Fletcher Building opens the door on its retirement villas and on shared capital gains

Published by New Zealand Health Group on

A street in the Vivid Living retirement community.

Fletcher Building’s first Vivid Living development is starting to take shape with the first villas completed within the existing Fletcher Living community at Red Beach on Auckland’s North Shore.

Vivid Living’s registration under the Retirement Villages Act 2003 has now also been completed, making way for keen retirees who want to get more out of life, offering an opportunity to explore how a Vivid Living villa could work for them.

“We’re thrilled Vivid Living is now a reality and think this model will prove popular with Kiwis aged 70 plus. When we first started thinking about establishing a retirement business, we identified a gap in the market – where people wanted to downsize but didn’t necessarily need or want all the bells and whistles of a traditional retirement village. We believe Vivid Living helps plug this gap by integrating the villas into the surrounding Fletcher Living neighbourhood where everything is on the doorstep and secondly delivering a fairer financial structure,” says Steve Evans, Chief Executive Fletcher Residential and Development.

Residents moving into a Vivid Living community will enter an Occupational Rights Agreement (ORA) with a 15% Deferred Management Fee (DMF) – lower than most traditional villages. In addition, when the time comes to move on, residents will have the opportunity to share in the financial rewards, receiving 50% of the capital gains, less the costs incurred to sell the home.

“We’ve had the opportunity to shape Vivid Living’s financial operating model in a way that embraces recommendations from the CFFC White Paper released last year.  This includes, the buyback of the villa within 4 months, no weekly fees after exit, and ORA exit provisions, where we will payback 10% of the Residence Advance within five days of an ORA ending.”

“We appreciate people work long and hard to build up their nest egg and want to make smart financial choices in their retirement years. Our financial model throws something different into the market for them to consider,” explains Steve Evans. 

Another key selling point is that the villas are built to a 7 Homestar Standard and designed to Lifemark® principles. Making them safe, secure and warm for older residents. 

“Ensuring our residents feel connected and secure while still living independently in a Vivid Living villa is a priority for us. We are excited to announce our partnership with Securely who will provide a range of security measures and a concierge service for Vivid Living residents,” says Steve Evans.

“Peace of mind around personal safety is critically important no matter what your age and we’re excited to be part of this revolutionary Vivid Living offering where we are providing all-hours monitoring of our alarm systems, smoke and CO systems, and will provide a 24/7 resident response service,” says Mark Smith, General Manager SECURELY.

This adds to partnerships already in place with Private Care NZ and Spritely. Residents will be offered annual and monthly health checks from Private Care NZ while being supported with age-friendly touchscreen technology from Spritely. 

“Our purpose is to create a world where older people can live independently for longer without compromising their health, safety, or social connection which fits in well with the sense of connection and togetherness behind Vivid Living, and we’re excited to be making a difference in the lives of those who choose to call this community home,” says Spritely CEO Christopher Dawson.

A key point of difference for Vivid Living residents is the ability to tailor care to their personal circumstances, needs and preferences.

“It’s been fantastic working with Fletcher Living to develop this unique health package for residents. They will all have the option to receive our Private Care NZ basic package, including an annual health check and monthly wellbeing check-ins. Plus, they have the flexibility to make individual arrangements to access and pay for additional Private Care NZ support should they want it,” says Veronica Manion, Group Chief Operating Officer of the New Zealand Health Group

“Living the life you want is the belief that drives everything we plan, design and build.  Collaborating with Securely, Spritely and Private Care NZ has allowed us to make sure this applies to our retirement offer. Our residents will have more control over their individual care needs and preferences, while living independently in homes designed for people to enjoy their retirement,” says Steve Evans.

Alongside the villas the Vivid Living community will feature a ‘shared lounge’ for residents to use. This central hub will be available for social activities, classes and will be managed with input from both Vivid Living and residents to help create an even more connected and positive lifestyle village experience.

“All of this adds up to helping Kiwis live the way they want to. It’s a fresh approach to helping Kiwis retire from work not from life. It’s the beginning of an exciting era we’re proud to be part of,” says Steve Evans. 

The next Vivid Living developments will be built at our existing Fletcher Living communities in Waiata Shores, South Auckland, and Park Green, Karaka and The Hill, Ellerslie.

This article appears on the New Zealand Health Group site courtesy of Private Care NZ. For more information on the services offered by Private Care NZ, please visit PrivateCareNZ.com.

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