OF YOUR FUTURE

Transcription

1 OF YOUR FUTURE

2 THE POWER ne OF In times of change, the Retirement Living Council is a strong voice and drives sector leadership Across Australia there are more than 2,000 villages offering more than 141,000 independent living units (ILUs) with more than 184,000 older Australians who express overwhelming satisfaction with their village choice. Membership of the Retirement Living Council increases the sector s strength. Membership is an investment in your business future and an important statement about your commitment to industry leadership. take charge OF YOUR FUTURE

3 The retirement living sector is one of the most fascinating sectors in contemporary Australia. It is central to providing affordable housing, preventative health and important community services to senior Australians in regional and urban locations, which is something everyone working in the sector should be very proud of. The well documented growth of the senior population in Australia over coming decades presents a real challenge for governments to manage the health and housing needs of older people. Retirement villages play an important and very much underrated role in helping over 65s lead a happy and independent life for longer than they otherwise would, which saves Australian taxpayers more than $2 billion annually through lower health and aged care costs. It is only by working together that we can deliver the leadership needed to ensure governments understand the value and importance of retirement villages. That s where your peak body, the Property Council of Australia, comes in. We harness the expertise of members as well as use our relationships with politicians and public servants nationally to reduce the impediments, increase awareness and focus decision-makers on the positive role retirement villages play in our communities (and their electorates). Over the next 12 months our priority will be to focus governments around Australia on the planning challenges that are restricting the supply of retirement villages and limiting consumer choice. We will continue pushing for fairer taxes and better regulation. We will work to improve quality across the sector through the introduction of an updated accreditation scheme and, importantly, we will ensure our members have access to forums and information that build leadership and promote innovation. We are delighted to have the continued support of the operators that together form the Retirement Living Council. Steering a sustainable path for the sector, the Retirement Living Council works for the benefit of all operators small and large - through research, policy platforms and education programs that directly address regulatory and operational challenges. In addition to this, more than 100 organisations are represented across the Property Council s six state and territory retirement living committees. These committees provide targeted, expert advocacy to ensure state regulatory frameworks are as fair as possible for operators and residents. There is no shortage of passion, ideas and motivation to meet the challenges of an ageing population within our networks and membership. This publication showcases some of the achievements of the Property Council in retirement living, highlights our current work and priorities, and explains the benefits of being part of the Property Council s membership. Ben Myers Executive Director Retirement Living SHAPE THE FUTURE OF OUR SECTOR More than 184,000 senior Australians live in retirement villages 5.7 per cent of the over 65 population. Retirement living sector growth has been measured at 7.5 per cent a year. RETIREMENT LIVING COUNCIL 1

4 ADVOCACY ACTIVITIES In 2016, retirement villages reported occupancy of 92 per cent on average across the country. Helping senior Australians unlock their home equity A major priority of the Property Council is to achieve a policy change that prevents senior Australians from being financially penalised for moving to a smaller home and achieving a surplus on the sale. Under current age pension asset testing arrangements, seniors can be reluctant to unlock equity in their homes because their pension payments are reduced. The Property Council commissioned PwC to model a targeted reform to the asset test which allows fullrate age pensioners to retain more surplus sale proceeds without being financially penalised. This policy would enable older people on low incomes to downsize if they wish to, and live in smaller homes that are easier to manage with lower maintenance costs, as well as freeing up funds for health needs. This can extend their independence and delay entry into the aged care system, creating a cost saving for the Federal Government. This policy concept has been discussed directly with Ministers and formed part of the Property Council s submissions to the 2017 Federal Budget. Tax clarity for village operators Following extensive Retirement Living Council advocacy efforts, the Commissioner of Taxation issued two Practical Compliance Guidelines in 2016 which assist retirement village operators to comply with relevant tax laws, resulting in greater certainty and cost savings. The rulings relate to fringe benefits tax for live-in village managers, and deductibility of capital growth payments to outgoing residents. These wins were generated as a result of the Retirement Living Council Tax Committee, which meets regularly with Australian Tax Office and Treasury officials to achieve greater tax clarity for the retirement living sector. 2 take charge OF YOUR FUTURE

5 National Aged Care Alliance The Property Council has established vital links with other like-minded peak bodies through its membership of the National Aged Care Alliance. For the first time, the Alliance is examining independent living and how people s independence can be extended for as long as possible before having to enter the aged care system, including the potential benefits of delivering home care packages into village settings. Media presence Through the Property Council s increased media capacity, retirement living issues have been covered extensively in major media outlets and other publications including Australian Ageing Agenda, The Australian, Australian Financial Review, Channel 9, 2GB, ABC Radio and more. ADVOCACY ACTIVITIES The retirement living sector contributes nearly $3 billion to Australia s GDP annually. RETIREMENT LIVING COUNCIL 3

