U.S. real estate investment trust (REIT) Sun Communities, Inc. has announced a strategic investment in Australian property developer Ingenia Communities Group, as well as a development joint venture with Ingenia.
Sun will invest approximately $54 million for a 9.9 percent ownership stake in Ingenia. Sun and Ingenia will also form a 50/50 joint venture to establish and grow a manufactured housing community development program in Australia.
The transaction represents a unique opportunity for Sun shareholders, which will benefit from investments in both Ingenia as well as a development joint venture poised to capitalize on the sector’s positive trends.
Ingenia benefits from Sun’s initial capital investment, ongoing financial support through the joint venture and the ability to leverage Sun’s experience as an owner, operator and developer of manufactured housing and recreational vehicle communities.