Lifestyle Communities Ltd · ASX:LIC
Lifestyle Communities — Investor Day (October 2023)
45 slides from Lifestyle Communities's investor day presentation, Oct 26, 2023
Slide 1: Lifestyle Communities Investor Day
Lifestyle Communities Investor Day 26 October 2023
Slide 2: Introduction
Introduction tr Lifestyle Section 1 =" COMMUNITIES
Slide 3: Our Meridian Team
Our Meridian Team Introduction Community Management Couple lifestyle consultants PROJECT MANAGER Service delivery support PROJECT MARKETING MANAGER ASSISTANT PROJECT MANAGER MARKETING COORDINATOR SALES & SETTLEMENT SUPPORT SUPPORT CREW Leadership Finance Team Development Contact Team Business Leader
Slide 4: Macro themes underpinning our strategy
Macro themes underpinning our strategy Introduction Baby Boomers and First Home Buyers driven to action regardless of the cycle. Lifestyle Communities provides a credible option even in falling market • Downsizing releases equity to improve living standards in retirement • Design evolution delivers
Slide 5: Macro themes underpinning our strategy
Macro themes underpinning our strategy Introduction Ageing population First home buyers Economic environment Property market — outer suburbs • Shortage of Affordable Housing Options • Typically buy the homes Lifestyle • Increased cost of living affects the asset • Affordable suburbs less sensitive t
Slide 6: Meridian project overview
Meridian project overview Introduction they say practice makes pe rfe ct 450kW of Energy Hub Fibre Optic solar power maximises to the home bill savings Perfectly placed between the city, seas, and trees, Lifestyle Meridian is our smartest Wireless enabled Eco friendly Innovative and most sustainable
Slide 7: Identifying the site and navigating planning
Identifying the site and navigating planning Section 2
Slide 8: Land acquisition strategy
Land acquisition strategy Identifying the site and navigating planning Yarrawonga 32 Communities in planning, Shepparton Focus remains on Melbourne and Geelong’s growth corridors: • Cluster approach – each growth corridor can sustain multiple development or under management. communities • Capitalise
Slide 9: Lifestyle Communities' cluster strategy
Lifestyle Communities’ cluster strategy Identifying the site and navigating planning South East example • 10 communities in South East cluster – proven track record and strong demand for product – leverage brand awareness generated over last 15 years – established communities nearby to drive referra
Slide 10: Funding model and project governance
Funding model and project governance Section 3
Slide 11: Our financial model
Our financial model Funding model and project governance Lifestyle Communities’ business has two core elements 1. Creating communities 2. Managing communities A mix of equity and debt capital is used to develop greenfield Completed communities generate recurring revenue streams which are sites to cr
Slide 12: Development of new communities
Development of new communities Funding model and project governance The committed development capital is recovered as home sales are settled. The capital can then be recycled into a new development. Indicative example (per house) Cash flow P&L Sale price (incl. GST) 592,900 Example of unlevered Gree
Slide 13: Meridian financials
Meridian financials Funding model and project governance ($m) FY20 FY21 FY22 FY23 Totals Community Operations cash flows Site rentals 0.10 0.10 • $116.9m spent on the development as at 30 June 2023 Deferred Management Fees – – Community Operations costs (0.10) (0.20) (0.30) • Meridian has passed pea
Slide 14: Project governance
Project governance Funding model and project governance James Pre-construction starting Sponsor • Land acquisition — Board approval 1 • Planning and approvals achieved • Commencement case — Board approval 2 Executive Post construction starting Chair Team member • PCG Meetings held on site every 3 mo
Slide 15: To DMF or not to DMF?
To DMF or not to DMF? Funding model and project governance Example — DMF and capital growth over time 1,600 Key benefits of the DMF • Co-Investment — aligns long term interests of homeowners and the 1,400 community operator • Incentivises planned maintenance and refurbishment 1,200 1,155 1,060 • Cre
Slide 16: Setting up for success
Setting up for success Section 4
Slide 17: People experience
People experience Setting up for success Our values and culture underpin our recruitment strategy Our Adap+ framework brings it to life VATIO NO POWER N M IN Our ME ENES E SIV customer NT S RESPON CA is our only truth RE ON PASSI Be E Do it from constantly M the heart PATHY curious S CES ES TIN UC G
Slide 18: People experience
People experience Setting up for success Core remuneration principles a • Recruit for cultural alignment (gateway) different • Competitive remuneration packages approach people. pathways. perks. • Align interests of our team with our shareholders + much more! using equity • Performance metrics are s
Slide 19: Team development
Team development Setting up for success Our framework to support, grow, develop and retain our team. Health Compliance+ Induction+ DNA Online/ ROADMAP Systems Programs and Safety Governance Onboarding Project Self-paced • Policies • Role Specific Business Essentials • Priority Areas • Salesforce • A
Slide 20: Design and construction
Design and construction Section 5
Slide 21: Meridian design and construction
Meridian design and construction Design and construction January 2020 September 2021 September 2023 • Civil works: July 2021 – August 2022 • 275 homes in total • Average of 14 homes delivered per month • Average of $2.9 million spend per month on homes • Clubhouse Build: January 2022 – June 2023 wit
Slide 22: Why can we deliver homes on time, every time?
