A rendering of what the Summerset by the Dunes village could look like when completed in 2024. Photo / Supplied
More than $1 billion could be pumped into the Bay's booming retirement sector in the next 10 years - with half being invested in the Mount and Pāpāmoa, a retirement village leader predicts.
Retirement Villages Association of New Zealand (RVA) president Graham Wilkinson told the Bay of Plenty Times that retirement villages were playing a "critical" role in freeing up housing stock and the Western Bay, in particular, clearly needed more aged care beds.
His comments come after a multi-million-dollar consent was approved to add another 19 villas to the existing Summerset by the Dunes retirement village in Pāpāmoa.
It is one of six retirement villages in Pāpāmoa estimated to be injecting about $68 million directly and about $200m indirectly into the beachside suburb.
Wilkinson, who is also director of Generus Living Group, which owns Pacific Coast and Pacific Lakes villages, said Census data showed the region would be a key player in the aged-care sector.
"Over the next decade, I would estimate that investment in village development of over $1 billion would be easily achieved in the wider Tauranga [region], albeit that it will ebb and flow with economic conditions, and around half this will be in the Mount/Pāpāmoa area."
Wilkinson said villages played a vital role in freeing up housing stock as well as providing care for senior citizens.
"As villages are the only ones building age-care facilities, this is critical," Wilkinson said.
"Regardless of villages, the demographics are clear that the Bay of Plenty is going to need many, many more aged care beds."
Funding and staffing levels needed to be addressed nationally to ensure this need was met.
Wilkinson said Pacific Coast Village, located in Pāpāmoa, had 260 villas and assisted living apartments.
An aged care facility of 60 care suites - the last part of the village - was expected to be completed next year, he said.
Its sister village Pacific Lakes had 175 villas either complete or under construction, with 150 either occupied or sold, he said.
Its community building, called The Lakehouse, had opened and construction on a 2500sq m pavilion, including a bar, restaurant, library, and village hall, will start before Christmas, he said.
Wilkinson said Pāpāmoa's climate, relaxed lifestyle and location made it a "popular" place to retire.
"Many residents in villages are people who have come to the region for those factors."
The RVA's database as of the end of 2021 showed there were six villages in Pāpāmoa, with two still in development.
There were 655 units and a further 819 to be built.
There were another 480 units - and another 300 in development - in Mount Maunganui.
A unit can be a stand-alone villa, a townhouse, an apartment or a serviced apartment.
The Sanderson Group announced last week that a $100m-plus retirement and aged care facility was set to be built at the Mount. It would provide more than 80 care and dementia beds and more than 100 independent retirement apartments by 2026.
RVA executive director John Collyns said a report found a 250-unit village contributed $21.4m directly into the economy and $63.2m in upstream value.
It also employed 303 fulltime-equivalent employees during construction and about 160 operational staff once built.
"Based on the above ratios, we can deduce that direct investment is $68.5m and $202.24m indirectly into Pāpāmoa," Collyns said.
That had a direct contribution to easing the housing shortage in the Bay of Plenty, he said.
The Bay's retirement village population was about 5700 residents, which was expected to rise 56 per cent between now and 2048.
The Tauranga City Council last month issued a consent valued at $2.8m to build 14 two-bedroom and five three-bedroom dwellings at Summerset by the Dunes on Manawa Rd.
It was part of 170 residential and commercial building consents valued at more than $50m issued in July.
Summerset Group Holdings Limited head of communications Logan Mudge said its Pāpāmoa village opened in 2020 and construction was ongoing.
Mudge said the village would offer about 280 homes when it was completed by the end of 2024. The total cost was expected to be between $180m to $200m.
The latest building consent was for the next stage of buildings to be delivered in 2023, he said.
"Our construction is running to schedule and each quarter we complete new homes including independent living villas, cottages and serviced apartments."
A village centre building was also under construction in the "heart of the village".
The village centre building will include assisted care in rooms and apartments in "industry-leading" memory care suites, Mudge said.
It will be a "central hub" also containing the village's onsite café, movie theatre and pool.
Mudge said the project had created about 250 construction jobs with the village providing jobs for nurses, property staff, caregivers, kitchen staff and more once complete, he said.
"Interest has been strong and the village is selling well, our waitlist is very healthy, and we're getting new inquiries every week."
91 Oceanbeach Rd
New 2 storey mixed-use building, commercial tenancies ground floor, multi-unit accommodation over
$3,000,000
20 Toorea St
Construction of 14 new commercial units/studios over 2 separate buildings /
structures located over three lots/sites defined as 85 Turiwe
$2,560,000
159 Valley Rd
Alterations to dwelling: Reconfigure ground floor layout, create new entry and bathroom on ground floor. Add to and reconfigure layout on first floor. Install swimming pool, spa pool and pool fencing
$1,000,000
3 Campbell Rd
Construct two storey, 4-bedroom dwelling with attached double garage and retaining walls.
$1,032,000
35 Manawa Rd
Construct 4 x single level, 2 bedroom dwellings (quadplex)
Construct 3 x single level, 2 bedroom dwellings with attached single garage (triplex)
Construct 3 x single level, 2 bedroom dwellings with attached single garage (triplex)
Construct 3 x single level, 3 bedroom dwellings with attached single garage (triplex)
Construct 3 x single level, 2 bedroom dwellings with attached single garage (triplex)
Construct 2 x single level, 3 bedroom dwellings with attached single garage and 1 x single level, 2 bedroom dwelling with attached dwelling (triplex)
$2,848,500
17 Waiawa Lane
Single-level four-bedroom dwelling with attached double garage and swimming pool. Attached one-bedroom dwelling with attached single garage. (duplex).
$1,500,000
967L Bethlehem Rd
Construct single-level four-bedroom dwelling with attached double garage.
$1,200,000
80 Harbour Dr
Construct two-level, 4-bedroom dwelling with attached double garage with retaining wall. $1,300,000
183 Te Ranga Memorial
Construct two-storey, 4-bedroom dwelling with attached double garage.
$1,100,000
16 Waiawa Lane
Construct single-level, five-bedroom dwelling with attached double garage retaining walls and swimming pool fencing.
$1,300,000
35 Kings Avenue
Construct two-storey, 3-bedroom dwelling with attached double garage.
$1,515,300
Source: Tauranga City Council
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