ANdrew Heathcote Rich Lists editor

Andrew is BRW's Rich lists editor and is responsible for the Rich 200 and Young Rich flagship issues. He also reports on matters relating to wealth and investment for BRW and The Australian Financial Review.

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How the Rich 200 invest: Stan Perron

Published 18 January 2012 14:12, Updated 26 January 2012 05:16

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Name: Stan Perron

Wealth: $1.88 billion

BRW Rich 200 ranking: 18

Timing is everything when it comes to investing in real estate.

Property development has proved to be a difficult pursuit in recent times. A fall in investment has followed a significant slowdown in the appreciation of residential property.

Understanding value is never more critical than in a challenging market.

Long-time investors such as Perth-based Stan Perron understand the market better than most.

News reports suggest that Perron has seized an opportunity to acquire half of the beleaguered Vasse Newton project near Busselton in Western Australia.

Perron is believed to have paid embattled developer Luke Saraceni $20 million for the stake, which was worth as much as $45 million five years ago.

Work stopped on the project when demand for properties slowed as a consequence of big price increases and the global financial crisis.

The Perron Group has the luxury of being able to fund development of the project from its cash reserves and is not reliant on bank financing.

Many developers have complained of difficulties in obtaining finance after the GFC. Their problems have been beneficial to wealthy rivals such as Perron.

Perron made his fortune in mining and earth-moving before getting into residential and commercial property development. He splits his portfolio at about 70 per cent residential and 30 per cent commercial.

Unlike many of his peers on the Rich 200, Perron is a highly active philanthropist. He set up a charitable trust in 1978 and continues to spend heavily on a variety of charities.

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