Residents demand immediate action as retirement dream turns into nightmare

What seemed like the perfect coastal retreat has become a complicated ordeal for residents of a once-promising community, as unexpected challenges and disputes disrupt their plans for a peaceful retirement.

Unresolved tensions have left many questioning what the future holds for their once-cherished haven.


At the heart of the controversy is the complex's dual nature as both a strata complex and a retirement village, governed by overlapping regulatory schemes that have left residents grappling with opaque contracts and unexpected fees.

The situation has escalated to the point where residents are now calling for government intervention to resolve a bitter and exhausting fight.

Barbara Allen's story is emblematic of the issues Harbour Pines residents face.


1742261158930.png
Families were caught in a legal dispute over the lease-for-life contract at a retirement village. Credit: Facebook


At 92 years old and living with Parkinson's disease, Barbara sought more independence.

She moved into the village in February 2023 after investing $184,000 of her life savings into a $260,000 unit under a 'lease-for-life' agreement.

This type of contract allows residents to live in their unit as long as they can but does not grant them ownership of the property.


'It only lasted one day,' Mr Allen said.

'She thought she'd be able to carry on a normal life, [but] she fell over and took all the skin off her arm and she went to hospital.'
Instead, they are subject to exit fees and other charges upon leaving.

Tragically, Barbara's stay at Harbour Pines lasted only a day before a fall sent her to the hospital, where she was diagnosed with dementia.

She never returned to the unit and passed away in June 2024 without receiving any refund on her lease.

Her children are now embroiled in a legal dispute with Adder Holdings, the operator of Harbour Pines, over the return of her investment.


The Allen family's lawyer has accused Adder Holdings of unconscionable conduct for signing Barbara up to the lease, given her advanced age and health issues.

'Given this is currently before the court, Adder does not wish to comment further on this matter other than to say they are serious allegations that are strongly disputed by Adder,' he said.

Adder Holdings, however, contests the allegations, asserting that Barbara could agree at the time.

The Allens are not alone in their struggle. More than a dozen residents and families have voiced serious concerns about Harbour Pines's financial management, with some being pursued for what they describe as exorbitant fees and unexplained charges.

The case of Gail De Lacy, a legally blind and cancer-stricken resident who was taken to court over a disputed emergency maintenance fee, highlights the aggressive debt recovery practices employed by Adder Holdings.


Despite legal advice that she did not owe the money, the court ruled in the company's favour, and her estate was left with less than half of what she paid for her unit after her death.

The residents' attempts to take control of the situation have been met with resistance and legal setbacks.

A group known as 'the targeted 10,' including 92-year-old Bert Lenane and his wife Peggy, have faced claims of arrears in the tens of thousands of dollars.

Their efforts to appoint a new manager for the property were invalidated by the State Administrative Tribunal, which ruled that a meeting they held was not correctly recorded.

These disputes have prompted calls for an inquiry into the strata management industry, with consumer groups highlighting unethical practices, lack of transparency, and insufficient oversight as key issues.


The Consumer Protection Commissioner for Western Australia has acknowledged receiving complaints about Harbour Pines and is working to improve the village's financial transparency.

At the national level, scrutiny of retirement villages has intensified following reports of 'corporatised elder abuse.'

Federal Financial Services Minister Stephen Jones has engaged with state counterparts to address the conduct of retirement village operators and explore harmonising regulations to protect consumers better.

Legal reforms in Western Australia, set to take effect in December, aim to establish more straightforward rules for lease-for-life holders and maintenance responsibilities.

These changes offer hope for a cleaner, more accountable sector, but as lawyer Haydon Bawden points out, enforcement is key.


The plight of Harbour Pines residents serves as a stark reminder of the vulnerabilities seniors face in retirement living arrangements.

As a society, we must prioritise the protection of our most vulnerable members, ensuring that their retirement years are spent in comfort and dignity, not embroiled in legal battles and financial uncertainty.

