South Australia’s retirement living sector is preparing for a major regulatory shift, with new laws set to take effect on 2 February 2026.
Minister for Seniors and Ageing Well, Nat Cook, this week released a five-page guidance sheet outlining the reforms, which update the Retirement Villages Act 2016 and Retirement Villages Regulations 2018.
The changes stem from recommendations of an independent statutory review and follow an extensive period of public consultation with residents, prospective residents, the sector and Parliament.
Stronger consumer protections
According to the guidance, the reforms will deliver additional protections for current retirement village residents, including:
- Exit entitlements – statutory repayment reduced from 18 months to 12 months (plus 30 days for reinstatement and refurbishment to commence).
- Capital fund contributions – capped at a maximum 12.5% of the current market value of the residence.
- Remarketing fees – capped to the reasonable costs incurred by the operator, unless specified in the contract.
- Recurrent charges – capped at CPI unless a fixed amount or formula is provided. Defined external costs (such as rates, taxes, some maintenance contracts and wages) are excluded from the cap.
- Resident alterations – operators cannot unreasonably refuse a resident’s request to make prescribed alterations recommended by a registered health practitioner (e.g. grab rails or other functional modifications).
Contracts, charges and compliance
The reforms will also require operators to review residence contracts, disclosure statements, exit entitlements and recurrent charges well ahead of the 2026 start date.
“Amongst a number of key reforms, operators will particularly need to plan ahead for changes to residence contracts, exit entitlements, disclosure statements, and caps to recurrent charges,” said Oliver Luckhurst-Smith, National Policy Manager at the Retirement Living Council.
Code of conduct with legal weight
One element still under development is a new Code of Conduct for both residents and operators, which will carry potential criminal implications for breaches.
“The Retirement Living Council has been working closely with the Department of Human Services SA to ensure the Code is fair, practical, and supports the shared goal of maintaining the highest standards across the sector,” Oliver said. “Once finalised, these measures are anticipated to commence at the same time as the broader reforms.”
Training and next steps
The reforms will be phased in, with mandatory Code of Conduct training for operators and staff to commence in late 2026, once training modules have been developed.
Information sessions for residents are planned for late 2025 to help communities understand the new requirements.
