Why should I consider a move to a retirement village?
There is a variety of personal and practical reasons why people choose to live in a retirement village.
- The option to be free of the responsibilities of a larger home in addition to the freedom to travel knowing that all is cared for whilst you are away.
- The companionship and friendship that a village lifestyle provides. Villages also allow you to pursue, at your own pace, a wide variety of activities.
- The support of caring staff.
- The security of additional care should it become necessary at some future time.
- The knowledge, comfort and freedom to your family that you are part of a caring community and that, as a member, assistance is never more than a phone call away.
However, it is finally you who should determine what the village lifestyle has to offer you.
What age do I have to be?
Either you, your spouse or your partner must be a minimum of 60 years. However, consideration may be given in certain circumstances.
Who should I talk to, to assist with this decision?
Well, firstly, there is no substitute for family. Kings Living staff encourage the members of your family to be involved not only in the decision making process but also in the choice of Kings Living lifestyles available to you. Feel free to talk to Kings Living residents, as they have made their own decision and are only too happy to assist new residents. Whilst our Kings Living staff are trained to assist, it is you who should be clear and relaxed about the choice. If necessary, we would encourage you to seek financial or legal advice prior to making a final decision. There are many law firms now experienced with retirement village documentation.
What happens if the village is sold and there is a change of management that differs from the current style of management?
There can naturally be no guarantees that this situation would not occur. However, the founder and actual builder of Kings Living is still actively engaged in the management of the village and has in place a training and succession plan for family members to join with the existing management team to ensure the continuance of the Kings Living philosophies. There are currently two generations of the family engaged in the day to day management of the village. However, any new management would be bound to abide by the terms and conditions of the existing Loan/Licence Agreement.
Is there a Residents’ Committee?
The Kings Living Residents’ Club has a committee elected yearly by the residents to design and initiate the village social activities in consultation with Kings Living staff. There are independent resident committees for bowls, croquet, golf, craft, socials, trips and tours, bridge, gardening, etc. Every month there is a residents’ meeting chaired by the President of the Residents’ Club. Management attends these meetings to present a monthly report and to act as advisor to the Residents’ Club.
What types of accommodation are available at Kings Living?
Kings Living has a variety of 14 Villa floor plans consisting of one, two or three bedrooms or two bedrooms with study. All Villas have either a garage, carport or car space. The Villas have been skilfully arranged in clusters like small villages around landscaped courtyards which provide added security and peace of mind. The absence of paling fences further enhances the feeling of space and community. The level nature of Kings Living allows easy access to all the Villas and recreational facilities. Within the main community precinct “The Hub” are the Terraced Apartments. These residences are self-contained one bedroom apartments with kitchen, lounge and ensuite bathrooms.
Adjoining Kings Living is the six star, 226 bed residential aged care facility known as Ti Tree.
May I bring my pet?
Kings Living Management understands the strong attachment that many people have to their pets and we will do everything we can to accommodate their needs. Small indoor pets are often not a problem but larger pets are sometimes impractical.
Pets are naturally not permitted in the Apartment Building. You should seek approval from management for your particular pet.
There are pet rules to abide by, one of which is that a pet may not be replaced. You should ask the sales staff for a copy of these rules.
What facilities and activities are available to me as a resident?
The Hub consists of the general reception and management offices, Kings Living shop, hairdresser, nurse’s station, dining room, billiard room and library. Activities catered for include concerts, meetings, playing cards and a host of special functions. Adjoining the Hub are Kings Living Apartments.
The Sports Building is situated between the bowls and croquet rinks that cater for both pennant and social bowls. The building allows indoor bowls on those inclement days. Table tennis and exercise classes also fit into the busy calendar.
The unique Craft Centre allows residents to discover their artistic skills at pottery, china painting, art classes and a host of other craft pursuits. There is no charge for most of these activities as they are provided for through the Service Fee. Kings Living Workshop is located adjacent to the boat and caravan storage area.
Management facilitates and promotes all Kings Living recreational activities including theatre excursions, trips and tours. Feel free to join us in whatever activities take your pleasure or suggest additional activities or pursuits. There are charges, naturally, for some activities.
