Resort News, April 2022

Registered by Australia Post Print Post No. 100023799

Issue 308 | April 2022 | $13.75 inc. GST

The Monthly Magazine for Accommodation Industry Professionals

www.accomnews.com.au

Profile Noosa Village River Resort Special Report Bonza day for Sunshine Coast and Australian tourism management rights • hotels • motels • resorts • holiday parks • time share • hosted SPECIALISTS IN ACCOMMODATION FURNITURE FF&E AND JOINERY Custom made furniture including packages

CEO, Dennis Clark

www.hotelinteriors.com.au info@hotelinteriors.com.au | 1300 876 055

The legal stuff...

The views and images expressed in Resort News do not necessarily reflect the views of the publisher. The information contained in Resort News is intended to act as a guide only, the publisher, authors and editors expressly disclaim all liability for the results of action taken or not taken on the basis of information contained herein. We recommend professional advice is sought before making important business decisions.

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The advertiser must notify the publisher of any errors as soon as they appear, otherwise the publisher accepts no responsibility for republishing such advertisements. If advertising copy does not arrive by the copy deadline the publisher reserves the right to repeat existing material.

Disclaimer

Inside our April issue FRONT DESK Editor’s Note: Uplift in occupancy and quiet achievements ................05

INDUSTRY Special Report: Bonza day for Sunshine Coast and Australian tourism ................................................................... 06

Any mention of a product, service or supplier in editorial is not indicative of any endorsement by the author, editor or publisher. Although the publisher, editor and authors do all they can to ensure accuracy in all editorial content, readers are advised to fact check for themselves, any opinion or statement made by a reporter, editor, columnist, contributor, interviewee, supplier or any other entity involved before making judgements or decisions based on the materials contained herein.

ARAMA Report ........................................................................... 10

Resort News, its publisher, editor and staff, is not responsible for and does not accept liability for any damages, defamation or other consequences (including but not limited to revenue and/or profit loss) claimed to have occurred as the result of anything contained within this publication, to the extent permitted by law.

MANAGEMENT

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State Report ................................................................................ 12 SCA Report .................................................................................. 13

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BCCM Report .............................................................................. 14

By All Accounts .......................................................................... 16 Thinking MR..................................................................................17 Motel Market ............................................................................... 18 Building Relationships ............................................................ 18 How to generate the most bookings from Google Hotels ..................................................................20 Good Governance .....................................................................20

22

Floods: Resident managers the unsung heros .............22 Gyms: An essential facility .....................................................24 Sales force key to protecting letting pools .....................26

TOURISM PO Box 1080, Noosaville BC, Queensland, Australia 4566 Phone: (07) 5440 5322 mail@accomnews.com.au www.accomnews.com.au

Tourism Report ...........................................................................38

EVENTS & APPOINTMENTS Mandy Clarke editor@accomnews.com.au

Events.............................................................................................40

INDUSTRY REPORTERS

Grantlee Kieza Mike Parker-Brown

Business Mentoring Noosa: It’s lonely at the top ........42

DESIGN & PRODUCTION

Richard McGill

EDITOR

ADVERTISING SUBSCRIPTIONS

Stewart Shimmin advertising@accomnews.com.au Gavin Bill subscriptions@accomnews.com.au

CONTRIBUTORS Trevor Rawnsley, Col Myers, Kristi Kinast, BCCM Commissioner, Lel Parnis, Mike Phipps, Andrew Morgan, Kelley Rigby, Sylvia Johnston, Lynda Kypriadakis, & Ben Bass

42

Development News ..................................................................44

PROPERTY New Manager Profiles .............................................................46 Accomproperties Sales Report ...........................................46

PROFILE

KEY Commercially funded supplier profile or supplier case study Supplier information or content Suppliers share their views in one-off, topical pieces General editorial. Case studies and features may cite or quote suppliers, please be aware that we have a strict ‘no commercial content’ guideline for all magazine editorial, so this is not part of any commercially funded advertorial but may be included as relevant opinion. Happy reading!

04

DEVELOPMENTS

Noosa Village River Resort: Be prepared – The management rights motto ..............50

PREFERRED SUPPLIERS Preferred Supplied Directory ................................................54 FRONT DESK

50 ResortNews | April 2022

Welcome to the April issue of Resort News.

for face-to-face experiences, recently I received back-toback invites to events, lunches and conferences across the region and Australia wide.

Another bumper issue full of essential industry information for you. Pay attention to the guidance on tax implications coming from the new approach to trust distributions. Take note of how to plan for future floods and get ready for some tough love from Kelley Rigby.

Let’s talk about floods! Since last issue we’ve seen fallout from the disaster, a massive clean-up, and now there are people in NSW going through it all again. For those onsite managers and body corporate members who go above and beyond to ensure the safety and comfort of their residents and owners - bravo and thank you!

This month we have a special report on Australia’s

Mandy Clarke, Editor editor@accomnews.com.au newest airline, Bonza and the opportunities that will be offered to our sector from the exciting array of new flights throughout Queensland. You also hear from the collective of MLR experts who contributed to our very informative feature on how to protect your letting pool.

With the industry now keen

Good news came at an Accor lunch at the Sofitel Hotel in Brisbane as it was announced they had a strong first quarter performance for their Queensland hotels. The group recorded an average of 70 percent occupancy, from January to March 2022, driven by an uplift in occupancy levels on the Gold Coast and Sunshine Coast. Here I met the easy to talk to, Sarah Derry who considers herself a “Queensland girl”, and congratulated her on her recent appointment, as Accor Pacific’s new CEO. I headed to the Gold Coast to attend the 2022 National Caravan Conference and wow

NUMBER

what an incredible event. Held at the RACV Royal Pines Resort (a massive shout out to the F&B team for their outstanding spread and service) I was blown away by the efforts of the Caravan Industry Association of Australia as ‘it went all out’ to celebrate it’s 30 years in the industry. This iconic sector really has been a quiet achiever in the accommodation sector.

EDITOR'S NOTE

Uplift in occupancy and quiet achievements

Talking of quiet achievers, next month we will be celebrating 30 years of ARAMA. We look back on the history of the association, the backbone of the management rights industry and look through the lens of ARAMA’s collaboration with Resort News over the decades. It will be a fun read - don’t miss it!

Enjoy this issue.

OUR SERVICES Furniture FF&E design concepts

IN HOTEL FIT OUTS

3D Rendering & Furniture Overlays Custom furniture and joinery manufacture Turnkey packages

SPECIALISING IN FURNITURE FOR HOTELS, MOTELS, SERVICED APARTMENTS, RESORTS AND REFURBISHMENTS.

Project Management Inhouse quality control Freight and logistics management Full installation Commercial warranties Servicing Australia and Internationally

www.hotelinteriors.com.au Dennis Clark MDIA

ResortNews | April 2022

info@Hotelinteriors.com.au

1300 876 055

FRONT DESK

0420 257 022

05

SPECIAL REPORT

Bonza day for Sunshine Coast and Australian tourism All images supplied courtesy of Bonza

By Grantlee Kieza, Industry Reporter

Sunshine Coast tourism is soaring on the news that a new airline, Bonza, will be based there, bringing in 37 planeloads of visitors every week to the region’s pristine beaches and glorious hinterland.

The new airline, headed by former Virgin Blue executive Tim Jordan, will operate 37 flights into the Sunshine Coast each week on 12 routes that directly connect the region with destinations in Queensland, Victoria and NSW. Nine of the routes to the Sunshine Coast are new.

The airline is planning to commence operations with five

06

Boeing 737 MAX in mid-2022, using under-utilised routes that Jordan believes will be immensely popular with Australians, especially those in regional areas.

The 12 Sunshine Coast routes will be:

Tourism Noosa CEO Melanie Anderson told Resort News that Bonza’s arrival would be “transformational” for her area.

“One of the most amazing things,” Ms Anderson said, “is that people will now be able to come to the Sunshine Coast direct from many regional areas, rather than having to travel to a big city to make that flight.

“That will be transformational because these routes have never been really established within Australia.”

Sunshine Coast Airport has been named the home base for the airline, with Melbourne’s Avalon Airport the secondary base.

•

Albury - 2 flights per week

•

Avalon - 3 flights per week

•

Cairns - 5 flights a week

•

Coffs Harbour - 2 flights a week

•

Mackay - 3 flights per week

•

Melbourne - 4 flights per week

•

Mildura - 2 flights per week

•

Newcastle - 4 flights per week

•

Port Macquarie - 2 flights per week

•

Rockhampton - 3 flights per week

•

Townsville - 4 flights per week

•

Whitsunday Coast - 3 flights per week

INDUSTRY

Bonza CEO Tim Jordan said the new airline would be Australia’s only independent low-cost carrier, and the outlining of its routes was the largest launch announcement in Australian aviation history. Bonza, he said, would open entirely new markets for destinations across three states.

He said 25 routes would take Australian travellers to 16 destinations: Albury, Avalon, Bundaberg, Cairns, Coffs Harbour, Gladstone, Mackay, Melbourne, Mildura, Newcastle, Port Macquarie, Rockhampton, Sunshine Coast, Toowoomba Wellcamp, Townsville and the Whitsunday Coast. Bonza plans to operate up to eight aircraft in its first year of operation.

“Since announcing Bonza to the world late last year, we’ve always said we wouldn’t just fly between Australia’s three largest cities and

ResortNews | April 2022

Sunshine Coast Airport Launch

Melbourne Airport Media Launch

instead give people in the regions more choice,” Mr Jordan said.

our market for the winter.”

Bonza’s presence on the Sunshine Coast is expected to generate around $86 million in visitor expenditure in the region in the first 12 months of flights being operational, and Sunshine Coast Airport CEO Andrew Brodie said the airline’s arrival would open “a range of opportunities for employment, business development, tourism growth and in reconnecting with family, friends and colleagues.”

“From our two bases on the Sunshine Coast and Melbourne, we will give Aussies more options at ultra-low fares to explore their own backyard. With destinations ranging from Albury to the Whitsundays, travellers will now be able to fly, instead of impossibly long road trips as well as fly direct without a stopover in a major city. Aussies can look forward to enjoying more time at their destination and spending less of their hard-earned cash getting there in the first place.”

“We have big plans for our airport and over the coming years we will double the size of our terminal, the Aerospace precinct will expand from 9 to 30 hectares and our Southern Gateway commercial development will start to take shape,” Mr Brodie said.

Mr Jordan said 96 percent of the destinations would be serviced by a low-cost carrier for the first time, and that 80 percent of the routes were completely new.

He encouraged everyone to download the new “Fly Bonza” app to see when flights were going on sale, what discounts were available, destination news, travel tips, and for the chance to win flights.

Once all functions were added to the app, it would be where customers could plan, book and manage their flights, and it would provide check-in facilities and digital boarding passes.

To mark Bonza’s launch at the Sunshine Coast Airport last month, Bonza also unveiled its brand new 737 MAX aircraft with its purple livery. The purple theme was continued on the Sunshine Coast with the Big Pineapple going purple to mark the historic aviation news.

Melanie Anderson told Resort News that following the lifting of COVID-19 interstate borders, Bonza’s arrival opened a whole new opportunity ResortNews | April 2022

He said by 2027, the Sunshine Coast Airport would support 4000 direct and indirect jobs.

Tim Jordan, CEO of Bonza

for Tourism Noosa to target people keener than ever to travel within Australia.

“It provides the opportunity for a lot of people to come to Noosa now who might not have thought about it otherwise because it was too hard – having to first fly to Brisbane and then drive north,” she said.

“Unlike a lot of other destinations that have done it tough during COVID, our Easter bookings are about 20 per cent higher than they had been in the preceding three years.

“The fact we will now have 37 flights coming in each week from 12 new routes, and with

Bonza basing their aircraft on the Sunshine Coast, it is obviously a wonderful thing for tourism in Noosa. Bonza realises the huge growth opportunities here.

“With all the trouble going around in Europe at the moment it may curtail international travel even more, so these Bonza flights to the Sunshine Coast just give us another layer of opportunity.

“Generally speaking, about 55-60 percent of people landing at the Sunshine Coast Airport come to Noosa, so it is definitely an amazing opportunity for us.

In July we are also expecting to welcome back Air New Zealand so that will really help

INDUSTRY

Visit Sunshine Coast CEO, Matt Stoeckel said he couldn’t praise Sunshine Coast Airport enough for bringing Bonza to the region.

“The Sunshine Coast has always attracted strong market support from regional areas and the launch of Bonza will help grow our market-share further,” Mr Stoeckel said.

“The Sunshine Coast has been developing beyond its obvious tourism strength over the past decade, with a new CBD coming out of the ground housing many national companies.

“We are a multi-faceted destination these days and expanding direct air routes will make basing businesses on the Sunshine Coast even more viable.”

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Whitsunday Regional Council Mayor Andrew Willcox said he was thrilled that his area would have three exciting new routes to its airport.

Trevor Rawnsley, the CEO of the Australian Resident Accommodation Manager's Association, said his members were “very excited about the potential that Bonza brings to the Sunshine Coast”.

Bonza will make seven new flights each week to the Whitsundays from the Sunshine Coast, Newcastle and Toowoomba Wellcamp.

“Locals will be able to travel more freely, and more people will be able to access the beautiful Sunshine Coast,” he said.

“It’s a big deal.

“There hasn’t been a major airline based at the Sunshine Coast before and it really is a significant step forward for the area. A lot of money has been invested in the Sunshine Coast Airport and the potential for new visitors is enormous.”

Neil Watson and his wife Amanda took over the Noosa Village River Resort on Gympie Terrace last year, and said they’ve had a “hectic” time with bookings ever since.

They are enthusiastic about being even busier after Bonza’s arrival.

Mr Watson said guests arriving from new markets on routes that hadn’t been used, opened up great potential for tourist numbers.

“The more the merrier,” he said. “Noosa is a great place to visit, and with Bonza there is now the potential for a lot

08

All images supplied courtesy of Bonza

more people to discover that – people who might have found it difficult to get here before.”

“But if Bonza can get it right, they will be great for Sunshine Coast tourism.

Brett Thompson, who oversees 132 residential apartments and 12 commercial premises at the Landmark Resort in Mooloolaba, said he was “optimistic” for the potential Bonza could bring to the coast.

“With 37 direct flights weekly into the Sunshine Coast that’s a lot of tourists. And for someone like me who has a daughter in Townsville, the ability to now fly there direct – and to so many other regional centres as well makes the Sunshine Coast an even more desirable destination.

“I'm an old hand in this business and I've seen a lot of budget airlines all the way up along the east coast over the years,” Mr Thompson said.

“They've arrived with a lot of fanfare and then folded.

“We were getting direct flights from New Zealand until COVID and now Bonza making their headquarters on the coast can only be positive for the tourism industry.”

INDUSTRY

New airline entrants into the Australian market have always struggled, but respected aviation analyst Geoffrey Thomas says the company's proven business model will change the way Australians travel. He said Bonza had the potential to triple the number of visitors to the Sunshine Coast from certain areas.

Mr Thomas told the ABC that Bonza was employing a model that had proved successful for the budget airline Allegiant in the United States, and which Ryanair and Jet 2 had employed in Europe.

“That model basically revolves around connecting cities and towns and tourist destinations, that are currently not connected,” Mr Thomas said.

“Evidence globally shows that when you do connect to towns or locations that have not previously been connected directly, then you triple the traffic on that particular sector."

ResortNews | April 2022

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ARAMA REPORT

How ARAMA saves its members and makes the industry stronger There was a time not long ago when every business owner was a member of an association or guild designed to protect their rights and fight for the advancement of their industry.

That’s not the case anymore, but when it comes to our association, ARAMA, membership can really mean the difference between a roaring financial success and failure in a Management and Letting Rights (MLR) business.

For over 30 years ARAMA and its predecessor QRAMA have been at the forefront of advocacy for our industry. Our lobbying work in Queensland back in the 1980s and early 1990s is the reason management rights in Queensland is such a lucrative business model today.

Our TOP Awards in July will again celebrate the variety of stakeholders instrumental to the strength and success of the management and letting rights industry.

ARAMA is really good at advocacy on behalf of our members, but sadly there are still a lot of people in the MLR realm who do not value the work we do despite the benefits they have received from the relationships our association established with key stakeholders including policymakers and politicians from both sides of government.

The work done in Queensland to protect MLR operators from legislation that could have wrecked the industry is why all these years later some owners can achieve multiples of six to seven times their annual profit when they sell their business, a figure very few other endeavours can get near.

But if we don't have a constant

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ARAMA to turn to. Imagine for a moment the devastating impact that this tax ruling would have had on the entire holiday rental management rights industry.

ARAMA put together a team of specialised taxation and legal experts and got to work.

Trevor Rawnsley, CEO, ARAMA

protection of the industry, then the industry will eventually lose those beneficial legislative protections that we have worked so hard to achieve.

Eighty percent of my focus as the ARAMA CEO is advocacy on behalf of our industry, and that is a long and tedious process rather than a single transaction.

Let me give you some examples of the work we do to save members; and why it is essential for everyone involved in MLR to be a member of ARAMA. A few years ago, one of our members in Cairns received a visit from a tax auditor who asked why they were not charging GST on their holiday rentals like hotels and motels did. The manager didn’t really know what to say or why this was the case other than it was always done this way.

So, the tax auditor went away, scratched his head, and came back with a very large tax bill of over $380,000 for failing to pay GST backdated to the preceding three years. The tax man made an order that the resident manager should start charging GST immediately and if necessary, re-coup the unpaid tax from the individual lot owners AFTER the tax bill was paid.

That tax bill would have ruined that resident manager and closed the business. Luckily, they were members and had

During a series of important meetings and submissions which led to a formal appeal, ARAMA successfully argued that a management rights operator who operated their business in line with PAMDA was not the owner of the holiday rentals in the same way that a hotelier or motelier might be, but instead a resident manager was acting as an agent to each individual lot owner and was a service provider to the building’s owner, the body corporate.

The end result was that our appeal against the tax ruling in Cairns was successful.

We won and the forms, tools and practices that ARAMA provides for its members is largely based on this decision.

Without ARAMA advocating on behalf of the entire industry that holiday building in Cairns would have been left to its own devices and every other building manager who faced a similar challenge would have had to fight the Tax Office on their own.

There was a fair bit of time and money spent on this appeal. Time and money that an individual business would be unlikely to have. That management rights owner had their tax liability overturned and the whole industry was cleared of having to pay GST and not required to pay it back.

