID Property Group, controlled by Proprium Capital Partners, has bought eight sites for A$284.5m (€174m) from Living Gems, based in Queensland, as part of a major push into Australia’s fast growing land lease community (LLC) living market.
AVID has also launched a new business named Vantage and has earmarked 12 land lease assets, including six greenfield sites, from its existing residential portfolio to be developed as land lease communities.
The company plans to invest more than A$800m in six projects by 2030. AVID has a gross revenue pipeline of A$5bn and caters to more than 75,000 residents living within AVID communities.
The portfolio will be boosted by the Living Gems acquisition, when it formally takes control of the communities early in the 2025 financial year. Combined with the existing portfolio, Vantage will rank as one of the leading developers and operators of LLCs in Australia, AVID said.
The Vantage business will have an expected net realisable value of over A$1.4bn, with most communities located in South-East Queensland, a strong and fast-growing market for LLC developments, AVID added. The first project will open its door to residents next month.
Anthony Kingsley, partner at Proprium Capital Partners, said: “With the launch of Vantage, we are proud that our investment into the A$1.1bn LLC sector will help address structural issues within Australia’s housing market.”
Kingsley said AVID’s entry into the LLC sector complemented its established business of developing and operating residential homes and communities.Through AVID, Proprium took over and privatised listed developer-builder Villa World for A$293.6m in 2019 to expand its investment in Australia.
Cameron Holt, CEO of AVID, said: “AVID has sought to expand into a new market segment which will add further depth to its product offering and provide a fully integrated residential development and operational business.”
Proprium was carved out of the Morgan Stanley Real Estate Special Situations and has been investing in real estate operating companies since 1996.
Today, Proprium has grown to over US$4bn of net assets under management primarily within living, hospitality, and logistics strategies with a global platform of six offices across the US, Europe, and Asia Pacific.
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