Last month, Lyndoch Living unveiled $100 million plans to be implemented during the next decade which includes a medical hub, new dementia wing, another 84 villas and converting the original building into apartments.

But they are not the only ones trying to meet the growing demand which has been described as a tidal wave of retirees.

Opal Gillin Park is considering its expansion options after securing federal funding this week for more aged-care beds, and Anchor Point retirement village is also planning to spend $15 million to expand over the next three years.

In Warrnambool, the number of residents over 65 has risen from 13.8 per cent in 2001 to 18.9 per cent at the last census in 2016.

According to Warrnambool City Council, the number of people over 60 is expected to increase by 16.5 per cent (or 1468) between now and 2026 and make up 25.6 per cent of the city's population.

Across the entire south-west, the ageing population will jump 71 per cent over the next 35 years from 21,400 to 36,600 seniors, according to The Victoria in the Future 2016 document.

Census data shows Moyne's over 65s had risen from 14 per cent to 18.6 per cent between 2001 and 2016, while Corangamite had jumped from 15.3 per cent to 22.7 per cent.

The percentage of people over 65 in Corangamite shire is predicted to rise from 19 to 29.9 per cent while Moyne will grow from 5.9 per cent to 26.7 per cent. The state average is 15.6 per cent.

Anchor Point owner Tim Scarborough said Warrnambool had always been well ahead of the state average  in terms of the number of people over 65. "It was always set to grow faster as well than the rest of the state," he said.

The growth in that demographic, along with Warrnambool's range of health care services, was one of the reasons that the Melbourne-based developer chose Warrnambool 14 years ago to purchase land here for a retirement village.

Mr Scarborough said with a public and private hospital, and aged-care facilities such as Lyndoch and Mercy Place, Warrnambool was an attractive option for retirees.

There is a waiting list for a place at the 120-bed facility at Mercy Place. "My understanding is that they could probably be twice the size again and still fill them with the amount of need for aged care services in Warrnambool," he said.

Mr Scarborough said retirees today were looking for more from their retirement, and being in a vibrant location like Warrnambool was very attractive to a lot of people.

Mr Scarborough said Anchor Point opened about eight years ago and features 110 two-bedroom units and services including a pool, gym and lawn bowls.

He said they had enough land for another 45 units which would be constructed over the next three years at a cost of $15 million. "There's growing demand, my word," he said.

He said he looked all over Victoria when he was deciding to build a retirement village and Warrnambool was the best place. "I still think that eight to 10 years later. It's the best spot to be," he said.

Warrnambool City Council's capacity, access and inclusion manager Richard Stone said the council had noticed a rise in the number of people accessing its services as well as a jump in the number of people using the Archie Graham Centre.

"In terms of older population, in terms of percentages, it's one of our highest growth areas in Warrnambool," Mr Stone said. However, he said there was also growth in the young family demographic.

Mr Stone said the council was one of the first to sign up to the World Health Organisation's Age Friendly Cities project which aims to make Warrnambool more age friendly when planning infrastructure projects

As one of the first ports of call for the ageing population, Mr Stone said the council provided services such as meals on wheels, domestic services, personal care, respite care and social support.

Mr Stone said the council delivered services to almost 2000 people in Warrnambool over the age of 65.

"That's a significant part of the population is receiving a council service," he said.

He said the council research found the aged-care/community services industry was worth $100m to the Warrnambool economy, making it one of the largest employment sectors.

RELATED: The changing face of Lyndoch Living

RELATED: Gillin Park retirement village to expand

Barry Hodson retired to Warrnambool in November and he's wasted no time making his little slice of paradise his home.

After spending the past four years visiting family who had moved to Warrnambool, Mr Hodson fell in love with the city.

"To me this is just like heaven, paradise," he said.

He and his wife sold up the house they'd lived in for 40 years in Werribee after he called time on his 58 years in the workforce last year.

Mr Hodson's career in the gas industry spanned four decades and came with a 15-minute commute that would end up taking 70 minutes each way because of traffic.

"Every bit of gas pipe laid in Victoria since 1975, I've purchased it. So I've got a bit of me all over Victoria," he said with a laugh.

He also joked that he hadn't fully retired because he spends two days a week playing golf, and two or three days volunteering at Flagstaff Hill Maritime Museum where he plays the role of a bank manager from yesteryear.

Mr Hodson said that he'd always wanted to work at Sovereign Hill in Ballarat after he retired, so when he moved to Warrnambool he went in and volunteered at Flagstaff Hill on his second day living here.

He said there was a desperate need for more volunteers. Flagstaff Hill's activities coordinator Nicky Suter said many of their volunteers were new to Warrnambool or were recent retirees.

"I'm very happy here," Mr Hodson said.

"I don't think a lot of people in Warrnambool appreciate what they've got."

A $5 million Federal Government funding boost will provide 52 new residential aged-care places in Warrnambool.

Member for Wannon Dan Tehan this week announced the new places at Opal Gillin Park and Lyndoch as part of the Coalition's record funding announcement to expand of aged care in regional and rural areas.

"Warrnambool is one of many regional, rural and remote regions across Australia that will benefit, with almost 40 per cent of all new residential aged-care places allocated to non-metropolitan areas," Mr Tehan said.

"Every one of these new places will mean local seniors and their families can have more confidence, knowing they have future care options in locations as close as possible to the communities they know and love.

"Improving and expanding local residential facilities and aged-care services is fundamental to keeping our communities strong."

The Coalition Government is boosting annual aged-care investment by $5.5 billion, with annual funding to grow from $18.1 billion to $23.6 billion a year by 2022-23.

"I congratulate the Opal Gillin Park and Lyndoch Hostel on securing these new aged-care places, and I look forward to seeing the benefits of this funding flow to our community," Mr Tehan said.

The Morrison Government announced a record 13,500 new residential aged-care places Australia-wide saying it was Australia's largest ever allocation of residential aged-care places. It represents an increase of more than 36 per cent on the 9911 Aged Care Approvals Round places announced in 2016-17.

Minister for Senior Australians and Aged Care Minister for Indigenous Health Ken Wyatt said that rural, regional and remote areas were significant winners in the announcement because of a focus on improving aged-care access and services in country communities.

Mr Wyatt said the number of new places allocated outside major cities had almost doubled from the previous round, with over 5000 allocated to regional areas.

He said locating these new places to regional areas was part of the government's strategy to combat the challenges faced by these communities. "I am passionate about ensuring all Australians have access to quality aged-care services regardless of where they live," he said.

Under the funding, older Australians who are financially or socially challenged, who are from Aboriginal and Torres Strait Islander, or LGBTI communities, or who are veterans, are among those who will have priority access to more than 23 per cent of the new places.

Opal Aged Care regional general manager Victoria Jerome Jordan said aged care in Australia required a massive investment in developing new and existing residential care homes over the next 30 years.

"We are delighted to have been allocated these new beds for Opal Gillin Park. We can now plan for future growth in the area in order to better serve the people of Warrnambool, where the need for residential aged care is growing."

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