15th July 2024
Retirement villages offer a promise of peaceful living and a community-oriented lifestyle for many retirees. At Castrikum Adams Legal we are experienced in navigating these complexities to protect the rights of residents.
A recent ABC article featuring Geoff Gauci’s experience at Lifestyle Communities in Melbourne highlights the significant challenges faced by residents in retirement village settings across Australia. Seeking tranquillity in an over-50s gated community, Geoff and others found themselves involved in disputes over fees and practices they consider unethical.
Lifestyle Communities operates on a model where residents buy homes but lease the land, similar to caravan park arrangements, in a $12 billion industry attracting both retirees seeking affordable, maintenance-free living and investors seeking returns.
Key issues include contentious exit fees, which can reach up to 20% of a home’s sale price after several years. Residents like Geoff are contesting the legality and fairness of these fees in the Victorian Civil and Administrative Tribunal (VCAT). Our firm is experienced in advocating for residents in such disputes, ensuring their rights are protected against misleading marketing and unfair contractual provisions.
Another controversial practice highlighted is charging rent to deceased residents’ estates until homes are sold, often coupled with alleged favoured treatment for selling new properties over resales. These practices have led to significant backlash among affected families.
Despite these challenges, Victoria’s regulatory framework lacks dedicated legislation to adequately protect residents. This is why it is advisable to acquire the right legal assistance prior to entering any contracts. For further insights, you can read the full ABC article here.
At Castrikum Adams Legal, we focus on retirement village leasing law, offering personalised legal solutions for residents navigating contractual disputes or managing estate issues. Contact us today on (02) 6687 1167 to schedule a consultation and learn how we can protect your rights and help you navigate the complexities of retirement village leasing.