Informer Issue 98 by Resort Brokers

INFORMER I S S U E N O. 9 8

AU S T RAL I A ’ S BES T ACCO M MODAT I ON IN V E S T M E N T SH OWCAS E

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FINANCE FINANCE AVAILABLE,AVAILABLE, PLEASE ENQUIRE PLEASE TODAY!! ENQUIRE TODAY!!

Inclusions: Inclusions: Inclusions: Inclusions: Inclusions: Stone Top Bronze Bronze PackagePackageSilver Package SilverGold Package Package 1x1x Headboard Headboard 1x Side Table 1x Side1xTable Headboard 2x2x Bedside Bedside Tables Tables 1x Floop Lamp 1x Floop 2x Bedside LampTables 2x2x Bedside Bedside Table Lamps Table1x Lamps Dining Table 1x Dining 2x Bedside Table Table Lamps 2x2x BedBed ThrowThrow Cushions Cushions 2x Dining Chairs 2x Dining 2x Bed Chairs Throw Cushions 1x1x BedBed End Runner End Runner 1x Luggage Rack 1x Luggage 1x Bed End Rack Runner 1x1x Artwork Artwork 1x Desk Chair 1x Desk1xChair Artwork 1x1x Occassional Occassional Chair Chair 1x Occassional Chair 1x1x DeskDesk & Mini & BarMini Bar 1x Desk & Mini Bar

Optional Optional Extras:Extras: $4,320.00 +GST

Sofa Sofa Inclusions: Inclusions: Sofa Sofa Throw Throw CushionsCushions 1x1x Headboard Headboard 1x Side Table 2x 2x Bedside Bedside 1x Floop Lamp Coffee Coffee TableTables TableTables

1x Side Table 1x Headboard1x Headboard 1x Side 1x Side Table Table 2x Bedside Tables 1x Floop 1x Floop Lamp 1x Floop2x Lamp Bedside Tables Lamp 2x Bedside Table Lamps 1x Dining Table 1x Dining2xTable Bedside Table Lamps 1x Dining Table Bed Throw Cushions2x Dining 2x Dining Chairs 2x Dining2xChairs Bed Throw2xCushions Chairs 1x Bed End Runner 1x Luggage 1x Luggage Rack 1x Luggage 1x Rack Bed End Runner Rack 1x Desk Chair 1x Desk 1x ChairArtwork 1x Artwork 1x Desk Chair 1x Occassional 1x Occassional Chair Chair 1x Desk 1x Desk & Mini Bar& Mini Bar

Optional Extras: $4,320.00 +GST

Sofa Inclusions: Sofa Throw Cushions 1x Side1x Table Headboard 1x Floop 2x Bedside Lamp Coffee TableTables

2x2x Bedside Bedside Table Lamps Table 1x Lamps Dining Table 1x 2x2x BedBed ThrowThrow Cushions Cushions 2x Dining Chairs 2x 1x1x BedBed End Runner End Runner 1x Luggage Rack 1x 1x1x Artwork Artwork 1x Desk Chair 1x 1x1x Occassional Occassional Chair Chair 1x1x Desk Desk & Mini & BarMini Bar

Dining 2x Bedside Table Table Lamps Dining 2x Bed Chairs Throw Cushions Luggage 1x Bed End Rack Runner Desk1xChair Artwork 1x Occassional Chair 1x Desk & Mini Bar

Optional Optional Extras:Extras: $4,320.00 +GST

Optional Extras: $4,320.00

Optional Extras: Optional Extras: $4,990.00 +GST

$4,990.00 $6,220.00 +GST +GST

Sofa Sofa Inclusions: Inclusions: Stone Top Sofa Throw Cushions Sofa Throw Cushions 1x Side Table 1x Headboard 1x Headboard 1x Side 1x Side Table Table 2x Bedside 1x Floop Lamp 1x Floop2x Lamp Bedside Lamp Coffee TableTables 1x Floop Coffee TableTables 1x 2x 1x 1x

2x Bedside Table Lamps Dining 2x Table Bedside Table Lamps 1x Bed Throw Cushions Dining 2x Chairs Bed Throw2xCushions 2x 1x Bed End Runner 1x Luggage 1x Rack Bed End Runner 1x Artwork Desk 1x ChairArtwork 1x 1x Occassional Chair 1x Occassional Chair 1x Desk 1x Desk & Mini Bar& Mini Bar

1x Dining Table Dining Table 2x Dining Chairs Dining Chairs 1x Luggage Rack Luggage Rack 1x Desk Chair Desk Chair

Optional $4,990.00

$4,990.00 $6,220.00

Extras: Optional Extras:

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1300 876 055 Call 1300 Dennis Clark now on876 0421 384 212055 Call Dennis Clar

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or email admin@hotelinteriors.com.au or email admin@ to discuss your requirements to disc

Call Dennis Clark now on 0421 384 212Call Dennis Clar or email admin@hotelinteriors.com.au or email admin@ to disc to discuss your requirements

Contents

12 16 22 24 36 Faces of the Industry

Our Guide to some of the Best Roadtrip Properties

The Retro-fication of the Roadside Motel

Start your engines and check out these great travel ideas which will inspire you to hit the road

Victory in Victoria

It’s a win-win for operators and travellers as ResortBrokers successfully campaigns to change accommodation laws

Tourism Australia Chair Bob East on when he thinks international borders will re-open

Management Rights Market Update ResortBrokers hosts a management rights event at the new Rydges Gold Coast Airport.

Across Australia, motels are being transformed into a throwback to the golden era of road trip travel

Management Letting Rights Rental Demand

Regional Spotlight: Sunshine Coast

E-sign: The future of Contracts

Brokers Insight: Jason Vogler

Operator Profile

MLR businesses are showing great value, thanks largely to record low rental vacancy rates

It’s going gangbusters following border closures, and we look at why this region is performing well during COVID-19

What happens now that we have an increase in the prepandemic use of electronic signatures in contracts and other documents?

He’s owned three successful motels and ResortBrokers’ Jason Vogler shares his tips on how to ‘wow’ guests

Lifestyle Villages on how they became a major player in the caravan park and MHE space

R E G U L A R F E AT U R E S

on the market

SOLD PROPERTIES

BROKER PROFILE

RELIEF MANAGERS

MEET OUR TEAM

Managing Director Trudy Crooks on how the industry is adjusting to the ‘new normal’

See some of the properties ResortBrokers has sold recently

We find out what makes our Central West NSW Specialist Chris Kelly tick

Taking a holiday? Need a manager? Find one here

ResortBrokers' national directory

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PREFACE

A Retro Road Trip Down Memory Lane WORDS_IAN CROOKS, CHAIRMAN

nyone who knows me is well aware that I’m a bit of a sucker for the good old days, so when the idea was floated to theme this issue of Informer with “The Return of the Good Old Fashioned Road Trip”, there was absolutely no argument from me. In the days when international travel was affordable for only a small percentage of people, the road trip was a way of life. Without getting all

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sentimental, I remember fondly the thrill of loading the car up with too much luggage and lots of unnecessary things like beach toys and footballs and the kids, of course! Most times it didn’t really matter where you went, although the beach was always popular, as it was all about hitting the road and spending some “quality” time together on a long drive. The end destination was usually a motel, similar to the ones my wife

Karin and I used to run back in New Zealand in the 1970s, which were pretty basic with your parking bay right out the front door, a couple of beds, chair and table and a television with two channels. Our main feature story covers the “retro-fication” of these classic old motels into fantastic reminders of this bygone era. In the last few years, I’ve noticed this trend taking hold and it’s proving a real master stroke by some operators as demand for these properties is going through the roof. Travellers are increasingly seeking out a unique experience from where they stay and these restored motels are in vogue right now. Take a drive down the Gold Coast Highway and you’ll see what I mean. A lot of the motels that line the highway have resurrected their retro signage and undergone refurbishment and it’s really lifted that whole strip. There has been very few silver

linings out of this pandemic. Perhaps the only one is the return of the good old fashioned road trip and the renaissance of the motels that are an important part of our history and embedded in our culture. Australians have rediscovered their love of the open road and embraced the old school way of travelling. I like it. Tourism Australia chairman Bob East talks us through how he thinks the recovery from COVID-19 could pan out and he’s predicting a possible return to international travel by

sectors which is actually benefiting from the disruption is the permanent management rights market. We cover this off in one of our news-features which looks at the increasing value of permanent MLRs, especially in south east Queensland, and why record multipliers are being achieved. Back to the road trip theme and our broker based in the Queensland town of Warwick, Jason Vogler, provides an excellent piece on why, and how, moteliers need to ‘wow’ their guests with an experience that turns them

Chris Kelly, our broker in the central west of NSW, is also covering a motel-heavy region and, as one of our newer members of the team, we’ve done a Q&A with the self-confessed farm-boy to find out what makes him tick. Right, that’s enough from me. All this talk about road trips and old motels has me fired up. I’m going to dust off my yellow Datsun 180B and see where she takes me! E N D

“The retro-fication of motels is proving a real master stroke by some operators as demand for these properties is going through the roof.” early 2022, although he’s remaining cautiously optimistic as anything could happen between now and then. I’ve known Bob for many years and we did a lot of work with him while he was CEO of Mantra. He says the rapid rise of domestic tourism, thanks to international border closures, has been surprising to everyone in the industry and he correctly points out that this is one of the few positive outcomes from the pandemic. The Sunshine Coast is one of those regions that has actually benefited from the border closures and lockdowns. It’s running full on weekends and our Sunshine Coast specialists Glenn Millar and Chenoa Daniel have given us an insightful rundown on what’s going on in their patch and how they’re dealing with this demand from travellers and accommodation operators. The pandemic has affected so much of our industry, but one of the other

into repeat guests. Jason covers a massive area which is motel-driven and he’s owned and operated three successful motels, so he knows what he’s talking about. His overview actually applies to all accommodation types.

