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Senior Trust Retirement Village Income Generator

A surging retirement village sector and a low yield interest environment

The combination of a surging retirement village sector and a low yield interest environment  are behind the recent launch of a further investment offer from Senior Trust Management Limited – the Senior Trust Retirement Village Income Generator (“Income Generator’) -- aimed at meeting the ever-increasing demand from depositors  who want a fair return to support their lifestyles. 
 

The Income Generator -- the 6th in the firm's history (which includes management of a listed fund) -- comes at a time when, despite Covid-19, the retirement sector remains strong with more than 18,000 new retirement village units needed in less than 10 years for an ageing population (according to the JLL Retirement Village Market Forecast). 

  

Executive Director John Jackson said that the Income Generator offers investors security over soundly located, well run retirement villages, giving investors an attractive, steady income return paid quarterly. 

  

"The rationale behind the new offer is to provide investors the ability to take advantage of the opportunities that exist within the Retirement Village and Aged Care sector. While every investment carries risk, we can point to past performance and the stability of the retirement village industry, which is well regulated.” 

  

Jackson said that the Income Generator makes loans to the retirement village sector, so investor funds are secured by way of a mortgage and returns are underpinned by interest earned on the loan portfolio. 

  

"Returns have historically delivered one-and-a-half to two times the return of a bank deposit." 

  

Jackson said that the retirement industry has unquestionably benefited from the go early go hard Covid-19 response and has come through relatively unscathed, with an upswing in inquiries.  

  

“While we could see a softening in sales later this year, it is important to bear in mind that retirement villages are typically built in stages over an extended period. If demand slows, the construction rate will slow to match demand. 

  

"In our experience, however, New Zealanders coming into retirement age have become far more accepting of retirement villages as a way of living. This, coupled to growing interest in well located villages that offer a premium product means we remain optimistic," Jackson said. 

When investing, past performance is no guarantee of future performance. A minimum subscription of $1,000 applies. Applications will only be received on the application form supplied with the Product Disclosure Statement (PDS).

 

Please read the PDS before investing. Note that the definition of "Retirement Village" used in the PDS is wider than a village which is registered under the Retirement Villages Act and includes other types of residential accommodation for persons above a defined age. The latest information about our current loans is set out in the ‘Table of Loans’ document on the Disclose Register.

Our distribution policy is set at the discretion of the directors and is not a fixed rate of return. Payment of distributions is not guaranteed. We recommend you seek financial advice relevant to your circumstances.
 

*Senior Trust Retirement Village Income Generator Limited is not licensed by a New Zealand regulator to provide the service of issuing Shares. Senior Trust's registration on the New Zealand register of financial service providers or membership of the Financial Services Complaints Ltd (FSCL) - A Financial Ombudsman Service does not mean that Senior Trust is subject to active regulation or oversight by a New Zealand regulator.

SENIOR TRUST RETIREMENT VILLAGE INCOME GENERATOR LIMITED

Registered Office:

Level 1, 20 Beaumont Street, Freemans Bay, Auckland, 1010

Postal Address:

The Directors, PO Box 113120, Newmarket, Auckland, 1149

Copyright © Senior Trust. All rights reserved.

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