Retirement Reform Review On The Agenda

Whilst reform of the Retirement Villages Act remains on the agenda, Executive Director, Senior Trust Retirement Village Income Generator (STIG), John Jackson, said New Zealand’s ageing population continues to drive unprecedented demand for senior living.

Estimates are that there will be a shortfall of almost 8,400 retirement village units by 2033.

At the same time, building consents in 2024 saw fewer than 1,700 new units approved nationwide. The gap between supply and demand remains significant, supporting long-term investment opportunities.

Jackson said that this imbalance creates confidence for investors. “We are not in a market of oversupply. Quite the opposite. Villages are looking to expand, operators need capital, and investors are seeking income. That alignment is powerful.”

A sector built on stability

STIG has consistently positioned itself as a specialist lender to experienced operators in the senior living and aged-care sector. By focusing on secured lending, it ensures that investor funds are tied to tangible, long-term assets.

“In every discussion, we come back to the same point,” Jackson adds. “Demand is strong and our role is to identify opportunities while supporting much-needed housing for older New Zealanders. Legislation may evolve, but demographic fundamentals remain sound.”