Lensworth Group Limited (Lensworth), the residential property division of Foster's Group Limited (Foster's), will manage further development of the successful North Lakes master planned community, following an agreement with its Joint Venture partner, Lend Lease Development, to conclude the Joint Venture.
Lensworth is the landowner of the 1000 hectare site on which North Lakes is being built. To date, the development of North Lakes has been managed by Lend Lease Development under a Joint Venture and Development Agreement between Lensworth and Lend Lease Development.
Lensworth has paid Lend Lease $42.5 million as settlement for conclusion of the Joint Venture and has assumed development management responsibilities for North Lakes. The additional investment in the North Lakes project is expected to deliver Lensworth an excellent return over the remaining life of the Project and will be earnings per share (EPS) positive immediately.
Lensworth Managing Director, Mr John O'Grady, said the rationalisation of the two companies' roles in North Lakes was evolutionary given both Lensworth's and Lend Lease's continued growth as master planned community developers in competition with each other.
"North Lakes is an award-winning community that is representative of the 'new breed' of residential communities in Australia, which are sustainable and self-sufficient, with an identity and community spirit, which lasts long after the developers have moved on," Mr O'Grady said.
"To date, Queenslanders have embraced the premium quality of North Lakes with more than 1300 housing lots sold.
"As the landowner of North Lakes, and a residential developer of 40 years, Lensworth has the experience and know-how to deliver the North Lakes Project over the next 12 years," Mr O'Grady said.
When completed, North Lakes will comprise around 7,200 home sites. In addition, Westfield has begun construction of a regional shopping centre at North Lakes, and a championship 18-hole golf course is under construction and will be opened for play in late 2002.
Lensworth Group, with more than 40 years experience in urban property development, is one of Australia's pre-eminent residential developers. Lensworth is currently developing communities at Kawana Waters, Bellvista and now North Lakes in Queensland, Glenmore Park and Wallarah Peninsula in New South Wales and Craigieburn in Victoria. It is estimated that these communities will be home to more than 100,000 people over the next 20 years.
Further information:
Media
Nicole Devlin
Tel: +613 9633 2261
Analysts:
Michael Roberts
Manager Capital Markets
Tel: +613 9633 2273