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ON THE MARKET

WORDS_TRUDY CROOKS MANAGING DIRECTOR

What a difference 12 months can make This is the first Informer we’ve published since the pandemic forced border closures and lockdowns which resulted in the chaos, uncertainty and fear that defined 2020.

ince March 2020 when it all kicked off here in Australia, it’s been a rollercoaster ride for most people in the industry but the onset of 2021 has changed everything. Confidence has returned to the market as we all adjust to the “new normal”. As I write this, some economic data has hit the headlines which goes some way to explaining why this is the case: Australia’s rapid recovery from the worst downturn in nearly a century has been confirmed by national accounts figures which showed the economy expanded by 3.1 percent in the December quarter. This means that Australia’s economy is now only 1.1 percent smaller than it was a year ago, according to Australian Bureau of Statistics data, and this has given accommodation buyers the impetus to get back into the market and they’re out in full force. The only issue with this is that there isn’t enough stock to meet the demand, especially in places like Brisbane and the Sunshine Coast. On the back of all this, pretty much every analyst in Australia is predicting a low interest rate environment for at least the next three years which means investors have an

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even more compelling reason to go on the hunt for new businesses. This is driving the tightening of cap rates across assets which have managed to trade well during the pandemic. This indicates that prices in the market are rising and that investors perceive investment in these assets as a low-risk, high reward asset class relative to other options. One of the biggest issues we faced during the height of the pandemic was how to value a property and we spent a large part of 2020 talking with valuers, accountants and finance brokers trying to work out a fair and equitable formula for sellers and buyers, given most operators were reporting a drop in revenue which is obviously a short term issue. The bottom line is that if you’re looking to sell, you’ll need at least three years of financials, preferably along with evidence of future bookings. We’ve successfully brokered deals during the worst of the lockdowns and border closures this way and it works. Conversely, some regions such as Yeppoon, Sunshine Coast, northern NSW, Port Macquarie and inland NSW have actually benefitted from the pandemic because of the rapid rise in domestic drive tourism. These places are going gangbusters and their sudden rise in revenue will need to be assessed on the basis of whether it is sustainable into the future. Buyer interest in these regional areas is at all-time highs. Domestic tourism has bounced back better than most in the industry expected and it has ‘absorbed’ some of the loss of overseas travellers and this is why the regions have benefited from this.

This return to the good old fashioned road trip has some destinations absolutely pumping on weekends and during school holidays and the ‘no vacancy’ signs are up on a regular basis.

A good example of this was the sale of the Hunter Gateway Motel near Maitland which was sold for $8.5 million to specialist regional accommodation investment fund, John Zeckendorf’s Mandala Asset Solutions. It sold so quickly that we didn’t have time to list it properly. The Hunter Valley overall is attracting a mix of corporate guests midweek and leisure visitors on weekends who travel there for wine tours and concerts, which is a major driver of revenue for the region. There’s also massive infrastructure investment underway in the mining industry which is expected to drive the economic development of the Hunter region. Research conducted by the NSW Minerals Council says economic benefits of all major mining projects underway in the Hunter totals over $2.7 billion in capital investment and will create around 3,700 jobs. This regional rebirth brought on by the international border closures is benefiting most destinations within two to three hours of large population centres, like the Hunter Valley, which is reporting large numbers of Sydney visitors. This return to the good old fashioned road trip has these destinations absolutely pumping on weekends and during school holidays and the ‘no vacancy’ signs are up on a regular basis. We know of people who’ve driven to places like Byron Bay and Batemans Bay and had to turn around and head home because there is absolutely nowhere to stay. The international border closures, however, have caused heartache for some destinations and their operators. For example, Cairns and far north Queensland is really struggling right now and that’s because traditionally 40 percent of the market in this region is from overseas and obviously that’s a big hit. And because it’s a fairly remote location, the far north hasn’t reaped the benefits of the increase in domestic drive tourism. Capital city accommodation assets, particularly in Brisbane, Sydney and Melbourne, also rely on international travel as well as the corporate market. These could take three years to return to pre-COVID demand levels but some operators with strong balance sheets believe these CBD operations will revert to their longer term, and strong, fundamentals and are still worth considering as investments in the future. The capital city markets definitely need a return of the corporate market and this potential has been helped with the rollout of the COVID-19 vaccine. As this year progresses, I think we’ll see more confidence from businesses to resume travel and hold conferences. If hotel operators can attract enough domestic tourists with targeted campaigns and be ready for a return of the

corporate market, then this could help them through this challenging environment. Destinations aside, two asset classes which are performing really strongly because of the border closures are caravan parks and permanent management rights. The parks are in huge demand right now from operators and investors thanks to the massive increase in domestic tourism. Some of these caravan parks are located in the best coastal locations, right on the beach or river, and they have the added advantage of sitting on exceptional pieces of real estate. Any park that is showing a high net profit and is run well under management is in the sights of serious investors. As for management rights, the guaranteed body corporate salary (often with annual CPI increases) is a major drawcard for investors, and for lending institutions as well, because of the solid nature of the investment. The bottom line is that despite the “new normal”, deals are still being done. We’re finding ways to overcome any obstacles. END

Incredibly low rental vacancy rates are helping drive demand for these assets and we achieved a record multiplier of 6.1 for the sale of the 305-unit Atrium at Buderim on the Sunshine Coast which changed hands for for just under $5 million.

The management rights to Tingirana, Noosa settled just before Christmas, which was one of our largest holiday-MR deals and the first to be done post-COVID.

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S E R V I C E D A PA R T M E N T S 55 APARTMENTS 53 LETTING 25 YEARS 2 STOREY TOWER MANAGER’S RESIDENCE 1 BED 1 BATH

Quest Ballarat B A L L A R AT , V I C

REF // L H 0 0 6 5 8 2

Newly Renovated Quest with huge Net Profit Offered exclusively by ResortBrokers is the leasehold interest in Quest Ballarat. The property comprises 55 keys (2 currently used by owner). This historically significant building (formerly a convent) has been restored and refurbished to the highest standards including new carpets, painting, floating floors and a complete furniture package upgrade. Quest Ballarat is located in the city centre, within walking distance to the newly completed Convention Centre and new government offices. Since opening 10 years ago under the current owners, the business has gone from strength to strength. This business has become a market leader in achieving very high occupancy and higher than industry average daily rate. A quality gymnasium, business centre and conference room opening to a magnificent open aired courtyard ensure repeat corporate trade. With 25 years remaining on lease, now is the perfect chance to join the Quest network. 87% Occupancy Consistent year on year growth Historic beautifully presented building Extensive refurbishments completed December 2020. Local government spending on infrastructure, long 25 year lease 53 keys catering to corporate and leisure guests Huge Net Profit

