An Occupation Right Agreement (ORA) is a legal document that gives a person the right to occupy a residential unit in a retirement village. It sets out the relevant terms and conditions, in compliance with the provisions of the Retirement Villages Act 2003 and the Retirement Villages (General) Regulations 2006. The agreement also contains the village Code of Residents' Rights and the Village Rules.
What issues does the agreement have to deal with?
The ORA covers:
Where the village or unit hasn't been built
If the village, apartment or unit is not yet completed when the ORA is signed, it must state the proposed completion date.
Cancellation for delay
The buyer can cancel the ORA if the unit is not finished to the point of practical completion within six months of the proposed completion date. They can do this any time after the six-month period has expired. They must then be refunded their deposit with interest and all progress payments made for the Occupational Right Agreement.
Who is a "resident"?
A resident is:
All these people have the rights given to residents by the Retirement Villages Act 2003 and the Code of Practice 2008. For example, they have all the rights set out in the Code of Residents' Rights, and they can use the village's complaints procedure. The information above is a summary only. Please refer to the official documents at www.retirementvillages.govt.nz for full details.