Key Takeaways

  • Barbara Allen and her family are embroiled in a bitter legal dispute with Adder Holdings, the operator of Harbour Pines retirement village, over a 'lease-for-life' contract signed under contentious circumstances.
  • Residents of Harbour Pines, including a group known as 'the targeted 10,' are challenging Adder Holdings regarding claims of unpaid fees and are seeking intervention from consumer protection groups and legal avenues.
  • National consumer groups have called for a federal inquiry into the strata management industry due to concerns over unethical practices, lack of transparency, inadequate oversight, and aggressive debt recovery methods.
  • Reforms to the retirement village sector in Western Australia, aimed at protecting residents and providing clearer regulations around contracts and village management, are set to be implemented in December.
How can unclear rules put your retirement savings at risk? What should you check before signing a retirement village contract? Share your thoughts and opinions in the comments below.
 

Seniors Discount Club

Sponsored content

Info
Loading data . . .
My Godmother is in a nursing home in Woy Woy, and it is a matter of you get what you pay for. It looks brand new, although it is a few years old now, the staff are absolutely lovely and the inmates (her words not mine) are happy to be there mostly, there are a couple of dementia patients who need extra attention but, the staff go the extra mile when required. However, expensive as all hell, gone are the days when you can get a relative into a nursing home for the cost of their age pension.
Is there no such thing any more as Concessional Residents?
 
I've been looking to move from my hellhole for quite a while now and what I found makes me sick. Retirement villages like this one that cost a fortune and you never own. I found one for $900 a week and YOU MUST EAT THEIR FOOD. Aged care... no such thing. CARE LESS maybe. This months account from Provider shows 5 visits from them they NEVER MADE and never have done but they have taken money from my Carer's money to pay for it. They have done very little for me and most of what I have, walker, original second hand scooter, new bed and mattress I BOUGHT MYSELF. I don't even get consistent staff and when I asked one of them if they had read my file I was told "oh no we don't do that". This was one of the bosses and I asked how he knew what was going on with people was told "we don't need to know". I now discover that they have bumped up the cost of my Lite-n-Easy food. Originally I was told that after 6 months I could control my money but after 7 years they still have not let go. I've sent emails to the PM and Premier but only the Premier was kind enough to reply. The Aged Care Minister in Canberra even had the hide to ask me what I thought of "the work I did for you". Funny about what she was claiming was work I DID MYSELF.
You know, they’re real shitbags some of these supposedly caring individuals aren’t they……….the kind of people that you want to put a curse on when they reach the arse end of their lives….
 
  • Like
Reactions: DLHM
I do realise my comment will be unpopular, but I feel I need to express my opinion on retirement villages.

My husband and I moved into an Oak Tree Retirement Village in the Lake Macquarie area of NSW in September 2019. It was a brand new village at that time and we were among the first residents. The contract was clearly explained to us by the manager of a sister village nearby. We then had an appointment with the marketing manager who went through every detail again. Our daughter in law checked it out as well, and when it comes to money, she doesn't miss a trick! We fully understand the contract we signed and are happy with it.

In the five and a half years we've lived here, our life has been better than we could have hoped. The front gate closes at 4pm daily and doesn't open to non residents until 7am next morning. Those visiting residents can of course be let in by the residents.

There are daily activities for those who wish to participate. On Friday night we have Happy Hour, well, happy three hours actually, where we have a two course dinner cooked by residents. Obviously not every resident comes. We have approximately 80 residents and the village can't expand any further. About 30 residents attend every week. Our free monthly barbecues are attended by almost everyone. There are no cliques here, and with with a couple of exceptions, we all get on.

Our manager is young and enthusiastic. Nothing is too much trouble. Our dishwasher broke down recently and, although it took two and a half weeks, it was replaced with a new one at no cost to us. We have a great gardener/handyman who looks after our gardens and minor repairs. Major repairs are carried out promptly by licenced tradespeople. We have solar power and a storage battery. Our pool and bowling green are always in use, and the community centre is used by residents for large private parties. The kitchen has two cooktops, two ovens and two dishwashers. All crockery, glassware and cutlery is supplied.

All in all, hubby and I believe it's the best move we ever made. We feel safe here and have made many new friends. Also, our family can relax, knowing we're being looked after. All this comes at the princely cost of $130 a week.
 
I do realise my comment will be unpopular, but I feel I need to express my opinion on retirement villages.

My husband and I moved into an Oak Tree Retirement Village in the Lake Macquarie area of NSW in September 2019. It was a brand new village at that time and we were among the first residents. The contract was clearly explained to us by the manager of a sister village nearby. We then had an appointment with the marketing manager who went through every detail again. Our daughter in law checked it out as well, and when it comes to money, she doesn't miss a trick! We fully understand the contract we signed and are happy with it.

