Ms Boag said there was a growing need here for affordable rental properties for single income and fixed income pensioners.
"Perhaps another good thing to come out of this is that there are a lot of people waiting to buy houses that are still in rental accommodation at all ages but because there's not enough houses available they have to sit in their rental accommodation watching the prices go up.
"If more elderly people sell up it could release more houses for people to buy."
The 5795sq m village and complex would include kitchen, nursing station, communal dining and lounge areas, along with visitor, service, reception and administration areas.
The application also states Ulyatt Rd would be upgraded to a more urban standard.
The resource consent has been publicly notified.
Napier City Council said the proposal requires public notification and an assessment of the site's productive soils is also required (which either the Council can commission a report on or can be provided by the applicant with Council's agreement), the soil assessment can be carried out concurrently with the public notification of the proposal.