If we hadn’t acted swiftly and achieved that outcome, it could have been Armageddon for the MLR industry.

ARAMA saved that one operator $380,000 plus a fair bit of time

INDUSTRY

and money. If you multiply that by thousands of managers it's a huge number – so you can see how important this single victory, and ARAMA’s involvement in achieving it, was to the future of the industry.

A large portion of my time is spent on advocacy in Queensland because it’s where the vast majority of our members are based. Also, any major erosion of business value caused by decisions like this case outlined above can seriously affect the industry in other states.

I am also a councillor on the New South Wales Tourism Industry Council, and I've also been appointed by the NSW Minister for Small Business and Fair Trading to be one of the members on the NSW Property Services Expert Panel.

They are two really important boards and the fact that I am on the tourism board shows that management rights will always be included in discussions whenever we are promoting tourism accommodation in strata titled buildings.

As a result of ARAMA’s advocacy activities there have already been a number of great outcomes for our members in NSW. About three years ago the NSW Government was about to introduce some major reforms to licensing laws. A particular proposed law (if passed) would have required anyone who bought a management rights business to obtain three years’ work experience as a real estate agent before they could operate an MLR business and operate a trust account.

In Queensland you can achieve the required qualifications, obtain the necessary clearances and (with the approval of the body corporate) open a management rights business.

ResortNews | April 2022

to a real estate agency. All that would be left of any real value would be the real-estate.

There is no need to work for a real estate agency for three years before buying an MLR business like there would have been if ARAMA did not step forward in NSW and advocate for a change in policy direction.

This was a serious moment for the industry in NSW and if we lost this one it could easily have crept across the border and wiped out the value of an MLR business in other states including Queensland.

We told the government that it was a policy change that would ruin our entire industry and ruin a great resurgence in NSW tourism by costing thousands of bed nights.

If ARAMA hadn’t acted swiftly and achieved that outcome, it could have wrecked the MLR industry in NSW.

Just imagine telling a buyer to apply for their license, go away and get three years’ work experience with a real estate agent and then come back to you with a firm offer.

© Vicky Sim - Unsplaash.com

ARAMA worked on this and other related reform strategies for almost three years setting up meetings with various ministers and senior policy advisors. In the latter stages, ARAMA even invited one of our practising members to join us in Sydney, deep among the offices of the policy writers to make a personal appeal, and explain the financial ruin that would occur to them and their business if this policy were to succeed.

ARAMA argued, successfully, for a re-think of that policy as it would have decreased the value of a typical MLR Business in NSW from e.g., $2.5m to about $750,000 at best.

MLR operators would have needed to break the business apart and sell the caretaking component off to a gardening company and/or a cleaning company, and the rent roll off

If ARAMA was not present and active, the resale value of our members’ businesses would have been slashed and the industry would be effectively wiped out in NSW. ARAMA is involved in this advocacy work every single day, and these cases are only two of many in which we have lobbied hard, on behalf of our members who were facing real threats to their livelihoods. So, for everyone involved in MLR it’s crucial to get with the strength.

ARAMA’s work saves our members from difficulties and makes the industry stronger and more profitable for everyone.

Problems Prevented - Problems Solved

SPECIALIST EXPERIENCE IN MANAGEMENT RIGHTS Over 40 years of service to the Management Rights Industry, providing assistance in: Buying and Selling Ensuring Agreements comply with the law Agreement Negotiation with Bodies Corporate Representation to Licensing Authorities ‘Body Corporate & Community Management Act’ Advice Employee Dispute Resolution

Australian Resident Accommodation Managers Association is the peak industry body representing the interests of people who are involved in management rights.

For expert advice please contact: Paul Jones Jeff Su Peter George Phone: 5570 9327 Phone: 55709 367 Phone: 5570 9360 paul.jones@spglawyers.com.au jeff.su@spglawyers.com.au peter.george@spglawyers.com.au

Wyndham Corporate Centre, Level 7, 1 Corporate Court, Bundall Q 4217 PO Box 5164 GCMC, Bundall, QLD 9726 www.spglawyers.com.au

ResortNews | April 2022

For membership enquiries:

national@arama.com.au | www.arama.com.au 1300 ARAMA Q (1300 27 26 27)

INDUSTRY

11

STATE REPORT

Understanding different types of caretaking agreements Essentially, there are three types of caretaking agreements in the marketplace: 1.

“Do” agreements.

2.

“Supervisory” agreements.

3.

Hybrid “Do” and “Supervisory” agreements.

“Do” Agreements A “Do” agreement is a caretaking agreement where the caretaker is responsible for performing the duties (either personally or by staff employed by the caretaker) at the caretaker’s expense.

These agreements have a set schedule of duties that the caretaker must attend to at a set remuneration. The remuneration is generally subject to annual CPI increases and the agreements quite often provide for market reviews every three or five years.

Col Myers, Small Myers Hughes

“Do” agreements are inflexible as the duties and remuneration cannot be changed during the term, unless there is agreement between the caretaker and the body corporate to vary the terms of the agreement.

The key to these agreements is ensuring that the caretaking fee is correctly set at the commencement of the

agreement. If it is not right, problems will eventuate. If the remuneration is too low, the caretaker will often look for ways to shortcut the duties to make the agreement profitable. If the remuneration is too high, the body corporate will be unhappy, and the caretaker will be under constant pressure to do more work or increase the frequency of delivery of the services to justify the fee. Sometimes, the body corporate will even go looking for ways to get out of the agreement, if owners believe that the bargain is fundamentally unfair.

CPI increases do not rectify this situation and market reviews often lead to resentment and bitterness between the parties. Also, many (most) market review clauses include a ratchet provision so that the “market” review can only result in the remuneration going up and not down!

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These agreements provide that the caretaker must supervise the performance of contractors who are directly engaged by the body corporate. The caretaker’s remuneration is likewise fixed and, again, generally subject to annual CPI increases and market reviews. Logically, the caretaker’s remuneration is substantially less than under a “Do” agreement.

These agreements often take the heat out of the relationship between body corporate and caretaker. The committee remain in control of how much the body corporate spends each year on cleaning and maintenance of common property. They simply instruct the caretaker to obtain quotes, have the caretaker review the work done by the INDUSTRY

contractors and then authorise payment and report back to the committee. The caretaker is not under pressure to bring the cost of work under a certain price or take shortcuts.

Hybrid “Do” and “Supervisory” Agreements I often see agreements where the duties are part “Do” and part “Supervisory”. You need to be very careful in reading your caretaking agreement to ensure that you understand just what part of the duties are what. These agreements can be confusing and can lead to conflict between the body corporate and caretaker.

Which Agreements are better?

I believe supervisory agreements are best for the industry. They take the heat out of longterm maintenance contracts because they effectively leave the body corporate in charge of the level of expenditure on common property cleaning and maintenance. The body corporate can budget for whatever level of expenditure the owners want and are prepared to pay for. I see very few disputes develop between caretakers and bodies corporate under supervisory agreements.

Also, nearly every state in Australia has strata legislation that places an onus on developers to only enter into contracts that are in the best interests of a body corporate/ owners corporation. There is a much more logical argument to the Body Corporate/ Owners Corporation entering into a 25 year “Supervisory” agreement versus a 25 year “Do” agreement. Supervisory agreements leave the committee in control of expenditure and leave the manager to get on with making their money out of letting – where they should be making their income.

ResortNews | April 2022

Thousands of properties across our state have been impacted, and tragically, over a dozen lives lost due to the recent floods. As SCA (Qld) President my heart goes out to all people, members, and non-members alike, who have suffered.

Whilst many are only just absorbing their loss, the time to rebuild, rejuvenate and hopefully build back better is now at hand.

Resilience in building in strata has been a key theme for SCA (Qld) for a long time- and if a silver lining can be taken from this tragedy, I hope it is that this concept is taken more seriously. Building quality is critical to ensure people feel safe in their homes.

From an industry perspective, I have no doubt that strata managers across the state are being inundated with a range of insurance claims in the wake of the storm and flood damage.

This of course is in addition to routine and extra maintenance requests for relatively minor damage like roof leaks. I urge all readers to work cohesively and collegially with your strata managers, insurance brokers, and insurers in any scheme in which you have an interest. At times like this, cooperation and unity will achieve the best outcomes.

It is important to reflect at this point on the important role that strata managers play in the insurance supply chain. Strata managers play a much bigger role than what most people are aware of, so on behalf of your hard-working strata manager who’s just ‘getting the job done’ allow me to provide some insight.

The recent Deakin Report into strata insurance noted that ResortNews | April 2022

Schemes would not be able to obtain, claim and manage their insurance needs effectively without the valuable input of skillful and professional strata managers

Kristi Kinast, President, SCA (QLD)

there were 47 tasks strata managers performed in relation to insurance of schemes, including of course, insurance claims. While in a ‘normal’ day, insurance claims occur, in events such as these major floods, you can only imagine the multitude of claims and queries that your strata manager is managing and providing guidance on. Insurance claims generally involve obtaining quotes on rectification (sometimes from multiple trades for varying aspects of work), and liaising numerous parties including the residents affected, the unit owner(s), the committee, the trades involved, the assessor, the broker, and the insurer. There is certainly a lot to it, and many schemes would not be able to obtain, claim and manage their insurance needs effectively without the valuable input of skillful and professional strata managers.

It is at times like this where managers shine and their skill, diligence and care come to the fore. All too often the value of managers is not understood, dismissed, or downplayed.

However, when crisis strikes a strata community, managers universally step up to the plate and are there to support and guide your community. I want to enhance how strata managers are viewed by the general public over the course of my term as President of SCA (Qld), as many people simply aren’t aware of the extensive involvement by strata managers. A big part of this will be communicating to the public

just how important good strata managers are to the preservation, protection, and quality of their strata investments.

Part of our goal in this space is to create a regulatory and educational barrier to becoming a strata manager to ensure that only qualified, educated professionals can operate as a strata manager. At present, anyone can declare themselves a strata manager tomorrow and begin tendering for business.

I think you’d agree that this grossly undersells the care, skill, diligence, and knowledge required to competently protect and manage what is for many their biggest investment. As a long-time educator in the property space, I have seen just how much practical and academic experience, as well as a focus on communication and working well with people, is required to be a competent strata

INDUSTRY

SCA REPORT

Floods and the value of strata managers

manager. This sort of regulation and recognition for appropriately qualified, professional strata managers is essential in ensuring homeowners can have a high degree of consumer confidence in the quality of strata management knowledge and services provided.

SCA (Qld) is committed to the modernisation, professionalisation and enhancement of the strata sector. Recent events only demonstrate just how ready SCA (Qld) members are to be recognised as a profession.

I wish all persons a speedy recovery from the floods and urge you to work together to help rebuild what we all have lost.

SCA (Qld) as the peak body will continue to provide leadership and support to our members, and work for the betterment of strata in any and every way possible.

QLD - NSW - VIC - WA

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BCCM REPORT

Harassment, bullying & abuse: A body corporate perspective The Office of the Commissioner for Body Corporate and Community Management (BCCM Office) sometimes receives dispute resolution applications that raise emotive and concerning claims of harassment, bullying or abuse.

When people disclose these personal experiences, clearly these difficulties and challenges would benefit from a resolution.

However, under current legislation, there is no capacity for the BCCM Office to provide dispute resolution services in relation to allegations of harassment, bullying or abuse.

Sometimes parties seeking to have unacceptable behaviour addressed, lose valuable time lodging applications that we are unable to progress because they do not fall within our jurisdiction, when other avenues or agencies would be of more assistance in their situation.

This article provides general information about some of the options that may be available.

However, as the BCCM Office is not able to give legal advice about what steps a person should take in relation to a dispute, parties seeking legal advice should direct their enquiries to a qualified legal practitioner.

BCCM Office jurisdiction The Body Corporate and Community Management Act 1997 (the Act) defines the disputes that our office can deal with. Generally, a dispute must be about a claimed or anticipated contravention of the Act or the Community Management Statement (CMS) or the exercise of rights or powers or the performance of duties under the Act or the CMS. There is no provision under the Act that considers or defines ‘harassment’. Accordingly, even though a party might be experiencing considerable distress at what they perceive to be harassment, there is no jurisdiction for the BCCM Office to consider disputes about whether a person’s behaviour constitutes “harassment”.

Similarly, the Act does not deal with ‘bullying’. Bullying is a term which has particular meaning in

other contexts, for example, in relation to workplace health and safety. While this is not something on which the BCCM Office can advise or has jurisdiction over, further information about bullying in a workplace context can be found at https://www.qld.gov. au/law/your-rights/workplacerights/harassment-and-bullying/ Like harassment and bullying, ‘abuse’ is not a term which is contemplated under the Act and thus there is no capacity for the BCCM Office to provide dispute resolution services in relation to allegations of abuse.

While the BCCM Office does not have jurisdiction over these matters, there can be avenues for addressing these types of issues under body corporate laws and BCCM dispute processes in some situations.

Possible options for addressing owner/occupier behaviour under body corporate law Nuisance and by-law provisions in body corporate legislation may provide avenues for addressing unwanted behaviour of other owners or occupiers through body corporate or BCCM processes.

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qualifiers and is not a general ‘catch-all’ about any action which might be regarded by the body corporate, or another occupier, as a nuisance.

Specifically, the section about ‘nuisance’ provides that an occupier “must not use, or permit the use of, the lot or the common property in a way that: causes a nuisance or hazard; or interferes unreasonably with the use or enjoyment of another lot included in the scheme; or interferes unreasonably with the use or enjoyment of the common property by a person who is lawfully on the common property."

Accordingly, the onus will be on the applicant in a dispute to ensure the nuisance provisions are satisfied such that they can provide evidence that an occupier has used, or permitted the use of, a lot or the common property resulting in an outcome including those detailed above.

Steps an owner or occupier can take regarding nuisance in their body corporate scheme

Nuisance

If a resident’s use of their lot or common property causes a nuisance or hazard to another owner or occupier, they may be able to apply to commence a conciliation process in BCCM to assist them to resolve the issues they are experiencing.

‘Nuisance’ is a concept provided for under section 167 of the Act. This provision comes with

However, before an owner or occupier does so, they must first attempt ‘self-resolution’

INDUSTRY

ResortNews | April 2022

directly with the resident causing the nuisance.

This means they must first try to resolve matters with the resident causing the nuisance or hazard themselves. A good first step in these situations can be to initiate a conversation with the other resident involved or write to them asking them to stop the behaviour that is alleged to be beyond what is reasonable for day-to-day living.

Putting this request in writing can assist the owner or occupier to establish there is an ongoing or “current dispute” about these issues if their written requests are ignored or declined and it becomes necessary for them to lodge a conciliation application in BCCM to assist them to resolve matters.

Steps the committee can take regarding nuisance caused by an owner or occupier The case of Tank Tower considered whether the large volume and nature of a lot owner’s correspondence to their body corporate and its representatives constituted statutory nuisance and/or a breach of their by-laws.

The Adjudicator said “Receiving and responding to correspondence from owners is a normal part of the administration of a body corporate. I consider that, providing it acts reasonably in doing so, a committee is entitled to set conditions on how owners communicate with the body corporate to ensure that correspondence is handled efficiently and to minimise the resource impacts.

For example, committees commonly specify an address for correspondence, a primary point of contact for queries, or request communication in writing so that there is a record of the issue.

This suggests that, depending on the facts and circumstances, it may be possible for a body corporate to satisfy the test for nuisance under section 167 of the Act if, for example, the body corporate committee is receiving voluminous correspondence from an owner, and the correspondence is of a nature and a frequency that would interfere unreasonably with a person of ordinary sensitivity.

Relevantly, the changes to ResortNews | April 2022

When concerns exist about the conduct of a body corporate manager or another service contractor (as opposed to an owner or occupier), in the first instance, they can be raised with the body corporate committee, or the professional organisation to which the service contractor belongs. the Body Corporate Standard Module Regulation that commenced on March 1, 2021, also assist in addressing this type of behaviour, as the new regulation provides that the committee is not required to decide about an owner’s motion if the lot owner has, within the last 12 months, submitted: a motion about the same issue; or six or more motions.

Committees in this situation are required by legislation to advise the lot owner that they are not resolving the motion for one of these reasons.

By-law enforcement By-laws are the rules that a body corporate makes to control and manage its community titles scheme. Bodies corporate commonly have by-laws that regulate how owners and occupiers can use their lots or common property, such as a noise by-law. The body corporate is responsible for enforcement of the scheme by-laws.

If a body corporate has by-laws as part of its CMS that touch upon issues that are related to, or underlying, the behaviour of the owner or occupier who is causing concern, enforcement of these by-laws may ultimately resolve the issues being experienced.

A copy of the scheme CMS and by-laws can be obtained by contacting Titles Queensland on 1300 255 750.

by issuing the body corporate committee with a BCCM Form 1.

Steps the committee can take to enforce body corporate’s by-laws If a body corporate believes that an owner or occupier is breaching scheme by-laws, the body corporate committee can speak to the owner or occupier informally to try to fix the issue.

If that does not work, the first formal step the committee must take to enforce the relevant by-law is to give a by-law contravention notice to the person it believes is breaching the by-law. While it is not compulsory to do so, committees are encouraged to use BCCM Form 10 when giving a contravention notice about a by-law breach it considers is likely to continue, or BCCM Form 11 in other cases, as these forms have been designed to meet legislative requirements for a valid contravention notice.

The decision to give a by-law contravention notice can be made by the committee, or the body corporate at a general meeting.

The body corporate usually cannot take action to enforce the by-laws until it has sent a by-law contravention notice.

Making a new by-law

Further information about the process for enforcing scheme by-laws can be found in Practice Direction 6.

Steps an owner or occupier can take to enforce body corporate by-laws As outlined in Practice Direction 6, if an owner or occupier believes another resident is breaching any of the registered by-laws as recorded in their scheme’s CMS, they can ask the body corporate committee to enforce the by-laws

If a body corporate does not have by-laws as part of its CMS that touch upon issues related to, or underlying, the behaviour of the owner or occupier who is causing concern, the body corporate may wish to consider making by-laws to regulate nuisance behaviour.

For example, per the case of Tank Tower, a body corporate could consider making a (new) by-law to expect communications to the body corporate to be reasonable, respectful, constructive, and not a nuisance.

Possible options for addressing behaviour of service contractors under body corporate law

INDUSTRY

If concerns are not resolved through these informal processes, body corporate legislation allows a body corporate to terminate an engagement with a body corporate manager, service contractor, or letting agent, for: engaging in misconduct, being grossly negligent in carrying out their functions under the engagement, failing to perform duties as required under the engagement, failing to comply with the code of conduct and failing to comply with disclosure requirements.

