Lifestyle villages and their Body Corporate Management Rights Business are seldom available and keenly sought because of their security and attractive yields.
With that in mind, Colliers broker Vince Southee is expecting strong interest in three such properties that he is currently marketing.
The villages are in Motueka (near Nelson), Levin, and Masterton. They can be bought as one parcel or individually and are for sale by tender, closing July 28 2021 at 2pm. The offering is for the Management Rights Business, together with the standalone three bedroom house and the auxiliary garages at each.
The unit owners must use the services of the Management Rights Company and they pay a fortnightly fee to do so. Fees are CPI adjusted annually. The body corporate itself is separate to the Management Rights Business.
“That means you have a guaranteed customer base that has signed a supply contract. These are secure investments that offer good yields and are virtually ring fenced from the external economy,” Southee says.
“They can be run in a passive manner, as they currently are with full time live-in caretakers, or the option to do some of the work yourself also exists, even living onsite if you are over 55-years of age.”
Last year, he was inundated with prospective buyers when he sold a similar lifestyle village in Tawa.
“The buyer thinks it’s the best business that he has purchased. It’s easy to run, not time consuming and you’re not chasing debtors.”
Southee says the three lifestyle villages currently on offer were all built by R J Ker Contractors who built approximately 15 of them, including Redwood Lifestyle Village in Tawa. These three offerings are all owned by the original owner.
“All these lifestyle villages are extremely well maintained and presented.”
Southee says there are several unit owners in each village who have been there from the start.
“Units appear to become available if the owner’s situation changes, for example, they may require medical care, so they move into a retirement village. Units sell extremely quickly, with a benefit being that the owners retain all profit on the sale of the units.”
Brown Acre Lifestyle Village, at 53 Parker St in Motueka, where construction began in 2010, comprises 68 unit-titled villas built in duplexes, four garages that are all rented, and a three bedroom home rented by the caretaker.
Brown Acre sits on the northern boundary of Motueka near the Motueka River. It is about 15 minutes’ walk to the centre of town or a 1.1km drive.
“Nelson and Motueka continue to go from strength to strength. The economy is buoyant and the whole Tasman Bay is still a mecca for people seeking a great lifestyle and a warm climate,” Southee says.
With construction commencing in 2007, Rangeview Lifestyle Village at 7 Fuller Close in Levin also features 68 unit-titled villas, six garages, and a three-bedroom house currently rented by the caretaker.
Nestled in a peaceful setting, Rangeview Lifestyle Village is 1km from the Horowhenua Medical Centre, five minutes’ drive from the main shopping centre and close to both the bus and train depots.
Levin is situated in the Horowhenua District, with easy access to the Manawatu and Wellington. With the opening of Transmission Gully and the Levin highway extension, access will become easier to the south.
In Masterton, construction began on Holdsworth Lifestyle Village in 2004. 2 William Donald Dr, has a slightly different configuration comprising 70 unit-titled villas, a three-bedroom standalone house also rented by the caretaker and eight garages.
Holdsworth is situated in a beautiful setting in the south of the town. The village is situated 5.7kms from Wairarapa Hospital, is only five minutes’ drive from the town centre and is also close to both the bus and train depots.