Retirement village operator Settlers Group is the latest Australian property company to enter voluntary administration.
On August 28, the company appointed FTI Consulting’s Joseph Hansell, Ian Frances and John Park as Receiver and Manager.
Settlers Group operates 687 units within retirement villages known as:
- Settlers Rockhampton (in Queensland);
- Settlers Forest Lake (Queensland, pictured, top);
- Settlers Ridge Estate (New South Wales);
- Settlers Lakeside (Western Australia); and
- Settlers Ridgewood Rise (Western Australia.
“The Receivers and Managers have taken control of the Settlers Group and intend to conduct the operations of the facilities on a business as usual basis, while a sale campaign for the whole group is conducted on a going concern basis,” an FTI Consulting statement said.
“The Receivers and Managers intend to work with all stakeholders and Settlers Group service providers to ensure that there is no interruption in the delivery of services to the facilities operated by the Settlers Group or the residents.
“The Receivers and Managers, intend to engage directly with the respective managers at each of the
Facilities in order to explain the nature and the expected outcome of the appointment,” the statement added. “At the same time, the Receivers and Managers will also be available to meet with the residents at each of the facilities in order to explain the nature of the processes that are usually undertaken by a Receiver and Manager as part of a sale”.
FTI Consulting said it is too early to estimate at this stage the time it will take to complete the receivership.
“Timing of this process is ultimately determined by how long it takes to bring the properties to market, conduct an orderly marketing campaign and then to assess and decide upon the final offers that have been submitted.
“Regardless, the Receivers and Managers will ensure that residents are kept informed during the sale process”.
Settlers Group just the latest to fall this year
In June, we reported Singapore and Hong Kong based hedge fund OCP Asia called in McGrathNicol as receiver for Steller Group.
Another Melbourne-based builder, Nicson Property Group, also failed that month: entering liquidation, as we reported, in this item.
In May, we reported that prestige home builder Canny ceased trading, calling in accounting firm PKF to assess whether the business could be sold.