Summerset Group received Dunedin City Council resource consent six months ago for a complex on 1.9ha of land off Chapman and Shetland Sts to be called Summerset at Bishopscourt.
Approval was given for villas, an apartment block, a centre offering rest-home and geriatric hospital level care, a bowling green, billiard room, a library, cafe and a day spa.
The consent was for up to 200 residents to be accommodated on the site.
The apartment building, near one of the boundaries, was to be three storeys high.
Summerset Group chief executive Norah Barlow said this week the apartment building plans had changed because of feedback received from neighbours.
"[It was] all too much for the locals so we have redesigned it. It is important to listen."
Instead of two large buildings - a care centre and an apartment block - it was likely there would be only one village centre building of less than three storeys in height.
Summerset was in discussions with the council over the new design.
The village would have "more villas and fewer apartments" overall, Ms Barlow said.
Construction of the first 25 villas would begin soon and it was expected they would be completed by the end of the year, she said.
When the company first announced plans for the village in March last year, Ms Barlow said consent and construction would be "fast-tracked" because of the number of inquiries from people wanting to relocate elderly parents from Christchurch following the earthquakes.
At that time, Ms Barlow said it was hoped to have the first villas completed by the end of 2011.
Ms Barlow said this week the design changes and other factors meant progress "hasn't been as fast as we hoped".
"Life takes twists and turns and things don't always work out as planned."
Summerset, 100% owned by Australian company Quadrant Private Equity Group, is the third-largest elderly-care provider in New Zealand.
It operates 14 villages and has another three planned, including Dunedin. Earlier this month, it bought its 18th site, a 7.6ha waterfront park in Hobsonville, Auckland.
The company held its annual meeting in Wellington yesterday.