However, before doing so, the body corporate must issue a remedial action notice (RAN).

The RAN must state that the person has not met their obligation in a way mentioned above, include specific details that identify the issue, provide a notice period (no less than 14 days) during which they must remedy the issue, and state that if they do not comply with the notice within the notice period, the body corporate can terminate the engagement.

While the decision to issue the RAN can be made by a body corporate committee, the decision to terminate an engagement must be by ordinary resolution at a general meeting.

Other avenues for assistance Remember that any individual with safety concerns because of threats of violence, abuse or harassment from others in their scheme can report their concerns to the Queensland Police Service. Reports can be made online at www.police.qld. gov.au or by calling 131 444.

In addition to seeking legal advice, parties needing help to resolve other interpersonal conflicts in their body corporate that do not involve BCCM matters can also consider the neighbourhood mediation services offered by the Dispute Resolution Branch of the Department of Justice and Attorney-General.

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BY ALL ACCOUNTS

New approach

to discretionary trust An aggressive new ATO approach to discretionary trust distributions has been announced and may have significant tax impacts moving forwards if you have a trust in your group structure.

Many family groups face paying higher amounts in tax now (and potentially retrospectively) as a result of this new approach.

There is an integrity provision in the tax legislation, contained in section 100A, which looks at situations where income from a trust is distributed, on paper, to a beneficiary but the economic benefit of the distribution is provided to a different individual or entity. If s.100A is deemed to apply, the ATO will tax the trustee at the high penalty rates rather than the intended beneficiary paying tax at their own lower marginal tax rates.

Previously accepted tax planning strategies are at risk Latest guidance suggests the ATO’s focus is honing in on previously accepted, commonly utilised tax planning strategies for family groups, including distribution to family members and ‘bucket companies’.

The legislation is not new but previously has only been invoked by the ATO where there was obvious tax mischief at play and there are some important exceptions to s.100A including where the arrangement is part of an ordinary family or commercial dealing.

The majority of the new guidance and change in approach relates to what is accepted as ‘ordinary family or commercial dealings’, noting that arrangements will not be excluded simply because they are commonplace

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needs to be employed for groups with tax losses.

Lel Parnis

Principal, Holmans

or involve members of the same family group.

Distributions to adult children are high on the ATO’s list of potential s.100A arrangements, where previously it may have been accepted to treat the distribution as a repayment to the parents for costs involved with raising the child prior to them turning 18.

Where distributions are being made to adult children, or other adults in your family group but the cash hasn’t flowed to those individuals, and the ATO deem s.100A to apply, tax will be applied at the top marginal tax rate and penalties may be imposed.

Circular arrangements

Companies entitled to trust income will come under further scrutiny and the ATO have released an additional draft determination dealing specifically with unpaid distributions owed by trusts to corporate beneficiaries. If amounts owed by trusts are deemed to be loans, they may fall within the scope of Division 7A, another integrity provision in the tax law. Again, this is not new, but the ATO has made it clear these arrangements may be subject to review.

What is new is the removal of the one year grace period for trusts to make payment of distributions to companies before the ‘unpaid present entitlement’ (UPE) is potentially caught within Division 7A. Where previously an unpaid distribution wouldn’t be deemed a ‘Div7A loan’ until the year after the distribution is recorded, the new ATO guidance suggests the UPE may be treated as a loan from the post of distribution. This is relevant in determining when a complying loan agreement needs to be put in place to prevent the full unpaid distribution amount

being treated as a deemed dividend and as taxable income in the shareholder(s) returns.

Further, the ATO is suggesting that ‘sub-trust arrangements’ will no longer be effective, which could result in simplification of your group structure if this strategy has previously been employed.

The new guidance represents as significant change in the ATO’s position on use of trusts within family and business groups and management of unpaid present entitlements to trust income, for many, will need to change.

Important Disclaimer: This article is published as a guide to clients and for their private information. This article does not constitute advice. Clients should not act solely on the basis of the material contained in this article. Items herein are general comments only and do not convey advice per se.

Also changes in legislation may occur quickly. We therefore recommend that our formal advice be sought before acting in any of these areas.

Where a trust distributes to a company in which it owns shares, there is a high risk the ATO would apply s.100A. If a trust is distributing income to a company which it receives dividend income from, there is a circular, re-cycling of income and tax is essentially avoided or at least delayed during the period the circular distributions and dividends are continued.

This is less of a revelation and something accountants have long been cautious of, but important to note.

Distributions to soak up tax losses may be subject to s.100A penalty tax if the economic benefit of the distribution does not flow to the beneficiary with the losses. Careful planning INDUSTRY

ResortNews | April 2022

Return of the nomad Airports make me both excited and anxious.

The allure of distant lands is tempered by how much can go wrong. So many documents to lose. So many stern, uniformed and occasionally armed persons of limited humour. Sniffer dogs with a dislike for finance brokers. And that was before the COVID era where every step is fraught with the possibility of detention, isolation, fines, or other deprivations. This has been my recurring nightmare since arriving in Canada.

What has yet to go wrong, and will I get home?

More on that later.

Whistler is a pretty little village about two hours out of Vancouver. Reminds me a bit of Byron Bay or Noosa with the beaches and surf replaced with mountains and snow. The good people of Whistler, or probably the owners of the ski fields, have long ago moved away from the one trick pony that is the ski season. I’m told that mountain biking in summer is just as popular which is evidenced by the number of dual-purpose ski and bike hire outlets. Seems to be a model of demand drive diversification well suited to the local geography. I don’t think it hurts that snow sport and cycling enthusiasts share a similar demographic which appears well understood by local accommodation operators.

blindness. There’s almost an inverse dynamic at play where accommodation providers believe that substandard experiences are somehow counter balanced by the sheer magnificence of the location. I suspect this might have worked back in the day but not in today’s world.

Mike Phipps, Director, Mike Phipps Finance

self-contained suite. We finally solved the problem by having the restaurant provide some decent cutlery and the staff installing a pedestal fan which worked well in dissipating the cooking fumes.

Of course, free reliable wifi is a given in this day and age. Pity this essential guest service at the big H was at best dodgy and at worst non-existent.

On the few occasions that I decided to visit the front desk and complain I realised that I had joined a queue of similarly disgruntled guests.

The hotel’s response was to provide the number of an IT company who might be able to help. This seems to me, akin to giving a guest a plumber’s number if the toilet doesn’t flush or the hot water doesn’t work. Not a good look.

It does strike me that on some occasions places of breathtaking natural beauty seem to be at risk of product

On the positive side, and these are the important features, great housekeeping, a very comfy bed, wide variety of pillows and a hot and reliable shower. Mostly helpful staff and very cold beer in the bar. Oh, and the hotel was dog friendly and yes, that added a very cool vibe to reception when guests were checking in. I find great happiness in seeing a beautiful Labrador on it’s hind legs and paws on the concierge desk while it’s owners are checking in. I think the only one’s looking happier were the staff and the kids who patted the dog.

Anyway, having familiarised myself with my lodgings I set off to hire some skis. The Aussie in the hotel ski shop took me aside, explained in hushed tones that they were the dearest in town, and gave me directions to a little out of the way hire business.

Half the price and good gear.

My Aussie friend was not doing the boss any favours, but he sure made my day!

ResortNews | April 2022

© Sierra M - unsplash.com

INDUSTRY

As luck would have it, Whistler has many COVID testing stations designed specifically for the international traveller.

You book online, pay a pretty exorbitant fee, and turn up at your designated time. The test result is available within 15 minutes. I booked early and said a silent prayer to whatever deity controls COVID results.

Turns out the prayer worked, and it was all smooth sailing back to Oz. Our national carrier does a nice job and at least they are not going broke every five minutes and cancelling flights to places we have credits for.

While the name suggests this is the first dance I suspect not!

On the flight home, during which much of this was written, I experienced an interesting emotion the likes of which I’ve not encountered before. Exhilaration, relief, sadness… not sure?

The ensuing two weeks were spent in a combination of snow induced bliss, old fat guy

I stayed at a large internationally branded hotel of, how shall I put this, ‘up market’ reputation. Unfortunately, elements of the experience suggested a textbook case of management never spending a night in their rooms. A kitchen so poorly ventilated that by the end of my stay I was on first name terms with the fire alarm dude. I’m guessing that by providing very limited cooking equipment the proprietors never envisaged someone actually cooking in the extravagantly promoted

exhaustion and, I am ashamed to confess, a couple of world class hangovers. If you have ever indulged in a few too many reds in a very warm and cosy bar and then stepped out into minus 8 weather, I am sure you will sympathise. All the while the same thought ticked away in the back of my head. Will I get home?

THINKING MR

The adventurous traveller 2:

Note: I tell a lie. I have felt these emotions before. It was when the managing director found out I’d bought a motor bike. All the above plus fear. A lot of fear!

What I do know is that travel is one of the greatest experiences we can have. Restricting the opportunity to have that experience seems to have changed to way I think about getting away. The joy of going somewhere different and experiencing other countries seems to have come into sharp focus in the COVID era and I suspect we will take a long time to get back to taking travel for granted.

Maybe that’s a good thing.

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MOTEL MARKET

Motel opportunities When those who know an industry better than most are actively pursuing more opportunities within, others should take notice.

It is telling when experienced motel owners, operators, investors, and those currently involved within the accommodation industry are looking for more. That is where we are currently positioned.

BUILDING RELATIONSHIPS

Those who know the business and are already involved are looking to expand. This is equivalent to the caravan park industry over the past five years or so. Most caravan parks sold by QTHB during this time have been to existing owners of caravan parks. Those looking to expand

Andrew Morgan, Queensland Tourism and Hospitality Brokers

their portfolios by acquiring more market share, which is generally spread out to attract guests travelling from region to region.

The positivity for the industry and its future going forward is a statement. Strong demand for accommodation from the travelling market fuels the

The motel industry and market is a fluid environment the same as any. The industry has peaks and troughs, high and low occupancy periods. These ups and downs and different stages of the market offer varying opportunities to those within and those wanting to enter. Selling motels over the past 26 years or so, has given me the opportunity to witness many changes within, and many very different states of the motel and accommodation market and industry during this time. Every region has had its day in the sun at some time and different tenures of ownership

have also had their highs and lows. At times the market favours sellers, other times it favours buyers, and for the rest of the time it offers opportunity to all, in one way or another. On many occasions, investors have made their own opportunities that have defied the state of the market.

Picking any market is a difficult thing. If it was easy, everyone would be experts.

“When should we buy or when should we sell, is now a good time or do we wait?”

What we can do is work on the information that is at hand, decide based on the facts and then draw conclusions as to when is the right time to move. A crystal ball would be great to have, but the best we can go on is information.

“The most valuable commodity I

Time to up your game This month, my article may make you a little uncomfortable, and it may be confronting but please remember it all comes from a place of support. I want to see you all succeed and win, but to do that I need to warn some of you that it is time to up your game.

Our MLR sales and rentals competitors are getting very savvy when it comes to marketing their service. You should be aware that if you do not consistently build solid and meaningful relationships with your investors or show them that you are the best agent to look after their investment they might move on.

Whenever I receive an email or a phone call from an onsite manager to inform me that they have just obtained a ‘change of management’ letter from one of their investors it hurts. It is

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desire for experienced investors to expand and grow. It helps to confirm that for those who are considering entering the motel industry, or those looking to expand their motel interests, the time is right!

Kelley Rigby, Managing Director, Letts Rebuild

definitely something that I don’t like to hear but it hurts even more when I ring the investor to try and mend the situation and I find they don’t know the huge benefits of having an onsite manager look after them.

If your investor can not see the advantage of having you, an onsite agent who is available literally seven days a week, before and after hours, who walks past their investment daily, can fix minor repairs, can help tenants at the drop of a hat and is financially invested in the business, then I must

ask, are you servicing them at the highest possible level?

If an outside agent is attacking your building and attracting your investors it is time to take a look at your business and be accountable. You can’t sit and blame “Britney from Big Shot Realty” for doing her job, you just need to start doing yours better. What is the saying? “You can’t control what others do only what you can do about it”

MANAGEMENT

(or maybe I just made that up).

Please note that having ‘hard’ conversations are not something I enjoy, so know that the last paragraph was extremely hard for me to write.

Now for the solution…

•

First, if your investors are leaving and they don’t see the value in you, hold your chin up because you got this!

ResortNews | April 2022

know of is information”, Gordon Gekko (Wall Street, 1987).

Probably not the best movie character to take a quote from, but it has a relevance here.

about entering new industries they are not entirely familiar with. Those already familiar with motels know the longterm strength of the industry and are always looking for acquisitions of good quality motels. This generally does not change, no matter what is happening around the world.

Within the current motel market there are some excellent buying opportunities available at present. Many who contact us to discuss buying a motel say that they want something with upside - room to improve. Each business must be assessed to suit the needs of the individual, and one of these needs is to be able to improve it in some way - add value. Changes in local economies throughout the state create buying opportunities.

Whether it be, improved business conditions in a region that will allow for future growth, or alternatively a recent decline in demand for accommodation that has created a potential future, buy low, sell high scenario.

So finally, what makes a good buy opportunity? Genuine motel buyers in the market have continued being active in pursuing motel businesses that offer them the main fundamentals. These include, quality presentation, consistent trading history, good locations/ positions, good occupancy rates based on strong room rates. These fundamentals for motel acquisitions do not change. If one of these fundamentals is lagging and there is an opportunity to improve it, that may be of more interest to an investor who can see the opportunity for what it is, rather than seeing it as an issue/problem.

Economic turbulence due to national or international issues creates actual or perceived instability. This results in investors being more restrained

•

Next, take a morning/ afternoon or day to focus purely on your investors.

If you are brave enough, which I know you are, pick up the phone and call them and ask for constructive criticism.

Ask how they think you are doing and if there is anything they would like to see improved. Or they might feel more comfortable writing feedback in an email instead of over the phone, so be sure to offer them that. Some people don’t like to give feedback in person or over the phone (I know this from personal experience).

•

Take their feedback and use it to improve your service and exceed their expectations.

•

Keep in contact with them and show them that you are listening to them and their requests.

•

Document everything you do for them and tell them what you do.

ResortNews | April 2022

•

Remember my mantra: You can’t sell a secret.

•

On a broader scale, send out newsletters to all owners and ensure every edition includes a write up about something you have done for an investor, something that’s an example of when you go ‘above and beyond’. If you can also rustle up a couple of testimonials, even better.

•

Finally, decide that now is the time to take charge and be on the offence not the defence (again hoping this is the right reference).

I want to finish by reassuring you that every business has its competitors, it is inevitable and, in my opinion, healthy.

It keeps us accountable and allows us to evolve and grow in our business.

Don’t be too worried about what your competitors are doing, instead focus on improving your business and relationships and they won’t stand a chance anyway.

SPG continues commitment to MR SPG has a new management rights and body corporate team, taking it into this new decade. After many years, Mr John Punch, long the face of Management Rights at SPG and in Queensland, has handed over the reins to the new team.

John, a life member of ARAMA, is taking a long-earned rest to spend time with his family. John was involved with management rights and the establishment of legislative framework since its infancy, then being a new concept on the Gold Coast.

In those early years, John was a member of QRAMA and before that he was involved with the Accommodation Owners Association, and the REIQ (Management Rights Chapter) which saw management rights and hospitality emerge early in the 1970’s.

In 1990, John and Peter George reviewed management rights operations in Hawaii to see how they approached management rights accommodation. Later in the early 2000’s Peter again visited the United States with a working group to observe the approach to tourist accommodation in the West Coast States.

After 20 years of being involved with management rights and hospitality, Partner Mr Paul Jones now heads the team, ably assisted by Senior Associate Mr Jeffrey Su. Paul is well known in management rights circles, supporting clients in all manner of acquisitions, sales, extensions, and agreement negotiations.

Peter continues to assist with consulting and problem solving as needed by clients from time to time.

Importantly, the SPG team continues to support and expand management rights and hospitality, knowing all the ins and outs of

MANAGEMENT

Peter George Partner, Litigation Management and Consulting, Short Punch & Greatorix Lawyers

the industry. John continues to participate in the background.

SPG is involved throughout Queensland, from Port Douglas in Cairns to the Gold Coast.

As a continually emerging industry, SPG maintains its commitment to provide support to Chinese Australians (through its Chinese legal department) involved in management rights and hospitality. Jeff, who was introduced to readers in earlier publications of Resort News, has closely been involved with the Chinese Australian community, and is fluent in Mandarin, having gathered experience in international business and law when in Shanghai.

In February this year, SPG moved to its new premises at Level 7, Wyndham Corporate Centre. The move to the Wyndham Corporate Centre overlooking the longestablished Southport Golf Club reflects the new and modern approach of the management rights team to hospitality going forward in this new decade. All are welcome to consult with Paul and Jeff in relation to your management rights commercial needs and with Peter on consulting and problem solving.

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How to generate the most bookings from Google Hotels If the answer is yes, Google Hotels is your go-to option to increase direct bookings. It is one of the most effective metasearch channels available today. Irrespective of the size of your property, Google Hotels has the strength of Google Search behind it and the potential to place you in pole position ahead of the OTA’s, in the race to secure direct bookings. However, to maximise your exposure on Google Hotels, it is important that you optimise your listing.

What is Google Hotels?

GOOD GOVERNANCE

Google Hotels is a metasearch engine that collates accommodation search results from a variety of sources. It provides the consumer with the comparison they are looking

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© SJHVEPhoto - stock.adobe.com

Do you want to target potential guests who are ready to book their accommodation?

Sylvia Johnston, Senior Executive, HiRUM Software Solutions

for without the need for them to visit traditional Online Travel Agent (OTA) sites.

When a traveller searches accommodation in a specific location, an aggregated list is displayed of accommodation options, with paid results at the top. It is important to be aware that generally, most OTA’s will display your property in Google Hotel’s paid search results, with the option

to book directly through them.

Most importantly though, now you also have the option of having your website displayed in these paid results by using a connectivity partner to connect to Google Hotels.

Can’t we just rely on the ‘free’ link?

I am sure that you have heard the expression “you get what you

pay for”. Google is no exception.

Whilst they do sometimes provide a ‘free-link’ direct to your website, that free link appears well down the list of booking options for your property. In any Google search the first few positions are the ones that count and are the most likely to generate a booking.

