Canada Pension Plan Investment Board (CPP Investments) and Australian alternative asset manager HMC Capital have increased their shareholdings in Ingenia Communities, a listed provider of lifestyle and holiday accommodation in Australia.
US-based investor Sun Communities, which bought into Ingenia in 2018 for A$58m (鈧�35m), sold its 10.25% stake on the open market for A$163m.
Ingenia told the Australian Securities Exchange that CPP Investments, which bought some of Sun Communities鈥� shares, had increased its voting power from 5.03% to 6.12%.
HMC Capital Partners Fund 1 had previously acquired Ingenia shares and acquired a further parcel of shares from Sun to take its stake to 6.535%.
鈥淚ngenia appeals to us because it provides exposure to compelling demographic tailwinds, including a growing and ageing population,鈥� said Victoria Hardie, managing director at HMC Capital Partners.
鈥淭he land-lease sector is underpenetrated in Australia, offering a significant opportunity for growth and the ability to generate both attractive development returns and stable, [consumer price index] linked rental cash flows.鈥�
Ingenia is a developer and operator of over-55鈥檚 lifestyle communities, land-lease communities and holiday parks.
The HMC Capital fund told investors: 鈥淚ngenia has a significant development pipeline of new communities and expansions, providing an embedded path to continued growth in earnings.鈥�
The company also operates waterfront holiday parks along the east coast of Australia.
鈥淭he segment is performing strongly on the back of ongoing demand for domestic travel option as cost-of-living pressures build,鈥� HMC Capital investors. 鈥淲e have commenced engagement with the Ingenia team and look forward to ongoing engagement as an active shareholder to unlock value for fund investors.鈥�
