Australian Super enters first land development project

Industry fund Australian Super has entered into an unincorporated joint venture with land developer AVJennings Properties Wollert SPV to develop an area of 1,400,000m2 with over 2,000 lots in Wollart, Victoria.

The project aims to develop land and integrated housing with a master plan including a town centre, and community recreational spaces to cater for 4,500 to 5,000 people.

Although this is not a usual investment for Australian Super, AVJennings' company secretary and main lawyer Carl Thompson said AVJennings was looking for a good partner for the project.

"We got introduced to Australian Super through ISPT who we've had some other development with and I understand they also manage some projects for Australian Super," he said.

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"I can't speak for them [Australian Super] but I presume they liked the project from a financial perspective and are happy with us as joint venture partner. I think this is their first land joint venture."

Australian Super holds 51 per cent of the venture and AVJennings the remaining 49 per cent.

"Australian Super is a super fund manager and look after many ordinary Australians so they feel a great responsibility to look after them and want to take the majority interest," Thompson said.

Thompson said their next steps were to acquire construction and civil approvals before development starts in 2016. He noted that this was essentially an extension of their land development project in Lyndarum which will draw to a close in the next two years.

"It's a big and exciting project and we thought it would be useful to have a good partner. Hopefully it will be the beginning of a good long term relationship."