READ MORE:* Retirement village residents call for quick changes to give them slice of capital gains* Retirement village residents and owners square off over who gets the capital gains* Capital gains are a 'significant chunk' of retirement village profits, analysts sayRetirement villages have been around for decades in New Zealand, along with their licence to occupy model. As a shareholder in New Zealand’s listed retirement village operators, both directly and through index funds, I applaud their resistance to sharing capital gains with residents. The capital gains should belong to investors, like myself, who take on the risks of property maintenance, insurance, and further development. If boomers crave capital gains so much, they should just sit tight in their present homes, the median price of which has increased $200,000 in the last year alone. However, I would much rather they sell up and move to their nearest retirement village, while the younger generations invest heavily into the publicly-traded companies that operate these facilities.

Source: Stuff July 07, 2021 22:18 UTC