Google Hotels is no different.

If you rely only on the free link, you will generate very limited business, if any, for your property.

Flood & Storm Management Plan Nothing like a dose of nasty weather to prompt us to get our buildings organised before the next storm.

building managers that aim to provide the optimal in facilities management outcomes to their lot owners and occupiers, a comprehensive site-specific FSMP is a prudent next step.

Many of us have had a whipping on the east coast of Australia recently with significant storm events and flooding causing damage - not just to private homes and properties - but to residential strata complexes as well.

What is included in a Flood & Storm Management Plan?

Lynda Kypriadakis, Diverse FMX

So how do we get organised to reduce the impact of the next storm season?

What is a Flood & Storm Management Plan?

Proactive bodies corporate and their building managers are more-and-more often developing and implementing a Flood & Storm Management Plan (FSMP) to help deal with severe weather events.

A FSMP is a site-specific documented ‘plan of attack’ for a building owner to consider current and future risk so as to be better prepared to react to the next severe weather event. For bodies corporate and their onsite

The FSMP is essentially a documented management system for dealing with severe weather events and how they are likely to affect the property.

Focussed on assessing and minimising (if not eradicating) risk, a FSMP should include: Site details: A full legal identity of the scheme land and buildings within.

Flood mapping: Local authority historical data on flood mapping for the property.

MANAGEMENT

Risk assessment: What is likely to happen at the property during a severe weather event.

Management planning: Planning before the event.

Infrastructure management planning.

Planning for dealing with the event.

Planning for reviewing after the event.

Planning before the event The key to minimising the adverse impact of your severe weather event is planning, including figuring out what to expect and what to do to reduce the consequences.

This includes such things as: What is the likelihood of a flood event in our building?

ResortNews | April 2022

In addition, you are unlikely to even show at all on mobile devices, which is where most bookings are made these days.

Why is a direct booking preferable?

Your property will often have numerous listings on Google Hotels, many of which are paid advertisements being run by various OTA’s and Metasearch providers and charged on a Cost Per Click (CPC) basis.

However, don’t rely on the OTA paid advertisements to provide exposure. You won’t own the guest data and you won’t have the added benefit of being able to remarket direct to the guest in future. Also, your property will be listed alongside your competitors on the OTA site. If your prospect sees a more attractive alternative, you run the risk of losing the booking altogether.

How do you maximise your bookings through Google Hotels?

For maximum bookings, you need to ensure that your own website is featured in the top few spots of Hotel Search for your area.

This is surprisingly achievable and, with the right connectivity

What infrastructure will be affected at certain flood levels?

What flood and storm management equipment do we need to hire when the storm hits?

What alternatives do we need to explore for car parking and access/egress to the building if the basement is flooded and the lift won’t work?

Infrastructure management planning Depending on what infrastructure is contained within the complex, what preventative maintenance actions do we need to take to prepare for flood season?

For example, when was the last time our subterranean drains were inspected for blockages via a CCTV camera inspection?

Is our pump maintenance up to date?

ResortNews | April 2022

partner, financially risk-free.

Look for a connectivity partner who can offer an alternative Google pricing structure to the usual cost per click model, such as a partner who can list your property on a ‘Cost Per Acquisition Stayed’ basis (CPAS).

For you this is risk free advertising, as you will only pay for bookings that result in an actual stay.

Using a connectivity partner is not only beneficial for big budget hotels. Resorts, holiday homes and vacation rentals can also benefit as it is not cost prohibitive if you are only paying when your listing results in an actual stay.

How can you optimise the effectiveness of your Google Hotels direct listing?

1. Have a great booking form Properties must have a booking form available on their website as well as the relevant data feeds set up, via an effective connectivity partner. Your property will display on Google Hotels with the label ‘Official Website’ and will immediately stand out. Your booking form should be “whitelabelled” with your branding, to

ensure continuity of brand and confidence for the person booking.

2. Find the right connectivity partner Find a connectivity partner who can offer you a pricing structure with no financial risk to you. Walk away from anyone offering this for an upfront additional monthly fee, you don’t need to pay up front for this service anymore.

Make sure the partner manages your exposure and bidding on Google Hotels to ensure you have everything in place to rank well.

3. Provide Google with all the information Add high quality photos of your property to both your Google My Business Account and your website booking form.

Ensure that your description and amenities on both are up to date and accurate and that they don’t have contradictory information. Monitor and respond to guest Google reviews, as they are prominently displayed on your Google Hotels listing.

4. Advertise free cancellation If COVID has taught travellers anything, it is that they want free

Do we need to pre-hire any pump or suction equipment in anticipation of the weather event?

For example, who will be in charge of:

Even the simple act of cleaning out the drains can make a big difference to the rainwater disposal efficiency during heavy rain.

Issuing notices and updates to stakeholders.

Monitoring official warning messages and notifications.

Responding to the event Once the severe weather event is on our doorstep its “game on” for the stakeholders. Feedback discussed following past events tends to include an analysis of things that could have been done better or organised better. Even the most well-planned properties discover anomalies in their FSMP during the storm event.

One of the most important aspects of the FSMP to consider is who will be accountable to certain deliverables under the FSMP.

Making the important decisions, for instance shall we lock occupants out of the carpark?

Hiring equipment and spending body corporate funds without prior approvals.

Lodging the insurance claims.

Dealing with the lot occupiers that refuse to leave or need assistance to evacuate.

Getting back to “normal” Another under-considered aspect of flood and storm planning is the compliance sign offs required to get the building back to normal operation after the flood waters have subsided. For example, if the

MANAGEMENT

and easy cancellation if they need it. Google Hotels shows “Free cancellation” if it is applicable as soon as a prospective guest clicks onto your property. You can qualify as to how close to the booking you will be afforded a free cancellation.

Properties indicating “free cancellation” have a much higher conversion rate.

5. Simplify your terms and conditions Make sure your terms and conditions are simple and clear.

Long-winded, complicated, and confusing terms and conditions are an instant turn off to prospective guests.

6. Keep an eye on your competitors Google Hotels is a great site to use to keep an eye on what your competitors are offering and to make sure your property is enticing. An effective Google Hotels listing, managed by a Google Connectivity partner, will without doubt afford the best visibility and maximum number of bookings through Google Hotels.

Your potential for converted direct bookings is second to none with the power of Google Hotels Metasearch behind you.

basement is flooded and upgrade works are required, who will coordinate and arrange all the compliance certification to ensure electrical, mechanical, lift, and fire safety installations are “safe to operate”?

The emergency evacuation plan for the building may need to be temporarily amended to accommodate changes to the evacuation pathway and/ or assembly point if these areas have been blocked or damaged due to the storm.

Bottom line There may be 1,000 plus things to consider when it comes to managing the risk to life and property at your building, associated with extreme weather events, so like anything, having a comprehensive management plan prepared in advance will go a long way to heading off some of the worst effects on occupants.

21

Floods: Resident managers the unsung heros

By Grantlee Kieza, Industry Reporter

Resident managers are always at the pointy end when natural disasters strike, and their role was never more crucial than in the recent floods.

Many managers who run high-rise complexes had to fish vehicles out of car parks; they had to knock on doors - especially to warn elderly residents - and some had to organise groceries and food drops for those residents stranded by the failure of lifts.

New Farm, Photo: Rosie Clarke

Rawnsley said. “All their furniture was lost, and he was calling for emergency accommodation, but that was sorted quickly as the Government has a way to provide emergency accommodation.”

“These are things not found in a normal job description,” said ARAMA CEO Trevor Rawnsley, “but the work our managers do during disasters such as the floods highlights the important role a resident manager plays in a building.

“It’s just stuff you do in that role, and when you are living in a community as a resident manager part of that role is to protect the other residents.

“Our guys are on the spot.

They are unsung heroes who can respond quickly as they are on-site.

Glenys Higgs, who manages the prestigious 1 Newstead Avenue property beside the Brisbane River, said she and her residents were able to contain the flooding issues there.

Ann Street, Newstead, Photo: Rosie Clarke

if they were all okay, and asking if they needed help.

“Resident managers are victims of the damage too and are essential in rallying the troops together.”

“We are hopeful that members will respond to urgent requests for assistance from other members, and help out those who need it most, like they did during the 2011 Brisbane floods,” one of the messages said.

ARAMA activated a mud army as soon as the recent floods hit and sent out messages to its members checking

“If you are OK,” it continued, “and wish to lend assistance to your fellow ARAMA member, please monitor the ARAMA

Marketplace or wander down the road with your mops, brooms, shovels and high-pressure water cleaners, and conduct a welfare check on a couple of buildings close to you.”

Mr Rawnsley said despite the extent of the flooding “hardly anyone asked for help”.

“We had one guy in Brisbane who had some displaced tenants Government assisted tenants -who were quite vulnerable,” Mr

“We did quite well,” Ms Higgs told us. “We had a bit of flooding in our basement, but everyone pulled together and managed to get their cars and things out of there.

“So, we were okay. We got off very lightly compared to some properties. It was a different story one street over.”

Ms Higgs said her building had been prepared for flooding, with the provision of sump pumps.

“We had a team of people turning the sump pumps on and off all day and night during the heaviest rain and we got through. Happy days,” she said.

“One of our sump pumps failed though, even though we get them checked every year.”

She said as a result, the property would undergo “a full simulation every year of a pump-out” to make sure they were working 100 per cent.

Gasworks, Newstead, Photo: Rosie Clarke

Newstead, Photo: Rosie Clarke

22

MANAGEMENT

Ms Higgs described the practice runs as another method of “self-insuring”.

ResortNews | April 2022

Gyms: An essential facility Not so long-ago dishwashers and air conditioners were considered unnecessary luxuries, while a colour television was considered a billboardworthy feature.

Nowadays, these items are expected and if you’re not advertising more modern facilities, people will look elsewhere. Competition is fierce and the demands of guests and tenants are ever-increasingly high.

Accommodation properties are multi-faceted and so it is crucial not to lose guests to other establishments simply because they are better facilitated. The more modern facilities you can advertise, the more guests and clients you will have. So, in the grand scheme of things, a gym is not a major expense for your business, particularly when you can be certain it will pay a dividend time and time again.

In terms of gym equipment, what you need will depend on space - people expect a treadmill, followed in order of preference

24

Ben Bass Gymworks

by a rower, a bike, a cross trainer and, finally, strength equipment.

Free weights are ever-increasing in popularity and if you have a lot of space, this can fill an area with minimal expense.

Gym expenses include equipment, maintenance, service calls, repairs, parts and labour and legal obligations such as electrical safety act compliance and associated WHS requirements that need to be adhered to. Costs will vary between facilities; budget for a capital outlay of approximately $10,000 for a small or ‘boutique’ three-piece gym, while larger facilities should expect to invest around $25,000.

When it comes to financing, the fundamental difference between

purchase, lease or serviced lease is that the purchase option requires an upfront capital outlay and ongoing assessment.

A lease is a financed version of the purchase option. The serviced lease requires no upfront capital and ensures an agreed monthly cost, making budgeting simple by including equipment, maintenance, repairs, parts, labour, electrical safety act compliance and equipment upgrades, in a flat monthly rate thus making the serviced lease, by far the most popular option among building managers and bodies corporate.

There is no governing body or classification system that determines if a piece of gym equipment is suitably designed for home, corporate or commercial use. Any company can claim any piece of equipment is commercial and recommend it to you, so the focus needs to be on the warranty for you to make the right decision regarding your choice of equipment. A warranty is also meaningless if there is no one to cover it. If the process of lodging a claim is long and arduous, if the parts take weeks or months to arrive or, worse still, if the equipment is not

MANAGEMENT

warranted for use inside an accommodation facility making a claim will thus prove very costly.

It's important to note, that most gym equipment found in retail sports stores is imported and distributed by other companies and they decide the terms of the warranty and not the retailer.

Warranties should cover all components for a minimum of three years including service calls, parts, labour and freight.

Buyers beware of disclaimers that exclude “fair wear” as this omits items such as belts, decks, bearings, pedals, and straps from the warranty. This minor detail can end up costing you thousands of dollars, so if a supplier is not prepared to give you this warranty, walk away.

On the other hand, warranties need not cover such things as rust and fading nor external factors such as water damage from pools, abuse, theft or vandalism. They just need to cover aspects of the equipment under ordinary use for which the equipment was designed.

Make sure to understand the procedure in lodging a warranty claim before purchasing equipment and request a personal contact name and ResortNews | April 2022

Before

number for someone who will address any issues you have, to resolve problems quickly and easily and obtain written advice that the warranty will be honoured in your facility.

You do not want to have to run around if you need to make a warranty claim so a little extra effort up-front will ensure the process goes smoothly.

Insurers insist on service, maintenance and safety reports and the industry has evolved to see service intervals no greater than three months. Maintenance and safety reporting should be

After

After

viewed as a prudent loss control measure because your insurance dollars will be of no use if you are not meeting your duty of care requirements. A few extra dollars here pales in comparison to a poorly maintained facility that inevitably costs you guests and tenants and jeopardizes your insurance coverage.

Another terrific tip is to create a pleasant workout environment that encourages people to take advantage of your facility. The smallest space can be turned into a fantastic boutique style gym with simple additions such

as mirrors, posters, screens and air conditioning; all adding to the positive appeal of your property.

Hygiene has also become a focus point and the provision of sanitising products for the cleaning of equipment should be made available in the gym.

To provide an adequate level of relevant supplies, it would be prudent to include a hand gel with at least 75 percent alcohol, antibacterial wipes containing benzalkonium chloride and an equipment sanitising spray one that that won’t damage the equipment plastics and

upholstery. The added benefit of a hygiene station also encourages guests and residents to maintain a higher the level of cleanliness, thereby increasing the appeal of your facility.

Pull the focus of your property’s online presence toward your facilities. If you’re not advertising the gym, you’re not meeting expectations and the appeal of your property will suffer. In a time when workouts are part of everyday life for a large percentage of people, a gym has certainly become a prerequisite.

 Structuring  Income Verification  Accounting/Taxation  Superannuation  Audit

Management Rights Transactions

Are you looking for a pre-purchase financial verification report, profit and loss for sale or just an accountant who really understands your management rights business?

We provide a comprehensive range of compliance and consulting services for all entity types operating within the industry.

Jonathan Grant Accountants operates within a wide referral network of other professional industry specialists and we are dedicated to ensuring you receive the right advice from the right people.

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One of the Sunshine Coast’s most experienced firms in on-site management rights transactions.

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ResortNews | April 2022

Damian Quinn (07) 5443 5266 www.simpsonquinn.com.au MANAGEMENT

25

Sales force key to

© stock.adobe.com

protecting letting pools

By Grantlee Kieza, Industry Reporter

than an onsite manager living at a complex 24/7.

Sell yourself. That’s the mantra of Management and Letting Rights (MRL) expert Kelley Rigby to all the onsite managers out there fighting to protect their investments from outside forces in a high-stakes real estate battle.

“Who better to sell the potential of a unit than the resident manager?” Ms Rigby said it was imperative for onsite managers to sell their talents or work closely with an agent who would.

Ms Rigby, who has spent almost 20 years in real estate, tells resident managers that they are in the box seat when it comes to sales in their own buildings, as they are already collecting rent for owners every month, know exactly what's involved with the property, and how much rent an investor can expect.

26

Kelley Rigby, Letts Rebuild

It’s a move endorsed by ARAMA CEO Trevor Rawnsley who says that as Queensland real estate prices skyrocket, MLR managers are under increasing pressure to protect their letting pools from outside real estate agents swooping onto the lucrative pastures of both sales and rentals.

“MLR operators are experts in their schemes,” Mr Rawnsley said. “No one knows a rental unit or its potential better

“Obviously the best person to sell a unit is someone who lives in the building because they know everything about that property back to front,” said Ms Rigby, who runs the Letts Rebuild, and Friendly Agent services.

“Managers need to feel confident to sell though. Letts Rebuild comes in and trains managers so they have that sales confidence.

“If the manager is not involved in the sales process, it creates the opportunity for outside real estate agents to come in and the likelihood of that property going to another investor is

MANAGEMENT

sometimes slim. Sometimes buyers can also be misinformed about the manager’s role if an outside agent is involved, so that the new owner think’s the manager is some kind of fulltime concierge. That can obviously create problems for the manager later on, problems that can be sorted if the manager is there at the sales process.”

While Ms Rigby said her business encouraged resident managers to be involved in the selling of any units, she said “about 80 percent of the time the agent doesn't want to sell the unit, even with me there holding their hand.”

“Some people don’t think sales is their forte, and for some of them residential sales is a scary thing, even though it’s so worth it if you get over the hurdle. That's why I started another new business called Friendly Agent with agents ResortNews | April 2022

© stock.adobe.com

© stock.adobe.com

who are educated in the process and come in to help managers selling their properties.”

Ms Rigby said she would encourage everyone involved in Management and Letting Rights to get involved in the sales process even if they required assistance all the way through.

“When the manager is involved from the start – whether the buyer is an investor or not – the manager gets to know who's coming into their building and their community,” she said.

“They can represent the buyer professionally right from the get-go, and if they ask for a top up on their agreement down the track it's more than likely the new buyer will go their way if they have formed a relationship.”

Ms Rigby said the marriage of Management and Letting Rights and the Real Estate industry under oner umbrella could produce “phenomenal outcomes in not only property sales but in the longevity of new business relationships.”

The RAAS Group was established on the Sunshine Coast in 2002, allowing onsite managers to protect and defend their letting pool against external agencies. The first agency to offer a full suite of services.

The company’s Marketing ResortNews | April 2022

Co-ordinator Sally Shackleton said: “RAAS works with onsite managers to shift landlord client’s understanding of their service from just a caretaker and property management service, to being the trusted advisor for their long-term property investment goals.

“Our sales team works with onsite managers to protect, grow, and dominate their MLR business. Managers have personalised access to real estate CRM Eagle Software which is user friendly and saves them a lot of time with the day to day running of their business.

“If the manager is fully licensed or holds a sales certificate, they can sell their owner’s property themselves. The managers who are pretty tech savvy can just push a button and get all the information and marketing material they need.

“If they do not sell themselves, RAAS provides a dedicated RAAS sales agent to assist, who works together with the manager to target investor buyers to maintain their letting pool as a major priority. RAAS will provide a share of the sales commission to the manager providing an additional revenue stream.”

Ms Shackleton explained: “RAAS Care offers a broad range of advantages to members to

RAAS helps with that in their marketing, and I'm always working on the owners here, because who knows when they are going to decide if they want to sell or rent the property out?

