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There are several ways for Retirement Villages to allow people to own or occupy premises in retirement accommodation. People often occupy retirement villages under long-term leases, under licence or through Strata Title Ownership.
Under a long-term lease, the occupier is entitled to live in the property for a period of time according to the lease. The property developer maintains ownership of the property but the lease can be transferred by the occupier. Beyond the lease agreement, a "service agreement" sets out the terms and conditions regarding the services provided. Long-term leases usually call for a trustee company to be appointed to take care of the financial aspects whilst a manager is appointed for day-to-day village management.
Under a licence, the property developer again maintains ownership of the property but the occupier provides a long-term loan or accommodation bond in return for the right to occupy the property. This is a more cost-effective approach as the cost of entry is substantially lower. The downside to this approach is forgoing the benefit of capital gains the property attracts as the market matures and the payment of a deferred management fee when the right of occupancy is terminated.
Strata Title Ownership is the most secure form of occupation with the added benefit of Owners Corporation membership, granting certain rights to contribute to the management of the retirement village. The downside to this approach is a higher cost of entry due to stamp duty on the purchase. However, the advantage is accruing capital gains on the property as the market further matures.
We have helped people who have taken up residence in many Retirement Villages including:
- Anglican Retirement villages
- Bayview Gardens Retirement Village
- Benevolent Society villages
- Cardinal Freeman Retirement Village
- Craiglea Village
- Frank Vickery Village
- Illawarra Retirement Trust villages
- Juliana Village
- Kabala Hostel
- Our Lady of the Myrtles
- The Hammond Care Group villages
- The Uniting Church in Australia Property Trust villages
- Thomas Holt Memorial Village
- Waterbrook
- Woolooware Shores
Should you require our assistance, please contact us.
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