A vacant retirement village operated by Calvary Health Care in Melbourne’s eastern suburbs will be hitting the market next week, but not for sale, with the care provider turning the units into a seniors’ rental site.
The Sydney Williams retirement village is located in Doncaster East, roughly 20 kilometres east of Melbourne’s CBD. The units are co-located with Calvary’s Millward residential aged care home.
Calvary Health Care’s website says each of the eight two-bedroom units features light-filled separate living spaces and modern kitchens complete with wall oven, cooktop, integrated dishwasher and stylish island bench for complete independence.
The organisation said the move responds directly to community needs with cost-of-living pressures impacting many older Australians.
Data recently published by realestate.com.au reveals that the median rental cost for a unit in Melbourne is $550, while it’s $580 for a house.
PropTrack senior economist Paul Ryan said Melbourne has ‘very affordable rentals’ compared with the rest of Australia.
“Demand and supply in Melbourne has kind of come back… similar to the balance that we saw before the pandemic There’s a bit more balance towards tenants rather than towards landlords as we have seen over the past couple of years,” Mr Ryan said.
Despite the relative stabilisation of rental prices, demand is still through the roof and the highly competitive rental market is often overpriced.
The rate of home ownership among older people is also decreasing in Australia with the majority of older renters also living alone. The insecurity of tenure and the rising cost of living leave many at an increased risk of homelessness.
Calvary Health Care’s National Chief Executive Officer, Martin Bowles, said compassion and practicality drove the shift from a deferred management fee operation and reflected the internal review that identified opportunities across the retirement village portfolio.
“Calvary is committed to serving the needs of the community and our decision to convert the operating model of our Sydney Williams site is in direct response to the enquiries we are receiving from those seeking affordable housing for seniors,” Mr Bowles said.
“This essentially means future residents will receive the same services and benefits of a retirement village including social connections, low maintenance living, security, all without the lump sum ingoing contribution.”
Separate insights from the Renters and Housing Union indicate that 15% of Melbourne-based members are experiencing rental stress or spending more than one-third of their income on rent.
These compounding factors are a cause for concern, particularly for an older cohort that may require additional support at home to promote ageing in place.
Future residents will also have access to additional services they can pay for including meals through the neighbouring residential aged care home, and Calvary’s Home Care services to assist with ageing in place for as long as possible if they need.
“Being co-located with one of our residential aged care homes is also a benefit for those planning for future care needs,” Mr Bowles added.
Alongside clinical care, residential and home care services, Calvary operates 16 retirement communities across Australia. Four are located in Victoria, including Sydney Williams.