6 RESEARCH ACTIVITIES Property Council Retirement Census The Property Council Retirement Census is the most comprehensive aggregated data source about retirement villages in Australia. The Census profiles the physical characteristics of villages, ownership details, business attributes (such as tenure and financial structure), and resident profiles (such as demographics and length of stay). The 2016 Census was comprised of rich data anonymously provided by large and small operators representing more than 53,000 homes in retirement villages nationwide, representing the largest sample in the Census s three-year history. The Census will run annually, with detailed reports being provided to all contributing organisations. Delivering Home Care in Retirement Villages From February 2017, relaxation in home care supply will enable consumers more choice in their providers of care and where they receive care. Retirement villages represent a highly effective and efficient environment in which to deliver at home care, and a growing number of operators are expanding their service offering to residents. In light of this, the Property Council commissioned Ansell Strategic to produce a useful reference guide for the retirement living sector. Developed in consultation with retirement village operators and home care providers, this guide identifies home care delivery options in villages, as well as outlining the associated benefits and challenges operators may face. National Guide to Creating Simple and Effective Retirement Living Contracts To reduce the confusion some residents experience around contracts, village operators drawn from the Retirement Living Council worked together with Russell Kennedy Lawyers, to develop key elements of a good residence contract. These elements are set out in this National Guide. It has been created to assist retirement village operators with suggestions on structure and language for new contracts. 4 take charge OF YOUR FUTURE

7 The Five A s of Retirement Living The Property Council commissioned RPS to conduct research into how successfully planning frameworks and development controls facilitate retirement living developments. The research, titled the Five A s of Retirement Living, warned of a looming shortfall of retirement housing that won t meet overwhelming future demand, leading to higher public aged care costs. Based on sector feedback, there were five common themes that capture the key planning issues for retirement village development. These common themes relate to awareness, accessibility, affordability, adaptability and attitude. In the report, RPS recommends a suite of actions in these areas, including setting retirement living housing targets, fast-tracked approvals and making retirement living a permissible development in all residential zones. Living with Dementia in Retirement Villages Growth in the popularity of retirement villages, coupled with a predicted increase in the number of Australians with dementia, led to new research to help village operators become more dementia-friendly. This research was funded by IRT Foundation and the Property Council, and conducted by Alzheimer s Australia NSW. The research was accompanied by the production of a practical guide for retirement village operators, containing advice on how to support residents with dementia to either continue living within their villages, or to assist residents to transition to specialised accommodation. RESEARCH ACTIVITIES According to the 2016 PwC/Property Council Retirement Census, the average village resident enters a village at 75 years of age, the average age of residents is 80 and the average current tenure of residents is 7 years. RETIREMENT LIVING COUNCIL 5

8 MEMBERSHIP BENEFITS The Property Council champions a thriving property industry that creates prosperity, jobs and strong communities. We advocate with a strong voice and represent more than 2,200 member companies across the full spectrum of the industry including investors, owners, managers and developers. The property industry is Australia s second largest employer, creating 1.1 million direct jobs and supporting another 1.5 million jobs. As a member, you contribute to this important work by participating in committees and Property Council forums that help shape our advocacy, as well as joining our extensive member networks. Membership of the Retirement Living Council is limited by-invitation to the leading retirement living operators in Australia. In recognition of this leadership role, Council members have the goal of: Leading the development of industry policy Setting quality and customer benchmarks for the sector Agreeing retirement advocacy and research priorities for the Property Council Supporting forums and workgroups to share knowledge and build investor confidence Representing the industry to key policy makers, regulators, capital markets, investors and other stakeholders To achieve these outcomes, the Retirement Living Council has set five clear priorities for the next five years: 1. Securing better planning outcomes 2. Achieving fairer taxes and regulation 3. Enhancing quality 4. Driving leadership and innovation 5. Maintaining and growing market share for the sector As a member of the Retirement Living Council your company will play a key role in helping to realise these goals. Membership will entitle you to nominate a representative to join the Council, as well as entitle the company to nominate representatives to participate in Retirement Living Council Committees and Work Groups. Retirement Living Council members are also entitled to complimentary membership of relevant State Divisions of the Property Council, which includes a guaranteed position on each selected state s Retirement Living Committee. MEMBERS 6

