Australian Financial Review
Tuesday 7 June 2016
Prolific private developer Pellicano has sold a residential facility in Melbourne for more than $7 million as it exits exposure in the aged-care sector.
Melbourne-based Pellicano sold its Berwick Brae facility, in Melbourne’s south-east, to aged-care provider the Royal Freemasons.
The Berwick facility comprises 66 homes, built in 1982, and 10 newly completed independent-living apartments.
The property extends across nine acres. The Wilson Botanic Park is at its boundary and there is land for future development.
For Royal Freemasons, the acquisition adds to its growing portfolio, which now stands at 700 aged-care beds and 400 independent-living units. The provider also delivers 550 home-care packages in its portfolio, serving 1650 older people.
The deal was brokered by M3 Property’s Dan Magree. For Pellicano, the transaction concludes its exit from the sector, after selling out the Gold Age 212-bed portfolio 18 months ago.
“The move out of the retirement sector enables us to refocus our time and energy on our key sectors of residential apartments, hospitality, commercial, retail and industrial,” said managing director Nando Pellicano. “Pellicano is rapidly expanding with its diversification into the residential apartment sector leading the way, with close to 500 apartments and $240 million of work to be under construction in 2016 alone.”
The Pellicano business has been built up in Melbourne over three decades, with a focus on master-planned business park developments.
In more recent years the private player has pushed strongly into the residential sector, establishing a busy presence in Queensland as well.
But it has not given up its commercial property expertise, recently acquiring its first industrial property in Brisbane since 2007