Retirement villages are becoming an increasingly popular choice for older New Zealanders who want to live independently among a like-minded community of people. But what exactly is a retirement village, and what can you expect if you decide to move into one?
Here's the legal definition
Under Section 6 of the Retirement Villages Act 2003, a retirement village is defined as any place that:
- has multiple units
- provides accommodation and services or facilities
- is mainly for people in their retirement, including their spouses or partners. Entry ages differ between villages
- requires residents to pay a capital sum in exchange for the right to live there.
If a place meets this definition, by law, the operator must ensure the village is registered on the Retirement Villages Register. This helps protect residents by making sure the village complies with the relevant laws and regulations.
This legal definition leaves a lot of room for variation. So what might a village actually look like?
What might a village look like?
"Has multiple units" could mean anything from a small, 6-unit village with a homely feel, to a place with over 200 units, or somewhere with more than 700 residents. All sizes have their pros, depending on the sort of lifestyle you're after, and how much you like to socialise.
One of the main appeals of a retirement village is the sense of community they can provide. For many people, moving to a village means being surrounded by others in a similar stage of life, making it easier to make new friendships with likeminded people. It's also a lifestyle that reduces the burden of home maintenance, as tasks such as lawn mowing and major repairs are typically handled by the village.
The accommodation and facilities provided can also differ widely, from studio apartments to 3-bedroom townhouses complete with a private garden and garage. Facilities could include anything from gardens, libraries, swimming pools, gyms cafés, and more. Check out this article for more information on what accommodation options you can expect to see in retirement villages.
One of the key features of a retirement village is that residents pay a capital sum to live there. This could be a lump sum or periodic payments, but it will be substantially more than what you'd pay for standard rent or service fees. In return for this capital sum, residents gain the right to live in one of the units within the village and access the services and facilities provided, will differ from village to village.
While it’s important to note that there is a distinct difference between a retirement village and a rest home, many villages in New Zealand offer care facilities on-site, and other options such as a care suite, giving you the ability to 'age in place' if your needs change.
If you're considering moving into a retirement village, it's important to do your research and make sure you understand exactly what you're getting into. Take the time to visit different villages and talk to current residents to get a sense of what life is really like there. You should also carefully review the terms and conditions of any contract before signing, to ensure that you understand your rights and obligations.
Updated: 1 Dec 2025