$240m village envisioned for Drury/Karaka
Resource consent applications are lodged with the Auckland Council to build a new $240 million retirement village in Drury West.
Developer, Tauranga-based company Karaka Pines Villages, describes it as ‘‘a new model of retirement village’’.
The resource consent application is to build a 310-unit retirement village and country club on its 11-hectare property on Bremner Road, Karaka/Drury West.
Karaka Pines Villages chief executive Adam Yates says it will be called Karaka Country Estate and be part of Auranga, the 2500-residence community development being overseen by Auckland developer Charles Ma.
Yates says the cost to develop a village of this size is not expected to be less than $240m, and the project will be spread over seven years.
‘‘We have a group of investors who are very excited to be involved in an investment of this nature,’’ he says.
‘‘They get returns from an investment which also makes a positive contribution to the wellbeing of retired people both financially and socially.’’
Karaka Pines Villages devel- ops and operates retirement villages under the Own Your Own concept developed by Yates during his 17 years as chief executive of Manor Group Investments.
During that tenure, he was involved in the development of six retirement villages in Auckland, the Bay of Plenty and Canterbury.
Own Your Own is a different financial model from traditional retirement villages, Yates says, with residents getting the right to the full capital gain on the unit they occupy, as well as receiving a licence to occupy it.
‘‘What this means is that if you purchased a unit in 2012 for $400,000, the sale price in 2017 might have been about $680,000.
‘‘Instead of the $300,000 return you would have received under the traditional model, in our village your return would be about $650,000 after selling fees and expenses.
‘‘We believe that a retired person should get to retain and build on the wealth they have spent a lifetime accumulating, rather than sacrificing it to the operator of a retirement village,’’ Yates says.
‘‘At our villages we take pride in supporting the rights and individuality of our residents. It’s important to us that our residents have flexibility to choose the level of service they require.’’
Yates says Karaka Country Estate will have communal facilities such as a bowling green, swimming pool and country club with an on-site manager, grounds keeping and maintenance services. Residents will also get to have a say in the management of the village.
‘‘It belongs to the residents, as they’re the ones that have to live there, so they should have a say in the way it operates,’’ he says.
An existing large residence near Drury Creek will be converted into the country club to include a restaurant, gymnasium, swimming pool, lounge area, and adjacent bowling green.
Yates believes if building consent is given, civil works for Karaka Country Estate should begin in June, with the first units on the market in the first quarter of next year.
Karaka Pines Villages wants to build a 310-unit retirement village and country club at Drury West/Karaka.