SA is joining other states with a compulsory buyback period of retirement village units. It has taken to Parliament legislation that will require retirement village owners to pay out departed residents after 18 months if the unit has not been successfully reoccupied by a new tenant or lessee. Other states have as low as six months.

Aged & Community Services SA & NT argued for two years and the Property Council opposed it totally. 

SA Executive Director Daniel Gannon (pictured) is quoted in The Advertiser that the buyback policy was “anti-jobs, antigrowth, anti-housing choice, anti-residents and anti-common sense. (It) will smash local operators with a compulsory buyback and make residents’ units worthless, which is bad news for people living in retirement villages”.

Other states have as low as six months buyback but the reality is such requirements does great damage to smaller independent operators because of the impact on their balance sheet as a liability overhang.