Lifestyle Communities Ltd · ASX:LIC
Lifestyle Communities — Shareholder Meeting (November 2016)
31 slides from Lifestyle Communities's shareholder meeting presentation, Nov 29, 2016
Slide 1: Making a difference. Annual General Meeting
For personal use only Making a difference. Annual General Meeting 29th November 2016 LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 1
Slide 2: Agenda
Agenda For personal use only 1. Introduction from Chairman 2. Presentation from Managing Director 3. Formal Business LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 1
Slide 3: Introduction from Chairman
Section 1 For personal use only Introduction from Chairman Tim Poole LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 2
Slide 4: Presentation from Managing Director
Section 2 For personal use only Presentation from Managing Director James Kelly LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 3
Slide 5: The Lifestyle Story
The Lifestyle Story For personal use only Lifestyle commenced 2003 with James, Dael & Bruce developing a business plan Development of first community at Brookfield in Melton. 2004 Opened June 2005 Company listed on 2007 Stock Exchange Major Capital Raising 2012 of $36m 1,000th homeowner moves into L
Slide 6: Lifestyle Communities
Lifestyle Communities For personal use only • Builds affordable highly desirable master planned communities; • Provides facilities that exceed the expectations of our target customer by: – Selling houses at 75-80% of the median house price – Minimising ongoing maintenance – Designed to promote commu
Slide 7: Why do we create Lifestyle Communities?
Why do we create Lifestyle For personal use only Communities? • To enable over 50’s to downsize and enrich their lives • To provide financial freedom for our homeowners • To give homeowners a choice – to mix/participate to the extent that’s right for them • To change the mindset of what over 50’s ca
Slide 8: Making A Difference years later
Making A Difference 13 years later - how do we know if we are achieving this? For personal use only • Over 2,100 homeowners call a Lifestyle Community home • 94% of homeowners would recommend us to friends and family(1) • Approximately one in three new home sales come from referrals • Pre-sales on n
Slide 9: Homeowner testimonials
‘‘it’s changed our lives.” For personal use only We’ve never been happier in our entire life, ever! Ever, ever, ever! Julie & Rod ‘‘ best decision we’ve ever made.” We wanted to downsize, there’s more to life than working, getting stressed and doing housework – Natalie & Stuart ‘‘ a new lease on lif
Slide 10: Financial Model
Financial Model Creates a win-win for homeowners and shareholders For personal use only CREATING COMMUNITIES MANAGING COMMUNITIES Total annuities at year end Cash break even after allocation of costs Dividend flow to management business Completed communities RECYCLING building a long term CAPITAL PO
Slide 11: Community Overview
Community Overview How does the Lifestyle Communities model of living work? For personal use only Homeowners at Lifestyle Communities own their own home and lease the land upon which their Homeowners at homes are located, via a weekly site fee. Lifestyle Communities are fully protected by the Reside
Slide 12: Financial Overview
Financial Overview Growing annuity income streams For personal use only Financial Summary FY2016 ($ Million) FY2015 ($ Million) Net profit after tax attributable to shareholders $19.3 $16.7 Underlying net profit after tax attributable to shareholders $16.9 $16.7 Total assets $222.5 $179.6 Equity $13
Slide 13: Portfolio Overview
Portfolio Overview 13 communities in planning, development Focus remains in Victoria or under management For personal use only • Favourable planning legislation • Better access to zoned, flat land for development • Low saturation of land lease communities • Balanced state legislation for the managem
Slide 14: Acquisition Strategy
Acquisition Strategy Focused on Melbourne and Geelong’s growth corridors Melbourne’s Growth Corridors For personal use only • Looking for zoned land in Melbourne and Geelong’s growth corridors • Increasing opportunities to buy superlots from land developers • Melbourne has strategic benefits of flat
Slide 15: Key Thematics
Key Thematics Two key emerging trends come together to create the Lifestyle business model For personal use only Affordability Baby Boomers • Opportunity to create a • Want to maintain control more affordable model • Want to own their home • Rents sustainable for • Want to free up equity pensioners
Slide 16: Market Overview
Market Overview Victorian Population Growth For personal use only 85+ (114k) War Generation Average age 80-84 (116k) of Lifestyle Baby Boomer Generation Communities’ 75-79 (151k) homeowners 72 years (1) 70-74 (194k) 65-69 (264k) 60-64 (302k) 55-59 (340k) As at 30 June 2013 there were Lifestyle Commu