The newest facilities at Kings Living are the exquisite Michael Wolveridge designed Par Three Golf Course and the five star clubhouse – with café, indoor pool, gym and full health club facilities. Currently the construction of a Kings Living Chapel is under consideration.
What form of contract do I sign?
Kings Living operates a choice of Loan/License Agreements for the occupancy of the villas and apartments. The agreements have an Entry Fee consisting of Pre Paid Rent and a Loan for the purchase of the villa or apartment. There is a separate Chattels Fee. The price of the Villa or Apartment is the sum of the Entry Fee and the Chattels Fee.
Residents of Kings Living have the protection of the Retirement Villages Act 1986 in respect to their rights under the Loan/License Agreement.
Will I have to pay a deposit?
No deposit is necessary to reserve your selected Villa or Apartment. We offer a 60 day obligation free reservation period during which we hold the Villa or Apartment of your choice to enable you to sell your home. An extension to the reservation period can be negotiated. Your Entry Fee and Chattels Fee is paid at the time of taking possession of your Villa or Apartment.
What is the purpose of having a separate Chattels Fee?
In the first instance, it allows a resident to choose from a variety of internal finishes such as the colour, quality and value of the carpet and drapes and the type and value of stove and hot plate.
Residents may choose, either prior to taking up residence or later during their stay at Kings Living, to install air conditioning, sun blinds, a garage door remote control, security doors or they may re-carpet or re-drape their villa.
This allows for either an Apartment or Villa to have the chattels offered independently to a prospective purchaser at a mutually agreed value.
This amount without any deduction is repaid to the Resident at the earlier of settlement or 18 months after permanent vacation.
Is there any Settling - In Period available to me if I should decide to purchase a Villa or Apartment?
We consider it important that you do have a period to adjust to your new Kings Living lifestyle. Therefore if you reside in a villa there is a full twelve (12) month settling-in period and in respect to an apartment there is a three (3) month settling-in period.
The financial details are explained further in this information sheet.
How does the Villa Loan/License Agreement operate if I wish to leave Kings Living?
Under our current arrangements, a departing resident is paid at the earlier of: a new purchaser being found who wishes “to purchase your Villa” or 18 months after permanent vacation. In the case of a new resident being found, they must naturally comply with the conditions of the new Loan/License Agreement. This allows your Agreement to be terminated and your Loan to be repaid in accordance with the terms and conditions of your Agreement.
On departure, sales staff employed by Community Villages Australia (CVA) can attend to the sales and marketing of the villa without any additional cost or commission to the departing resident or executor. If you decide to utilise the services of Kings Living Management you, or your Executor, must provide management this authority in writing. To assist residents, a waiting list is routinely available, naturally dependent on the economic circumstances prevailing at the time.
Alternatively, you or your Executor are free to obtain a New Resident yourselves. For your information, since 1980, all sales at Kings Living have been handled by Kings Living staff. If you choose, you may employ a real estate agent to “sell on your behalf” and at your expense. The purchaser must naturally comply with the terms and conditions of the new Loan/License Agreement. No real estate board or advertising is permitted externally or within Kings Living.
Where departure is a result of a movement into a residential aged care facility special conditions apply as detailed in Question 36.
How is the equity in my Villa Loan/ License Agreement determined and when is my equity repaid?
Kings Living offers a choice of separate Loan/License Agreements to New Residents for Villas. They are known as Contract A and Contract B. The choice of which contract a resident signs will depend on their personal financial circumstances. The details for these contract types are shown opposite:
Settling-In Period – First twelve (12) months of occupation
(Contract A and Contract B)
If the written notice to obtain a New Resident for your Villa is received within twelve (12) months of settling in or should there be a bereavement of a sole Resident within that period, then from the proceeds of the sale, you or your estate will receive back the value of your Entry Fee amount. There is a rent payable during the Settling In Period (otherwise known as the Settling In Rent). The Settling In Rent is deducted at settlement and is payable based on the number of weeks that you lived in Kings Living. Naturally this amount varies with time and you should enquire from Management as to the current value.
