Are Over 55s Community Apartment Projects (CAPs) stealing the legitimacy of retirement villages with councils?

Lane Cove Council (Sydney) is fast tracking and supporting resi apartments positioned for seniors while slow tracking respected village operators. This can't be good.

It has approved two development applications involving redevelopment of two office mid rise buildings on the Pacific Highway in Greenwich, an affluent harbour view suburb. The council has allowed not only increased heights but also proposed an actual street closure to support the developments.  

But with the same council, RetireAustralia has been unable to redevelop the Caroline Chisholm retirement village which it bought in 2017 and started the development application process. It still does not have approval. 

In that time several residential apartment buildings have been built around the RetireAustralia site, making it a medium density envelope. 

CAPs are traditional strata apartment blocks but with private community spaces, like a libraray, a lounge, gym, often a sauna and sometimes a conceirge. And they target downsizing retirees who have cash and will pay more for bells and whistles, a sense of community, and support. 

But Community Apartment Projects are not retirement villages. The two Greenwich operators are Realside, a commercial property specialist, and the upmarket developer Central Element. Neither have any experience of retirement living. 

They will build these Over 55 CAPs developments and walk away with a sizeable profit. They have no interest in the clients’ longer term well-being, and no need to comply with such provisions contained in the Retirement Village Act. 

Most importantly, the developer does not have an agreement to stay by the resident as they age, to be that constant in their life. 

Is the village sector going to allow the growing number 0f CAPs to steal their council lunch? Should village operators join CAPs and develop a new business model where they stay on as a Good Samaritan strata manager?  

One thing is certain, the village sector would be wise to do something, otherwise CAPs and new service entrants will steal the Over 50s downsizing market.