It’s 2022 and time for the retirement village sector to take control of its future, with Plan B.
The retirement village sector suffers under a cloud of misunderstanding, and because of that increasing regulation that challenges its viability.
We can’t escape the fact that to maintain historic penetration at 6% of all people 75+ we need to build 5,500 new village homes a year, but each year we are building just 3,000.
Currently, as a rare benefit of COVID-19, sales enquiry is high – but will it continue?
New competition from Over-55s apartment developers and now Build to Rent is presenting an alternative value proposition, complete with concierges mimicking village managers. And they are building 5,000 Over-55-targeted new units a year.
Retirement villages are the answer to ageing care
But we can’t ignore the reality that retirement villages are a proven, built for purpose age-appropriate housing model that delivers on its promise.
Villages are also the natural diversification platform for aged care operators – they deliver profits to support aged care operations and they deliver a funnel of new home care and residential aged care customers.
Villages provide the future for aged care, as proven in New Zealand.
Time for Plan B – a sector action plan
A small group of deeply committed sector executives has researched and developed a strategy and plan to both explain the retirement village value proposition and project it into the community as part of a medium-term communication strategy. We call it Plan B.
Engaging television, talkback radio and social media, the objective is to present where retirement villages sit on the ageing journey, the economic proposition of this successful form of age-appropriate housing, and engage the public in a conversation on what successful ageing looks like.
An equal objective is to engage Governments at every level in this conversation.
We are seeking engagement from the sector in this Plan B.
LEADERS SUMMIT launch
To learn more, please join us at the LEADERS SUMMIT in your capital city, 24 and 25 March.
You will learn the economic, financial, social and customer rationales for retirement villages.
The TV and other strategies will be presented.
You will gain a clear understanding of what success can look like.
In every city – bring your leadership team
Plan B has been developed behind the scenes over the last four months, with the decision to go national only made four weeks ago. In addition to Sydney speakers, we are organising local speakers in every city.
We urge you to bring your leadership team and have changed pricing to support the action.
In two days, you and your team can achieve 12 months of strategic thinking and a clear understanding by all members.
This is important
In 2008, both New Zealand and Australia had 6% penetration of retirement villages.
New Zealand now has 14% and expanding while Australia is shrinking.
In New Zealand, no new residential aged care beds have been built in a dedicated aged care home for at least 10 years. All new care beds have been built in retirement villages, and occupancy is substantially less than 12 months and premium fees are paid.
Plan A is not working. The village sector either continues to shrink or it takes action to change course – with Plan B.
New Zealand customers demonstrate they want the value proposition and that it is valuable for the community. We must do this.
Check out the LEADERS SUMMIT HERE, and please join us.
It’s important.