“I want to be the first person they call if they’re thinking of selling or moving on.”

Sally Shackleton, Marketing Co-ordinator, RAAS Group

help them to run their business at a lower cost than other companies providing similar services. Our expertise offers comprehensive support services to assist on-site managers.

John Diprose, the director of the Onsite Property Group that has been servicing onsite managers for over 25 years, said while legally an agent could not discriminate by favouring an investor over an owner-occupier, his company’s marketing was heavily tailored towards investors, and that was always a good way to maintain an onsite manager’s letting pool.

P30

“RAAS Sales Agents and RAAS Residential Management Rights partners advertises approx. 100 residential apartment sales every month. We specialise in listing and selling managed complex units, townhouses, and apartments to investors.”

One of RAAS’s long-time clients, Wayne Johns, who runs the iconic Gold Coast high-rise complex Malibu said: “It’s not always possible to sell to other investors so that the properties stay in the letting pool, but

MANAGEMENT

John Diprose, Director, Onsite Property Group

27

MANAGED COMPLEX

UNIT SALES SPECIALISTS

protectyourlettingpool Your letting pool is your income. We understand who to – and how to market properties in your complex.

At CBMR we understand how important the sale of a lot in your complex is. We offer a full sale service to your owners should any decide to sell.

Should any of your owners wish to sell, simply put CBMR Managed Complex Sales forward as the agent. Our “Selling your Property” brochure can be forwarded to your owners and we can take it from there...

We know the building better than any other outside sales agent and we only sell in these complexes, which means YOU are our only sales priority.

Liaising with you, the manager, we can arrange inspections that will cause minimal disruption to your guests and tennants.

Working to achieve a great result for both the seller and the on-site manager, CBMR handles the sale from start to finish, keeping you updated every step of the way.

Calvin Bail ey Manage ment Righ ts dedicate Unit Sales d unit sale has hit the ground run s division - CBMR ning We are alrea dy protectin CBMR Unit S g your letting ales has arri ved and is lis pools! we speak!. ting and se

lling manag ed complex Thank you fo units to inve r all those w stors as onderful mes an amazing sages and a start. huge thanks to those listin If you have m g with us, its issed our la been u n don’t hesita te to give us ch or want to know mor e about our a call. service to yo Call or emai u, the manag l us ers, complex. Cal anytime to enquire abou l Alex on 041 t CBMR Unit 4 835128 or S al es an d gain contr email alex@ Kind Regard ol of sales in cbmr.com.a s, your u Alex, Calvin & Helen Calvin Baile y Managem ent Rights

Alex Barker-Ré LREA 0414 835 128 alex@cbmr.com.au

Calvin Bailey LREA www.calvinbaileymanagementrights.com.au

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“Kelley answered all my questions promptly, guided me through the contract and finalising all the details. Kelley is a gem and is the person you cannot do without when you are working on your own and require that expertise to tweak everything. Well done Kelley, you have been my guardian angel to selling real estate.”

“Kelley was able to reach our outside investors on a level that we just couldn’t achieve. The results were immediate, and we were able to bring several investors back into our letting pool. It really is a no-brainer. To say we recommend Kelley is an understatement.”

– Cathy Davis, Airlie Apartments

– Chris & Emma Lane, Cellas Real Estate

Our expertise offers comprehensive support services to assist Resident Managers For more information please contact: kelley@lettsrebuild.com, call 0402 158 136 or visit lettsrebuild.com

P27 “We have as many as 12,000 potential investors on our database,” Mr Diprose said.

“And we deal constantly with investor groups, financial planners, superannuation groups, accountants and so forth.

“But our No.1 tool for selling to investors is options on the lease.

In a perfect world to help try and keep the unit in the rental pool a 12-month lease with a 12-month option theoretically means there is a two-year lease on the property. Most owner occupiers want to move into the property within a month or two and are discouraged when long-term leases are in play.

“A lot of managers now try doing long-term leases as a protection for the letting pool and to preserve the value of their management rights.”

Mr Diprose says his company supplies property managers with all the tools they need for marketing in both sales and rentals, as well as providing comprehensive administrative support.

“We're pretty well a one-stop shop for onsite managers,” he said, “we give them every tool they will ever need to run their business, except the trust account.

“We give them the checklists, the training manuals, we cover all the major players as far as web portals whether it's sales or rentals, property data information, tenancy data base checks, all the official forms and paperwork they will ever need for all sales and rentals and we provide connection services whereby the manager receives extra income when a property is signed up for electricity, Foxtel and such.”

involved in the listing and sale of the property, the commission share is split - the basic package is 50 percent - they can up the package to 60 percent and even up to 100 percent of the commission.

“Not many managers are involved in sales every day, so we only recommend the 100 percent option to the most experienced because there is limited admin support with that. But on the 50 percent and 60 percent packages our clients have full admin support, and we prepare all sales and listing paperwork plus checklists and scripts.

They have everything they need, contract request forms, listing request forms, training manuals, and so much more.

“The majority of the clients take the 50 percent commission option which starts at $299 a year. It goes up to $1200 a year if they want the 100 percent sales commission, but the majority of our managers would be on the $299 package.”

She has a full real estate licence but because it's not her everyday job, she prefers to use his company for sales.

“John has all the legal paperwork covered while I do the show and tell with the inspections,” Ms Mundy said.

“At the beginning of your real estate career, when you're very nervous and haven't really used your licence, selling that first property is very daunting.

“John was available at any time, day, or night, to help.

“We took over this complex in March 2016 and he has probably helped us sell a dozen properties since then. He’s made the process very easy.”

In Cairns, Calvin Bailey expanded his management rights sales business to help onsite managers with unit sales within their complexes.

Sam Mundy, who runs San Capistrano, a gated residential complex of 40 townhouses and villas at Pacific Pines on the Gold Coast, is one of John’s happy clients.

“We have a number of managers working with us who use our sales services because they find it more beneficial than trying to sell a unit themselves.

“A lot of managers are busy enough doing their daily work looking after a complex and feel they don't have time to devote to selling. Certainly, those who are involved in short-term holiday rentals would find that they are short of time due to having a constant turnover of guests.”

Calvin Bailey, CBMR

“We found some managers weren't equipped, or they were too busy, or didn't want to become involved in sales, so we are here to help,” Mr Bailey said.

Sam Mundy, San Capistrano

“In order to complete the contract, managers who don't have a full licence and have only a restricted licence will use somebody like ourselves.

Dennis Mackenzie, Property Training Australia

He said onsite managers wanting to become real estate agents inside their own management rights business had become common over the last 12 months in response to units being sold from under their noses, and out of their letting pools.

“We have a few different options for our clients. If they want us to do the sales on their behalf, we pay them $1000 on settlement as a referral fee, and a handful of our clients choose that.

30

“When a person goes into management rights, I recommend that they get their full licence so that they can protect their own investments, but for those who don't they can approach us.

Dennis Mackenzie has spent more than 30 years in Property Management and Real Estate, and as CEO of the Gold Coast-based Property Training Australia, has seen 12,000 students undertake his courses in real estate and property management, either in-class or online.

He said many resident managers were “time poor” given the demands of their job and that when it came to selling a unit in a complex his company could arrange all the listings and contract preparation for managers.

“If they want to be actively

“It is beneficial to the manager to put an owner who wants to sell in touch with us, and we will do our best to find an investor to buy the property so that it stays in the rental pool.

San Capistrano

MANAGEMENT

“When it comes down to dollars and market multipliers, the loss of a unit from a letting pool could mean a big loss of income and the devaluation of a management rights business,” Mr Mackenzie said.

ResortNews | April 2022

© stock.adobe.com

When it comes down to dollars and market multipliers, the loss of a unit from a letting pool could mean a big loss of income...

“Resident managers have to sell themselves. They have to let all the owners in a building know that if they are thinking of selling they should contact that resident manager.

“I'm still baffled that a lot of resident managers who have completed their real estate courses aren’t emailing all the owners to let them know that they now have a licensed real estate agent working within their complex on their behalf.

“The manager should also be sending out newsletters letting owners know how much properties in the building are selling for, and to remind the owners who they should call on if they wanted to sell. Mr Mackenzie said new real estate licensing requirements became mandatory last October but

ResortNews | April 2022

living at the property and overseeing rentals and repairs.

training onsite managers on how to market and sell properties.

“It only makes sense that they should have their full qualifications to protect their own investment in management rights.”

Mr Shih has been teaching real estate since 2010 and the PRET classes have been providing nationally accredited courses for the real estate industry since 2006.

Mr Mackenzie said as well as the necessity for onsite managers to sell themselves, they should never sell themselves short.

“We had a building at Bribie Island once, and the outside real estate agent who was selling a unit there introduced the onsite manager as the bloke who cleaned the pool and emptied the rubbish bins,” Mr Mackenzie said.

“That manager went on to tell the prospective buyer that he actually lived onsite, managed 76 units and had collected thousands of dollars rent for the owners as well as working with the body corporate.

he had trained students to complete the whole real estate course covering new legislation.

“In New South Wales someone has to work in a real estate agency to obtain their licence, but in Queensland you can become a licensed real estate agent without any experience, once you’ve received the qualification for a license from the course,” he said.

“Our courses have constant references to the new legislation regarding POA, RTA, antidiscrimination and money laundering, but it is not that difficult, and I encourage all onsite managers to get their full licence. Most people have dabbled in real estate whether it's renting or buying, and resident managers are at the forefront every day,

“The people bought the unit but came straight back to the manager and signed an agreement with him to continue the rental.”

Mr Mackenzie said his own real estate business had also helped onsite managers sell 20 to 30 apartments.

“Some of the managers didn’t want to be involved in sales, preferring to look after the body corporate and the letting side of the business,” he said.

“But having a full real estate licence allows a manager to sell properties not just in their own building but outside it as well, and it opens the door to huge opportunity.”

Paul Shih, the CEO of PRET (Professional Real Estate Training Pty Ltd) is also involved in

MANAGEMENT

Paul Shih, Professional Real Estate Training

He is the Honorary Chairperson of Australian Property Management Alliance, and has a master’s degree in project management, specialising in property and marketing.

“We have classrooms at Logan Central and online sessions, but people generally find it more beneficial to come to the live classrooms where they can ask questions of the trainers who are experienced in real estate sales,” he said.

“We offer a 10 day in-class course for anyone to obtain full REA licence under the new government training requirements.”

31

At RAAS experience meets expertise RAAS (Resort and Apartment Sales) has been an industry leader for onsite managers since 2002, paving the way to assist managers in preserving their letting pool from outside agents.

Features and benefits: •

We work with onsite managers as a team to enhance the services that you provide to your owner client base.

•

We will work together to target investor buyers to maintain your letting pool as a major priority.

Testimonials "I had never sold within my complex previously, only ever listing rentals with RAAS. An opportunity came up when an owner in my building approached me to sell their unit. Not feeling confident in the sales process, I contacted the team at RAAS for some advice.

The girls in the office have always been helpful and great to deal with. The team explained the structure of selling with RAAS and I decided to sell on my own, with the support from Kim and Sally.

The girls guided me through the entire process from securing the listing, negotiating with Owner and Buyer on an offer and RAAS did everything from the letter of offer to process of settlement. I did not have any paperwork to do nor did I deal with of the legal matters.

•

Our selling method is standardised, selling harmoniously within your complex, the right way, under your direction, working within your body corporate by-laws.

•

Selling advertising and sales techniques are geared towards securing the investor buyer for you.

"I joined RAAS way back in the dark ages it seems, when Mike Butler and Rusty Lush headed up the team. Only new into the MR business, I felt the need to belong to a group of like minded people, who could assist with the day-to-day running of my business.

•

Our communication method with your landlords is transparent through the whole sales cycle.

When Rusty & Mike sold to Christopher Jones, RAAS saw some excellent changes with an emphasis on the ‘Support’ of Members. Paying an annual fee to belong takes on a whole new meaning, when Sales and Support Staff regularly ring you just to see ‘how things are going’.

It was a stress-free experience for me to sell a property. I highly recommend RAAS, and I will be partnering with my team for any future sales in and external to my building." – B Cheung

•

We are Unit & Apartment sales specialists with a huge database of investor buyers

I have ventured into the ‘sales’ arena a number of times over the years, where my relationship with Owners in my buildings allowed. As we all know, we must keep the ‘outside agents’ out, to control the destiny of our own business.

•

We will provide a share of the sales commission to you as an additional revenue stream.

Sales Support assist me with Ads, Flyers, Signage and knowledge. I mainly deal with Sally, Kim & Christine who guide me through with tips and advice. I have recommended several new in the business to join RAAS over the years, and will continue to do so!" – W Johns

RAAS gives you access to all portals for only $599 per annum + Plus you will receive

For over 20 years, RAAS has been assisting onsite managers to protect and grow their rental pool and earn valuable commissions on sales within their complexes.

RAAS offers the very best deal for onsite managers. To join a subscription to list your sales/ rentals direct with the portals will cost you over $10,000 per annum. Choose our competitors and you will pay $3,300 per annum.

Professional, experienced sales agents to sell units within your complex working with you to increase your letting pool and build your business. Agents consistently rates in top agency’s in Queensland.

Your own virtual sales agent providing ongoing sales training and coaching on how to secure listings, manage and sell property.

Ongoing business development, coaching and mentoring by way of one on ones, inhouse coaching sessions and video tutorials.

Personal login access to RP Data Professional and discounted price for TICA. Contract preparation from Offer & Acceptance through to settlement.

Large databases of prospective tenants (31,000), apartment investors/buyers. (28,500) and Management Rights buyers (3,312).

Company owned and managed by experts boasting 80+ year in the Management Rights industry/Real Estate industry.

Marketing material, support and assistance including database correspondence, social media marketing, internal and website marketing, vendor proposals and more.

Membership includes access to all the major real estate portals – (1) realestate.com.au, (2) Domain. com.au, (3) RAAS.com.au internal marketing, rentfind. com.au, rent.com.au, homehound.com, property. com.au, onthehouse.com.au, homesales.com.au, ratemyagent.com.au, homepass.com, homes.com.au.

Complimentary Residential legal hotline with prominent law firm Ingwersen & Lansdown and Managements Rights hotline with Frank Higginson, Hynes Legal.

Access to popular CRM Eagle Software for your contact management, prospecting tracking, marketing development and listing management.

ve all of the above

P: 07 5593 0007 E: care@raas.com.au raas.com.au | raasrights.com.au

Partnering with RAAS pays dividends

Malibu on Tedder Avenue complex at Main Beach

Wayne Johns has carved out a slice of paradise as the onsite manager at the Malibu on Tedder Avenue complex at Main Beach on the Gold Coast and says the RAAS Group has been invaluable to his business.

He has a commissionsharing arrangement with RAAS over any unit sales.

“I've been involved in management rights for at least 30 years, and I’ve been involved with RAAS for 20,” he said.

“After working for an airline, I first bought into a small property at Cleveland. Honestly, I felt it was not for me and returned to the corporate world working for a car rental company and then a hotel in Rockhampton. Feeling the corporate pressures again, I got back into management rights and bought properties in Woolloongabba, Nundah and Chermside. I ultimately sold them through RAAS to buy Malibu.

“The best part about working

34

with RAAS is that they really look after you when it comes to selling units in a complex. “I’m a salesman born and bred but in management rights there's a lot of other things you have to do and lots of duties. RAAS sold the three properties for me very quickly, so I was able to get into Malibu.

“I have a contract with RAAS that I get a percentage of the commission and because they take so much of the paperwork on board, I'm still free to do all the other work at my building.

RAAS do all the documentation, organising the conveyancing, the contracts - the bulk of the administrative work – so that I'm freed up to do other things. Being a member of RAAS also gives me the opportunity to advertise properties on numerous websites.

“If a buyer makes an offer, RAAS signs the letter offer and sends it back. Then once the sale goes through, they calculate commissions, and then drop the money into your bank account.

“How good is that? It makes it so much easier.

“I’ve sold four units with them.”

MANAGEMENT

Wayne Johns with wife Rosemary

ResortNews | April 2022

Letts Rebuild does the hard work Fiona and Mark Stagg manage the Jefferson Court property at Upper Coomera and run Personal Touch Realty, a family owned and operated company that focuses on property management.

There are 64 three-bedroom units at their complex and 44 in their letting pool.

They’ve been at the property for two years and have partnered with Kelley Rigby’s companies Letts Rebuild and Friendly Agent for the last eight months.

“From our point of view Kelley does all the hard work when it comes to selling units in the complex,” Mark said.

we know intimately the units and that makes it easy for us to answer questions straight off the cuff.”

Fiona said she had her full real estate licence but wasn’t quite confident enough to go out on her own and had found Kelley willing to teach and to help her through the selling process.

Mark and Fiona Stagg

“She does all the paperwork, all the statements, all the work on the settlement.

“We basically just do everything that needs to be done on site and that includes the open inspections and taking phone calls when the potential purchaser wants to know more details.

“Because we’re onsite managers

“It's a fantastic partnership and it's working really well,” Fiona said.

“Our background has been in assisting to develop caravan parks – work that has a lot of similarities to management rights – and we've been in the tourism industry for about 10 years “Being the onsite managers gives us a great head start over outside real estate agents

when it comes to keeping prospective buyers informed about the many different bylaws and what they can and can't do as property owners.”

Fiona said one of the most important lessons she had learned from Kelley was also building a good rapport with tenants and helping them through the sales process.

“This includes being mindful of organising inspections around appropriate times, especially in situations where a tenant might have a baby or preparing an early dinner,” she said.

“Being onsite managers, we know this property better than anyone else when it comes to making the tenants comfortable and maximising the potential for investors.”

CBMR helps protect our letting pool Martin and Cassie Nugent run the City View Villas in Mooroobool, outside Cairns, and work closely with Calvin Bailey Management Rights.

“Being onsite managers themselves Calvin Bailey’s team understand management rights and the need for managers to protect their letting pools,” Martin said.

“They focus on selling to investors, so we're happy to recommend that any of our owners approach Calvin and his team because we hope that they will sell from one investor to another investor.

“There's not much you can do if an owner-occupier decides to buy the property, but certainly we can do all we can to focus on selling to investors by promoting long leases.”

Martin and Cassie have been at their property for two years,

it’s their first venture into the management rights industry from a farming background. “I like the real estate side of it, the leasing and that sort of business,” Martin said.

“I don't have a sales licence so that's where Calvin comes in handy.

“We bought these management rights through Calvin.

