Gold Coast-based Villa World has become our billion dollar builder with a $30 million Mount Cotton acquisition launching the group into the league of super-developers.

In its latest deal, which contributes to more than $1.3 billion worth of projects, the Brent Hailey led Villa World snapped up a 198ha site with plans to complete the master-planned community now known as Mount Cotton Village.

The Bundall-based group, which bought the remaining land holding in the village in an off-market transaction, has proposed a $208 million house and land project featuring 539 residential allotments.

The development would join Gold Coast tycoon and winery owner Terry Morris's proposed $3 million cottage communities among the vine leaves at Sirromets 225ha Mount Cotton headquarters.

Villa World marketing and sales manager Dean McMahon said after extensive landscaping improvements, the group's Mount Cotton Village project would be rejuvenated and relaunched featuring Villa World's ready to live in homes.

"Mount Cotton is a great location and is set in a very attractive environment," said Mr McMahon.

"We intend to inject a lot of time and money into revitalising the estate into something special," said Mr McMahon.

"The topography of the site also means that we'll be able to build a diverse range of housing designs including our very popular new range of split level homes."

He said Villa World also would undertake an assessment of the community shopping centre with a view of upgrading and enhancing it to better serve the locals needs.

CEO Brent Hailey said Villa World would continue its aggressive acquisition drive in a bid to add to its burgeoning property portfolio.

The listed company has spent more that $74 million in the past 12 months, including a joint venture deal at Hervey Bay, buying land throughout Queensland, NSW and Victoria.

Mr Hailey said once developed, the current projects would realise about $1.3 billion in sales, which would include the company's joint venture Eynesbury township project at Melton in Victoria.

"We have now expanded across three states and our most recent Queensland purchase will add to our 4400-residential lot portfolio, including our share in joint venture projects," said Mr Hailey.

"The end sale value of acquisitions over the past 12 months amount to about $670 million."

"Villa World is fast becoming a serious player in the eastern seaboard market with plans to increase its holdings significantly over the next few years."

Recent acquisitions contributing to the $1.3 billion in end sales include the $36 million Peregian Springs residential development on the Sunshine Coast; a $10 million up-market residential project at Varsity Lakes on the Gold Coast; the $36 million Pebble Beach house and land estate at Sandstone Point; the $24 million Jacobs Ridge house and land estate at Ormeau and the $39 million urban renewal project Couture at Banyo.

Meanwhile, Villa World is closer to joining the fold of Southport funds manager MFS, which also this week launched a bid for Surfers tourism titan S8.

The finance company MFS Diversified Group yesterday reached the 88 per cent mark in its bid for Villa World, which was launched on July 28.

Business Friday
Gold Coast Bulletin
Friday Sept 8, 2006