16
UBS Australasia Conference 16-17 November 2015
1LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
UBS Australasia Conference
16-17 November 2015
2LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
OVERVIEWLIFESTYLE COMMUNITIES
3LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
10 Years of Growing Annuity Income Streams
Annuity income will continue to increase through new home settlements, rental increases and resales of existing homes
ANNUITY STREAMS
There are two components to the annuity stream:
1. Site Rental Fee
2. Deferred Management Fee
$12,000,000
$10,000,000
$8,000,000
$6,000,000
$4,000,000
$2,000,000
2006
45
-
2007
100
-
2008
138
1
2009
202
4
2010
305
11
2011
412
8
2012
546
11
2013
695
10
2014
906
23
Site Rental Fees (gross) Deferred Management Fee (cash)
Annuity Income
2015
1,146
34
4LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
COMMUNITY LOCATIONS
Shepparton
Wollert
Officer
HastingsRosebud
Chelsea Heights
Melton
BerwickTarneit
Geelong Cranbourne Warragul
13 communities in planning, development or under management
Community Homes Settled
217
221
-
150 -
151 -
225 -
160 -
2,315 50%
Bittern
Victoria provides:
Focus remains in Victoria
5LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
LYNDARUM COMMUNITY
Our product keeps evolving to meet the needs of the emerging baby boomer
6LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
BUSINESS MODEL
Lifestyle Communities has a sustainable business model
The growing level of free cash flow from the community management business provides the basis for future dividends
Development Business
As at 30 June 2015
Community Management Business
CIRCULATING CAPITAL POOL
FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15
Total home sites in portfolio(1) (2)
2,315Total Occupied home sites(2)
1,146As at 30 June 2015 the gross rental annualised at $10 million per annum
7LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
KEY RISKS The company ensures diligent risk management at each stage of the development cycle
Disciplined approach to each stage mitigates risk
Financial Site Selection
Community Roll Out
Sales
Community Management
1 2 3 4 5
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OVERVIEWFY2015 SNAPSHOT
Lifestyle Communities had another positive result during FY2015
A proven business model structured for sustainable growth
Business Snapshot
Home sites (annuities) under management(1)
1200
1100
1000
900
800
700
600
500
400
300
200
100
2007 2008 2009 2010 2011 2012 2013 2014 2015
9LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
MARKETSTRATEGY
Straddling two segments but focusing on the ageing baby boomer
Lifestyle Communities’ business model is well placed to capitalise on this emerging customer
War Generation (1925-1945)
Key Message
Key Channels
Baby Boomer Generation (1946-1964)
Key Message
Key Channels
MARKETING TRANSITION
MESSAGING CHANNELS
10LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
VICTORIAN POPULATION GROWTH
As at 30 June 2013 there were over 574,000 Victorians aged over 70 and over 906,000 aged between 55 and 69
Lifestyle Communities is well positioned to meet the needs of the baby boomer age wave
85+ (114k)
80-84 (116k)
75-79 (151k)
65-69 (264k)
60-64 (302k)
55-59 (340k)
70-74 (194k)
11LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
THE EMERGING MARKET GAP
The two key emerging trends come together to create the Lifestyle business model
Current housing solutions are not satisfying the new emerging customer
Affordability
Baby Boomer
BUSINESS MODEL
12LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
MARKETING Lifestyle Communities’ marketing targets the emerging baby boomer
Digital marketing is driving future growth with 50% of leads coming from our website
DIRECTION 3: PRESS CAMPAIGN
DIRECTION 2: PRESS CAMPAIGN
FACEBOOKPRESSPRESS
13LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
LIKELY SETTLEMENT PROGRAMME
Currently 2,315 homes in the portfolio(1)
Community FY16 FY17 FY18 FY19 FY20
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Represents tail of development which is often a slower settlement rate
14LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
Lifestyle Communities capitalises on the solid base established for future growth
Lifestyle Communities’ model is driven by affordability, the ageing population and the emerging baby boomer
OUTLOOK
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IMPORTANT NOTICE AND DISCLAIMER
16LIFESTYLE COMMUNITIES LIMITED - Downsize to a bigger life
LIFESTYLE COMMUNITIES LIMITED
www.lifestylecommunities.com.au
DOWNSIZE TO A BIGGER LIFE