Slide 17: Customer Touchpoints
Customer Touchpoint’s Every touchpoint drives customer referral Set organisational goal to increase referral rate For personal use only • Implemented a focused strategy to try and lift the number of homeowner referrals for new sales • Have developed an action plan for each of the 32 Brand Sales touc
Slide 18: Community Designs
Community Designs Every facet of our product has evolved For personal use only Urban Layout Entry Landscaping Clubhouse House Designs Ensure that the homes Create a sense of arrival Significant investment in Ongoing evolution with Evolving to meet the needs work together by varying and security land
Slide 19: Lifestyle Officer
Lifestyle Officer Each community is better than the last as we keep evolving For personal use only LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 18
Slide 20: Sales Rates
Sales Rates “Proof is in the pudding” increasing the sales rate For personal use only • Lifestyle Communities’ focus has shifted SALES PROFILE FROM DATE OF FIRST SALE (TREND LINES) Sales to improve pre-sales. This reduces risk by supporting a more aggressive construction program which enables a quic
Slide 21: Latest Community: Lifestyle Berwick Waters
Latest Community For personal use only Lifestyle Berwick Waters: A promising start • Civil works commenced in September 2016 • First homes targeted to be completed in May/June 2017 • 55 homes are already pre-sold up until 31 October 2016 • 47% of sales came from homeowner referrals LIFESTYLE COMMUNI
Slide 22: Settlement Goals - New Sales
Settlement Goals - New Sales Settlements growing with increased sales rates and new projects For personal use only FY2016 FY2017 FY2018 settlements settlement settlement (actual) range range TOTAL 202 250-270 260-290 Warragul 1 - - Casey Fields(1) 2 - - Shepparton 51 40-55 40-55 Chelsea Heights(1) 2
Slide 23: Sales and Settlements July - October 2016
Sales and Settlements July - October 2016 For personal use only • On target to achieve on or around 125-130 new home settlements for 1HFY2017 New homes Resale homes Resale homes New home - net sales settlements - net sales • As previously advised settlements for settlements commitments settlements c
Slide 24: Portfolio Snapshot
Portfolio Snapshot Lifestyle Communities’ portfolio continues to grow 31 October 2016 For personal use only Home sites occupied or sold Total home sites in Home sites sold & Home sites sold & and awaiting settlement Communities communities occupied awaiting settlement # % Existing Communities – Sold
Slide 25: Summary
Summary For personal use only Lifestyle Communities capitalises on the solid base established for future growth • Emerging baby boomer driving increased customer interest • Approximately one in three of sales are coming from customer referrals • Settlements in FY2017 expected to be in the range of 2
Slide 26: Formal Business
Section 3 For personal use only Formal Business LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 25
Slide 27: Approval of the Remuneration Report
Item 3 Approval of the Lifestyle Communities Limited Remuneration Report For personal use only The instructions given to validly appointed proxies in respect of the resolution were as follows: FOR AGAINST ABSTENTION PROXY’S DISCRETION 49,221,673 85,589 80,159 113,573 LIFESTYLE COMMUNITIES LIMITED -
Slide 28: Re-election of Ms Philippa Kelly
Item 4 Re-election of Ms Philippa Kelly, retiring by rotation For personal use only The instructions given to validly appointed proxies in respect of the resolution were as follows: FOR AGAINST ABSTENTION PROXY’S DISCRETION 68,751,628 9,262 18 120,547 LIFESTYLE COMMUNITIES LIMITED - Downsize to a bi
Slide 29: Re-election of Mr Bruce Carter
Item 5 Re-election of Mr Bruce Carter, retiring by rotation For personal use only The instructions given to validly appointed proxies in respect of the resolution were as follows FOR AGAINST ABSTENTION PROXY’S DISCRETION 68,752,665 8,225 18 120,547 LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigge
Slide 30: Important notice and disclaimer
Important notice • This Presentation contains general background information about Lifestyle suffered by any recipient through use or reliance on anything contained in or omitted words “forecast”,“estimate”, “expect”, “anticipated” and similar expressions and disclaimer For personal use only Communi
Slide 31: Downsize to a bigger life
For personal use only DOWNSIZE TO A BIGGER LIFE LIFEST YLE COMMUNITIES LIMITED Level 2, 25 Ross Street South Melbourne VIC 3205 Ph: (03) 9682 2249 www.lifestylecommunities.com.au LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life A BUSINESS MAKING A DIFFERENCE 30
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