The Retirement Living Council states there will be a shortfall of 49,000 seniors housing independent living units (ILUs) just to keep up with the current penetration rate by 2030.
With only low levels of construction for seniors housing underway, The SOURCE understands that the NSW Department of Planning, Housing, and Infrastructure (DPHI) is continuing to monitor and review the seniors housing provisions of SEPP (Housing) 2021 to ensure it is incentivising seniors housing as intended to increase supply. If they find a way forward that improves the incentives for seniors housing and unlocks the ability to renew existing retirement villages, then the sector has four people to thank who prefer to keep out of the spotlight.
Sally Taylor, Managing Director at Retirement by Moran; David Cowdery, General Manager Property at BaptistCare; Simon Furness, Director Property and Housing at Uniting, and Daniel West, Director at Ethos Urban, have been going out of their way to try and make sure DPHI fully understand seniors housing and why it needs special treatment in the NSW planning system.
In terms of the renewal of retirement villages, there are 670 across NSW and many were developed in the 1980s following the adoption of SEPP No. 5 in 1982 which encouraged large scale village development in lower density locations, common throughout Sydney.
Over 70% are older than 20 years and many are reaching the end of their economic life, not meeting market expectations or modern building, amenity, or accessibility standards. Given the typically low-density locations of retirement villages, there is little to no development potential under the NSW planning system to spark renewal.
Sally, Simon, David, and Daniel have been engaging with DPHI over the past 12 months to keep seniors housing planning reform on the agenda and part of the solution to the housing crisis.
Governments have been talking about housing supply and affordability, yet they are failing to recognise the vital role that seniors housing contributes to this and how it needs to be supported.
If we provide sufficient age-appropriate, housing in socially inclusive settings in places where older Australians want to live, they are more likely to choose to downsize and live independently.
If we fail to do so, older Australians will remain in their four and five-bedroom houses until they can't manage the stairs, at which point they will end up in taxpayer-funded residential aged care.
It's time for change.