Post Settling in Period – Post first twelve (12) months of occupation
In the case of a Resident’s departure after the Settling In Period, you or your estate are entitled to receive the following percentages of the Original Loan or New Loan in the circumstances where the New Loan is less than the Original Loan:
After the first anniversary but prior to or on the second anniversary: 90.00%
After the second anniversary but prior to or on the third anniversary: 85.00%
After the third anniversary: 80.00%
If the New Loan is greater than the Original Loan then you will also receive 20 per cent of that amount as a Capital Gain Share.
In the case of a Resident’s departure after the Settling In Period, you or your estate are entitled to receive the following percentages of the Original Loan or New Loan in the circumstances where the New Loan is less than the Original Loan:
After the first anniversary but prior to or on the second anniversary: 80.00%
After the second anniversary but prior to or on the third anniversary: 70.00%
After the third anniversary: 60.00%
There is no Capital Gain Share to the Resident, their Executor or legal personal representative.
Monthly Service Fee
The Service Fee is to be paid to the earliest date of either the settlement on the Villa or occupation of a villa by a new resident. We will also deduct from settlement the service fee that has applied to your villa since occupation up to departure from your villa or six (6) months from vacant possession whichever is the earlier.
The resident is only liable for the service fee to the extent that they depart within the Settling In Period. Where a resident remains at Kings Living beyond that date, the Service Fee does not apply. The Resident may, however, continue to be liable to pay the portion of the council and water rates where they are not entitled to a pensioner’s concession.
Setting Resale Value
(Contract A and Contract B)
Management will recommend to you a New Entry Fee based on their experience of similar sales within Kings Living. Should a departing resident not agree with the recommended value, the matter can be referred to the Australian Institute of Valuers. Each party is responsible for their own costs.
Any offers made by a prospective New Resident will be submitted for consideration by both parties.
Cost of Unit Renovations
(Contract A and Contract B)
To facilitate the sale of an Apartment or Villa, any internal repairs or maintenance is the responsibility of the Resident. These costs are completed at the expense of, and are offset against, the Resident’s entitlement from the sale. However, in the circumstances where the New Resident requires extensive renovations, the cost of these renovations is at the expense of the New Resident. In these circumstances, the New Entry Fee assessed prior to any renovations is used for the calculation of the financial entitlements under the existing Loan/License Agreement.
To allow the New Resident to enjoy the future financial return from these renovations, the value of these improvements is added to the New Entry Fee. The Chattels Fee that we explained in Question 11 is adjusted at the same time.
Timing of Equity Repayment
(Contract A and Contract B)
You receive repayment of your equity in your Loan/License at the earlier of: the payment of a New Entry Fee by a New Resident at the settlement of your residence; or, 18 months following permanent vacation of it.
Where you depart Kings Living for a Residential Aged Care Facility, legislative conditions apply. Please refer to Question 36 for details.
What charges do I face by living in Kings Living?
The Resident is responsible for all their normal living expenses including telephone and electricity connection and running costs. Each resident is responsible for the internal redecorating and maintenance of their Villa or Apartment. For those residents who opt for Contract B and who are outside of the Settling In Period, there is no Service Fee payable. All other residents are liable to pay the charge which varies in value between Apartments and the various styles of Villas constructed throughout Kings Living.
What does the Service Fee cover?
The Service Fee is a monthly charge and is the proportion allocated to your villa or apartment of the total outgoings of Kings Living. The Service Fee includes, but is not limited, to the following:
- Rates and charges by the Mornington Peninsula Shire, South East Water or any other body, which will be at pensioner concession level.
- All fire insurance, including your Villa, public buildings and other structures, public risk, workers’ compensation, etc. A contents and personal effects policy is also included on your behalf. The value of the contents insurance is varied from year to year, and you should enquire as to the current level of the contents insurance. You may increase the level of cover at your expense.
- Public lighting, lawn mowing and gardening of the common areas.
- General and long term maintenance and capital expenditure of the present and future Kings Living buildings, ports, Craft and Kings Living centres, Administration, roads, courts, etc, as well as the external maintenance of the villas and apartments.
- Cost of cleaning the common areas, e.g. corridors, lounges, Craft Centre, Sports Building etc.
- Costs of administration and management of Kings Living.
- Staff salaries, long service leave and superannuation entitlements.
- Cost of providing and maintaining the emergency call system to the Villa or Apartment Residents.
- State or federal charges, taxes, etc.
