Kodi 16.1 is now available for installation/update in RetroPie, through the Experimental Menu.
This is a minor update, so pretty much only bug fixes. Here is the official announcement/changelog:
https://kodi.tv/kodi-16-1-jarvis-mark-xvi
Besides this, here is some of the most important changes to this RetroPie version:
Out-of-the-box support also for XBOX 360 controllers, which use the xboxdrv.
Fix for possible ocassional frame skipping when some input devices are connected like, IR devices and Joysticks.
Fix screen resolution when exiting Kodi to ES, when global system resolution (in config.txt) is different from Kodi's.
Fix LIRC devices
Also new to RetroPie is the ARMv7 optimized version, for Raspberry Pi 2 and 3 users, but the corresponding repo should be added later in the script by Jools
@BuZz, check your mail ;)
Enjoy.