“We have 84 apartments in the complex and there are 60 in the letting pool. It used to be 65 but we've lost one at a time

over the years largely because owners listed for sale without talking to me first and they then went to an outside agent.

“If they discuss it with me, we can generally sway them in favour of selling to an investor. It generally works out better for them too, in terms of the sale price. A lot of investors, especially if they've been long-term, are very loyal to their tenants and they want to help their tenants stay in the property when they put their place on the market.”

City View Villas in Mooroobool

ResortNews | April 2022

MANAGEMENT

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“Onsite Property” empowers managers Onsite Property is the leading service provider to Australian Resident Unit Managers and property investors.

We provide cost effective services and infrastructure to resident unit managers to assist them in operating their management business including sales and rental services.

From our origins in Brisbane in the early 2000’s – through our founding companies Viking Project Marketing, Viking Management Rights, Viking Strata, Property Economists and seqsales.com.au – to a single branded operation, Onsite Property has enjoyed a reputation for excellence providing leadingedge property insight and on-the-ground delivery focusing on the core value of client profit.

We protect and grow resident unit managers rental pools by providing a sales solution

for the building or complex, marketing to property investors all the way through to our rental marketing services.

We assist and help our managers to have a successful journey in the management rights industry and can assist in protecting and growing their asset and assisting in operating at a reduced cost, through to their eventual sale of the asset.

We can help you maintain and grow your management rights asset through saving you money on essential services, whilst protecting your rent roll asset like no other through strategic investor marketing and sales.

Resident unit managers join Onsite Property via an annual lowcost subscription starting from $299 per year which allows them: 1.

Use and access to a number of tools for your every day running of rentals and sales using leading edge

technology and our vast internet portals (to over 20 various real estate internet portals including realestate. com.au and domain.com.au).

2.

Sell yourself or have a dedicated salesperson to service the complex or building from Onsite Property, who is provided sale referrals as they arise by the Resident Unit Manager.

This Onsite Property salesperson will conduct strategic investor marketing for any properties they are referred, aiming to provide first class outcomes for the vendor. Sales are conducted with the least possible disruption to tenants, protecting the Resident Unit Managers rent roll by marketing to property investors, who are buying through Onsite Property generally because of the fact that properties with Onsite Management are

promoted. The Resident Unit Manager receives a service fee for each referral given on settlement.

Onsite Property Reviews “Managing a number of complexes and being in the industry for many years, Onsite Property is an essential tool to my business. The support they have are second to none, I am a fully licensed agent but prefer to use my complex representative John Diprose to help my owners sell properties to new investors”.

– P & S Rowney, Sunnybank Approach “I have been involved with another company offering similar services for onsite managers but decided to join Onsite Property for their better tools (user friendly) and lower cost. I am very happy to recommend Onsite Property”.

– R. Marshall, Rosegarden Manors

Onsite Managers Advertise Your Rentals and Sale Properties From Only $299 Per Year!

Join the leading service provider to Onsite Managers and access all the leading-edge tools to help run your business for less cost.

Advertising and marketing for sales and rentals to over 20+ National Real estate web portals site, including realestate.com.au and domain.com.au

Instant tenant and buying matching emails automatically emailed out to all prospective investors and tenants from our data base as soon as you/we list a property

Full unlimited use and access to Real Works from any computer for all property forms

Unlimited access to property data to create CMA’s through RP Data

National tenancy database, access free high-quality, in-depth information

Utilities Connection service for your tenants – you earn extra income

Ability to create your own databases for marketing (CRM)

Ability to create E-marketing newsletter, printed property brochures and stock lists

Social media marketing to Onsite Property’s Facebook account and your own Facebook and Twitter site

Full admin and sales support on our standard packages. Our investors receive a monthly stock list/newsletter updating them on great Investment properties available.

Yearly Subscription

One off Set-Up only: $199 This establishes you within the Onsite Property system and gives you access to our extensive tools and services.

Starting from:

$299

Please feel free to contact John Diprose for a private and confidential chat on phone 0412 189 736 or john@onsiteproperty.com.au

36

MANAGEMENT

ResortNews | April 2022

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TOURISM REPORT

Empty flights?

War fuels spike in airline prices © Alexander Schimmeck - unsplash.com

By Grantlee Kieza, Industry Reporter

The already inflated price of international flights could skyrocket by as much as 15 per cent as Russia’s invasion of Ukraine sparks rising fuel costs.

A boycott of Russian oil has caused global fuel prices to spike, and airline passengers will be forced to absorb the cost on the back of domestic and international borders being closed for two years due to COVID-19.

This will severely impact both incoming and outgoing international flights for Australia.

With the price of oil at $US120 a barrel, Qantas CEO Alan Joyce warned of a 7 per cent increase in fares for his airline with a further 1 per cent lift for every $US4 jump in the oil price.

Some experts are forecasting oil prices could hit as high as $US200 a barrel.

Airfares are already considerably higher than pre-COVID prices and Flight Centre CEO Graham Turner said a further increase of up to 15 per cent is on the cards.

Airline prices had already surged by an average of more than 50 per cent across all destinations compared with pre-pandemic travel.

As airlines slowly rebuild services to and from Australia after two years of being grounded, the cost of international travel is expected to remain high.

International airlines are operating only about 20 per cent of passenger services into Australia compared with pre-pandemic levels.

38

just yet – I think it’s going to be a long while before we see out internationals return.”

And Jack Fantini, from Base Backpackers on Magnetic Island, said that while his hostel was full two years ago with 180 people staying every single night and a three-month wait list, there was “now only a handful of guests”.

He expected it would take six months for numbers to build up again.

But Visit Sunshine Coast CEO Matt Stoeckel said the recent announcement that Queensland’s Sunshine Coast had topped the world’s Tourism Sentiment Index as the most loved destination on the planet, highlighted the potential the region had to quickly regrow visitor numbers.

“Prior to COVID-19, international travellers represented more than 11 per cent of our market and contributed $285 million to the economy,” Mr Stoeckel said.

Guardian Australia reported that prices for economy seats are on average 54 per cent above pre-pandemic levels.

“I know firsthand how COVID-19 has affected tourism businesses throughout our state,” Ms Palaszczuk said. “But now we’re ready to welcome back visitors.”

Before the pandemic, international tourism was a $6 billion industry in Queensland and growing year on year.

While reopening the domestic and international borders is a crucial milestone, re-capturing the lucrative international market – and restoring travel confidence – will take time and a lot of investment.

Queensland has launched its first national tourism campaigns in more than 18 months, a series of initiatives worth $5.2 million around the country and taking the first steps towards international marketing.

Queensland’s State Government and major airports have allocated $200 million to entice more international flights to the state.

Sunshine Coast Airport CEO Andrew Brodie said investment in his airport would create jobs for generations to come and provide a much-needed boost to the tourism industry.

He said international visitors stayed longer, spent more, and shared their experiences with friends and family, providing the key to repeat visitation.

Queensland premier Annastacia Palaszczuk said helping the State’s tourism industry rebuild was an important part of the Government’s COVID-19 Economic Recovery Plan.

State Tourism Minister Stirling Hinchliffe said his Government through Tourism and Events Queensland continued to work with overseas travel partners reminding them of the worldclass visitor experiences only found in Queensland.

Up and down the Queensland coast the re-opening of international borders was a cause for celebration, but many operators say it will take time for visitor numbers to come anywhere near pre-pandemic levels.

Bob Flemming at Townsville’s Billabong Sanctuary has been fighting to keep the property’s head above water for two years.

He told the ABC that while he could see a light at the end of the tunnel “we’re not popping the champagne corks

TOURISM

“We believe we have the potential to strongly rebuild these markets, with our nature-based tourism offering being what international travellers are likely to be seeking for their next holiday.”

Queensland Tourism Industry Council Chief Executive Daniel Gschwind told Accom News that the reopening of Australia’s borders to international tourists provided Queensland’s tourism industry with a much-needed confidence boost and an assurance that the industry was on the road to recovery.

“Yet the financial benefits of open international borders won’t be instantaneously felt by our operators,” he said.

“As Australia is one of the last countries to open its borders to international tourists, Queensland will be competing with established holiday destinations all vying for holidaymakers.

“Our tourism industry is hopeful and looking forward to 2022 and beyond, but we know that there is a lot of hard work ahead of us yet.”

ResortNews | April 2022

Gold Coast post pandemic recovery pushes targets

By Mandy Clarke, Editor

breadth and depth of the region because we are much more than our well-known sand and surf, the Gold Coast is a credible business events destination.

Gold Coast CEC to host 2022 Logies The Gold Coast Convention and Exhibition Centre (GCCEC) will be the venue for the 62nd TV WEEK Logie Awards.

“We are a destination bursting with capability and a city coming of age in one of the world’s fastest growing regions. Our future events pipeline reflects this with 145 conferences and meetings, worth an estimated $206 million, committed to meet here between now and 2030.”

Taking place after a two-year hiatus, this is the third time the event, to be broadcast nationally on Sunday, June 19, has been held in the Sunshine State.

Premier Annastacia Palaszczuk said the return of the Logies was a major milestone in the recovery of Australia’s burgeoning screen sector.

“Queensland is the home of the screen industry in Australia,” the Premier said. “It’s great to have the Logies back on the Gold Coast in 2022 – I can’t imagine the Logies being anywhere else.”

Tactical ‘Press Play’ campaign to attract tourists to Gold Coast In March Destination Gold Coast unveiled a tourism assault to target high spending interstate travellers. Destination Gold Coast CEO Patricia O’Callaghan said Press Play is a tactical-led campaign to catch the eyes of holidaymakers from across Australia.

She said: “We know that while travel remains high on the agenda for Australians and short lead times continue to be a trend, there is still some

Images courtesy of Destination Gold Coast

hesitancy to book interstate as we re-emerge from COVID-19.

“With aviation connectivity now largely restored and over 100 deals on offer from tours, attractions, dining, and accommodation, we are coming out of the gate strong to position the Gold Coast as a stress-free and memorable holiday destination for families, couples and multi-generational travellers.

“Press Play is all about creating urgency around travelling now, with attractive fares and holiday packages to drive immediate visitation and support our 4,400 tourism businesses as we work hard with members and partners to aid the rebuild of the local visitor economy.

“Instead of hovering over the book now button, our message to Aussies is to embrace the spontaneity and ‘press play’ on a Gold Coast getaway.”

Ms O’Callaghan said the month-

long campaign will lead with inspiring destination creative and be further bolstered by two aviation partnerships to ensure the Gold Coast is front and centre in the minds of interstate travellers.

“The Gold Coast is dominating the audiences of Virgin Australia and Jetstar this month, with competitive airfares set to generate up to 20,000 inbound seat sales to the region,” said Ms O’Callaghan.

Another Destination Gold Coast campaign aimed at business events The imagination capital of Australia’ campaign is a homegrown initiative to drive postpandemic recovery of the city’s business events in the areas of health, innovation, education, screen and arts, and sport.

Destination Gold Coast CEO Patricia O’Callaghan said the “first-of-its-kind” campaign showcases the Gold Coast’s business events credentials.

She said: “The business events sector is a vital part of our Monday to Friday visitor economy, which prior to the pandemic generated $570 million in economic benefit for the city.

“The imagination capital of Australia takes this city into an all new and exciting era of tourism thought, promotion and action.

“This campaign highlights the

ResortNews | April 2022

TOURISM

Destination Gold Coast Chair and Gold Coast Convention and Exhibition Centre General Manager Adrienne Readings said there is a palpable pentup desire for delegates to meet again face-to-face.

“The imagination capital of Australia is a fresh and exciting brand identity that redefines the Gold Coast as the best place in the world to meet,” said Ms Readings.

Destination Gold Coast’s AIME activation will be significantly enhanced through the support of the Australian Government under the Recovery for Regional Tourism Program, which has enabled a major contingent of Gold Coast industry to attend and promote the city for future business events.

Destination Gold Coast, together with partners, is committed to leading the way forward for a robust recovery of the city’s business events sector.

Future conferences confirmed for the Gold Coast include: •

10th IASP Asia Pacific Conference, International Association for Suicide Prevention May 2022

•

35th Australian International Education Conference, October 2022

•

AMSA National Convention 2023, Australian Medical Students Association, July 2023

•

World Federation of Chiropractic Biennial Congress, October 2023.

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The ResortBrokers’ Gold Coast team said the industry was experiencing a “terrific amount of interest in a buoyant market” with 2022 shaping up to be a record year.

“This will be another record year of transactions, which indicates we are in a very active and positive market,” the team said.

The mystery of management rights solved Accommodation industry operators and experts gathered in the Gold Coast on March 12, to discuss common issues and misconceptions surrounding management rights.

Spearheaded by the ResortBrokers’ Gold Coast team, the “Management Rights Made Easy” seminar, at RACV Royal Pines Resort Gold Coast, was staged to engage, excite, and educate new buyers in this industry sector.

“There was plenty of healthy discussion, great questions and loads of engaged conversation.

The main theme was the buoyancy in the Management Rights’ market and the main message was to ensure that you ‘always use management experts to guide you on your journey’,” they said.

“We had great feedback from all who attended that the event was very informative with some attendees saying you would normally expect to pay for the level of professionalism provided for free by ResortBrokers and the expert panel.

A panel of four experts, including ResortBrokers’ southern Gold Coast broker Todd Warner, Paul Grant from Mike Phipps Finance, Tony Rossiter from Holmans Accountants, and Trent Pevy from Pevy Lawyers, was on hand to assist new buyers on the path to success.

“ResortBrokers will continue to lead the way when it comes to delivering outstanding results for our clients, whether that is searching for the right business for a first timer to the industry or an experienced operator looking to expand their portfolio.

The ResortBrokers’ Gold Coast Management Rights team said the event attracted a packed room of “really engaged” buyers from all around south-east Queensland.

“We run these events regularly so anyone interested in the industry should keep an eye on our website for future opportunities to network and learn.”

The Accommodation Industry Social Golf Club Another great day of golf and fun was held Thursday March 17, at The Links Hope Island Golf club on the Gold Coast. What made it so special was that it was held on St Patricks day so green attire and Guinness was the go. The competition was an Irish stableford (strange rules) which added to the fun for the 90 players.

Talk about special! Perfect weather, an immaculate golf course plus all the extras the great sponsors provide. These include a gift bag, free lunch, refreshments on course, special pizza hole and build a burger after golf. To top this off there was a huge stack of prizes to be won plus a business card and raffle draw.

The Accommodation Industry Social Golf Club has been going for 30 years having started way back by a few unit managers. It has now grown to include everyone associated with the accommodation industry plus their friends.

There is no club joining fee as the wonderful sponsors cover all the extras which make our great days so special.

The golf day at Links Hope Island is the start of our 2022 calendar which includes five great golfing days each year. Coming up is Twin Waters (Sunshine Coast) followed by the Glades Golf Course (Gold coast), Wynnum Golf Course (Brisbane) and Lakelands Golf Course (Gold Coast) for the special Christmas event.

If you love golf and fun, why not join us at Twin Waters Golf Course on Thursday May 19. Full details of the day is included in this month’s Resort News.

The days are mixed events so everyone is welcome to play and enjoy the great fun our days provide. It’s really simple to join in the fun contact the event coordinator Tracey Taylor preferably by email on: taylor77@ bigpond.net.au or mobile 0417360898, who will add you to the mailing list. We can then forward details and entry form for the Sunshine Coast Golf Day plus the other great golfing days throughout the year.

Finally, we must thank the wonderful sponsors who make all this possible: Watt Utilities, Mahoneys, Australian Valuers, KONE, Platinum Electrical & Air, McAdam Siemon, Rochele Painting, Nator Construction, RBC Group, Leisurestyle Landscaping, ResortBrokers, The House of Golf, Resort News & Inside Golf. Gold Coast.

International Women’s Day on March 8 The theme for International Women's Day 2022 was ‘breaking the bias’, and this gave many women across the sector a good reason to celebrate their own achievements and those of women in general.

Rosie Clarke the Editor of another of our publications, School News, and I were excited to be invited to a very special Women’s Day lunch in Brisbane. We celebrated the day with a woman who has been a huge inspiration to us, and many women throughout a time of great uncertainly, the Queensland Governor and former Chief Health Officer of Queensland Jeannette Young.

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EVENTS & APPOINTMENTS

ResortNews | April 2022

What about Women In Management?

Due to the floods the March events were sadly postponed, but don’t miss out on the up-coming luncheons:

Brisbane

Sunshine Coast

Gold Coast

Friday, 8th April from 12 to 4pm, Maya Mexican, 757 Ann Street, Fortitude Valley. $90pp drinks and canapes.

Friday, 22nd April from 12 to 3.30pm, Psari Seafood Bar & Grill, 103/45 Brisbane Rd, Mooloolaba. $50pp 3 course sit down meal.

Wednesday, April 20 from 12 to 3.30pm, Mr Hizola’s, 1730 Gold Coast Highway, Burleigh. $45pp canape banquet luncheon.

Head to website for more Women In Management information and bookings: https://womenin.com.au/

2022 ARAMA INDUSTRY EVENTS CALENDAR For registration and/or event information please contact us on 1300 ARAMA Q (1300 27 26 27), email national@arama.com.au or visit: https://www.arama.com.au/

BRANCH ALL ALL ALL ALL ALL Gold Coast Sunshine Coast ALL ALL

EVENT TITLE WEBINAR - Risky Business Wrap Up WEBINAR - Protect your Letting Pool MRITP ARAMA 30th Anniversary Golf Day ARAMA 30th Anniversary Celebration Dinner Gold Coast - Social Lunch Sunshine Coast - Social Lunch MRITP TOP Awards Dinner

ResortNews | April 2022

DATE Wednesday, 6 April 2022 Wednesday, 20 April 2022 Wednesday, 27 April 2022 Thursday, 19 May 2022 Friday, 20 May 2022 Tuesday, 7 June 2022 Wednesday, 8 June 2022 Thursday, 23 June 2022 Tuesday, 26 July 2022

TIME 11am - 12pm 11am - 12pm 8.30am - 4.00pm 12pm 6pm 11.30am 11.30am 8.30am - 4.00pm 6pm

EVENTS & APPOINTMENTS

LOCATION ONLINE ONLINE Riverside Hotel, Brisbane Twin Waters, Sunshine Coast The Island, Surfers Paradise TBA TBA Riverside Hotel, Brisbane Brisbane City Hall

REGISTRATION Open Open Open Open Open Opening soon Opening soon Open Opening soon

41

© Jason Goodman - unsplash.com

Business Mentoring Noosa:

It’s lonely at the top

By David Bell, President & Mentor, Business Mentoring Noosa

•

Integrity: An open, honest, and confidential approach in our interactions.