Net Profit $628,111 Turnover $2,805,195 Price $2,500,000

DAMIEN LOORHAM

BROKER

+61 409 399 932 damien@resortbrokers.com.au

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HOTEL FREEHOLD GOING CONCERN 12 TOWNHOUSES 11 LETTING

MANAGER’S RESIDENCE 3 BED

Hinchinbrook Resorts Channel Inn LUCINDA, QLD

1 BATH

REF // F H 0 0 5 6 4 2

A true lifestyle business in the glorious Hinchinbrook waterway Hinchinbrook Resorts Channel Inn is located at the southern entrance of the pristine Hinchinbrook Channel at Lucinda and offers an unparalleled gateway to Hinchinbrook Island and The Great Barrier Reef. The freehold going concern of Hinchinbrook Resorts Channel Inn comprises of a mini-mart café/ take-away, licensed restaurant and commercial kitchen, cold store and dry store. The property is underpinned with a commercial liquor license. Also on offer is the business accommodation which includes the caretaking and letting rights for 11 x villas, one, two & three bedroom townhouses. A large reception area with work shed and pontoons also make up the operation. On the top floor above the restaurant is also 2 x three bedroom apartments, suitable for owners to live on site and have a resident manager. The price includes the freehold of the resort and is underpinned by a successful operation catering to an array of consumers and holiday/ corporate guests. Year on year growth Large net profit 110 solar panels added to the building assist with energy consumption/costs New 65kw generator installed Experienced staff to assist with transition Lifestyle business

Net Profit $238,251 Turnover $1,722,332 Price $1,700,000 +SAV

DES FAGG

BROKER

+61 427 849 119 des@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

ARTIST IMPRESSION

OFF THE PLAN MANAGEMENT RIGHTS 126 TOWNHOUSES 8 0 % P R OJ . L E T T I N G P O O L 25 YEARS

Evoke, Motif & Taigum MCDOWALL & BRIDGEMAN DOWNS, QLD

REF // O T P 0 0 6 5 7 1

Large Netting Northside Off The Plan Business-Only This exciting off the plan business-only bundle offers an experienced operator a superb add-on opportunity comprising a total of 126 townhouses situated in prime locations of inner-north Brisbane. Evoke will comprise 45 townhouses with communal pool and BBQ area for resident’s use. Motif is a larger site with 70 lots, central elevated gardens, pool and pavilion. The development at Taigum is a great add-on with 11 townhouses, no communal facilities and limited caretaking requirements.

ARTIST IMPRESSION

These stunning new complexes will have the same high-level design and build standards as all Keystone Urban Development projects including quality finishes and superb on-site amenities. Each complex comes with brand new 25 year Caretaking and Letting Agreements and together they offer a combined Body Corporate salary of $160,500. The projected net is based on an 80% investor profile and the developer has sold out Evoke, with construction well-progressed and delivery of Stage 1 due in June 2021. Stage 2 has also commenced construction and is expected to complete in September 2022. Motif has strong sales already with construction expected to commence in May 2021, simultaneously with Taigum.

Projected 80% investor profile for all three complexes Brand new 25 year tenure to Caretaking and Letting Agreements No set office hours or requirement to live on-site All three high growth locations have strong investor & tenant demand 10 min drive between Evoke & Motif and 15 mins to Taigum Option to purchase a stunning manager’s townhouse of your choice

ARTIST IMPRESSION

Combined Net Profit $456,893 Price $2,330,153

TIM CROOKS

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ARTIST IMPRESSION

GARETH CLOSTER

D I R E C TO R

BROKER

+61 422 208 450

+61 423 182 766

tim@resortbrokers.com.au

gareth@resortbrokers.com.au

F R E E H O L D RESORT 6 CHALETS

6 LETTING

112 ACRES

ecOasis Resort UKI, NSW

REF // F H 0 0 6 5 2 3

A truly majestic property in a very unique part of the world. This resort is a world away, located in nature’s cradle with magnificent views and surrounded by world heritage rainforests. Set on 112 acres of land, with views to the iconic Mount Warning, this property boasts six beautiful chalets that are nestled in the pristine and ancient world of the northern New South Wales hinterland. Just two hours from Brisbane, 40 mins from Gold Coast airport, 35 mins from Byron Bay, and a million miles from everywhere. The Tweed / Byron area is fast becoming Australia’s capital of the “Hinterland Getaway”. This property has all the infrastructure in place and has all required operational government licences to operate and to run events with potential to expand. 112 acres of pristine hinterland Land zoning will enable potential further eco accommodation expansion Gateway to world heritage national parks Potential DA in place for 3 more chalets Pristine Rainforest with Koala Colony Market outlook is extremely strong in this sector 6 luxury chalets Separate private residence Small events space Separate reception building Utilities and kitchen building

Net Profit On Request Turnover On Request Price Expressions of Interest

GREG JAMES

BROKER

+61 416 247 068 greg@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

WORDS_BEN HALL

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For those who are old enough, remember back in the day when you’d pull into a roadside motel in the family sedan, and pile excitedly into your room where you could make an instant coffee from a sachet on a tiny table with a single chair. The shower also had sachets containing tiny little bits of soap and a plastic shower curtain provided a mild sense of modesty. If you were really lucky and prepared to splash the cash, you might even get a colour TV and complimentary Scotch Finger biscuits, also in little packets. It was a lot of fun and all part of the excitement of the road trip which became a quintessentially Australian tradition. Friday afternoons, especially at the start of school holidays, often produced a convoy of family cars snaking their way up and down highways as they headed for their favourite motel. Now, the road trip is making a comeback. This time, however, travellers are gravitating toward properties that are quirky, fun and experiential and this has spawned a new trend towards the “retro-fication” of the old school motels. Why is this? A quick history lesson first. The concept of the motel, which is a portmanteau of ‘motoring’ and ‘hotel’, was conceived in the US in the 1920s and 1930s as interstate highways like Route 66 were built and cars became more affordable. Typically, these rooms opened directly onto a parking lot and were designed for the road-weary. They offered an affordable alternative CONTINUED ON PA G E 1 4 I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

a, Qld ing at Bil La

Motel Costa

S BEEN “OUR DESIGN HA COLOURS INSPIRED BY THE PAY S H O M A G E O F H AVA N A A N D OTEL TO AUSTRALIAN M OF THE 60S.” AC C O M M O DAT I O N - Aaron Rowe

to pricey hotels and more comfort than dodgy roadside auto camps. The rooms were basic but their owners created eye popping facades to catch the tired eyes of passing drivers. That same trend took hold in Australia in the 1950s and hit its peak in the 1970s and 1980s. The gentrification of US motels into retro-kitsch homages to the past began around 20 years ago and those unique facades were key to that strategy. Many of the signs, made out of colourful stucco, plastic and adobe were influenced by the Pop Art movement and are now considered historically important as well. As Australia followed the trend of the original US roadside motel, so too has it copied the retro-fication of those same roadside accommodations. Across Australia, these motels are being transformed into a throwback to the golden era of road trip travel and the Cubana motels at Ballina and Nambucca Heads have perfectly captured the playful vintage hotels from a bygone era.

“The design has been inspired by the colours of Havana and pays homage to Australian motel accommodation of the 60s,” says Aaron Rowe who, with Tracy McKinley, established The Cubana Group in 2019. “The name ‘Cubana’ actually came to us when we signed our first contract for the motel in Ballina which, when it first opened in the 60s, was called Cubana,” he says. “The Cubana Group’s design and brand concept is ‘Live in Colour’ which is evident at first sight, with a rainbow of colours stretching from one side of the building to the other, with each room door opening up to its own unique colour palette.” The C uban

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Travellers are gravitating toward properties that are more quirky, fun and experiential and this has spawned the new trend

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Their inspiration for this concept was borne out of a direct experience as a guest and helped create the idea that Australia’s classic old motels could be transformed from drab to chic. “During our first real family road trip, from Sydney along the north coast of NSW, we stayed in various dull family-style accommodation on a family budget,” Tracy McKinley recalls. “We were disappointed with our options and saw a huge gap in the market for really good quality rooms and facilities at a price point which is competitive. “We try to give our guests more than they expect - fresh colourful rooms, minibars, pool towels, free bike and paddle board usage, and food and beverage offerings. “In Ballina, there is a retro caravan at the front, serving coffee, breakfast, snacks and lunch. At Nambucca, we’ve renovated and rebranded the restaurant, offering a dining experience unlike anywhere else in the area. Our guest reviews have been excellent, and we’re now experiencing many return visits and longer stays.” The Pink Hotel Coolangatta is another “old school” motel which has embraced its heritage along with Halcyon House at Cabarita Beach and La Costa Motel at Bilinga on the Gold Coast. The retro-fication process has perhaps also been helped by high profile comedian and design buff Tim Ross who published a book simply called Motel, which captures the heyday of Australia’s motels via a deep trawl through the National Archives of photographs between 1950 and 1989. “In a country where travellers typically stayed in pubs with shared bathrooms, driving right up to the front door for a nightly sojourn in a room where your breakfast magically appeared through a hatch was an absolute revelation,” Ross says. “They (motels) were always beacons of modernity for Australians. These American-style motels landed in the suburbs and regions and our cities, and certainly for people in the 1950s who went to the original ones, it was like walking into an Elvis movie. And that stuck with us.” These restored and redesigned motels have also benefited from the Instagram Generation which is drawn to kitsch and colour and the nostalgia is then published and shared amongst Millennials who have emerged as the hip new wave traveller. The final word from Tim Ross: “That feeling that our parents and grandparents have just gets passed down, and those little moments of excitement of a hotel sit deep within our psyche.” END

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WORDS_BEN HALL

FIRST IN A SERIES STAY TUNED FOR PART 2

Our guide to some of the best roadtrip properties PA C K T H E C A R B O O T, F I L L T H E TA N K A N D G E T R E A DY T O H I T THE ROAD WITH OUR PICK OF SOME OF THE BEST PLACES TO S TAY I N A U S T R A L I A . If you’ve ever dreamed of hitting the open highway on an epic road trip adventure, then Australia is the type of place which can provide a range of unforgettable experiences. The outstanding landscapes, wide open spaces, orange-red sunsets and wildlife all combine to create the perfect backdrop to exploring the country by road. To help get you started with planning, ResortBrokers takes you on a road trip in part one of a series in our guide to some of the best properties that we’ve sold or listed, in locations that are tailor-made for road tripping, from the deep north to northern NSW, Victoria, Tasmania and the Outback and Western Australia.

