Retirement Villages Act 2012

The operator of a retirement village must make good a deficit in the annual accounts of the village for a financial year of the village (a deficit).

The operator of a retirement village must not—

carry forward a deficit to a later financial year for the village; or

ask or receive from the residents of the village a special additional payment for making good a deficit; or

increase or purport to increase recurrent charges payable by the residents of the village in a financial year for the village for making good a deficit; or

use all or part of the recurrent charges collected by the operator in a financial year for the village to make good a deficit; or

use all or part of the capital works fund for the village to make good a deficit.

Despite subsection (2), a regulation may prescribe circumstances in which an operator of a retirement village may—

increase the recurrent charges payable by the residents of the village for making good a deficit; or

use all or part of the recurrent charges collected by the operator for making good a deficit; or

carry forward a deficit to a later financial year for the village.

The operator of a retirement village must not charge the residents of the village interest in relation to a deficit.