Velocity is primarily focused on developing and operating high-quality accommodation for resource sector workers in the Pilbara.
Its first project, completed in May 2011, was a 184-room accommodation village in Karratha.
NLV Group, chaired by John Wood (pictured), said it was already working on a number of similar accommodation developments in the Pilbara, which are currently being progressed through the feasibility stage.
The expansion strategy is understood to have led to a review of funding arrangements for the group, which has been backed by Malaysian private equity investor Navis.
NLV chief executive Mike Hollett said the acquisition was “a logical step in building on our core strengths of developing, building and managing communities and a very strategic one in enabling NLV to tap into the strong growth sectors lead by energy and resource developments in the Pilbara”.
Mr Hollett said this strategy has been further supported by the Group’s delivery of two accommodation villages funded by the state government’s Royalties for Regions scheme – a village for service workers in Karratha and one for seasonal staff at Coral Bay.
The Karratha development includes a gymnasium and pool, and the units include two separate master bedrooms with ensuites, self-contained kitchens, lounge and dining rooms opening onto covered verandah areas.
The design provides a potential longer term alternate use post the current resource sector needs.
The Karratha village has been fully tenanted since completion by Rio Tinto Iron Ore, with a service agreement from neighbouring Cherratta Lodge to provide food and cleaning services.
It also owns modular accommodation manufacturer EcoFit Homes, as well as Lifestyle Developments, which develops special purpose housing projects.
Velocity Villages director Kevin Hughes, who has over 20 years experience in property development, has joined the NLV Group board.
He established Velocity in response to the lack of higher quality accommodation in the resources sector, other than standard mining camps.
Mr Hollett says the acquisition will underpin future growth for the Group and its Ecofit Homes division.