Cedar Glen Farm Stay Darlington

Blue Waters Motel Kingscliff

Mantra Quayside Port Macquarie

Whale Motor Inn Narooma Lennox Beach Resort Lennox Head

Cubana Nambucca Heads

New South Wales, South East Queensland. I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

From the Pristine Wilderness of Tasmania to the Rugged Outback Town of Coober Pedy, Road Tripping In Australia Offers A Wide Variety of Experiences¬

Victoria, South Australia, Tasmania.

Big4 Stuart Range Outback Resort Coober Pedy

Victor Harbor City Inn Victor Harbor

Lakeview Motel & Apartments Robe

Quest Ballarat Ballarat Murray River Resort Moama

Motel on A’Beckett Inverloch

Coonawarra Motor Lodge Penola Panorama St Helens St Helens

Burnie Oceanview Motel & Caravan Park Burnie

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Western Australia P I C T U R E S Q U E B E AU T Y.

Footprints

Preston Beach 1.5 HOURS SOUTH OF PERTH

Dunsborough Beach Cottages

Dunsborough Beach

3 HOURS SOUTH OF PERTH

Northern Territory DISCOVER ADVENTURE.

Devils Marbles Hotel

Devils Marbles 4 HOURS NORTH OF ALICE SPRINGS

North Queensland

PRISTINE OASIS.

Mist

Cape Tribulation 2 HOURS NORTH OF PORT DOUGLAS

Nimrod Resort

Port Douglas 1 HOUR NORTH OF CAIRNS

Coral Cove Apartments

Bowen 2.5 HOURS SOUTH OF TOWNSVILLE

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MOTEL F R E E H O L D G O I N G CO N C E R N

24 ROOMS

MANAGER’S RESIDENCE 3 BED 1 BATH

Tropixx Motel INGHAM, QLD

REF // F H 0 0 6 5 9 6

Strong Trading Motel, in a richly diverse location If you’re looking for an already-successful Freehold Going Concern in an outstanding location with huge potential this is a must inspect. The original owners have developed this motel from new to the highest standard and all 24 rooms are well-appointed and maintained. In fact, the current vendors pride themselves on the clean and well-presented rooms which are a mix of twin, queen and family accommodation with multiple letting opportunities of disabled rooms and a pet friendly room. The business incorporates a very successful restaurant, Flames at Tropixx restaurant with seating capacity of 40 inside and 40 outside. This will provide the incoming operator an additional income stream. The motel enjoys a strong repeat corporate clientele and often hosts regular holiday makers from around North Queensland due to the tourist locations and events hosted in the town. The owner’s residence is a spacious three bedroom, fully air conditioned unit. It has recently been painted throughout and fitted with a modern kitchen/ dining and living area, as well as a private laundry. In addition there is also private courtyard for outside enjoyment.

Full highway frontage on the Great Green Way Great family lifestyle in a friendly country town Fully air-conditioned, spacious, self-contained 3 bedroom manager’s residence Facilities: swimming pool, wifi, BBQ facilities, Disabled facilities, guest laundry Low maintenance construction & gardens Walking distance to acclaimed Tyto Wetlands and Arts Precinct

Net Profit 6 MONTHS JULY/ DEC 2020: $246,723 FINANCIAL YEAR 19/20: $199,094 Turnover

6 MONTHS JULY/ DEC 2020: $425,796 FINANCIAL YEAR 19/20: $661,523

Price

$2,400,000

DES FAGG

BROKER

+61 427 849 119 des@resortbrokers.com.au

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

Expertise Expertise We provide expert legal advice across all issues affecting the purchase, We provide expert legal advice across all issues affecting the purchase, sale, management and asset protection of both franchised and independent sale, management and asset protection of both franchised and independent motels, caravan parks, pubs, hotels and resorts nationwide.

motels, caravan parks, pubs, hotels and resorts nationwide.

You can be assured that your matter will, at all times, be managed by a You can be assured that your matter will, at all times, be managed by a senior lawyer with specific skills and extensive industry experience.

senior lawyer with specific skills and extensive industry experience.

David Burrough

David Adolphe

Consultant David Burrough

Acc.David Spec. (Bus.) – Qld Adolphe

Special Counsel Acc. Spec. (Bus.) – Qld

Consultant

07 3228 6112 davidb@hillhouse.com.au

David Burrough has been practising almost exclusively Burrough has been inDavid Tourism and Hospitality practising exclusively Law for overalmost 25 years and Tourism and Hospitality isinwidely recognised as a leader in over this area. Authentic Law for 25 years and and direct recognised in his approach; is widely as a David your unique leaderwill in assess this area. Authentic set circumstances and andofdirect in his approach; advise through David and will guide assessyou your unique the commercial and setmany of circumstances and practical considerations advise and guide you through to ensure you reach your the many commercial and desired outcome.

practical considerations to ensure you reach your desired outcome.

07 3220 1144 davida@hillhouse.com.au

David Adolphe is a Queensland Special Counsel Law Society Accredited David Adolphe is a Queensland Business Law Specialist and Society Accredited hasLaw been in practice for 17 Business Law Specialist and years. He has advised clients in all businessfor 17 hasmanner been inofpractice transactions a clients years. He and has takes advised specific interest in in all manner of Tourism business andtransactions Hospitality matters. David and takes a takes a practical approach to specific interest in Tourism delivering the best matters. possible David and Hospitality strategic legal advice to clients takes a practical approach to on all aspects of business delivering the best possible and commercial law matters.

strategic legal advice to clients on all aspects of business and commercial law matters.

Hillhouse Legal Partners will partner with you to deliver simply strategic, smarter legal solutions.

For experienced advice, contact our legal team today.

Hillhouse Legal Partners will partner with you to deliver simply strategic, smarter legal solutions.

For experienced advice, contact our legal team today.

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

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LEGAL

Victory in Victoria Alex Cook, Director of ResortBrokers, spearheaded the lobbying campaign

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A WIN-WIN FOR OPERATORS AND TRAVELLERS ResortBrokers’ Director Alex Cook spearheaded a year-long campaign with Victorian state government to achieve a key amendment to a recent Owners Corporation (OC) reform Bill – effectively saving the future of short-term management rights in the state. The amendment brings benefits to a variety of stakeholders - maintaining a valuable service for lot owners, providing short-stay operators with growth opportunities, offering travellers with more choice of where to stay in years to come and bolstering the state’s tourism industry and economy. The ‘Owners Corporation and Other Acts Amendment Bill 2020’ passed through the Upper House of Victorian Parliament in February. It covers a broad range of reform around the functioning of strata titled buildings, particularly regarding relations between OC Managers and OC Committees. ResortBrokers led a campaign to amend a particular section of the original legislation (67B) which imposed a blanket restriction on developers from entering an OC into any management agreement for more than a three year term. Without the amendment, the legislation would have effectively killed new short-stay operations within strata apartment buildings in Victoria. The company engaged with key ministers including the Victorian Treasurer, Minister for Tourism and the Minister for Consumer Affairs and successfully achieved an amendment to the Bill which protected contracts that facilitated hotel and serviced apartment operations by exempting them from the restrictions of Section 67B. Well known hotel and serviced apartment brands that operate under this structure include Mantra, BreakFree, Oaks, AVANI, Imagine and Arise. They manage thousands of hotel rooms and serviced apartments in Victoria, providing an essential contribution to the state’s tourism/corporate stay industry. “The amendment was vitally important as it permits the security of tenure necessary for short-term operators to invest the significant amount of time and capital necessary to establish a successful and professional short-stay operation. It also ensures tourists and travellers staying in Victoria have

