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Making
Life Easier
$2.5m+ in Capital Works Delivered
Significant Occupancy Growth
53-61% Capital Growth in Apartments
Nestled in the leafy tranquillity of North Turramurra, Huon Park Retirement Community is home to 250 residents who enjoy landscaped gardens, generous community spaces, and a strong community spirit. With 134 independent living units (ILUs) and 40 serviced apartments, this strata-titled village has long been admired for its charm and lifestyle.
While the ILUs are held under traditional strata
agreements—where the responsibility for ongoing
maintenance and capital replacement rests with the
individual ILU owner—the 40 serviced apartments operate
under leasehold agreements. In these, the operator is
responsible for maintaining and replacing capital items,
creating a different set of obligations and funding
requirements compared to the strata-held ILUs. Being a
strata-titled village, the Owners Corporation is responsible
for the upkeep, maintenance, replacement, and
refurbishment of the village’s common areas.
This article focuses on Vision’s development of a funding model to address capital maintenance and refurbishment for the 40 serviced apartments. It also explores how we expanded the purpose of this fund to respond to changes in the regulatory framework, while using it to support the broader community through common area renewal and to enhance services and social connections within the serviced apartments for the benefit of residents.
Behind Huon Park’s peaceful exterior lies a strategic renewal journey—one that addresses a challenge faced by many Australian retirement villages: how to remain competitive and future-ready when assets are ageing, residents’ needs are evolving, and funding models are not always designed for long-term renewal.
Huon Park’s approach offers a practical blueprint for other villages navigating similar challenges.
No DMF, Ageing Infrastructure
[2017]
When Vision Lifestyle Projects (Vision) was appointed as Manager
in 2017, the Lodge serviced apartments were showing their
age—some untouched for over 25 years. There was no structured
refurbishment pathway, no DMF to provide recurring capital, and
the existing strata capital works fund couldn’t support the scale of
common area upgrades required. Adding to the complexity,
operator appointments are limited to 10 years under the legal
framework, restricting long-term strategic planning.
Working in close partnership with Huon Park stakeholders, Vision introduced a non-refundable incoming management fee for new residents, establishing a dedicated and transparent capital reserve—the Lodge Capital Fund. Its clear mandate was to:
Since its inception, the Lodge Capital Fund has delivered tangible, high-impact outcomes:
This recent video showcases the recent capital works & vitality of the village.
Legislative Agility: Turning
Reform into Opportunity
In 2019, reforms to the NSW Retirement Villages Act introduced a
42-day cap on recurrent charges post-vacancy, creating new
financial obligations for the Lodge. To address this, Vision and
residents agreed to broaden the Capital Fund’s purpose to cover
liabilities arising from the cessation of recurrent fees after the
42-day period. In 2021, the incoming management fee for new
residents were increased from 12.5% to 17.5% to ensure the fund
maintained sufficient capacity to meet these expanded
responsibilities.
Delivering for the Whole Village
Following a strategic review of Huon Park’s future direction—undertaken with stakeholders and informed by broader discussions about the village’s long-term needs—it was agreed to broaden the purpose of the Lodge Capital Fund. While originally established for the refurbishment and maintenance of the serviced apartments, the strong financial position of the Fund allowed for a wider scope of investment.
Among the changes, the Fund was approved to make significant contributions towards enhancing the common areas of the serviced apartment building (the Lodge). Although the Capital Fund is Lodge-specific, these upgrades—such as improvements to dining rooms, lounges, and shared spaces—benefit all Huon Park residents. Voluntary contributions from the Fund also reduced the financial burden on the Owners Corporation, enabling projects to be completed years earlier than would otherwise have been possible.
Lodge residents further agreed to allocate funds to:
These initiatives not only modernised and enhanced the Lodge product offering but also supported health, wellbeing, and community connection. Recommendations included lift
replacement, amortisation of the management fee, funding strata levies, and a range of targeted enhancements to the Lodge’s
common areas.
Market Appeal and Financial
Strength
Between 2020 and 2025, Lodge serviced apartments achieved
strong capital growth:
1-Bedroom apartments: from $450K to $725K (+61%)
2-Bedroom apartments: from $650K to $1.0M (+53%)
These results have significantly outperformed the broader North Turramurra market, where median unit prices increased by around 20% over the same period. This performance reflects strong buyer confidence in the Lodge’s renewed product and value proposition.
Meanwhile, occupancy of the ILUs has remained consistently high over the past five years, generally being 100% occupied, supported by a strong waiting list of prospective residents actively managed by the Vision sales team.
Huon Park’s strategic plan for the Lodge—underpinned by its Asset Management Plan—provides a multi-year roadmap for capital works, aligning operator and strata responsibilities. With most Lodge apartments now refurbished, the focus will shift to continual enhancements and refinements to meet evolving resident expectations and needs, alongside targeted common area upgrades, expanded services, and initiatives to sustain strong market appeal.
