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Anxious wait for over 50s resorts as rent rises on hold until October

Thousands of residents in Queensland’s over 50s resorts are anxiously waiting to find out how much rents could jump following the two-month rent rise reprieve.

Palm Lake Resort at Eagleby
Palm Lake Resort at Eagleby

Many of the 30,000 residents at the state’s over 50s resorts are anxiously waiting to find out how much their rents will increase on October 1, despite a two-month rent rise reprieve.

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Negotiations under a five-year market rent review were still being finalised at many of the state’s 180 manufactured home parks and over 50s lifestyle resorts.

Rent rises were due to come into effect on July 1 but in May, at the height of the coronavirus lockdown, the state government moved to change laws governing manufactured homes.

The changes, designed to suspend the annual increases until October 1, are still being debated in the parliament.

Residents at Palm Lake Resort, Eagleby Heights, a typical over 50s village, said the legislation delay had allowed their resort managers to proceed with a rent increase proposal. PHOTO: Richard Walker
Residents at Palm Lake Resort, Eagleby Heights, a typical over 50s village, said the legislation delay had allowed their resort managers to proceed with a rent increase proposal. PHOTO: Richard Walker
Govts to ‘spread the pain’ of rent ‘very soon’

Housing Minister Mick de Brenni said in May the legislative amendments would suspend rent increases up until the latest date of December 31.

He said they would also allow a market review process to be completed but suspend the implementation of any rent hikes.

Despite the legislative delay, most manufactured home parks have postponed the July increase until October 1, to compensate residents for closing shared facilities in line with a government coronavirus regulation which came into force in April.

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Residents at Palm Lake Resort, Eagleby Heights, a typical over 50s village, said the legislation delay had “unfortunately” allowed their resort managers to proceed with a rent increase proposal.

Residents who own villas at the resort, spent the past month negotiating rent increases with management, despite an initial call for any rises to be suspended to compensate for coronavirus closures.

Resort management made concessions and delivered soup and bread to residents nightly and provided masks and hand sanitisers at the height of the lockdown.

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This week, after rejecting the management’s initial offer, residents struck a deal, which is due to be signed by July 24.

Palm Lake Resort Eagleby Home Owners Association president Marilyn Goodwin said owners of villas always knew there would be a rent increase this year but were upset the resort’s initial offer was overpriced.

Marilyn Goodwin from Palm Lakes Resort has played a role in the rental review. PHOTO: Richard Walker
Marilyn Goodwin from Palm Lakes Resort has played a role in the rental review. PHOTO: Richard Walker

Ms Goodwin said the initial offer for existing villa owners was a 5.4 per cent increase for the first year and then CPI increases for the following four years.

“We disputed that rise but after some long negotiations there has been a resolution,” she said.

“It was very difficult to negotiate the deal because coronavirus social distancing restrictions meant only 20 people at a time could be in a meeting and there are 282 resident-owned villas.

“But we have had the increase reduced.”

At Palm Lakes, which is similar to other over 50s resorts across the state, contracts for all new entry-level resident-owners will be 3.5 per cent rental increase annually instead of a Market Rent Review.

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Original URL: https://www.couriermail.com.au/questnews/logan/anxious-wait-for-over-50s-resorts-as-rent-rises-on-hold-until-october/news-story/9633c07f05722b060bd77524be08d8c1