How is the Service Fee determined?
The Service Fee is determined by Management in accordance with the Retirement Village Act 1986. Management is required by the Act to provide an audited statement of the current prescribed year’s expenses and a detailed budget for the forthcoming year. The prescribed year for Kings Living commences on 1 July each year. The budget is submitted to the Residents’ Committee and to the Residents for their approval at the Annual Kings Living Residents’ Meeting.
Is there any Government legislation in place to protect residents’ rights in retirement villages, for example in the event of Kings Living suffering financial difficulties?
In Victoria in 1986 the Retirement Villages Act was proclaimed after consultation with the Retirement Village Industry and other associated community organisations.
You may view a copy of the Act at Kings Living office or you may obtain a copy from the Government Printer. Your solicitor will be conversant with the Act and will be able to advise you.
Amongst the issues addressed by the Act was the financial security of Residents in a Retirement Village under the various forms of tenure including Loan/ License Agreements. The Act provides that the Residents’ equity has first priority, similar to a first mortgage and that the owner must disclose any liabilities that exist on a document called a Retirement Village Notice. This Notice must be included in the Occupancy Agreement. These liabilities, if they exist, must take second priority behind the Resident’s rights. For your comfort there are currently no financial encumbrances on Kings Living notice. The Retirement Village Act also determines how any
increases may occur in service charges or special levies. The Act also addresses the Resident’s rights in respect to transfer to other types of accommodation.
Whilst the Retirement Village Act is not a complex document, it is far too lengthy to detail here, and
Management is only too pleased to discuss the Act with you at your leisure.
May I lodge a Caveat to protect my financial interest in Kings Living?
As long as the Retirement Village Act 1986 with amendments, or any future Act, continues to protect a Resident’s rights in a Retirement Village, then a Resident is not permitted to lodge a caveat.
The Loan/License Agreement has a copy of the Retirement Village Notice which must display any
financial encumbrances that are registered on the Title of the land on which Kings Living is constructed. There are no financial encumbrances on Kings Living notice.
What are the financial details of an Apartment Loan/License Agreement?
Apartment Agreements will vary based on the manner in which you choose to enter Kings Living.
If you entered Kings Living directly into an Apartment, your Agreement will entitle you to occupy an Apartment and utilise all the facilities and services mentioned above. There is a three (3) month Settling-In Period available to you in a Kings Living Apartment.
As explained previously for Villas, you have the same option that you, or your Executor, may give written notice of your intentions to sell your apartment. You may appoint Management, in writing, to obtain a New Resident.
The same procedures explained for a New Villa Agreement is used for determining the value of a New Apartment Agreement.
If the written notice is received within your Settling In Period, then your Original Loan is repaid, less the cost of any repairs or outstanding charges. There is a Settling-In Rent for the number of weeks that you were living in Kings Living Apartment which will be adjusted at settlement. This rental varies from time to time, and you should enquire from Management as to the current value.
If the written notice is received after the Settling In Period then you receive a percentage of the Original Loan or, alternatively, a percentage of the New Loan where it is less than the Original Loan. The percentage you receive on the Original Loan or New Loan is staggered based upon your years of occupancy. These percentages are as follows:
After the first anniversary but prior to or on the second anniversary: 80%
After the second anniversary but prior to or on the third anniversary: 75%
After the third anniversary: 70%
There is no payment of any percentage of any Capital Gain in the Apartments to the Apartment Resident.
The chattels of the Apartment are valued and offered to the New Resident and the agreed value is repaid without deduction at the settlement of the sale of the new Agreement.
What if I live in a Villa and wish to transfer to an Apartment?
If either you or your doctor suggest that it would be in your best interest to permanently reside in an Apartment, you may transfer there when a vacancy becomes available. As a Kings Living resident you are given priority, subject to need, for any vacancies occurring in the Kings Living Apartments.
What happens to my Villa equity if I transfer to an Apartment?
Either yourself, or, if you elect, Management will obtain a new Resident for your Villa. Once again there is no charge for this service. The financial procedure explained earlier determines the value of your equity in the Entry Fee and Chattels Fee of your Villa. Your equity from your villa entry fee remains with Management and becomes your adjusted entry fee for your Apartment irrespective of the Apartment’s current market value.