In the five and a half years we've lived here, our life has been better than we could have hoped. The front gate closes at 4pm daily and doesn't open to non residents until 7am next morning. Those visiting residents can of course be let in by the residents.

There are daily activities for those who wish to participate. On Friday night we have Happy Hour, well, happy three hours actually, where we have a two course dinner cooked by residents. Obviously not every resident comes. We have approximately 80 residents and the village can't expand any further. About 30 residents attend every week. Our free monthly barbecues are attended by almost everyone. There are no cliques here, and with with a couple of exceptions, we all get on.

Our manager is young and enthusiastic. Nothing is too much trouble. Our dishwasher broke down recently and, although it took two and a half weeks, it was replaced with a new one at no cost to us. We have a great gardener/handyman who looks after our gardens and minor repairs. Major repairs are carried out promptly by licenced tradespeople. We have solar power and a storage battery. Our pool and bowling green are always in use, and the community centre is used by residents for large private parties. The kitchen has two cooktops, two ovens and two dishwashers. All crockery, glassware and cutlery is supplied.

All in all, hubby and I believe it's the best move we ever made. We feel safe here and have made many new friends. Also, our family can relax, knowing we're being looked after. All this comes at the princely cost of $130 a week.
It’s good to hear you have found what seems to be a good, reasonably priced place. I hope the same company stays on for the rest of your time there. Many places have high rates to enter, monthly or quarterly fees like body corp fees in units etc and then excessive amounts of money withheld on exit. Stay there as long as you can and good luck.
 
What we must prioritise is relatives who could not be bothered to check on the contract, but are quick to complain when they think they might miss out on some money. There is a reason these contracts should be read and explained prior to signing. Companies are never in it for anything but themselves
 
I am having to sell my home that my husband & I built in 1996 due to health reasons. And I can tell you I WILL NEVER move into a retirement or nursing home here in Australia. My family is upset with me as I am going to buy a caravan and live in that until I die. At least I will have a say how I lived and how I am treated.
We are happy with land lease. We keep the capital gains, no exit fees and can leave it to our children
 
I just hope all non-believers and buyers have another good look at the contracts BEFORE diving in. Relatives helping out their parents, grandparents and such should offer to at least give their help by checking/looking at the documents without the background thoughts of how much they might lose or gain. After all they should have an income and assets in their own savings and superannuation, just as we have earned that money, paid off our houses etc; it did not always come easy to most of us but we persevered.

Buying and living in a caravan might be convenient but there are still the daily/weekly fees to the caravan park to be paid and not many parks are legally permitted to keep a ‘tenant’ indefinitely.
 
This kind of thing is exactly why we decided to aim for aged care at home, in a house we built as age friendly. My Johnny was very, very ill for many years, but, he was content here.
His aged care package allowed us to have everything he needed to keep him comfortable. He loved the extra attention, extra outings, and meeting lots of new people.

The same provider, Hammond Care, did an amazing job supporting my sister and I during the worst of my mums dementia years. Mum was level 4 and it was very handy. Between the two of us and Hammond, mum spent her final years in her own home and only spent her last few days in a hospice.

I know not everyone is able to do this, but the alternative choices need deep scrutiny.

So, when the time comes and I can no longer cope, I will go with home aged care without hesitation. Also .... I own my house and no circling vultures can get their filthy claws onto it.

This is a very sad situation. The only way we will see action against it is if a politicians mum or dad gets caught in the Web.
 
  • Like
Reactions: DLHM and magpie1

Join the conversation

News, deals, games, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.

Seniors Discount Club

The SDC searches for the best deals, discounts, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.
  1. New members
  2. Jokes & fun
  3. Photography
  4. Nostalgia / Yesterday's Australia
  5. Food and Lifestyle
  6. Money Saving Hacks
  7. Offtopic / Everything else

Latest Articles

  • We believe that retirement should be a time to relax and enjoy life, not worry about money. That's why we're here to help our members make the most of their retirement years. If you're over 60 and looking for ways to save money, connect with others, and have a laugh, we’d love to have you aboard.
  • Advertise with us

User Menu

Enjoyed Reading our Story?

  • Share this forum to your loved ones.
Change Weather Postcode×
Change Petrol Postcode×