There are four basic legal titles commonly used for retirement villages: Licence to occupy Unit title Cross lease Lease for life. Some villages combine the features of ‘‘licence to occupy’’ with ‘‘unit title’’ to create their own type of title.
The Act requires all legal titles to include a ‘‘memorial’’ that protects a resident’s interest in their unit and helps to ensure the village’s continued operation.
About three quarters of New Zealand’s retirement villages offer licences to occupy. A licence to occupy gives you the right to live in the unit, but it doesn’t mean you own the unit. This usually means that you can’t borrow against the value of your unit, though some villages may offer this option.
In a village based on a unit title structure, you own your own unit. You also become a member of a body corporate that is responsible for the upkeep and maintenance of communal areas. Often the body corporate has a management agreement with the village manager (who is responsible for looking after the day-to-day operation of the village) to administer and look after the affairs of the body corporate.
If you have a cross lease, you share ownership of the land and its units, and grant leases to one another to live there. The leases include agreement about the length of the lease, the use of the land, and the residents’ rights to live there.
In this case, you have a lease for a unit or property in the village, which remains in place until you die or leave the village. Some villages also offer rental units. To be registered To appoint a statutory supervisor
To provide intending residents with a disclosure statement, occupation right agreement and other important documents before buying into the village
To provide a process for communicating with and involving residents in the village
To provide a process for handling complaints and disputes
The Act also requires all intending residents:
To get an independent lawyer to explain their occupation right agreement and its implications before signing the agreement.
The Department of Building and Housing is responsible for the Retirement Villages Act. For more information, read, download or order the booklet Thinking of living in a retirement village online at the Department of Building and Housing website. The Register of Retirement Villages is operated by the Companies Office. Use the register to check that a village is registered and to search their required registration documents. villages. When asking questions, remember to think about your future needs and how they might change.
Suggests some important questions to ask about entry, transfer, living and leaving costs as well as questions about the village’s financial operations.
Lists many different aspects of the village lifestyle, from entry criteria, location and management through to
Lists the steps to take when signing up to enter a village.