Your original Villa Loan/License Agreement is altered to indicate your new Apartment number.
Your Chattels Fee is adjusted between the value of your chattels in the Villa to the chattels that you purchase in the Apartment. At some future time if you leave the Apartment, or in the case of a bereavement, then a new Resident is obtained for your Apartment and your previously Adjusted Entry Fee is the amount you or your estate will receive from the settlement monies from the sale of a New Apartment Agreement. Any outstanding charges are adjusted at settlement.
You may, however, if you choose, take your equity from the sale of the New Agreement for your Villa and enter into a New Apartment Loan/License Agreement under the current terms and conditions of the Agreement that applies at that time, paying the market value of the Apartment that also exists at that time.
These arrangements apply to all contract types.
Are the Apartments furnished?
Residents bring with them those items of personal use and furniture which are considered necessary, including lounge furniture, beds, bed linen and TV.
Carpets, drapes, light fittings, stovette, hot water service, heater and refrigerator are provided as chattels.
What cost do I face moving to an Apartment from a Villa?
Once you have packed your personal belongings, Kings Living staff will arrange for a carrier to move your furniture at your expense. The costs for any reconnection charges for telephone or electricity supply are also the Resident’s responsibility.
What are the laundry facilities in the Apartments?
Centralised laundry rooms equipped with washing machines, dryers and ironing facilities are available to Apartment Residents at no charge. A dry cleaning and laundry service is also available at the Resident’s expense.
Are there any housekeeping services?
Kings Living staff can arrange, at the Resident’s expense, for private housekeeping assistance for both the Apartments and the Villas.
Is there staff available to assist with maintenance?
All external maintenance of your Villa or Apartment is paid for as part of the monthly service charge, where applicable. However Kings Living staff can arrange for any professional services you may require for internal maintenance or odd jobs, together with any assistance with your Villa garden. There is a charge for these services.
Are meals available?
The Clubhouse Cafe serves lunch daily. Terrace Court Dining Room currently serves an evening meal on Wednesday and Thursday and on special occasions. This service may vary from time to time.
Can I have my meal delivered?
Providing that the Dining Room is available as a Kings Living Facility, then on application, meals can be delivered from the Dining Room to either Villas or Apartments at a small charge to the Resident.
Can my friends use the dining room?
Residents are encouraged to invite guests to eat with them in the Dining Room provided prior notice is given, and arrangements are made with Management as to the numbers and cost.
Is the dining room available for special functions?
With prior notice, arrangements can be made for those special functions, such as birthdays, anniversaries or family get-togethers. The cost of these functions is at the expense of the Resident.
What if I wish to temporarily leave Kings Living, for example vacations or hospital?
You are naturally free to come and go as you please. All you need to do is notify Management of your intention. Naturally, your Monthly Service Fee, where applicable, is payable whilst you are absent. During your absence the Monthly Service Fee will attend to your lawn mowing and any external maintenance that may occur. You only have to ring us when you decide to come home and we will even turn on your heating for you.
What medical facilities are available?
You may choose your own personal physician. On Monday’s between 2pm and 6pm a medical taxi is provided by Kings Living to assist Residents getting to their appointments at South Coast Medical Centre.
Is there an emergency call system, and who attends those calls?
Kings Living has a 24 hour a day, all year emergency call system attended by nurses.
Are the nursing staff available to assist me in case of illness or injury?
The first priority of nursing staff is the attention to the emergency call system. However, for short periods only, and subject naturally to availability, the day nurse can assist those Residents who may require limited assistance after an operation or injury. There is an additional charge for this service.
What facilities are available to me should I need a Residential Aged Care facility?
There are a number of residential aged care facilities available in the surrounding area. One of which, being Ti Tree, adjoins Kings Living. If you are medically advised and assessed as requiring care, then on your advice we will obtain a new resident for your residence. Under the terms of the Aged Care Act 1997, entry into Ti Tree or any other residential aged care facility is subject to vacancies.
The financial arrangements available to you for entry into Ti Tree or any other residential aged care facility that you may choose will vary.
Firstly your residence will be valued to determine your equity as explained in Questions 14 and 15.
