Parkwood Trust
Who owns Parkwood Retirement Village?
Parkwood Retirement Village is owned by Parkwood Trust, a registered charitable entity incorporated under the Charities Act 2005. The Trust is administered by a Board of Management, which includes professionals with a wide range of experience and two representatives elected by residents, all making their services available to the Trust on a voluntary basis.
What happens to the surpluses made in the Trust’s operations?
Surpluses are used to continually improve services and facilities for Parkwood residents.
What form of ownership do you have at Parkwood?
Residents at Parkwood purchase a Licence to Occupy. This is the most common form of ownership in New Zealand retirement villages and gives residents the right to occupy for life and use of the community facilities.
Parkwood Village
What is the size of the village?
The village comprises 209 villas, 54 rest home apartments and 25 hospital studios.
What are the main features of the village?
The village is situated on just under 25 hectares of land, which allows for low density housing.
There are many facilities, amenities and gardens and a 24 hour on call Village Care service.
Are all the houses the same?
No. The village has a wide variety of designs and styles of houses, ranging from one bedroom villas with no garage to two bedroom villas with study and garage.
Is there a waiting list?
Yes, although the length of wait depends on the type of villa residents would like. Typically there is less waiting time for one bedroom villas and a longer wait for those wanting two bedroom villas.
What is the minimum age of entry to the village?
The age of entitlement to NZ Super, which is currently 65 years.
What say do residents have in the running of the village?
The residents have two members on the Trust’s controlling body, the Board of Management. These representatives are elected by the residents. There is also a Residents’ Association, which deals with resident issues. The General Manager works closely with the Residents’ Association and reports to the Board of Management.
Can you keep a pet?
Yes, however dogs are not allowed.
Fees
Is there an entry fee?
Yes, there is an entry fee called a Common Facility Site Donation, which is $35,000 for villas and flats and $10,000 for Parkwood Lodge apartments. The entry fee is always included in prices quoted to you.
How much of that fee do you get back on sale?
If you are at Parkwood in a villa or flat for less than one year, a portion of the fee will be refunded on a pro rata basis. The Common Facility Site Donation for Parkwood Lodge apartments is non-refundable.
Do you have to pay a deposit to secure a villa?
No, you do not pay a deposit. All settlement monies are due and payable on the date of sale at the time a new Licence to Occupy is issued.
What ongoing fees do you pay?
In the village you pay a monthly fee of $690 as well as an annual villa insurance premium, which is based on the size of the villa.
What does this fee cover?
The fee covers local body rates, external villa maintenance, village maintenance, grounds maintenance, 24 hour on call Village Care service, use of community facilities and most of the maintenance officers’ services.
How often are the fees reviewed?
Fees are reviewed annually, with any changes taking effect in May.
Do monthly fees stop when you are away on holiday or move to the rest home?
Fees do not stop while you are away on holiday; however when a resident moves into the rest home or hospital permanently, villa fees cease as soon as the villa valuation is agreed.
How are the fees set?
The fees are set on the basis of recovering the costs of running the village for that year.
What other costs is a villa occupier responsible for?
You still pay your normal household costs, including power, gas, contents insurance, telephone and internal maintenance.
Are there any fees or charges payable when you leave the village?
Yes, you pay a retention of 25% of the villa licence value on settlement when you leave Parkwood. The 25% is calculated on the market value of the unit at the time you vacate it. If you are at Parkwood less than three years, the retention will be abated on a pro rata basis – for example if you are at Parkwood for eighteen months, the retention would be 12.5%.
What will you get paid when you leave and when will you be paid?
You will be paid the value of the Licence to Occupy less the 25% retention when the licence is sold to a new licensee. If you move to Parkwood Lodge from a villa, the 25% retention will be taken when the villa licence is sold.
How is the villa valued?
The villa is valued independently at market value, and this value is agreed by the parties before any upgrading work is undertaken. The Trust undertakes any upgrading work necessary on behalf of the incoming resident.
Do you receive capital gains?
Yes, you receive 75% of any capital gains made on the sale of a villa Licence to Occupy, the value being agreed prior to upgrading work being undertaken by the Trust. You receive 50% of any capital gains made on the sale of an apartment Licence to Occupy.
Are there any other exit fees?
Yes, the Trust charges an administration fee of $890 on the sale of the villa licence. This cost helps cover the valuation, cleaning and administration costs involved in the sale process.
Who controls the sale of the villa?
Parkwood Trust does all the marketing and sales work for the Licence to Occupy sale process.
Are there any fees or charges payable when you leave the Lodge?
Yes, you pay a retention of 2.0% plus GST per annum of the apartment licence value. This retention is offset by a refund you will receive for the accommodation rebate on termination of the licence. The retention charged (excluding GST) will not be greater than the refund payable to you.