Summerset by the Lake

25% (Summerset's own stated "standard rate" for the deferred management fee, as a percentage of the ORA/licence price). Source: Summerset Annual Report 2025 (FY25), Glossary of terms, p.138, definition of "Deferred management fee (DMF)": "This is the fee charged by Summerset to residents in our villages under their ORA (the standard rate is 25% of the ORA price, which accumulates over a five-year period)." This is a company-wide stated standard, not separately verified per individual Auckland village (individual Occupation Right Agreements can vary by unit/village, but no Auckland-specific rate was found on the pages fetched).

"Accumulates over a five-year period" to the standard 25% cap, per Summerset's own Annual Report 2025 glossary (p.138, "Deferred management fee (DMF)"): "the standard rate is 25% of the ORA price, which accumulates over a five-year period." The exact per-year schedule (e.g. whether it is a flat 5% per year) is not stated in that definition or anywhere else fetched, not published in those specific terms. Note 14 (p.81) separately confirms DMF "is paid in arrears, with the amount payable calculated as a percentage of the resident's loan amount as per the resident's occupation right agreement," and is deducted from the resident's loan repayment on exit.

Not fixed for life, reviewed/increased over time. Summerset St Johns Terms and Conditions PDF (dated 29 September 2026 / version "October 2026"): "your Weekly Fee remains subject to annual increase both during the Waiver Period and after the Waiver Period ends." The weekly fee stops immediately on departure: FAQ, "your weekly fee stops as soon as you permanently vacate your home"; Annual Report 2025 (p.15), "our weekly fees stop as soon as a resident leaves the village." No typical dollar weekly-fee amount for an Auckland independent apartment or villa is published on any Summerset page fetched, village pages (e.g. St Johns, Half Moon Bay) list entry/licence prices (e.g. St Johns two-bedroom apartment "from $995,000") but not weekly fee dollar figures, and these appear to be given only on request or in a personalised information pack, not published.

Summerset keeps any capital gain; the resident bears no stated capital loss. Summerset's own FAQ: "There are no capital gains or losses. When you purchase your home with us, you're not buying the building or the title to any land." (summerset.co.nz/…/frequently-asked-questions and /living-at-summerset/the-right-home-for-you/). This is corroborated by Summerset's Annual Report 2025, which recognises a company-level "realised resale gain", the difference between the price the previous resident paid and the price the incoming resident pays for the same unit, as part of Summerset's own underlying profit ($104.5m in FY25, p.49; defined p.139: "The difference in resale unit sales price between the incoming resident and the previous resident... forms part of underlying profit"). The outgoing resident's repayment is their original loan amount less the DMF, not tied to the resale price, so the market gain (or loss) on resale sits with Summerset, not the resident. Not explicitly stated: whether a resident's repayment could ever be reduced below their original entry price minus DMF if a unit resold for less (no loss-bearing clause for residents was found on the pages fetched).

On resale of the unit to a new resident, not a fixed statutory period, per Summerset's own Annual Report 2025, Note 14 "Residents' loans" (p.81): loans "are payable when both an occupation right agreement is terminated and there has been settlement of a new occupation right agreement for the same unit and the proceeds from the new settlement have been received by the Group." Typical timing: the Chair & CEO's Report (p.15) states "the vast majority of our resale homes sell within four to five months." Interest: the same page states Summerset "already pay[s] interest to a resident, or their estate, if their home is unsold after six months", i.e. interest begins accruing only once a home has been unsold for more than 6 months; residents' loans are otherwise described (Note 14, p.81) as "non-interest bearing." Summerset also states (not contractually binding) that it "typically also repurchase[s]" homes unsold after 12 months.

Refurbishment: FAQ states residents are "only... responsible for refurbishment costs if the damage is beyond fair wear and tear" (summerset.co.nz/…/frequently-asked-questions). Annual Report 2025 (p.15) also states Summerset does "not charge for the maintenance or repairs of chattels we own." Legal costs: mentioned only in the context of the 90-day "Summerset Sure" cooling-off guarantee ("The only costs you may have to pay are any costs you have incurred for legal advice, together with the weekly fee and any other outstanding charges"), not confirmed whether legal costs are charged on a standard (post-90-day) exit, as that was not stated on the pages fetched. No published schedule of other exit costs (e.g. a fixed transfer fee, admin fee) was found on any Summerset page fetched, not published.