Rental village operator Eureka is the Lazarus with the triple bypass of the sector, now preparing for growth
Gold Coast based Eureka Group had been written off as dead in the water from 2008 through to recent times. Back then the approximately 55 under occupied and heavily indebted Village Life and SunnyCove rental villages were cobbled together in an...
Gold Coast based Eureka Group had been written off as dead in the water from 2008 through to recent times.
Back then the approximately 55 under occupied and heavily indebted Village Life and SunnyCove rental villages were cobbled together in an attempt to gain efficiencies. It didnt happen and corporate solvency people associated with KordaMentha came in.
Greg Rekers was appointed to get the house back in shape. He has spent three years cleaning things up and with now just 28 villages they are back into solid profit and attracting sophisticated investors.
They are raising additional capital through a share purchase plan to buy more villages based on the share price that has jumped from 4 cents to 10 cents in six months (on low volumes).
Shane Nicholson of Colliers this week said that rental villages are now generating the highest premiums in business sales in the retirement accommodation class.