the option of staying in a growing number of professionally run serviced apartment buildings moving forward. And for lot owners it maintains a valuable and optional service,” said ResortBrokers Director Alex Cook. When Section 67B first emerged in early 2020, several key industry players voiced concerns that the restriction would make the establishment and ongoing functioning of short-stay operations within strata titled buildings very difficult. This refers to a model where a professional short-stay operator is granted a ‘letting agreement’, whereby they have the exclusive right to run a letting business from within a strata building, generally accompanied by a licence or lease over some key operational space such as reception and linen storage. “Operators must invest large amounts of time and capital to establish professional short-stay operations, starting months if not years before a building is completed furnishing apartments, hiring staff, erecting signage, fitting out operational areas, engaging with lot owners etc,” Mr Cook said. “Without the security of longer-term tenure, this would be completely unviable and the future establishment of these operations would be deeply threatened. “During our good faith discussions with the Victorian Government, we also pointed out that it was important to bear in mind that the services provided by onsite letting operators are entirely optional and if an investor lot owner chooses to use a local external agent or self-manage, that is entirely at their discretion. “Without the ability to establish onsite short-stay operations, lot owners wishing to rent their apartment on a short-term basis would be left with no option but to use services such as Airbnb. This could have created a situation where high-quality CBD apartment buildings were overrun by unregulated short-stay operations with no onsite presence. “We now have certainty in the industry from which lot owners, consumers and operators will all benefit.” END

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

THE IN D

BOB EAST

Navigating the Industry THROUGH UNCERTAIN TIMES WORDS_BEN HALL

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“Nobody saw this coming. The disruption to tourism has been obviously devastating for many in the industry.”

BOB EAST TOURISM AUSTRALIA CHAIRMAN

Prior to taking over as chair of Tourism Australia, Bob East served as the CEO of the Mantra Group for 12 years where he helped shape it into the largest Australian-based hotel company. He led the company to a successful ASX listing in June 2014 which culminated in its inclusion into the ASX 200 list in 2015 and managed Mantra Group’s $1.3 billion acquisition by AccorHotels, one of the world’s largest hotel operators in 2018. He’s a widely recognised industry legend with more than 20 years’ experience in tourism, and Tourism Australia Chairman Bob East is “cautiously optimistic” about the year ahead, despite the obvious challenges which have impacted everyone in the sector. Lockdowns and international and state border closures have battered Australian tourism which has been saved, to some extent, by a resurgence in domestic travel but the pandemic blindsided everyone in the industry. “Nobody saw this coming. The disruption to tourism has been obviously devastating for many in the industry,” Mr East said. “It's something that no one really predicted, and those that were most exposed, really through no fault of their own, have been adversely impacted terrifically,” he said. “None of the contingency planning at most levels envisaged that the world would go from having 1.5 billion people travelling each year internationally, to no people travelling at all. And for those that can travel there’s a whole host of restrictions and regulations.” This has led to a surge in domestic tourism, especially with road trip travel which is having a major impact on regional areas.

With international borders closed, Australians have no option but to holiday at home and this has spawned a return of the good old fashioned road trip. Some destinations, including the Sunshine Coast, Yeppoon and northern NSW are reporting 100 percent occupancy on weekends and at school holidays, and Mr East says this has provided some optimism for the industry. “This was surprising to a point. Many places have performed extremely well, but it’s very much a hit and miss depending on where,” he said. “There are other operations or other tourism assets that are more affected by the drop in international travel and they rely on the international traveller, but they haven’t experienced this uplift. However, it is encouraging to see that some destinations are doing well.” With international borders closed, Tourism Australia shifted its focus to its own ‘backyard’ with a campaign aimed at encouraging Australians to explore their own country. The video series, which features 25 destinations around the country including Uluru, the Daintree rainforest and Melbourne's Phillip Island, was launched alongside the Federal Government's $50 million Regional Tourism Recovery fund. “The intention of this type of campaign is to prompt people to do more and travel further than they may have previously otherwise considered,” Mr East said. “Australians have always enjoyed Australian holidays but they’ve interspersed it with international trips and often times the domestic trips are shorter stays at a favourite beach or destination which is closer to home. “So, what we're doing through the campaign is encouraging them to do interstate travel and travel a bit further and for longer, to places like the Kimberleys or the Great Barrier Reef, or the Tasmanian walks. “We’re trying to get people to holiday further afield because we know that they'll be welcomed with open arms by all tourism operators, they'll get an incredible experience, and there's some really good specials out there at the moment.” As for the ‘million dollar question’ about when international borders may open, which is expected to mark the beginning of a return to normality for the industry, Mr East has forecast early 2022 although he points out “there are many variables at play”. “We're planning for next year. We think that’s a realistic time frame but we have to ready for anything,” he said. CONTINUED ON PA G E 2 6 I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

WHAT WE'RE TRYING TO DO IS ENCOURAGE AUSTRALIANS TO DO MORE INTERSTATE TRAVEL AND TRAVEL A BIT FURTHER AND FOR LONGER.

“As part of that planning we’re doing a number of things. Firstly, and obviously, we’re still doing the domestic campaign and that will continue until the borders re-open. “Secondly we have been training and updating all our teams across the globe, in our international offices in places like Shanghai, London, Japan and Los Angeles. “We've been updating our training, we've put on more Aussie specialist travel agents and we've been building our key distribution partnerships so that when the time is right they have Australia at the top of their mind and more importantly, they know what they’re booking and they know how to sell to their customers when we’re ready to go.

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“We won't start doing active marketing until about six months prior to borders opening, so in reality we will get a bit of a head start on the timing, and it could fluctuate, but we will know when it’s six months out. “I know that feels like it is a long haul for all of us at tourism but once we get closer to that date we can actually see the finish line and see the light at the end of the tunnel. It'll be a busy year, we'll have a lot do to make sure we’re ahead in a competitive market. “For accommodation operators, they need to know that we’re here to work with them and try to do as much as

Left to right: Ayers Rock, Daintree Rainforest, Caloundra Walkway & the Kimberleys

we can to develop the market in the short term. “For those that work with Tourism Australia and their state tourism organisations and the local tourism organisation, the more you work with them, typically the better you will perform and it’s really important that we go out there and make a lot of noise when the time is right.” Although there are very few, if any, ‘silver linings’ to come out of the pandemic, one positive has been the willingness by many in the industry to adopt new technologies during lockdowns and restrictions. “There has been a significant movement towards technology and anything that makes more people more

efficient is at least a positive,” Mr East said. “If we use this time now to build our systems and our processes to be resilient and as effective and as efficient as possible then it will help when we get back to the stage where international visitors are returning and everything begins to return to normal. “For example, people are happy to walk into a shop and check in via an app. Before people were reluctant to do this. “Now people can order on their iPhone and get all their information and the consumer has moved in leaps and bounds to adopt new concepts and new ways of interacting. “The tourism the industry must acknowledge that and then utilize that for maximum benefit.” END

“It’s really important that we go out there and make a lot of noise when the time is right.”

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

R E F // L H 0 0 6 5 4 8

82 Key Quest Apartment Hotel Leasehold in the heart of Bondi Junction.

82 ROOMS

Don’t miss out on this fantastic Quest Leasehold in the heart of Bondi Junction! Quest Bondi Junction has 82 modern studio apartments, in prime location with a strong demand.

82 LETTING 16 YEARS

There is so much potential upside to this business for one lucky buyer and with growth within the area it is set to be a lucrative investment.

4 STOREY TOWER

Contact ResortBrokers ® for more information. 82 modern studio apartments Located 5km east of Sydney CBD and centrally located in Bondi Junction Major refurbishments scheduled for this year Growth area with a strong project pipeline

Quest Bondi Junction BONDI JUNCTION, NSW

Upside in both occupancy and rate

R E F // F H 0 0 6 4 9 3

24 ROOMS MANAGER’S RESIDENCE 1 BED 1 BATH

BROKER

Turnover $4,348,474 Price $2,100,000

MOTEL FREEHOLD GOING CONCERN

JACQUELINE FEATHERBY

Net Profit $549,978

+61 424 497 056 jacqueline@resortbrokers.com.au

Blue Mountains Motel in a prime position for development Here is your chance to purchase this iconic Katoomba Motel. The Blue Mountains G’Day Motel features 24 air-conditioned rooms, restaurant, bar and large commercial kitchen. The motel also comprises a self-sufficient 24 hour check in system and ample parking. Situated in a high exposure position on the Great Western Highway, this motel sits on a large 3,047sqm block making it appealing to motel purchasers, but also to developers. The vendors have reduced their price and are motivated to sell. Don’t miss out on buying this iconic motel in the beautiful Blue Mountains.

