Oceania Healthcare Ltd has entered into an unconditional agreement to buy a vacant 8945m² site (outlined in picture) in St Heliers, Auckland, cleared for redevelopment by Greg Olliver over 10 years ago.
Sale of the land, in 9 titles at 14-22, 28 & 30 Waimarie St, was held up for several years through court battles between Mr Olliver, who headed development group Landco Ltd, and his ex-wife, Sarah Sparks.
Bayleys began marketing the property in October on behalf of the liquidators of entities which owned the sites, which look down to the Waitemata Harbour, where Mr Olliver had planned the development of new houses & apartments.
Oceania said it intended to settle the acquisition this Friday and would develop an integrated aged care facility & retirement village. It will start work immediately on obtaining planning approvals. The land is zoned mixed housing suburban.
Chief executive Earl Gasparich said it was the company’s first greenfield acquisition and would help maintain activity on its development pipeline for the next 7-8 years. Bayleys said the council valuation of the land was $15.6 million, but Oceania hasn’t disclosed the price it’s paying.
Oceania, backed by Australian bank Macquarie Group Ltd and built up by Mr Gasparich to become New Zealand’s third largest aged care provider & 6th largest retirement village operator, listed in May after raising $200 million through its initial public offering. The company said it proposed to use $173.4 million of the $200 million to reduce debt to provide additional flexibility to pursue development projects.
Macquarie invested in this business from 2005-2008, when Eldercare NZ Ltd & QualCare merged to form Oceania. Macquarie agreed to hold 60.3% after listing and is in an escrow arrangement to retain its stake until the day after the results for the May 2018 financial year are announced. Escrow arrangements affecting Mr Gasparich & other senior executives run until either the 2017 or 2018 financial results are announced.
7 May 2017: Oceania Healthcare lists
18 May 2009: Half-cent Olliver debt compromise approved
18 July 2008: Todd ousts Olliver from Landco
7 November 2007: Olliver gets approval for St Heliers redevelopment
Attribution: Company release.