The Sydney-based diversified property group Stockland today announced it has entered into binding agreements to acquire 12 master planned communities, totalling about 27,600 lots, from Lendlease for $1.1 billion. 

The deal, according to Stockland CEO, Development, Andrew Whitson, includes up to nine future land lease communities totalling 2,500 home sites.  

In July this year, Stockland stated it will be the land lease leader in Australia, well on the way to building 1,000 land lease homes a year and a business trending to a valuation of $5.2 billion. After paying $210 million to buy five land lease communities from Living Gems, Stockland expected to have 12,000 home sites by the end of next year before the Lendlease master planned communities' announcement today. 

60% of the land for the master planned communities is in Queensland, with Victoria the second-largest land bank, followed by NSW and Western Australia.  

The deal has been made through the new Stockland Residential Communities Partnership (SRCP) with Gersh Investment Partners’ Supalai, a leading real estate development company listed on the Thai stock exchange.  

Stockland will hold a 50.1% interest in SRCP, with Supalai holding a 49.9% interest. Settlement is expected to occur in three tranches over FY24-25.  

SRCP has also secured a right to acquire (at its election) additional parcels of land for up to $239 million. If SRCP elects to exercise this right, settlement is expected in 1Q FY25.