Retirement Housing Package Offered In Christchurch

The Retirement Villages Association has today announced re-housing assistance packages for the elderly affected by the closure of Kate Sheppard Gardens (KSG), which was virtually destroyed by the Christchurch Earthquake.

RVA Executive director John Collyns said the organisation was committed to looking after residents of its member villages.

"We feel deeply for the predicament of residents of the Kate Sheppard Gardens. It's a tragic situation for everyone, including the owner," he said.

The various offers of financial accommodation range from discounts on units, and loans which in some cases may be interest-free, through to waiving other charges or the facility fees, to allow residents to move in. The offer from each village will differ according to their circumstances, and the circumstances of the resident.

Each package will involve a significant cost for each village, so they are only being offered to residents of Kate Sheppard Gardens.

"It's good to know that our whole organisation stands behind each member village. Members across the country have come up with great offers for the residents.

"The major problem is that cash payout on their investment in the village will be delayed by complex insurance processes, and may be less than they need to enter another village under market terms. Therefore, the most useful things to offer at the moment involve lowering barriers to getting them into new units," Mr Collyns said.

He said the Kate Sheppard situation had exposed a gap in the current Government-regulated code.

"Kate Sheppard Gardens and the contract it operates under is fully compliant with the Retirement Villages Act 2003 and the Code.

"The heart of the problem is that the code-compliant contracts that give residents peace of mind in normal circumstances do not give them peace of mind if their village is destroyed and not rebuilt.

"So the Association is talking to members, Government, and insurers about ways of giving them that peace of mind," he said.

Ex-residents can call : 0508 997 090, email: info@retirementvillages.org.nz

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