Ingenia (ASX: INA) is set to build its Queensland holiday park portfolio with its latest acquisition of the Rivershore Resort in Maroochydore.
Worth $23.25 million, Ingenia expects the sale to be settled this month which will further expand its presence in the Sunshine Coast region.
Located on 4 hectares, the Rivershore Resort is a caravan and 'glamping' park complete with a water park, mini golf, and boat access to the Maroochy River.
CEO of Ingenia Communities Simon Owen says the property, just one hour from Brisbane, represents a rare opportunity for the company to acquire a solid tourist resort in one of the largest visitor markets in Queensland.
"The accommodation, which caters to our key markets of families and the travelling senior, is well planned and of high quality," says Owen.
"In addition, the Resort gives our Holidays brand an additional presence in the attractive Sunshine Coast market, complementing our existing footprint along the NSW and Queensland coast."
The listed company is acquiring Rivershore Resort, which was opened in August 2016, on an initial yield of over 7.5 per cent.
The company says there is potential for the vendors to receive an additional $4.5 million on top of the $23.25 million subject to further growth in the financial performance of the resort in the 12 months post acquisition.
Currently, the accommodation comprises 80 large powered sites for caravans and 15 newly constructed 'glamping' tents.
Shares in Ingenia are down 0.17 per cent to $2.98 per share at 12.06pm AEDT.
Business News Australia
Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support