Close to all amenities and tourist attractions Prime location on the Great Western Highway Large block of land with development potential Highly motivated vendor with reduced price

Price $2,300,000

Blue Mountains G’Day Motel KATOOMBA, NSW

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

JACQUELINE FEATHERBY

RUSSELL ROGERS

BROKER

SENIOR EXECUTIVE

+61 424 497 056

+61 416 166 909

jacqueline@resortbrokers.com.au

russell@resortbrokers.com.au

REF // FH006493

Elevate your hotel business. Elevate your hotel business. Elevate your hotel business. otel business. Join Choice Hotels Asia-Pac

Join Hotels ™ Hotels Asia-Pac Asia-Pac els Asia-Pac Join Choice Choice

™ ™ ™

Memorable, boutique, unique. Get together here. boutique, Get service together here. TheMemorable, world’s first and largest unique. soft brand. Upscale-full accommodation. Memorable, boutique, unique. Get together here. Memorable, boutique, unique. The world’s first and largest soft brand. Upscale-full service accommodation. The world’s first and largest The world’s soft first and brand. largest soft brand. Upscale-full service accommodation.

Stylish, unique and luxurious. Our upscale properties give operators the freedom to retain their own signature styles and opening their give doorsoperators to a booming market to of leisure, corporate Stylish, unique and personalities, luxurious. Ourwhile upscale properties the freedom retain their own Stylish, unique andthe luxurious. Our upscale properties give operators the freedom to retain their own ve operators f reedom to retain their own and experience-seeking travellers alike. signature styles and personalities, while opening their doors to a booming market of leisure, corporate signature styles and personalities, while opening their doors to a booming market of leisure, corporate oors to a booming and market of leisure, experience-seeking travellers alike. corporate To enquire about the region’s largest franchise hotel group with over 300 properties across Asia Pacific and experience-seeking travellers alike. travellers alike. visit or contact a development manager To enquire about theJoinChoiceHotels.com.au region’s largest franchise hotel group with over 300 properties across Asia Pacific To enquire about the region’sproperties largest franchise hotel group with over Asia 300 properties across Asia Pacific up with over 300 across Pacific visit JoinChoiceHotels.com.au or contact a development manager act a development visit JoinChoiceHotels.com.au manager or contact a development manager

Scott Armstrong

Tim Mayoh

Development Manager, Development Scott Armstrong Tim Mayoh Manager, Tim Mayoh Scott Armstrong Tim Mayoh VIC, SA, WA, TAS NSW, ACT, QLD, NT Development Manager, Development Manager, Development Manager, Development Manager, Development Manager, VIC, SA, WA, TAS NSW, ACT, QLD, NT VIC, SA, WA, TAS NSW, ACT, QLD, NT NSW, ACT, QLD, NT scott.armstrong@choicehotels.com tim.mayoh@choicehotels.com +61 409 735 231 +61 448 505 660 scott.armstrong@choicehotels.com tim.mayoh@choicehotels.com tim.mayoh@choicehotels.com scott.armstrong@choicehotels.com tim.mayoh@choicehotels.com +61 409 735 231 +61 448 505 660 +61 409 735 231 +61 448 505 660 +61 448 505 660 I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS 48 APARTMENTS 9 LETTING 25 YEARS 12 STOREY TOWER

Rise Maroochydore MAROOCHYDORE, QLD

R E F // M R 0 0 6 1 2 5

Stunning off the plan business - due for completion April 2021 Offered exclusively by ResortBrokers® is the rare opportunity to acquire the management rights of the soon-to-be-completed Rise Maroochydore which will become one of the Sunshine Coast’s most impressive 5-star beachfront properties. The project sits on a 1821m 2 site on Sixth Ave, Maroochydore, just minutes walk to Cotton Tree and the emerging Maroochydore City Centre currently under construction. The 12-storey development will house 48 units with a range of 2, 3, and 4 bedrooms. There is also a single level basement, 2 levels of above ground carparking, and resident facilities including café, fitness room, swimming pool and BBQ terrace. The business will primarily be caretaking only, however there may be a small number of investors. At the time this advertisement was prepared, there was a potential of up to nine units that could potentially be targeted. There will be no requirement to reside onsite and no fixed office hours. The reception and storage areas are on occupation authority. There is also no unit to purchase. The project is due for completion April 2021 Brand New Rare OTP in Sunshine Coast Prime beachfront location in Maroochydore New 25 year agreements Heated Pool Fitness Centre and BBQ facilities No Requirement to reside onsite or real estate to purchase 48 stunning apartments with potentially 9 apartments in the letting pool

Net Profit $204,343 Price $715,200

CHENOA DANIEL

BROKER

+61 403 143 151 chenoa@resortbrokers.com.au

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

MOTEL FREEHOLD GOING CONCERN

17 ROOMS MANAGER’S RESIDENCE 3 BED 2 BATH

Whale Inn & Restaurant NAROOMA, NSW

REF // F H 0 0 6 5 9 1

Beautiful boutique motel and restaurant with spectacular coastal views. This is your chance to purchase the freehold going concern of this outstanding property. Commanding prime position and with breathtaking water views this is one the best motels on the NSW South Coast. This motel has an excellent reputation for quality accommodation that offers comfort and convenience. There are 17 very spacious modern rooms offering their own patio or balcony taking in the spectacular coastal views. The property has been extensively refurbished with all suites and communal areas redecorated and renovated. Guests can enjoy the two barbecue facilities along with the inground pool and terrace area. The Whale Restaurant offers a seasonal menu featuring the best local produce and crops from the inhouse garden. The Ocean Lounge offers a contemporary relaxed atmosphere to layback and unwind while taking in the beautiful coastline. The Whale Inn and Restaurant is an established, well run business that offers solid returns and an ideal coastal lifestyle for any new owners.

Spacious, modern rooms with coastal views Large 3,474.8 sqm block of land suitable for expansion STCA Commanding location in the town Spacious 3 bedroom owners residence with amazing views Strong and consistent trader One of the best motels in the area Incredible lifestyle property

Price Expressions of Interest

RUSSELL ROGERS

SENIOR EXECUTIVE +61 416 166 909 russell@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS BUSINESS ONLY 3 BUILDINGS 72 LOTS 49 LETTING

Inner City Business Only Portfolio BRISBANE, QLD

REF // M R 0 0 6 5 9 9

High Quality Portfolio of Business only Permanent Management Rights Great opportunity for a savvy manager to add-on 72 lots to their existing business base. Lucca & Vivid are located opposite each other in the vibrant suburb of New Farm with minimal on-site facilities. Siena is situated in central Milton, a short walk to all amenities & transport. All three are high quality buildings with strong tenant demand in growth locations Vivid built in 2013; Lucca & Siena in 2014; Orana in 2020 72 lots over three buildings with 49 in the combined letting pool Solid net profit of $242,074 $82,950 Body Corporate salary making up 35% of total income Pure business-only with no set office hours & no real estate to own or live in Modern building designs with quality residential apartments All based on 25 year accommodation module with manageable caretaking duties for all complexes Option to purchase a fourth building to add to this portfolio. Orana is a brand new townhouse estate built in 2020 with 24 lots located in Yarrabilba, about 40 mins drive from Siena, Milton Caretaking & Letting agreements with between 18-24 years term remaining All 3 buildings will be sold in a bundle with bonus option to buy a newly established building, Orana in Yarrabilba.

