New Zealand: New retirement village law takes effect

Under the Retirement Villages Act, 400 retirement villages have toemploy a statutory supervisor to monitor and audit the facility onbehalf of the residents.  Financial information given to prospective residents has to bestandardised, and what retirees are buying must also be made clear.  Retirees usually buy a “right to occupy” when they move into avillage. That “right” can be sold when they relocate or die, but fortypically 20% to 30% less than the purchase price when expenses aresubtracted by the operator.
A code of rights for residents is included in the law. FromSeptember, there will also be a retirement village code of practice:covering employee qualifications, health and safety, and building andrepair standards.  More than 30,000 people live in retirement villages in New Zealand, up from 10,000 10 years ago.  Retirement Villages Association president Norah Barlow expects a 50%growth in the next 10 years as more baby boomers near retirement age.

Source:  Radio New Zealand News, http://www.radionz.co.nz/news/latest/200705011547/mandatory_code_in_place_for_retirement_villages