Can new retirement villages solve SA’s hospital gridlock?

In a national first aimed at easing a severe hospital ramping crisis, the South Australian government has declared retirement villages co-located with aged care facilities “essential infrastructure” to fast-track their construction.

The move bypasses the usual council-led process, allowing new developments with construction costs over $10 million to be assessed directly by the state’s Minister for Planning in a bid to accelerate the supply of age-friendly housing and free up hospital beds.

Industry groups have praised the reform as a “groundbreaking” response to the state’s health and housing challenges.

“We know retirement villages contribute to 14,000 avoided hospitalisations across the country every year, so the changes we see in South Australia are a policy no-brainer,” said Retirement Living Council Executive Director Daniel Gannon. “This policy shift is designed to cut red tape, fast-track approvals, and give investors and operators greater confidence to deliver age-friendly homes and services quickly.”

The policy is a direct response to both the immediate hospital pressure and a looming demographic shift, with the number of South Australians aged 75 and over projected to surge by 64 per cent by 2040.

“The ‘silver tsunami’ is coming, and we can’t afford to be stuck in yesterday’s planning mindset,” Gannon said.

The Property Council of South Australia also welcomed the change, with Executive Director Bruce Djite saying it was a practical way to address urgent needs. “By streamlining approvals, we can accelerate the delivery of aged care and retirement living options, relieve significant pressure on our hospitals, while also providing older South Australians more choice,” Djite said.

The Retirement Living Council is now calling on other states to adopt similar measures to tackle what it describes as interconnected crises in housing, hospitals and aged care.

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Ritchelle is a Content Producer for Healthcare Channel, Australia’s premier resource of information for healthcare.