Lifestyle Communities shares tumble over VCAT proceedings
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The news: Shares in Lifestyle Communities fell in early trading after a media report detailed complaints against the affordable housing provider by customers to the Victorian Civil and Administrative Tribunal (VCAT).
The numbers: Lifestyle shares were down nearly 8% to $11.60 after an ABC news report said that 80 residents at one of its projects in northwest Melbourne had accused it of unethical conduct and lodged complaints with VCAT.
The context: The report said the homeowners lodged claims with VCAT over fees they believed were excessive and in breach of the law.
Lifestyle Communities confirmed to the ASX on Monday it had been engaging with a group of homeowners since February, who have now approached VCAT.
It rejected the allegations made in the VCAT applications and said all fees had been clearly articulated.
The developer, for affordable homes for those over 50, had previously downgraded its home settlements expectations in April following slower than predicted settlements in beachside and northwest Melbourne locations due to delays in customers' sale of their existing homes.
The sources: ASX announcement, ABC News
