Aware Super ups exposure in $2b Lendlease retirement living fund

Aware Super and Altis recently acquired a site in Melbourne’s Preston for a Build to Rent project.

Lendlease has sold a 24.9 per cent stake in its Retirement Living trust to Aware Super – Australia’s largest superannuation fund.

The deal, which settled yesterday, is worth $490 million – valuing the real estate portfolio and retirement management business at $1.97 billion.

It comes 13 months since the property giant divested a 25pc interest in the entity, again to Aware Super, for c$460m.

Lendlease now holds a 25.1pc share of the trust.

Dutch pension group APG Asset Management retains the balance (25pc).

“Today’s announcement that Aware Super will acquire an additional interest in the Lendlease Retirement Living Trust further cements the relationship between our two organisations,” Lendlease global chief executive officer of 10 months, Tony Lombardo, said.

“Strategically, we flagged some time ago our intent to further reduce our ownership of Retirement Living, consistent with our strategy to reallocate capital towards the delivery of our $112b development pipeline and grow our investments platform,” according to the executive.

Lendlease Australia chief executive officer Dale Connor added “Aware Super’s acquisition of an additional interest in the Lendlease Retirement Living Trust is a vote of confidence in the quality of our team and their service offering, and further supports the execution of our Australia strategy”.

Aware Super, Lendlease strengthen relationship

The Lendlease Retirement Living portfolio contains 75 established villages nationally (story continues below).

They are home to about 17,000 residents.

“The [latest Aware Super] acquisition…includes ownership of the retirement living portfolio, its associated operating platform, as well as its development capabilities and retirement living development pipeline,” a Lendlease statement said.

“The Retirement Living business will continue to trade under the Lendlease Retirement Living brand,” it added.

“Today’s announcement further strengthens and grows the relationship between Lendlease and Aware Super including the Lendlease America Residential Partnership which invests in projects in Chicago, Boston, New York and Los Angeles,” according to the group.

“Aware Super is a key investor in a number of our funds across the Australian investments platform”.

“We believe this is an exciting opportunity for Aware Super’s members to increase our interest in a high quality investment that makes a real difference to the lives of retirees every single day,” Aware Super chief investment officer, Damian Graham, said.

“Through our deep relationship with Lendlease, and our years of experience supporting Australians as they prepare for, and transition to retirement, we see enormous potential for the future of retirement living,” he added.

The acquisition comes two months since Aware Super and Altis outlaid $14.04m for a site in Melbourne’s north Preston for a Build to Rent asset.

Subscribe to our newsletter at the bottom of this page.

Share or Recommend article

Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of