Net Profit (3 Buildings) $242,074 Price $1,355,614

JEFF KEAST

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

GARETH CLOSTER

BROKER

+61 414 669 007

+61 423 182 766

jeff@resortbrokers.com.au

gareth@resortbrokers.com.au

MOTEL F R E E H O L D G O I N G CO N C E R N

18 ROOMS 2 STOREY TOWER MANAGER’S RESIDENCE 1 BED 1 B AT H

Amelia Hotel

F O R T I T U D E VA L L E Y , N S W

REF // F H 0 0 6 2 6 6

Inner City Brisbane Freehold Hotel Fully Renovated on Blue Chip Land We can’t remember the last time a freehold hotel in the centre of Brisbane was made available to the market, however ResortBrokers ® has been appointed as the brokers to market for sale the Amelia Hotel. Accountant prepared P&L states a net profit of $357,568 (pre-COVID). The hotel has been fully renovated over the last few years. With a high net income, you can run this under management or drive the business into its next phase as an owner operator. Future development potential opportunities are endless with this blue chip piece of real estate. Potential upside from growing ADR Fully renovated over the last few years Quirky, unique and boutique rooms Large projected net profit of $357k Could be run passively under management Prime inner-city freehold offering Property inspections are by appointment only

Net Profit $357,568 Turnover $552,254 Price $3,850,000

NATHAN EADES

BROKER

+61 448 339 920 nathan@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

CA R AVA N PA R K MANAGER’S RESIDENCE 4 BED 2 BATH

North Pottsville Holiday Park POTTSVILLE, NSW

REF // L H 0 0 6 5 8 1

Location, Lifestyle as well as a Guaranteed Salary and Bonus! This is your chance to cash in on a highly sought-after council contract with a guaranteed salary and, for the right operator, a guaranteed and extremely generous bonus scheme. The North Pottsville Holiday Park is one of the largest parks in the region comprising various types of accommodation such as a permanent section, holiday cabins, safari tents, powered sites, holiday vans and tent sites as well as an offsite storage facility. The North Pottsville Holiday Park is located within easy access to all attractions in the Tweed Region and Northern New South Wales and only 20 mins to the Gold Coast in the North and 30 Mins to Byron Bay in the south. Highly sought-after Council Management Contract on offer Very large 4 bed, 2 bath separate house with carport and workshop Lifestyle business The park is earmarked for an upgrade in the coming years (by council) All systems in place and easy to follow Extremely popular holiday park for families

Net Profit $278,070.81 Turnover $484 206.76 Price $895,000

GREG JAMES

BROKER

+61 416 247 068 greg@resortbrokers.com.au

MANAGEMENT RIGHTS 45 ROOMS 17 LETTING 20 YEARS 8 STOREY TOWER

MANAGER’S RESIDENCE 3 BED

Verve on Cotton Tree MAROOCHYDORE, QLD

Exceptional High Yielding Business in Prime Sunshine Coast Coastal location Resort Brokers® is proud to be appointed as exclusive marketing agents for Verve on Cotton Tree, a near new modern complex located right by the ocean in Maroochydore. Consisting of 45 apartments, Verve on Cotton Tree is a stunning eight level beach side development. Offering spectacular ocean and hinterland views from most apartment levels, easy care low maintenance landscaping, beautiful resort-style facilities, this is a first class business. Apartments consist of one and two bedroom apartments with multi-purpose room (three bedroom). It also includes a secure basement and ground level car park and individual lock up storage rooms. The letting pool has steadily grown since opening with 12 units, there are now 17 in the letting pool. All units are secured under a performance undertaking model whereas the unit owner gets a guaranteed weekly return with the managers then taking the balance and covering operating costs under this system. No requirement to reside on site - 3 bedroom manager’s unit currently in letting pool Price includes unit and office/reception No fixed office hours in agreements Low maintenance grounds Long accommodation module agreements Strong corporate market - with no local competition Office /Reception on Title Directly across the road from the beach and a range of cafes/restaurants

Net Profit $566,644 Price $3,426,506

GLENN MILLAR

BROKER

+61 412 27 804 glenn@resortbrokers.com.au

2 BATH

REF // M R 0 0 6 6 0 6

Management Rights Market Update

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esortBrokers put the conference facilities at the Rydges Gold Coast Airport to the test when it hosted a management rights event at the new hotel which was designed to provide operators with an update on the industry in the wake of COVID-19. The event was held in partnership with Nick Smith of Red10 Finance, Sharon Flood of Flood Legal and Tony Rossiter of Holmans Accountants and around 70 management rights operators attended and were given the chance to listen to the panel of experts and ask them plenty of topical questions.

“ I t wa s t h e f i r s t t i m e we ’ d b e e n a b l e to h ave a g e t - to g e t h e r l i ke t h i s i n a l m o s t a ye a r a n d eve r yo n e i s h a p py to fa r ewe l l 2 0 2 0 a n d l o o k fo r wa r d to 2 0 2 1 w i t h co n f i d e n ce a n d a p o s i t i ve o u t l o o k . ” - To d d Wa r n e r

ResortBrokers’ Gold Coast team included Todd Warner, Paul Mueller, Steve Campbell and Greg James. They were also on hand to explain the many changes that have taken place in the industry in the past year. Much of the serious discussion centred on how to value a business in the post-COVID environment, although a key part of the event was to simply catch up and socialise after a difficult 2020. The rooftop venue itself was a big hit with everyone, with a few well deserved beverages shared in an elegant setting, and many of the operators stayed back after the event with the team as they adjourned to the Salty Fox Rooftop Bar for a few “afters”. END

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

EVENT 2021

MANAGEMENT RIGHTS Made Easy

9AM - 12PM

SATURDAY 8TH MAY

SIT DOWN IN A RELAXED SETTING AND QUIZ THE EXPERTS. IT’S SUCH A REWARDING INVESTMENT AND LIFESTYLE CHOICE – YOUR OWN BOSS, STRONG RETURNS, GREAT GROWTH PROSPECTS. OUR EVENTS HELP YOU TO

RACV ROYAL PINES ROSS ST, BENOWA QLD 4217

PARTNER WITH THE RIGHT INDUSTRY EXPERTS TO MAKE YOUR JOURNEY TO MANAGEMENT RIGHTS EASY.

RESORT BROKERS

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PEVY L AWYERS

Market specialists to take the legwork out of finding your ideal Management Rights

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THE BEST IN THE BUSINESS TO MAKE YOUR MOVE INTO MANAGEMENT RIGHTS EASY. Register today! Limited seats available.

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SALES ACTIVITY

Sold Properties SOLD MANAGEMENT RIGHTS AIRLIE BEACH, QLD

SOLD MOTEL INV BATEMANS BAY, NSW

SOLD MOTEL INV CHINCHILLA, QLD

SOLD MANAGEMENT RIGHTS WYNNUM, QLD

SOLD MOTEL LH ROBE, SA

SOLD CARAVAN PARK FH AUGUSTA, WA

SOLD MANAGEMENT RIGHTS PALM BEACH, QLD

SOLD MANAGEMENT RIGHTS MERIMBULA, NSW

SOLD MOTEL INV BLACKWATER, QLD

SOLD CARAVAN PARK INV CHARTERS TOWERS, QLD

SOLD MOTEL INV YASS, NSW

SOLD MOTEL LH LONGREACH, QLD

SOLD MOTEL INV BLACKWATER, QLD

SOLD HOTEL LH ALBURY, NSW

SOLD MANAGEMENT RIGHTS NEWSTEAD, QLD

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SOLD MANAGEMENT RIGHTS POINT LOOKOUT, QLD

