Pembury Lifestyle Group retirement lodges
Newly listed Pembury Lifestyle Group has received the JSE’s approval on the acquisition of six Pembury retirement lodges.
This diversification of the Pembury Group’s portfolio into the retirement industry will add a mature and stable base of future earnings to the group’s rapidly expanding education assets.
“In addition to providing stable earnings, the acquisition strengthens the group through diversification,” explains CEO Andrew McLachlan. “It also allows investors a unique opportunity to invest in the retirement sector. When international models of similar retirement operations have listed on their stock exchanges, they have proven to be successful investment vehicles. This is because the retirement sector is characterized by strong and growing demand.”
“As life expectancy among South Africans rises and our population ages, so does the demand for secure accommodation with appropriate services and care. As a population ages, so do its care needs become more specialized. Since its inception in 1999, the Pembury retirement lodge brand has grown into a popular and well differentiated brand asset, strongly driven by word of mouth and delivery on our brand promise that ‘Its just like home … only easier’. PLG’s twenty years’ experience in this sector has firmly positioned us as a leading provider of accommodation and care services for mature South Africans.”
“The core strategy of PL Group is to develop demand driven businesses,” McLachlan added. “Both the education sector and retirement sector are demand-driven, characterized by a strong and growing need for unique and specialized services.”
The newly acquired Pembury retirement lodges are located in locations with high demand: Sandton, Bryanston, Melrose, Fairland, Magaliesburg and Plettenberg Bay. The group currently has 400 units and plans to increase these to 700 units over the coming 12 months.
The PLG Schools group currently operates seven schools, mostly in Gauteng. The locations include Northriding (Randburg), Ruimsig (Roodepoort), Allens Nek (Roodepoort), Kempton Park, Springs, Raslouw (Centurion) and Hartbeespoort. Earlier this year PLG announced that it has acquired properties in Carlswald, Midrand and Randfontein, these acquisitions being in line with the objective of acquiring three properties during 2017 in order to open three new campuses in 2018.
PLG Carlswald Academy, PLG Midview Academy and PLG Greenhills Randfontein Academy will open in 2018; each campus will comprise three schools - a Pre-Primary School, a Primary School and a High School.