Have you ever wished you had an experienced businessperson, from outside your business, to bounce an idea off?

•

Care: Always having our mentees’ best interests at heart.

How about one or two experienced businesspeople to discuss whether you are on the right track, to help analyse your true business performance or help you prepare your business for an exit and make the most value out of a sale?

If the answer is yes to any or all the above questions and you live in the Noosa Shire, in Southeast Queensland, your wish is our command, and it will not cost you an arm and a leg.

Business Mentoring Noosa (BMN) is a Not-for-Profit association staffed by highly experienced men and women who give their time and expertise Pro Bono to assist small and medium-sized enterprises.

The association operates to a simple set of values: •

42

Passion: For the role of small-medium business in our economy.

We are very serious about our endeavours. The mentors meet every two weeks (and have done since inception) to discuss mentee issues and insights.

The meeting is designed to leverage the vast amount of experience and horsepower existing within the BMN cohort.

This allows the vast amount of collective experience of the mentors to focus on solving key issues for our mentees.

Noosa Business Mentors are appointed through a rigorous process and have demonstrated their relevant credentials, experience and understanding of how to support mentees.

The group has been highly active in the region for the past 10 years, Business Mentoring Noosa has assisted over four hundred businesses to reach their full potential.

The mentors use the Socratic method of mentoring to work with business owners and managers to identify and learn how to make good enterprise-

wide decisions. Developed by the famous philosopher Socrates, the mentors, once issues are identified, deploy open-ended questions to steer the owner/ manager (mentee) towards the correct decision path.

This method allows the mentee to grow both personally and professionally into smarter and more effective operators.

This expertise is then transferred to the business.

Operators of management rights businesses face many challenges and stresses due to the range of stakeholders they need to keep happy, from guests to owners, bodies corporate and tenants, just to name a few. Whether you are a husband-and-wife team, or you manage larger sized letting pools your days, weeks and months are typically tied up with solving the myriad of “problems de jour” that crop up relentlessly. These issues demand your time and expertise, and they typically demand it now!

The net result is you spend all your time working ‘in’ the business and not being afforded the time to spend working ‘on’ the business. Suddenly six to eight years have passed, and you are struggling to find where your time went.

EVENTS & APPOINTMENTS

Many operators find they are running a business that is becoming worth less and less over time, purely because they have not been able to focus on the critical issues. The good news is that turning a business around doesn’t need to take a lot of time, but it does take focus and direction on the things that matter for typically one to two years.

Business Mentoring Noosa is skilled in assisting you to set a direction and will work with you to identify and keep you focussed on the initiatives and goals required to get you where you want to go.

Business Mentoring Noosa charge an annual administration fee of $190. This funds our parttime administrator, insurances, website maintenance fees and our CRM system.

The fee funds one or two mentors for twelve months. The mentee sets the meeting pace.

Usually, there are three or four 60 to 90-minute initial meetings, two weeks apart, then the schedule typically settles into a meeting every three or four weeks.

Should you want to find out more. Visit our website. www. bmn.org.au or call 07 5406 1291 ResortNews | April 2022

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DEVELOPMENT NEWS

New Hilton Garden Inn expected to open in early 2024

The Lane Retreat, Bimbadgen

The Lane Retreat in the grounds of one of Bimbadgen’s 50-year-old vineyards, has been designed to provide a unique accommodation option to complement the brand’s Palmer Lane wedding and events venue and also the winery and tourism offering at Bimbadgen’s home vineyard on McDonalds Road. Mulpha recently acquired the nearby Emma’s Cottage Vineyard boutique winery and accommodation.

Hilton Garden Inn Brisbane City Centre North

Hilton announced the signing of Hilton Garden Inn Brisbane City Centre North, the fifth Hilton Garden Inn hotel in the pipeline for Australasia.

Construction is expected to be complete by the end of winter, ready for guests in spring 2022.

In partnership with Spring Hill Property Group Pty Ltd, part of Image Developments, Hilton will manage the newly built 129-room property, with hotel construction expected to start this year.

Guy Phillips, senior vice president, Development, Asia and Australasia, Hilton said: “The signing of Hilton Garden Inn Brisbane City Centre North builds on our recent announcement of Hilton Garden Inn Sydney Kingswood in late 2021 and is testament to our commitment to our organic growth strategy, which sees us bring the right brands to the right locations, at the right time.”

The property already boasts three stunning gathering sites for ceremonies and celebrations, but The Lane Retreat guests will now have access to a new luxury swimming pool and amenities, along with a bespoke store and pantry and VIP access to all Bimbadgen tourism offerings.

Mulpha has appointed Sydney firms, Fenisi to design and construct the retreats, and Fidem to manage the site, earth works, pool and landscaping.

Located 13 kilometres from the Brisbane Airport, the hotel will be strategically positioned in the north of Brisbane’s central business district (CBD).

Mulpha’s General Manager of Hospitality, Belinda Stapleton, said: “As a group providing premium hospitality and experiences in blue chip locations, we are excited to be enhancing our Bimbadgen offerings while maintaining the integrity of the estate and environment.”

Designed by Hayes Anderson Lynch Architects, when the hotel opens it will provide an upscale and affordable accommodation option to travellers.

Iconic hotel brand’s first Australian project commences

Hilton Garden Inn Brisbane City Centre North will join 28 operating and 12 pipeline Hilton properties throughout Australasia.

The Lane Retreat, Hunter Valley

The Standard Melbourne – DealCorp

Construction has begun on The Standard Melbourne in Fitzroy, six months after it was announced that the iconic hotel brand was arriving on Australian shores.

Hilton Garden Inn Brisbane City Centre North

Property and hospitality group Mulpha Australia is expanding its accommodation offering in the Hunter Valley, with construction commencing on 60 architect-designed eco studio retreats in the grounds of its Bimbadgen winery estate.

44

The Rose Street site was acquired in 2018 by private Melbourne developer DealCorp, which received permit approval for a hotel in 2019. The partnership with The Standard was a natural fit for both the developer and hotel group, with both pointing to an alignment in brand values and the fitting Fitzroy location as key to commencing the project.

Hamilton Marino Builders has been appointed to undertake the build, bringing to life the seven-storey project which will

DEVELOPMENTS

ResortNews | April 2022

If you’re not reading

The Standard’s distinct style of hospitality will be expressed in each of the 126 rooms, along with an intimate rooftop experience.

The Standard’s unique hotel operating style will offer an exciting new entertainment and hotel offering to Melbournian’s and visitors. With the hospitality industry paving its way into a post-COVID future, the project, reportedly worth more than $60m, will provide initial economic stimulus in the form of construction work and new hospitality jobs upon completion.

Construction has recently commenced and is set to conclude in 2023 with the hotel operational by Q2 of the same year.

Ensure you have the ‘Resort News Advantage’ with a team of highly skilled industry professionals covering all the critical topics that affect your Accommodation property.

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feature architectures by notable Australian practice Woods Bagot. Prominent Melbourne-based design firm Hecker Guthrie will take on the role of interior designers.

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Marriott International signed an agreement with Sunnyland Investment Group to bring the first Marriott Executive Apartments to Australia. Located in St Kilda Rd, Melbourne, the slated 180-key all-suite hotel will be part of a mixed-use development comprising approximately 244 fully residential apartments with premium amenities and services. The $170 million hotel mixed-use project’s construction is due to commence in 2024 and is expected to be completed by mid-2026. It will provide an elevated accommodation experience for business and leisure travellers looking for an extended stay.

Sean Hunt, Area Vice President, Australia, New Zealand and Pacific for Marriott International said, “This signing further underscores our long-term commitment in strengthening our footprint in Australia.”

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The development group will press forward with plans for this 12-storey development, “Holm” to comprise 94 apartments, including three ground-level town houses, topped by a rooftop communal area with infinity pool. The Plus Architecture-designed project is one of 13 across Brisbane and Gold Coast, from Chapter Two.

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ResortNews | April 2022

DEVELOPMENTS

45

Bowen Caravan Park A beachfront Bowen caravan park has sold for $4.6 million proving the Whitsundays town in which the movie Australia was filmed still holds immense appeal.

The trusted source for buying Management Rights, Motels and Caravan Parks from all the leading brokers.

MANAGEMENT RIGHTS Brisbane

(left to right) Broker, Des Fagg from ResortBrokers and Ross Economy (new manager)

ResortBrokers Townsville & Surrounds Broker Des Fagg has sold to interstate buyers the Harbour Lights Caravan Park with its 89 powered sites and 49 cabins from budget to deluxe, along Santa Barbara Parade.

“The owners had this property for more than 20 years and that is a long time in this game,” Mr Fagg says.

“There is quite a lot of selling activity in Bowen at present in both the motel and caravan park space, particularly from the mum and dad investor.

“With talk of a space centre

Sales Report

Whitsundays

being built in Bowen mid this year or early next year, interest in this Whitsundays destination is high.”

The property, which enjoys increased annual turnover, includes a swimming pool, barbecue area, free wifi, camp kitchen, solar power and three amenity blocks as well as solar power to reduce electricity consumption.

Signature and Teneriffe Park

Steadfast Shareholding Pty Ltd

Teneriffe

The Hub on Beams

Steven Li - Storm Advance Investment P/L Carseldine

RB RB

Sunshine Coast / Wide Bay / Fraser Coast Santorini Twin Waters

David & Janelle Woods

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Michael & Katherine Leighton

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Shane and Helen Freshwater

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Central Queensland Salt, Beaches on Lammermoor Dreamtime

According to RealEstate.com. au’s 2021 Suburb Report Card, demand for houses in Bowen grew by 95 per cent and units by 74 per cent in the past year.

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Honey Property Management P/L

Bowen

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Emerald Explorers Inn

Australian Accommodation

Emerald

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- Passive Investment

Property Group

Emerald Explorers Inn

Kingmot P/L

Emerald

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Roma Inland Motor Inn

Lyntip Holdings P/L

Roma

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Bryants Motel

Rodney John Drain and Xiaojie Lyu

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Lion and Little Raven P/L

Cape Tribulation

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Endale P/L as T/F the Bali Hai

Wongaling Beach

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Holiday Park

Unit Trust

Tumut

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Anglers Reach Lakeside Village Name Withheld

Anglers Reach

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Southern Comfort Motor Inn

James & Angela Lin

Cootamundra

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Australian Settlers Motor Inn

BLP AG Management

Swan Hill

TB

Alpine Holiday Rentals

Edward Cole

Mansfield

TB

- Leasehold

Management Rights Transactions

New South Wales Tumut Valley Motel

Damian Quinn

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46

Khurana Corp P/L

Victoria

Note: Agent/Broker involved in the sale is listed last.

Agent - KEY: RMS - Resort Management Sales; CBMR - Calvin Bailey Management Rights; CRE - CRE Brokers; MRS - MR Sales; QTHB - Queensland Tourism & Hospitality Brokers; RB - ResortBrokers; RS - Resort Sales; TO Tom Offermann; TB - Tourism Brokers; TMR - Think Management Rights; SC - Stratacorp; WCH - Ward Commercial Hotels. * In conjunction

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“A website for buyers/sellers such as Accom Properties has been well overdue for years.

Buyers don’t want to view multiple websites to see what is for sale in a particular region or town, they want all properties on the market with relevant criteria at their fingertips now and you’ve been able to provide a platform which is fantastic. Well done.”

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Management Rights

A sneak peek into Management Rights for 2022 As we enter the first quarter of 2022 or the third fiscal quarter, the situation has not really changed.

Banks are still taking their time and now valuing MR businesses as well as homes even if they are below $1,000,000 which was the previous norm. The valuers love this (happy days for them) more money for buyers to pay.

Listings are still at an all-time low and buyers at an all-time high. Multipliers are getting to the 2007 level, if any of you were in the industry then like some of us were. Basically, in January 2008 the big boys decided 6 multipliers plus were too high and overnight they dropped by one full multiplier. his caused a lot of consternation in the industry

because if you had just bought in it took you 3 to 4 years to get back to where you started from. We have a lot bigger buyers in the industry now and unfortunately for us poor brokers they are holding their big ones closely.

It is a measure of how strong our industry is that multipliers continue to go up and people are so keen to buy. This naturally forces prices up. I don’t see anything changing in the foreseeable future.

Chinese buyers make up for the vast majority of buyers and of course the majority of sellers. I ask sellers to look carefully at the brokers they choose to sell their asset, as not all brokers are the same.

Brisbane Properties For Sale Brisbane CBD

Down Town Morningside

The current caretaker has been in position for almost 6 years and enjoys a very positive relationship with the Body Corporate, the Committee and Owners alike. Rental demand is always high for the complex and vacancies are easily filled when they arise as the owners maintain their properties to a high standard. There is 24 years to run on the 25 year agreement, with this being topped up a the last AGM in 2020.

This complex requires the caretaker to reside in the assigned lot and adhere to the office hours.

Contact: Robert Collins, robertc@raas.com.au, 0404 678 792

Northern Brisbane North Rise Lawnton

The opportunity to purchase an off the plan in Lawnton has become available. With a projected 31 units, 5 of which to be in the rental pool, this complex makes for a good, small tack on. All townhouses are expected to have 3 bedrooms offering all new fittings, the letting pool tariff to be approx. $450 per week. Income of $24,970 and a sell price of $100,000.

Contact: Robert Collins, robertc@raas.com.au, 0404 678 792

Income: $24,970 Total Price: $100,000

GROW YOUR BUSINESS • INCREASE YOUR INCOME • PROTECT YOUR INVESTMENT

07 5593 0007 raasrights.com.au

Noosa Village River Resort

Be prepared:

The management rights motto

By Grantlee Kieza, Industry Reporter

rights you must be ready for anything… Anything!”

Neil and Amanda Watson moved into Noosa management rights for a lifestyle change but on January 31 it became a life-saving career change as well.

The Noosa Village River Resort, a combination of comfortable, superbly appointed one- and two-bedroom townhouses on Gympie Terrace, has long been regarded as one of the area’s best properties for a family holiday. The resort’s townhouses offer high-quality but affordable accommodation in a perfect location opposite the majestic Noosa River. All the townhouses enjoy wonderful garden settings with their own balcony and courtyard. Some apartments have river views.

Since taking over the beautiful Noosa Village River Resort on July 1, they’d been tossed more than their share of curveballs, coping with COVID and closed borders, and the cancellation of 3000 nights’ worth of accommodation as a result.

They also realised quickly that their new job kept them on call 24/7, no more so than on January 31 when two girls ran screaming into Neil’s office.

50

Neil and Amanda Watson with son Nate

“Within a couple of minutes, I was performing CPR on their father,” Neil told Resort News.

“Only the day before I was joking about what more the industry could throw at us,

and now I had a guy in front of me who was clinically dead.

“Thankfully he came through and he’s on the mend after a month in hospital, but it just shows you that in management

PROFILE

The property has shaded walkways, lush tropical gardens, barbeque areas, a large gasheated swimming pool, sauna, spa, children’s wading pool and a full-sized tennis court.

ResortNews | April 2022

“It’s a convenient location for everyone,” Amanda told Resort News. “The pedestrian crossing is right here, and so is the bus stop.

There are great walkways, a big playground and plenty of spots nearby for the kids to swim safely.

You can catch a ferry nearby.

“From here you can also stroll to the Noosaville restaurants, cafes and speciality shops.

Many of our guests return to the property year after year.

There is such an active lifestyle in Noosa with lots of walking trails and mountain biking. The National Park is just outstanding, and the beaches are great.”

Neil was consulting in ISO standards and auditing for an export company for several years

but became weary of driving up to 3000 kilometres every week from his home in Cooroibah, in the Noosa shire, motoring down to Brisbane every other day, and often to Toowoomba, Gympie and the Mary Valley.

“I needed a career change,” Neil said, “and I’d observed the management rights industry from a distance when I'd been on holidays. Because it's regulated, and I have a regulatory background I really liked the idea of a level playing field in terms of agreements between the different parties involved. I also liked the idea that you can get a return on your time through other people’s investments. At the Noosa Village River Resort, we are working with, and on

behalf, of 20 other investors.

“We would never have been able to afford to buy a property such as this, but management rights allow us to be involved.

“We liked the lifestyle, location and aspect of the manager’s unit. This place is quiet, peaceful, relaxing, and safe.

“We have affordable room rates, too, so we are very much a family property rather than a party playground, and it’s perfect for young families wanting a break.”

Neil and Amanda started looking for a property around October 2020 and researched many of them from the Gold Coast to Noosa, which was their preferred destination given the

atmosphere of this community that they feel is perfect for them.

“We have a 10-year-old son who plays a lot of sport here,” Neil said, “and it’s a terrific community. We are also fans of Noosa’s promotion of green space and restricted building heights.

“We kicked a lot of tyres and did a lot of research into properties before buying into this one.

We were talking to an agent about another complex, but it was predominantly permanentletting, and we preferred the holiday-letting model, because you tend not to get all the social issues that you have with people living permanently in a confined space.”

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ResortNews | April 2022

Paul Grant |

Broker

0448 417 754

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PROFILE

www.mikephippsfinance.com.au Head Office 4/31 Mary Street NOOSAVILLE QLD 4566

51

Three days after the couple settled on their new business, though, the borders closed and suddenly they had to cancel more than 3000 nights’ accommodation.

“This resort is characterised by people booking 20- to 30-night stays in the winter – July and August – and we had some people cancel 5-month bookings,” Neil said.

“We thought the property had great potential for growth, and we factored in the key ingredient that the manager’s salary must be enough to service the debt.

“During the border closures, the caretaking agreement gave

Neil and Amanda warned potential management rights buyers to be prepared to be on call 24/7, and not to underestimate the influence of the Online Travel Agencies, their steep commissions, and limited communications. Dealing with OTAs and computerised booking systems that don’t sleep has been a massive eye opener,” Neil said.

Three days after the couple settled on their new business, though, the borders closed

us an income, but it was very

the return custom one day.

onerous processing all those cancellations and refunds. Still, we applied a 100 per cent refund policy in the hope we would get

“We've got them coming back this year and we're already sold out for August and much of September.”

