October 20, 2025
From vision to viability: The business foundations of Esprit de Vie
Stephen Scotchmer had a vision of Later Living Communities which would exceed the expectations of how older Australians see the current Retirement Industry. A model filled with passion, rigour and a genuine sense of community. Here’s how NAB helped him bring his vision to life.
By Health View
Not everyone wants the same for their retirement – or, as Stephen Scotchmer prefers to call it ‘Later Living’. As CEO and founder of Esprit de Vie , his goal is to provide new environments for those seeking fun, activity and friendship.
“These are very sociable people who are eager to enjoy life as part of a strong community,” he says. “They’re also likely to be a bit cheeky and irreverent, like our ambassador Denise Drysdale.”
Like many others in the over-65 age group, this cohort are ready to downsize – with certain caveats.
“They don’t want to feel isolated, or to find themselves living next door to AirBnB rentals, hard-partying students or in an apartment complex with no community” Scotchmer says. “They also want a home they can feel proud to own in a village they can show off to friends and family. Our restaurants and wellness clubs are busy 7 days a week with family and friends enjoying the Esprit de Vie difference. The pool and rooftop function area has everything from fitness classes to grandkids parties every week.”
Enter Mermaid Waters on the Gold Coast. The first Esprit de Vie village, it offers two- and three-bedroom apartments so its residents don’t have to part with too many memories when they move in. It also buzzes with activity – from water aerobics to sharing drinks in the café or licensed bar. Yet beneath it all lies a foundation of care, including medical alert systems, 24/7 onsite nursing staff and visiting medical services.
Money matters
While the Esprit de Vie model celebrates fun and friendship, its foundations rest on considered business plans.
From inception, Scotchmer had a mid-market target in mind. “Currently, a typical unit sells for around $1.2 million but we have had residents who purchased for far less than $1 million,” he says. “The facilities then pay for themselves, so we need to make sure we’re attracting people who want to use the restaurants, attend functions, join the wellness activities.
“We attract residents that in many cases would not look to traditional retirement offerings.”
Esprit de Vie complements the government’s Support at Home program without relying on public aged care funding.
“Some eligible residents may access Support at Home services, such as physiotherapy and nursing, though our own care services often exceed those covered by public programs,” Scotchmer says.
Like most retirement village operators, Esprit de Vie also uses a deferred management fee model (DMF). This allows part of the living costs, such as upkeep and capital improvements, to be paid after the resident leaves, rather than upfront. This means they can access high-quality accommodation while retaining liquidity to keep on enjoying their lives.
In addition, Esprit de Vie offers generous terms for capital gains. Once the DMF and original purchase price have been subtracted from the new sale price, Esprit de Vie splits the remaining capital gain with either the resident or their beneficiaries.
The power of a partner
Scotchmer’s considered approach has secured NAB’s strong support since he first engaged with the bank in 2020.
“There’s room for many different models in this marketplace and we could see that Esprit de Vie and Stephen had identified an important segment,” says Stephen Oliver, State Director NSW & QLD, NAB Corporate Health. “We were also impressed by his straightforward way of making interactions with potential residents both fun and engaging.
“Additionally, Esprit de Vie had a highly developed resident engagement plan, which centred on their wellness club. This included lifestyle events and workshops – even an afternoon sailing. These activities not only brought potential residents together, but helped keep them engaged while the community was still being developed.”
NAB’s support was critical when the COVID-19 pandemic delayed the project by 18 months.
“We were working really hard to get going on the building and, for the whole of that time, NAB stayed incredibly patient,” says Scotchmer. “They didn’t put any pressure on us, just continued with their encouragement and advice. There’s no doubt in my mind that we wouldn't have been able to get off the ground without NAB’s support, industry expertise and knowledge of the community.”
When the building was finally completed in 2024, NAB’s faith in Scotchmer’s marketing strategy proved well-founded.
“Mermaid Waters has 140 or so apartments and now it’s close to fully occupied,” Oliver says. “Around 60 people moved in in the first two months.”
Together for the long-haul
Scotchmer continues to speak to Oliver on a weekly basis.
“I consider him to be a business partner as well as a banker,” he says. “We don’t just talk about specific projects – he gives me advice and shares his insights into broader industry issues where his expertise is invaluable. As well as funding our properties, NAB provides all of the other financial services we need so we also draw on other areas of expertise.”
As for the future, Scotchmer would like always to have a property under construction – a new project every 18 months to two years.
“We’ve just started demolition on a second site close to Mermaid Waters,” he says. “We plan to stay in South East Queensland because we have a good team of staff and consultants here and we feel very comfortable in the environment. We also see continuing demand for our unique blend of fun, community and care.”
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