The Land Lease Community (LLC) trend is not looking  to slow with the latest deal, the $29,965,380 transaction of a 27.99ha development site at Heritage  Park to a Queensland based LLC developer. 

Colliers Queensland Residential Development Sites division has teamed up with the Healthcare and  Retirement Living (HRL) division to transact a significant Land Lease Community (LLC) site on behalf  of Pointcorp. 

With a critical housing supply shortage, against a backdrop of significant immigration and  population growth and low residential vacancy rates, land lease communities have become a key affordable part of the housing supply solution and demand for these sites has skyrocketed. 

Land Lease Communities are where a homeowner owns their home, but leases the plot on which it  stands, and is generally for the over 50’s market. 

Colliers Queensland Residential Development Sites Director Brendan Hogan said there was high demand for land lease communities, being driven by Australia’s aging population and baby boomers  reaching retirement age and wanting to downsize.  

“Land lease estates have become a key player in addressing the housing shortage, and we are seeing a huge amount of enquiry from this sector for development sites. 

“This sector is booming due to the demand for affordable living options, particularly to  accommodate Australia’s aging population,” Brendan Hogan said. 

“South East Queensland will require around 900,000 new homes for residents, with the delivery of  new land supply lagging behind population growth. 

“This has resulted in a surge in demand for development opportunities, but with this demand not  meeting the supply, alternatives like these land lease sites are receiving a significant amount of  buyer interest and getting snapped up very quickly,” Brendan Hogan added.

Colliers Healthcare and Retirement Living National Director Chris O’Driscoll said there were a number of operators chasing existing assets and development sites across the eastern states for  land lease communities. 

“The population is growing, but it is also changing. Over the next 25 years the number of older  people aged 65 years or older will increase. The number of one person households will increase  substantially from 23.4 per cent in 2021 to 40.5 per cent in 2046,” Chris O’Driscoll said. 

“These changes mean we need more residential options in the mix, to deliver diversified housing  solutions, land lease communities are a great opportunity to fill the housing supply shortage gap. 

“Land lease communities deliver attractive returns as a significant number of younger retirees leave their homes and move into these communities as the demand for high quality, affordable housing  solutions grow,” Chris O’Driscoll added. 

The most recent transaction was the sale of a 27.99ha development site at 257-341 Green Road  Heritage Park that sold for $29,965,380 to a Queensland based LLC developer. 

Transacted by the Colliers Queensland team of Brendan Hogan, Chris O’Driscoll and Adam Rubie the large site is located within the fast growing Logan area. 

Colliers Queensland Residential Development Sites Director Adam Rubie said this transaction  showed the huge demand for both LLC and residential sites with a number of developers vying for  the site. 

“We ran an off-market sales process and through collaboration with our HRL team, were able to  secure a premium result for our client,” Adam Rubie said. 

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