9 Six key reasons why you must be a member 1. Strengthen the powerful industry voice focused on the growth of your business. 2. Support sophisticated representation on key issues affecting the sector, both nationally through the Retirement Living Council and at a state level with local retirement living committees. 3. Gain access to networking opportunities, connecting you to thousands of Property Council members across Australia. 4. Gain access to an extensive range of professional development courses, specific to your role and industry. 5. Have information on the latest issues and industry news, at your fingertips, through regular newsletters, publications and reports. 6. Unique access to specialist industry service and product providers, such as the Retirement Living Council s corporate partners The Retirement Living Council plays an important role as the premier advocacy body for our sector. The strength of relationships that the Property Council brings to that discussion provides the members with the pathways which can affect change. Alison Quinn CEO RetireAustralia & Division President More than ever, leaders and policy makers recognise the potential and worth of the retirement living industry in helping to deliver appropriate housing and care solutions for our growing number of senior Australians. A significant reason for this trend is the ambitious research and advocacy agenda taken on by the Retirement Living Council. Derek McMillan CEO Independent & Assisted Living Australian Unity 7

10 STATE ACTIVITIES The Property Council conducts a wide range of advocacy and research through six local retirement living committees. Each of these committees meets regularly to discuss local issues and form state-specific policies which strengthen the sector and improve the resident experience. Queensland Over the course of 2017 the Property Council will look to progress the policy work that has occurred to date. This includes championing reforms at a local government level to enable the delivery of purpose built seniors housing, by lowering infrastructure charges and streamlining the development assessment process. At a State Government level, we anticipate that the impending release of the Queensland Housing Strategy will include details of the Government s response to the reviews of the Retirement Villages Act 1999 and Manufactured Homes (Residential Parks) Act Our focus will remain on ensuring any reforms empower the industry to provide affordable accommodation for our ageing demographic. New South Wales A big issue for the Property Council s NSW retirement living committee has been the proposed introduction of a Retirement Village Fee Comparison Tool. The tool in its earlier versions could have been potentially harmful to the industry. The Property Council has guided the development of the tool to ensure it s a usable tool for seniors in NSW. The review of the Retirement Village Regulation (2009) will be undertaken in 2017, and the Property Council will prepare policy positions to reflect the views of industry during the review. The committee will also advocate for a positive outcome from the Seniors State Environmental Planning Policies (SEPP). ACT The Property Council was part of an advisory group, along with the local residents associations and other stakeholders, to oversee successful reforms to the territory s Retirement Villages Act, which came into effect in late A second round of reviews will take place in 2017, which the Property Council will again advise on. A large focus of advocacy in 2017 will be planning an ensuring there are enough appropriate sites for development of new seniors housing, to create housing choice for older Canberrans. 8 take charge OF YOUR FUTURE

11 Victoria The Property Council has developed an extensive response to each of the 15 recommendations contained in a Parliamentary report on the retirement housing sector released in March 2017, with the State Government inviting the Property Council to lodge a formal submission ahead of its formal response. The Victorian committee provided input into a discussion paper on internal complaint handling and dispute resolution, and participated in a subsequent roundtable discussion. It will also coordinate a response in 2017 to the Retirement Villages (Contractual Arrangements) Regulations 2006, which are set to expire in 2017, and seek to resolve a long-standing issue concerning the aged care rule and operators capacity to pay for residents entry into aged care. South Australia The Property Council continues to work with the Office for the Aging to shape the regulations within the Retirement Villages Bill Workshops were held at the end of 2016 with stakeholders, with the South Australian retirement living committee well represented at these. In January 2017, draft disclosure statements were released by the State Government. The committee provided timely feedback to the government, ensuring that the draft statement would follow best practice and not lead to undue paper-work or red tape for operators. Western Australia For the first time in WA, the Property Council has compiled a directory of more than 220 retirement villages and land lease communities across the state which provides a starting point for people thinking about their housing options later in life. In December 2016, the Property Council proposed a key planning reform for the Western Australian Planning Commission to introduce a 100% density bonus to enable increased seniors housing through the redevelopment of parts of existing retirement villages. The Property Council has advocated for the WA Government to increase the supply of seniors accommodation. In 2017, the Government responded by announcing plans to develop a seniors housing strategy to increase the availability of affordable and appropriate housing options for seniors. In 2017, the Property Council will be encouraging the new WA Labor Government to deliver first term reforms to the Strata Titles Act and Retirement Village Act to enable existing and new retirement villages to provide a wider offering to meet the contemporary needs of seniors. STATE ACTIVITIES More than 100 people from village operators and related service providers volunteer on Property Council retirement living committees across Australia. RETIREMENT LIVING COUNCIL 9

