Eureka Group (ASX:EGH) has announced the acquisition of Nagambie Lifestyle Park, a mixed-use residential community located approximately 140km north of Melbourne.
The park, situated in Nagambie—the largest town in the Strathbogie Shire—features 127 revenue-generating sites, including 75 land-lease homes, 18 park-owned rentals, 19 annual sites, and 15 motel rooms, alongside amenities such as a community centre, swimming pool, camp kitchen, games room, and laundry and amenity blocks.
The purchase price for the property is $11 million, delivering an initial yield of 7.3% and a target five-year internal rate of return of 15.9%.
The site also includes 26 serviced vacant sites and two completed homes ready for sale.
Eureka plans to reactivate the planning permit, with new homes expected to be added from mid-2026, bringing the park to a potential 155-site community, with more than 90% comprising long-term rental units and land-lease homes.
Eureka’s Managing Director and CEO, Simon Owen, highlighted the area’s strong growth and market fundamentals, noting the park's 0.4% rental vacancy rate and a median house price of $650,000 as aligning with Eureka's affordable housing strategy.
This acquisition marks Eureka's second all-age rental village in Victoria and the ninth such community acquired by the group in the past year, with an additional $90 million of potential acquisitions currently under due diligence.
Settlement is expected in late January, subject to customary conditions.