Aspen buys NSW village
Aspen says it has acquired another accommodation park on the east coast near Newcastle.
The company announced this morning it had paid $10.5 million for the Tomago Van Village, which reflected an initial yield of 9.3 per cent excluding transaction costs.
The property has 160 sites, 136 of which were licensed for long-term accommodation with the balance being short stay sites.
The site also has approval for another 24 long term sites.
Aspen said the site, 18km from Newcastle, was adjacent to the Tomago industrial area, which was a source of demand for accommodation at the property.
“The acquisition is in line with Aspen Group’s strategy to focus on the accommodation sector,” the company said in a statement.
Aspen said the acquisition would be funded from existing cash holdings and be immediately earnings accretive.
Shares in the company were steady at $1.35 at 11.25am.
Source: The West Australian, 3rd August 3 2015
Originally published as: Aspen buys NSW village
