Property Council responds to draft Retirement Villages Act approved forms
The Property Council has responded to a closed consultation with the Department of Housing and Public Works, providing the industry’s feedback on three draft forms to support the implementation of the stage 2 amendments of the Retirement Villages Act 1999.
Concerns have been raised with how the Department is proposing to approve redevelopments, and the level of detail that will be expected to be provided by project proponents.
The Property Council has argued that the proposals will create another level of uncertainty for village owners, and will likely lead to less investment in the redevelopment of villages at a time when some assets are nearing end-of-life and do not meet the expectations of the market.
Specific concerns were also raised about how the Department will manage the approval of plans to purchase a village. This is a major concern for the industry as it is likely to have a significant impact on the transaction process.
The Property Council has proposed changes that would allow transactions to occur between existing retirement village owners without prior approval from the Government.
The Department is reviewing the feedback prior to releasing the final forms that will then require an amendment regulation to be enacted.