At the time of your move into the residential aged care facility of your choice if your residence has not been sold then Community Villages Australia will pay the interest on the Refundable Accommodation Deposit (“RAD”) charged to you by that facility from your equity in your residence for a period of up to six (6) months from the date of vacant possession.
At the conclusion of six (6) months should your residence not be sold then within 14 days, Management will pay to you or your legal Personal Representative an amount equal to the remaining equity in the residence, dependent on the signed contract. The interest that has previously been paid on your behalf to the residential aged care facility is offset from this payment together with any other outstanding amounts, for example outstanding service fees or any other Kings Living accounts that may be outstanding. Where applicable, you will only be responsible for the monthly service fee for up to six (6) months from vacant possession of your residence.
Any equity that you may have in the Capital Appreciation of the New Loan paid for your villa will be paid to you at the earlier of the sale of your reallocated villa or 18 months of notice of permanent vacation.
What if I do not drive or decide to sell my car. Is there transport available?
The public transport bus service runs Monday to Saturday, through Kings Living, for access to the Rosebud Shopping Centre and other places of interest on the Peninsula.
There is a public transport bus service that connects to the Frankston/Melbourne train service.
May I rent or sub-let my Villa or Apartment?
Renting or sub-letting is not allowed, in order to maintain the nature of Kings Living.
May I have a friend stay?
Your guests at Kings Living, your children and grandchildren are welcome. You can feel free to entertain them in Kings Living Centre or the gardens. In other words, Kings Living is your home. They must however be in your company if they are using any Kings Living facility or engaging in any Kings Living activity. Your guests may stay, provided you are also in occupation, for up to four (4) weeks in any one year. Any extended stay is subject to obtaining the permission of Management.
Is there provision in the Loan/License Agreement for another party to own the Agreement?
We have provision for an annexure to be added to the Loan/License Agreement to note any financial interests of another party. For example a Company could purchase the Villa on your behalf, or a family member could contribute towards part or all of the Entry Fee.
At the settlement of a New Agreement for your residence, their financial interests would be attended to in accordance with the annexure. They cannot, however, take up your Agreement and reside in Kings Living.
Can a family member or friend take up the Agreement for my Villa in the event of my death?
Loan/License Agreements are non-transferable. However, you could request that Management give first right of refusal to that party to purchase a new Agreement for your residence. You could bequeath your financial equity in your residence to that party and they then pay only the difference. Naturally they must comply with the terms and conditions of the Agreement prevailing at that time.
Can a family member or friend move into the residence permanently and not be noted on my Loan/License Agreement?
The Loan/License Agreement for Kings Living has provision that in the event of a sole Resident requiring permanent assistance, then a carer, for whom Management has given written approval, may take up occupancy to assist the Resident. Naturally, the carer must vacate the residence upon the departure of the Resident. There is also provision for a guest to stay for predetermined fixed periods which have been agreed to by Management.
What happens if I decide to marry or remarry after I have moved into Kings Living?
In that event, which has occurred several times in Kings Living, then providing one member of that union is a minimum age of 60 years, the existing Loan/License Agreement allows for the spouse’s name to be added to the Agreement. The Resident undertakes to indemnify Management against any future actions that may occur from this alteration to the existing Agreement.
What procedures are available if I am in dispute with Management?
Kings Living Management and staff have developed a tremendous rapport with Residents, with Senior Management always available to assist and discuss any concerns that may arise.
Kings Living has an internal dispute resolution scheme in place. Consumer Affairs Victoria also has a dispute resolution system to assist, if required.
And finally, what are my responsibilities?
- To pay the legal costs in respect of the Loan/License Agreement.
- To use your residence only as a dwelling.
- To permit Management to inspect the condition of your residence at convenient times.
- To make no structural alterations or additions to your residence without the written consent of Management.
- To keep your residence clean, to repair any damages caused by willful or negligent conduct, and to keep your personal garden areas neat and tidy.
- To be responsible for your guests whilst they are within Kings Living.
- To abide by the Residents’ Village Rules, a copy of which is included in the Loan/License Agreement.
Thank you for your time in reading this brochure on the lifestyle available at Kings Living. If there are any further queries, or you require any other assistance, please feel free to contact our staff. They are only too pleased to assist.
We hope you will soon join us at Kings Living.