12 NATIONAL RETIREMENT LIVING SUMMIT TOP 3 REASONS for attending were networking, professional development and quality of speakers Delegates by gender The National Retirement Living Summit is the culmination of a full program of retirement living events and networking opportunities that the Property Council runs throughout each year, including full day forums, seminars, guest speakers and networking for young professionals. Nearly 500 delegates heard about how to inspire healthy ageing at the 2016 Summit in Melbourne, learning techniques to use with their residents, their teams and themselves. The National Retirement Living Summit 2017 will be held on the Gold Coast on Monday 27 November and Tuesday 28 November, with keynote speakers Bernard Salt (KPMG) and Shirlee Sharkey (St Elizabeth, Canada). 94% of 42% delegates would recommend the Summit to a colleague or a friend of speakers were women The 2017 Summit will focus on the art of disruption, and examine the disruptive trends in business that will have an impact in our sector over the coming years. 54% For more information on the National Retirement Living Summit, visit of delegates were women Delegate numbers 2016 For a full schedule of retirement living events across the nation, visit 10 take charge OF YOUR FUTURE

13 AWARDS The retirement living sector is focused on ensuring senior Australians have a comfortable and enjoyable retirement, which would not be possible without great staff, quality facilities and new innovations. In 2017, the Property Council launched a brand new national retirement living awards program to promote outstanding communities and sector success stories, and to educate the wider marketplace on retirement living. The purpose of the Programmed Village Manager of the Year is to recognise the village manager, staff and residents who go above and beyond to achieve the ultimate goal of a successful, happy and harmonious village. The Ingenia Communities Future Retirement Living Leader Award offers young and early career professionals the opportunity to showcase their success and to be recognised by their peers for constantly striving to raise the bar and think outside the box winners NATIONAL MANAGER OF THE YEAR AWARD: Janet Fisher and Meadowvale Retirement Village FUTURE RETIREMENT LIVING LEADER AWARD: Emma Plasier Founder of Shine Retirement And for the first time in 2017, the Property Council has launched four new awards for members to showcase their achievements in innovation, design, marketing and refurbishment. This is the only national awards program for the retirement living sector, through which, the Property Council rewards the foundation of a sustainable and strong sector. Nominations for the 2017 Awards will be open in May and June, and can be submitted at The award winners are named as part of the National Retirement Living Summit. RETIREMENT LIVING COUNCIL 11

14 CORPORATE PARTNERS Collectively our corporate partners contribute to the Property Council and the wider retirement living sector every day. Our research, advocacy and events activities simply would not be possible without the contribution from our valued corporate partners, many of whom are long-time supporters. Australia s biggest professional services firm, PwC, has joined with the Property Council to collect and analyse market intelligence critical to the future of the retirement living sector. PwC s Real Estate Advisory team are dedicated property specialists with advisory, transaction and development capability in the seniors living sector. Russell Kennedy Lawyers is a market leader in the provision of legal services to the retirement village sector and has acted for many retirement village operators throughout Australia for more than 30 years. ThomsonAdsett is a leading international architecture and design firm with studios throughout Australia and Asia. They offer flexible design thinking that is reflected across a range of sectors including seniors living, education & communities, commercial, health, resorts & leisure and retail. ThomsonAdsett work with clients to create strategies, which benefit all business models, and consider future and existing needs. thomsonadsett.com 12 take charge OF YOUR FUTURE

15 To contact the national retirement living team: tel e retirementliving@propertycouncil.com.au TAKE CHARGE OF ACT Level 1 AMP Building 1 Hobart Place, Canberra ACT 2600 tel e act@propertycouncil.com.au NSW Level 1, 11 Barrack Street Sydney NSW 2000 Phone: e nsw@propertycouncil.com.au NT Level Smith Street Darwin NT 0800 tel e nt@propertycouncil.com.au QLD Level Queen Street Brisbane QLD 4000 tel e qld@propertycouncil.com.au SA 142 Gawler Place Adelaide SA 5000 tel e sa@propertycouncil.com.au TAS PO Box 8072 Trevallyn TAS 7250 tel e tas@propertycouncil.com.au VIC Level Exhibition Street Melbourne VIC 3000 tel e vic@propertycouncil.com.au WA Mezzanine Level, Australia Place William Street Perth WA 6000 tel e wa@propertycouncil.com.au RETIREMENT LIVING COUNCIL

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