Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Summerset buys development sites in Chch for $200M plan

Summerset buys development sites in Christchurch, plans $200 mln investment

By Tina Morrison

Dec. 18 (BusinessDesk) – Summerset Group, New Zealand’s third-largest listed retirement village operator, plans to invest $200 million to expand into Christchurch where it says villages are in short supply.

Summerset has bought a 9.7 hectare site in Casebrook and a 5.4 hectare site in Wigram to develop new villages, the Wellington-based company said in a statement.

The two Christchurch sites add to Summerset’s existing development land in Ellerslie, Hobsonville, Lower Hutt and New Plymouth and its 17 New Zealand villages. Summerset is betting on increased demand for its villages as it benefits from an ageing population. The company expects to build at least 200 new retirement units this financial year and is targeting an annual build rate of 300 units by 2015.

“The company has strong growth objectives with Christchurch being an important part of this,” Julian Cook, who will take over as chief executive next year, said in the statement. “The city was a visible gap in our portfolio and we’ve had lots of interest from Christchurch residents into our villages.”

Shares in Summerset rose 1.3 percent to a week high of $3.23. The stock has gained 42 percent this year, the fifth best performer on the benchmark NZX50 Index.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Scoop Business: Equity Crowd Funding Carries Risks, High Failure Rate

Equity crowd funding, which became legal in New Zealand this month, comes with a high risk of failure based on figures showing existing forays into social capital have a success rate of less than 50 percent, one new entrant says. More>>


Scoop Business: NZ Migration Rises To 11-Year High In March

The country gained a seasonally adjusted 3,800 net new migrants in March, the most since February 2003, said Statistics New Zealand. A net 400 people left for Australia in March, down from 600 in February, according to seasonally adjusted figures. More>>


Hugh Pavletich: New Zealand’s Bubble Economy Is Vulnerable

The recent Forbes e-edition article by Jesse Colombo assesses the New Zealand economy “ 12 Reasons Why New Zealand's Economic Bubble Will End In Disaster ”, seems to have created quite a stir, creating extensive media coverage in New Zealand. More>>


Thursday Market Close: Genesis Debut Sparks Energy Rally

New Zealand stock rose after shares in the partially privatised Genesis Energy soared as much as 18 percent in its debut listing on the NZX, buoying other listed energy companies in the process. Meridian Energy, MightyRiverPower, Contact Energy and TrustPower paced gains. More>>


Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>


Houses (& Tobacco) Lead Inflation: CPI Up 0.3% In March Quarter

The consumers price index (CPI) rose 0.3 percent in the March 2014 quarter, Statistics New Zealand said today. Higher tobacco and housing prices were partly countered by seasonally cheaper international air fares, vegetables, and package holidays. More>>


Notoriously Reliable Predictions: Budget To Show Rise In Full-Time Income To 2018: English

This year’s Budget will forecast wage increases through to 2018 amounting to a $10,500 a year increase in average full time earnings over six years to $62,200 a year, says Finance Minister Bill English in a speech urging voters not to “put all of this at risk” by changing the government. More>>


Get More From Scoop

Computer Power Plus
Search Scoop  
Powered by Vodafone
NZ independent news