@insidejob Thanks for this article. It also made me think about one asset of Aspen : Aspen Karratha.
Aspen Karratha is an holiday park/motel type, close to Searipple (similar to what Albermarle wanted to develop with Australind and a major asset of Fleetwood). This park is mainly directed to short stays, but seems also used for longer stays by miners. They have 180 operational sites.
One thing that I found interesting there : Aspen values this site at only 22.5 m$, using a cap rate of 20 %, while the average cap rate for their parks is 9.6 %.
We can see that their other assets in Perth have a much lower cap rate (lower than 10 %), but I am not sure if it is easy to turn such an asset into residential or lifestyle, given the location of Aspen Karratha.
N.B. Other interesting element about Australind development : it is close to Meadowbrook (other lifestyle village owned by Aspen). Meadowbrook was valued at 4.7 m$ in Dec 24 by an independant valuation. It was 26 % above its book value at 30/6/24.
APZ Price at posting:
$2.94 Sentiment: Buy Disclosure: Not Held
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