Eureka Group Holdings Limited (ASX: EGH), a provider of affordable rental accommodation and independent living communities, announced on 13 August 2026 the acquisition of Mandurah Coastal Holiday Park in Western Australia. The off-market purchase for $18.4 million, including a $3.0 million deferred payment, marks a strategic expansion into one of the state’s fastest-growing regional centres. The acquisition was secured at an initial yield of 7.7%, excluding transaction costs, with settlement expected in late August 2026.
Spanning a 4.05-hectare freehold landholding approximately 70 kilometres south of Perth, Mandurah Coastal Holiday Park currently features 168 sites. These comprise 71 permanent land lease homes, 4 park-owned rental dwellings, 24 cabins and motel units, and 69 powered caravan and camping sites. Crucially, the acquisition includes existing approval for an additional 66 land-lease home sites, which Eureka plans to develop. The company noted the acquisition cost of $110,000 per home/site is significantly below replacement cost.
Eureka’s Managing Director and Chief Executive Officer, Mr. Simon Owen, highlighted the strategic importance. “This acquisition provides the Group with further exposure to the strongly performing Mandurah market, one of Australia’s strongest regional growth markets,” Mr. Owen stated. He added that the combination of existing development approvals, strong population growth, low rental vacancy, and rising housing prices makes this an attractive long-term affordable housing investment, consistent with Eureka’s strategy. Mandurah, with a population exceeding 100,000 and tight rental vacancy around 1.6%, has seen its median house price increase over 20% in the past 12 months. Eureka also noted it has a pipeline of over $120 million in non-binding acquisitions currently undergoing due diligence.