Design and construction W h y c a n w e d e li v e r ho m e s o n t i m e , e v e ry t i m e ? Our strong partnerships and relationships • Strategic decisions to use single contractor relationships • Look for alignment with Lifestyle culture • Try, test and review before locking in partnership • Rel
Slide 23: Building 3,000+ homes and relationships with our Partners
Building 3,000+ homes and relationships with our Partners Design and construction Lifestyle Communities — Investor Day, October 2023 23
Slide 24: Housing — what is our focus?
Housing — what is our focus? Design and construction • Evolution of our product • Reduction of costs of build and supply • Build times • Confidence in supply and partnerships • Quality • Compliance to Legislation Lifestyle Communities — Investor Day, October 2023 24
Slide 25: Clubhouses — what is our focus?
Clubhouses — what is our focus? Design and construction • Evolution and innovation of clubhouses • Individualisation of sites • Gen X • Builder relationships • Builder Procurement process • Cost of Living Initiatives Lifestyle Communities — Investor Day, October 2023 25
Slide 26: Lifestyle He
Lifestyle He = COMMUNITIES
Slide 27: Lefestyle *
Lefestyle * = COMMUNITIES
Slide 28: Marketing, sales and settlements
Marketing, sales and settlements Section 6
Slide 29: Our go-to-market strategy
Our go-to-market strategy Marketing, sales and settlements Sales Funnel 1 Sales Funnel 2 Direct marketing Referral – Homeowner Experience • Brand campaigns and local area marketing build • Manage carefully to our values — do it from the brand awareness and trust heart and deliver delight everyday •
Slide 30: Lead generation
Lead generation Marketing, sales and settlements Goal Channel Measures Brand • TV • Ratings • Radio • Frequency Awareness • Billboards • Recall • Press • Reach • Word of mouth referral • Organic search Lead • Social media • Lead volume • Website • ROI Acquisition • Paid search • Cost per lead • Sear
Slide 31: Audience growth
Audience growth Marketing, sales and settlements Broader Digital Exposure Native Marketing Increased social media presence 3rd Party Partners Lifestyle Communities — Investor Day, October 2023 31
Slide 32: Digital engagement
Digital engagement Marketing, sales and settlements Data driven, personalised one-to-one marketing Omnichannel communication Increased Super-sized content creation re-marketing Lifestyle Communities — Investor Day, October 2023 32
Slide 33: Using automation to improve effectiveness
Using automation to improve effectiveness Marketing, sales and settlements 1 day Looked at the Brooke home ‘The Brooke’ Appointment booked! 28 days 10 minutes Automated email - enters our EDM Nurture journey Einstein tells us the Enquiry customer is interested in the Brooke Salesforce flags high eng
Slide 34: Lead conversion — adaptive sales
Lead conversion — adaptive sales Marketing, sales and settlements Johanna Jinnette Hi Johanna, how are you? I was thinking about you over the weekend ... we have a great new home design called the Jamieson that I think you’ll love! Type something... Lifestyle Communities — Investor Day, October 2023
Slide 35: Our High Touch sales process
Our High Touch sales process Marketing, sales and settlements Walking beside the customer every step of the way Settlement Squad Creators of First Impressions (our contact centre) Dedicated Referral Lead Lifestyle Consultants (our sales team) Lifestyle Communities — Investor Day, October 2023 35
Slide 36: Actively driving referrals
Actively driving referrals Marketing, sales and settlements Lifestyle Communities — Investor Day, October 2023 36
Slide 37: Beyond the gates — Club Lifestyle
Beyond the gates Marketing, sales and settlements Access to Club Lifestyle Bellarine includes: Club Lifestyle Private beach Other fitness and recreational facilities Access to e-bikes and Indoor/ buggies to explore the Outdoor Pool beautiful surroundings Amazing Experiences Cost of Living • Club…
Slide 38: A day in the life at Lifestyle Meridian
A day in the life at Lifestyle Meridian Section 7
Slide 39: Meet Pat
Meet Pat A day in the life at Lifestyle Meridian Lifestyle Communities — Investor Day, October 2023 39
Slide 40: And Pat's friends
And Pat’s friends A day in the life at Lifestyle Meridian Lifestyle Communities — Investor Day, October 2023 40
Slide 41: JK wrap-up
Lifeslyee He a COMMUNITIES
Slide 42: The Lifestyle Communities difference?
The Lifestyle Communities difference? JK wrap-up Us Them Proven 9% capital growth underpinned by the DMF Award-winning Clubhouses, world-class amenities Free holiday home and motorhome access Onsite live-in management Permanent gardening and community refurbishment 20 years delivering amazing experi
Slide 43: The proof is in the pudding
The proof is in the pudding JK wrap-up Sales profile from date of first sale 220 200 180 160 140 Historical 120 average Sales 100 80 60 40 20 0 0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 50 52 Months Lifestyle Communities — Investor Day, October 2023 43
Slide 44: Don't take our word for it ...
Don’t take our word for it ...
Slide 45: Important notice and disclaimer
Important notice and disclaimer This Presentation contains general background information about Lifestyle Communities Limited (LIC) and its activities current at 26 October 2023 unless otherwise stated. It is information in a summary form and does not purport to be complete. It should be read in con