“You always have to be prepared for anything in management rights. After COVID, the border closures and the guest having a heart attack, we've had the flood since. We had some damage, and it certainly impacted our trade, but when you look at it,

Management Rights “Sasha understands the industry and suited us perfectly all the while acting in the sellers’ best interest. Unlike most agents, Sasha listened more than he spoke, understood our goals and was helpful throughout the lengthy settlement process. Our only regret was not using Sasha for licensee training, which was one accreditation process we’d rather never repeat. We’d recommend Sasha & RAAS for sellers and buyers alike.”

- Neil & Amanda Watson

Sasha Jancevski 0406 075270 sashaj@raas.com.au

GROW YOUR BUSINESS • INCREASE YOUR INCOME • PROTECT YOUR INVESTMENT

07 5593 0007 raasrights.com.au

52

PROFILE

ResortNews | April 2022

we're quite fortunate compared to all those people who have suffered enormously.

“Another important thing before buying management rights is to study the scheme’s AGM minutes and meeting minutes and gain an understanding about the culture of the body corporate.

“It’s very wise to be mindful of what their future plans are.”

Amanda said Neil had managed pubs previously and together they had always enjoyed getting in and helping the community and making people feel welcome.

“We really love the Noosa area,” Amanda said, “and we both relish the experience of making people feel very welcome and accommodating them.

“This is a wonderful business to be involved in.”

Talk to someone who understands your business.

Tanveer Khan Management Rights Specialist Gold Coast 0438 628 840 Amanda Norling Management Rights Specialist Brisbane 0459 800 461

Whittles is proud to partner with Noosa Village River Resort.

Steve Austin Management Rights Specialist Sunshine Coast 0408 776 067 Richard Smith Management Rights Specialist North Queensland 0407 632 612

To find out how we can help your Body Corporate, get in touch with the Sunshine Coast team today.

P: 07 5409 3400 W: whittles.com.au ResortNews | April 2022

Suncorp-Metway Ltd ABN 66 010 831 722 AFSL No. 229882 (“Suncorp Bank”) 22527 22527 25/01/19 A

PROFILE

53

THE PREFERRED SUPPLIER DIRECTORY THE ORIGINAL AND MOST TRUSTED BUSINESS TO BUSINESS GUIDE FOR THE ACCOMMODATION INDUSTRY ABSEILING SERVICES

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Look for the sign of an Industry Specialist ResortNews | April 2022

BODY CORPORATE MANAGERS

AIR CONDITIONING MANUFACTURERS OF QUALITY BEDDING QUALITY WITHOUT COMPROMISE FACTORY DIRECT PRICES Supplying the Gold Coast, Southern Brisbane and Northern New South Wales regions with quality air conditioning services since 1977.

Call 07 5522 1044

enquiries@climatecontrol.net.au

www.climatecontrol.net.au

ASBESTOS REMOVAL ALL ASBESTOS REMOVED - QUEENSLAND WIDE

• Delivering the highest standard of product designed to give long life and superior comfort • Two sided mattresses used across the entire commercial bedding range • We use only the best quality fire retardant fabrics and foams which also include pest resistant treatments, as well as conforming to Australian standards Sunshine Coast ph 07 5446 7541 Cairns ph 07 4032 5133 sales@themattresscompany.com.au www.themattresscompany.com.au

DO YOU WANT TO CHANGE YOUR BODY CORPORATE MANAGER?

Risk or Repair?

ASSET MAINTENANCE

• CONCRETE FATIGUE & CRACKING? • WATER INGRESS? • POOL JOINTS FAILED; TANKS? • BASEMENT LEAKING; RISING DAMP? • ROOF MEMBRANES FAILED? • CAR PARK JOINTS?

CIWREMEDIAL.COM.AU



Look for the sign of an Industry Specialist

1300 88 53 70 service@ciwremedial.com.au

IT’S EASY CALL...

1300 845 176

WINDOW CLEANING PRESSURE CLEANING ANCHOR TESTING AND INSTALLATION CONCRETE REPAIRS BUILDING MAINTENANCE AND PAINTING SIGNAGE REMOVAL AND INSTALLATION HIGH-RISE WINDOW SEALING

www.bcssm.com.au

Commercial Bedding Specialists

FREECALL 1800 306 316

MB 0433 369 351 W www.ghom.com.au

Personal Service. Trusted Advice.

BATHROOM RENOVATIONS

Leaking Shower?

Gold Coast: (07) 5592 3344

CARPET & FURNITURE CLEANING/PROTECTION

Sunshine Coast: (07) 5447 1210 w w w. L M g o l d s t a r. c o m . a u

Seal 95% of leaking showers without tile removal

SAVE YOUR CLIENTS TIME & MONEY  Shower sealing & regrouting  Shower waterproofing & tiling  Shower renovations

1800 425 903

sleepmakercommercial.com.au

BEDSPREADS & BEDCOVERING PRODUCTS

BROCHURE DISPLAY Sunshine Coast Brochure Display The regions’ original and leading brochure service and provider of information displays

Fully licensed & insured

Book your free quote today

1300 519 133

Look for the sign of an Industry Specialist

0412 587 288

HIA

• We clean carpets, tiles, mattresses and upholstery • Professional maintenance and emergency cleans • Water extraction and flood restoration

Across the Sunshine Coast Call 0438 302 591 www.firstresort.com.au

CLEANING CONTRACTORS

info@suncbd.com.au

www.showersealed.com.au sales@showersealed.com.au

LIFESTYLE

BEDS & BEDDING

www.SunshineCoastBrochureDisplay.com.au

BUILDING MAINTENANCE SERVICES

CLEANING

RESORT & COMMERCIAL CLEANING SERVICING THE SUNSHINE COAST FOR 20 YEARS

David: 0421 618 566 jporter01@bigpond.com

A H A P PY GUEST STARTS WITH

A GOOD N I G H T 'S R E S T 1300 654 000 ahbeardcommercial.com

ResortNews | April August 2022 2021

Look for the sign of an Industry Specialist PREFERRED SUPPLIER DIRECTORY

Look for the sign of an Industry Specialist Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

55

FINANCE

COMPUTER SOFTWARE

FURNITURE - OUTDOOR

GYMNASIUM EQUIPMENT

ACL (364 314)

FR

EE

d an d o io ad m er lo de ial p wn tr do a vi

Suppliers of Quality Commercial Outdoor Furniture & Accessories

Reservations and Trust Accounting Daily Reconciliation – Systematic Distribution Holiday Resident Puma Light No trust accounting

Year 1 $1,100 Year 1 $990

• New Chairs • Tables • Sun Lounges • Umbrellas • Cushions & Accessories • Prompt Service Guaranteed REPAIRS - RESLINGS AND SUPPLY OF REPLACEMENT SLINGS TO P.V.C AND ALUMINIUM OUTDOOR FURNITURE

Year 2+ $599 Year 2+ $440

Motels, caravan parks etc. from

$220 to $330 p.a.

Phone (07) 5446 2135

www.pumasoftware.com.au ELECTRICAL APPLIANCES

Quality Electrical Appliances

fresh finance...

Mike Phipps

0418 765 257

www.casualfurniture.com.au

coastalcasualoutdoors@gmail.com VISIT OUR SHOWROOM AT: Unit 4, No. 2 Cnr Captain Cook Drive and Kendor St, Arundel, QLD

0448 813 090

mike@mikephippsfinance.com.au

Paul Grant 0448 417 754 paul@mikephippsfinance.com.au Personal Service. Trusted Advice.

Gold Coast: (07) 5592 3344 Sunshine Coast: (07) 5447 1210 w w w. L M g o l d s t a r. c o m . a u

ENERGY MANAGEMENT CONSULTANTS & SERVICES

Cameron Wicking

0477 776 859

INSURANCE

cameron@mikephippsfinance.com.au 4/31 Mary Street, Noosaville, Qld - 07 5470 2194

www.mikephippsfinance.com.au

SUPPLYING ALL TYPES OF COMMERCIAL QUALITY FURNITURE, UMBRELLAS & SUNBEDS

Red

LARGE INVENTORY FOR FAST DELIVERY

F I N A N C E

Professional & friendly service Over 30 years finance experience Accommodation funding specialists

AUSTRALIA WIDE BEST PRICES

Nick Smith - 0450 179 677 www.redtenfinance.com.au

info@kudosfurniture.com.au

www.pcsfinance.com.au

FURNITURE

Look for the sign of an Industry Specialist Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

56

A U S T R A L I A

Management Rights Finance Specialists

Brisbane: 07 3252 2219 • Gold Coast: 07 5576 7059 enquiries@pcsfinance.com.au

W I D E

nick@redtenfinance.com.au

Commercial Specialist Direct Importers Sales, Service & Repairs ¾LARGEST RANGE¾FURNITURE ¾UMBRELLAS¾SUN LOUNGES Cnr Main Drive & Nicklin Way, Warana, Qld 4575 | Ph 07 5493 4277 Acres Centre, 1/37 Gibson Rd Noosaville 4566 | Ph 07 5449 9336

www.daydreamleisure.com.au sales@daydreamleisure.com.au

GLASS INSTALLATION/REPAIRS

Specialising in furniture for hotels, motels, serviced apartments, resorts and refurbishments

1300 876 055 dennis@hotelinteriors.com.au www.hotelinteriors.com.au

PREFERRED SUPPLIER DIRECTORY

Look for the sign of an Industry Specialist ResortNews | April 2022

- SUNSHINE COAST MAIL BOXES

The Management Rights Specialists

Quality Aust Products to meet All Building & Government Standards

DELIVERIES QLD WIDE – INSTALLATION & SERVICE IN SE QLD

P: (07) 5596 1440 E: info@sunni.com.au

SUNSHINE COAST ®

MANAGEMENT RIGHTS AGENTS

Matt Campbell 0410 343 219 Barry Davies 0438 554 995

contact@managementrights.com

We’ve got you covered

Property Bridge MANAGEMENT RIGHTS

EBM is your Management Rights insurance specialist.

As industry partners and members of ARAMA, we are proud to support the Management Rights sector.

1300 755 112 | ebm.com.au

AFSLN 246986 ABN 31 009 179 640

www.managementrights.com PAINTERS & DECORATORS

RESORTS

 Discreet Silent Listings  Free Market Appraisals

“Always passionate, committed and professional, you can trust the team at Property Bridge.”

Specialists in management rights Off the plan sales qld & victoria Buying or selling best advice Rod Askew 0411 758 236 (QLD & VIC) Eric Brizuela 0413 060 683 (QLD) Nationwide: 07 3554 0040 Email: sales@rcabb.com.au

www.rcabusinessbrokers.com.au Specialising in Motel & Resort Sales Qld wide

info@propertybridge.com.au propertybridge.com.au …When you need us most!

1800 888 518

MGA was founded in 1975 and has since opened up 38 offices around Australia, offering Insurance products for:

Andrew Morgan m 0417 608 041 p 07 4953 1611 | w qthb.com.au

 Business  Strata  Landlord Protection With quick quote turnaround and hassle-free claims service Call us today on (07) 3720 6000 or email: quotes.brisbane@mga.com

SPECIALIST AGENTS COMMITTED TO MAKING EVERY DEAL A SUCCESS

1800 111 622

INTERNET SERVICES

WWW.STRATACORP.COM

Think Management Rights

• Grounds Maintenance & Landscaping • Signage & Branding

Wayne & Linda Stoll 0452 181 505

wayne@thinkmanagementrights.com.au

• Electrical Services

Narelle Filmer 0459 229 744

WORLD CLASS INTERNET ACROSS QUEENSLAND RESORTS

• Painting

• Audio Visual

narelle@thinkmanagementrights.com.au

www.thinkmanagementrights.com.au

 OPTIC FIBRE & COAX SOLUTIONS  NOT NBN  ENABLE FOXTEL BUSINESS IQ  USE YOUR EXISTING CABLING  FREE AUDIT

- NORTH QUEENSLAND -

CONTACT ANNIE MECKLEM 0410 607 846 | 1300 GIGABYTE

YOUR PARTNERS IN SUCCESS

• Data Communications • Sustainability

Call 1800 620 911 or 07 3718 1600 programmed.com.au

LINEN &/OR LINEN GOODS

Calvin Bailey LREA

0414 889 593 calvin@cbmr.com.au

info@mainlinen.com ResortNews | April August 2022 2021

0414 835 128 alex@cbmr.com.au

CALVINBAILEYMANAGEMENTRIGHTS.COM.AU

Australia’s Leading Hotel Bedding Suppliers

07 5437 8544

Alex Barker-Re LREA

Look for the sign of an Industry Specialist...

Supporting and servicing the needs of both buyers and sellers of management rights throughout Tropical North Queensland

Whatever, Wherever, Whenever! www.accomnews.com.au/ business-directory

PO Box 1037 Gordonvale 4865 • P 07 4056 6366

info@resortsales.com • www.resortsales.com

PREFERRED SUPPLIER DIRECTORY

57

PLUMBERS & GAS FITTERS

- SUNSHINE COAST -

Look for the sign of an Industry Specialist

LOOKING FOR DRAIN PLUMBING & GAS ?

BLOCKED

SPECIALIST

• • •

GENERAL PLUMBING DRAINAGE PROBLEMS GAS-FITTING & MAINTENANCE

24/7 EMERGENCY RESPONSE

CONTACT US 0418 883 752

SHEET METAL

OUR

SERVICES

SOLICITORS

Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

MORE THAN

JUST

LAWYERS EXPERIENCE COUNTS We have the largest team of management rights lawyers across Queensland and NSW. We guide you through management rights every step of the way.

• GENERAL PAINTING

GET THE RIGHT ADVICE

• PROJECT MANAGEMENT • MAINTENANCE PAINTING SOLUTIONS

Stainless Steel Handrails Restaurant Fit-Outs Exhaust Duct Work

• NATIONAL MULTI-SITE PAINTING • SPECIALISED ACCESS

Ph 07 5593 4183

• BUILDING SERVICES • ANTIMICROBIAL SANITISING

Don’t put your accommodation industry investment at risk. Our industry knowledge is second to none.

CONTACT US Receive the best information. Subscribe today to receive continual practical, useful and relevant content.

M 0413 432 294 adrian@sheetmetalimprovements.com.au

1300 HIGGINS www.higgins.com.au

C O O L A N G AT TA T O B E E N L E I G H

SIGNS

Visit hyneslegal.com.au/subscribe or call +61 7 3193 0500 info@hyneslegal.com.au www.hyneslegal.com.au

Buying or Selling Renewing or Reviewing Negotiation & Dispute Resolution We are recognised experts in our field, always outcome focused.

www.amalgamatedgroup.com.au info@amalgamatedgroup.com.au

ASBESTOS REMOVAL QUEENSLAND WIDE

FREE CALL

1800 766 366

FREE QUOTES &ADVICE

Buying & Selling

New Agreements or Variations

General Advice

All at Fixed Fees

Flood Legal offers all the experience & expertise of a big firm while delivering accessible, personal & affordable service that comes with dealing with a small firm.

Painting, High Rise, Interior & Exterior and Building Rectification Brisbane – Gold Coast – Sunshine Coast W. Wilkopainting.com.au P. 1300 945 564

58

Look for the sign of an Industry Specialist...

Call Sharon Flood, Director 0459 070 871 or 02 6674 5118 sharon.flood@floodlegal.com.au www.floodlegal.com.au

PREFERRED SUPPLIER DIRECTORY

Leading Sunshine Coast Law Firm

Need advice regarding: • Buying / Selling • Legal due diligence reports • Variations including top up of term • Renewals/Extensions • Management & Letting Agreements • Body Corporate Issues • Off Plan Developments Get it right the first time…call

Griffiths Parry Lawyers

T: 07 5390 1400 www.gplaw.com.au

ResortNews | April 2022

SWIMMING POOL SUPPLIES/REPAIRS

VALUERS - REAL ESTATE MANAGEMENT RIGHTS VALUATION SPECIALISTS

Look for the sign of an Industry Specialist...

Heat Pumps

Proudly installed and serviced

LIVE CLASSES at Logan Central

or Anywhere via Zoom

SPECIALIST EXPERIENCE IN MANAGEMENT RIGHTS

Australian Valuers have proven to be the No.1 choice for this highly specialised work. Our valuation team operate on a national level providing advice to the majority of Australia’s Banks

australianvaluers.com.au mlr@australianvaluers.com.au 1800 664 094

Noosa 5449 7855 | Maroochydore 5443 2111 Caloundra 5438 1588 Level 7, Wyndham Corporate Centre, 1 Corporate Court, Bundall Q 4217 Email: paul.jones@spglawyers.com.au

Call Paul Jones on 5570 9306

CERVETTO COURTICE L AW Y E R S QUEENSLAND

Management Rights Sales & Purchases Phone: (07) 3202 2266 Fax: (07) 3812 1128 Email: cervettocourtice@outlook.com

Management Rights, Body Corporate and Property Law Specialists 10/1 Lanyana Way, Noosa Heads T 07 5474 5777 E info@siemonslawyers.com.au siemonslawyers.com.au

20 • equipment • repairs • regular servicing • maintenance • chemical supplies • swimming aids & toys

153 Cooyar Street, Noosa Junction (07) 5447 3896 shop@noosapoolandspa.com

TRAINING & DEVELOPMENT

Classes from Coolangatta to Cairns REAL ESTATE LICENSING COURSES

The only specialist Management Rights valuation company in Australia (with 25 years experience)

PRET AUSTRALIA Professional Real Estate Training Since 2006 Resident Letting Agent Licence Course Real Estate Agent Full Licence Course

Valuations for all purposes - National Coverage Major Lenders - Consultancy - COVID-19 Advice

Conducted LIVE by Friendly, Experienced Industry Trainers

WHEN EXPERIENCE MATTERS

ENROL Today (07) 3878 8513

Alex McCowan 0417 405 115 or Alison Sun 0416 181 285

Bonus FREE CPD Workshops & Ongoing Support for Graduates

Valued up to $2000 per annum (conditions apply)

admin@accomvaluers.com.au

www.accomvaluers.com.au

email info@pret.com.au visit www.pret.com.au

RTO Number 31303

TV & VIDEO HIRE/REPAIRS

Appliance Rental Specialists

Personal Service. Trusted Advice.

Gold Coast: (07) 5592 3344

Look for the sign of an Industry Specialist

1800 080 349 www.propertytraining.edu.au

Sunshine Coast: (07) 5447 1210

Look for the sign of an Industry Specialist

w w w. L M g o l d s t a r. c o m . a u

Save time... Do it Online!

Whatever, Wherever, Whenever!

www.accomnews.com.au/business-directory ResortNews | April August 2022 2021

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