SOLD MANAGEMENT RIGHTS MEDOWIE, NSW

SOLD CARAVAN PARK FH DENILIQUIN, NSW

SOLD MOTEL FH MERIMBULA, NSW

SOLD MANAGEMENT RIGHTS ASHMORE, QLD

SOLD CARAVAN PARK LH NARACOORTE, SA

SOLD MANAGEMENT RIGHTS MERRIMAC, QLD

SOLD MANAGEMENT RIGHTS CARINA HEIGHTS, QLD

SOLD MANAGEMENT RIGHTS BUDERIM, QLD

SOLD MOTEL LH WYONG, NSW

SOLD HOTEL FH DAVENPORT, NT

SOLD OFF THE PLAN WOOLLOONGABBA, QLD

SOLD MANAGEMENT RIGHTS MAIN BEACH, QLD

SOLD MOTEL FH LISMORE, NSW

SOLD MANAGEMENT RIGHTS PALM BEACH, QLD

SOLD MANAGEMENT RIGHTS UPPER COOMERA, QLD

SOLD MANAGEMENT RIGHTS EVERTON HILLS, QLD

SOLD MOTEL INV WARRNAMBOOL, VIC

SOLD MANAGEMENT RIGHTS DUNSBOROUGH, WA

SOLD MOTEL INV RUTHERFORD, NSW

SOLD MOTEL LH MAREEBA, QLD

SOLD MANAGEMENT RIGHTS POINT LOOKOUT, QLD

SOLD MANAGEMENT RIGHTS WOOLLOONGABBA, QLD

SOLD MANAGEMENT RIGHTS UPPER COOMERA, QLD

SOLD

MANAGEMENT RIGHTS FORTITUDE VALLEY, QLD

MANAGEMENT RIGHTS SOUTHPORT, QLD

MANAGEMENT RIGHTS NUNDAH, QLD

MANAGEMENT RIGHTS BIRTINYA, QLD

MANAGEMENT RIGHTS MAROOCHYDORE, QLD

SOLD

MANAGEMENT RIGHTS CALOUNDRA, QLD

MANAGEMENT RIGHTS WAKERLEY, QLD

MANAGEMENT RIGHTS PARKWOOD, QLD

MANAGEMENT RIGHTS CAIRNS CITY, QLD

SOLD

MANAGEMENT RIGHTS SPRINGFIELD, QLD

MANAGEMENT RIGHTS KANGAROO POINT, QLD

MANAGEMENT RIGHTS MERMAID BEACH, QLD

MANAGEMENT RIGHTS TUGUN, QLD

MOTEL LH GLADSTONE, QLD

SOLD

MOTEL LH TWEED HEADS, NSW

MOTEL LH DENILIQUIN, NSW

MOTEL INV CALOUNDRA, QLD

MOTEL INV COLLINSVILLE, QLD

HOTEL FH MOAMA, NSW

SOLD

BACKPACKERS FH AYR, QLD

MOTEL FH ADAMINABY, NSW

MANAGEMENT RIGHTS MERIMBULA, NSW

MANAGEMENT RIGHTS HOPE ISLAND, QLD

MOTEL LH TAREE, NSW

SOLD

MANAGEMENT RIGHTS MACKAY HARBOUR, QLD

MANAGEMENT RIGHTS AIRLIE BEACH, QLD

MANAGEMENT RIGHTS BLACKS BEACH, QLD

MANAGEMENT RIGHTS WYNNUM, QLD

SOLD

MANAGEMENT RIGHTS PALM BEACH, QLD

MANAGEMENT RIGHTS KINGS BEACH, QLD

MANAGEMENT RIGHTS MEDOWIE, NSW

MANAGEMENT RIGHTS THE GAP, QLD

MANAGEMENT RIGHTS EVERTON HILLS, QLD

SOLD

MANAGEMENT RIGHTS PELICAN WATERS, QLD

MANAGEMENT RIGHTS NOOSA HEADS, QLD

MANAGEMENT RIGHTS MERRIMAC, QLD

MANAGEMENT RIGHTS KELVIN GROVE, QLD

MANAGEMENT RIGHTS BUDERIM, QLD

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Management Letting Rights Rental Demand "THERE'S BEEN A REMARKABLE SHIFT O F P E O P L E W H O WA N T T O M OV E T O , O R R E T U R N TO, Q U E E N S L A N D A N D P E R M A N E N T CO M P L E X E S A R E N OW I N R E A L LY H I G H R E M A N D . "

ith positive sentiment on the rise, is now the time to buy management rights in Queensland? Against a backdrop of low rental vacancy rates and a rising real estate market, demand for management rights has reached nearrecord levels which has underpinned the value of permanent MLR businesses across Queensland. Historically high, and record, multipliers are being achieved and that’s the direct result of a large pool of qualified buyers who see the value in these businesses beyond the fundamental reasons for investing which include a guaranteed salary with annual CPI increases backed by state legislation and having control of your own destiny and lifestyle. Now with unit letting demand at record highs, these fundamentals have been strengthened even further with rental vacancies dropping below one percent across most the state on the back of interstate migration because of pandemic lockdowns. Research by CoreLogic suggests more than 25,000 people moved to Queensland in the 2019/20 financial year, with the rate of interstate migration 90 per cent above the decade average. “Against the backdrop of border closures, lockdowns and restrictions caused by the pandemic, there’s been a remarkable shift of people who want to move to, or return to, Queensland and permanent complexes are now in really rental high demand,” said ResortBrokers Brisbane management rights specialist Gareth Closter.

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

“What this means is that this could be an opportunity for operators to make the most of that demand by selling up and taking a profit, or it might be the right time to add to their portfolio and look at the various off the plan management rights opportunities that are coming through to the market,” he said. “I’m also hearing daily from managers that they are receiving multiple applications for units marketed for rent. Many of these

“This has also created a trend

where developers are now actively looking to sell their portfolios because of the record multipliers being recorded and they’re cashing in on the demand for these assets.” applications are sight unseen as tenants are really keen to lock something in. The pendulum has shifted back to being a landlord’s market.” TDK management looks after several management and letting rights totalling in excess of 1,600 apartments and townhouses in Brisbane and director Troy Edwards said unit rent prices have started to increase. “Our manager at Vista Green Ellengrove noted that tenants who had previously handed in a form 12 to management to look for a larger townhouse are now coming back asking to stay on,” Mr Edwards said. “They asked if they could retract their form 12 and stay another year as they have

found the rents are a lot higher than they expected. In the case of Vista Green, rents could easily move $10 per week, however we are rewarding our loyal tenants while enjoying 99.9 percent occupancy rate. We may look to increase rents later in the year,” he said. “Our manager at The Foundry Woolloongabba noted that some rents increased between $20 to $30 with one unit increasing by $50 per week.” The two most popular destinations for interstate migration are the Sunshine Coast and Gold Coast respectively. The Real Estate Institute of Queensland’s (REIQ) vacancy data for the December 2020 quarter show record low vacancies across both destinations of well under one percent. “During the pandemic, the Palaszczuk Government introduced a range of measures keeping tenants in place for longer which is part of the reason we have incredibly low rental availability across Queensland,” said Antonia Mercorella, CEO of the REIQ. “We have also seen a significant amount of interstate migration, with renters also moving to Queensland, so all of these factors have contributed to our current tight vacancy rates.” The Sunshine Coast’s median rental availability was 0.3 per cent, which is a significant drop from 1.9 per cent in June 2020, according to the REIQ, which says availability of 2.5 to 3.5 per cent is considered “healthy”, and anything below 2.5 is “tight”. These low vacancy rates led to one of the largest permanent complexes on the Sunshine

Coast being sold for what’s believed to be a record multiplier. The management rights to Atrium at Buderim were sold by Habitat Development Group to Prestige Building Management for $4.752 million, which represents a multiplier of 6.1 for the 305-unit complex. The pandemic-induced flight away from capital cities also appears to be well and truly subsiding in Brisbane’s inner city. In the June 2020 quarter, rental vacancies hit 5 percent and by the end of the year it dropped to 3.3 percent, which is considered healthy. Beyond Brisbane’s CBD, rental vacancies around the city’s middle ring remain extremely tight, with a quarterly rate of 1.6 percent including; Hawthorne (1.4%), New Farm (1.9%), Paddington (2.1%) and St Lucia (1.7%). Further out into Brisbane’s outer ring and vacancies are even tighter, recording a quarterly rate of 1.3 percent. In fact, every area within the outer region is currently presenting less than two percent stock availability including; Ashgrove (1.6%), Camp Hill (1.3%), Cannon Hill (1.4%), Hamilton (1.9%), Holland Park (1.2%) and Moorooka (1.3%). Across Queensland’s regional areas, Cairns (1.2%), Cassowary Coast (1.1%), Isaac (1.2%), Mareeba (1.5%) and the Whitsundays (1.4%) saw vacancies rise above one percent. However, for the remaining 90 percent of regional Queensland, rental vacancies have plunged further to record an all-time median low of 0.575 percent. This includes areas such as; Bundaberg (0.4%), Fraser Coast (0.6%), Hervey Bay (0.9%), Mackay (0.7%), Toowoomba (0.7%) and Townsville (0.7%). Rockhampton (0.2%) recorded the lowest rental vacancies for the December 2020.

END

Gareth Closter

DAs lodged or amended during COVID-19 MAROOCHYDORE CBD: Habitat Development Group is a builder and developer, a rarity in the industry, and it has around 300 lots under construction or approved including Market Lane Residences which is the first residential project in the new $430 million Maroochydore CBD precinct. Habitat has also secured a second site in the Maroochydore CBD precinct, which will be known as the Corso Residences.

M O N TA G U E R D , W E S T E N D , B R I S B A N E : Private developer Manly Properties has unveiled plans to develop a dual tower residential development and public riverside space for its 1.1 hectare landholding in Brisbane’s West End at 281-297 Montague Road. Manly, a subsidiary of Sydney-based investment group Henroth, said it would undertake the approved masterplan development for more than 470 apartments, while seeking changes to expand the public plaza and create a 4,000 sqm public park.

BARRY PARADE, FORTITUDE VALLEY, BRISBANE: In conjunction with Cardno, Land and Homes Group has submitted a proposal for 556 units in a staged residential-led mixed-use development in Brisbane’s Fortitude Valley, comprising an integrated podium with two residential towers. The development, proposed to be located at 44-100 Barry Parade, Fortitude Valley, will rise 25 storeys with a four-storey podium and a five-level basement underneath.

SILK, WOOLLOONGABBA: This is one of the few major developments to commence during COVID-19. The approved development comprises three high-rise towers, containing a total of 529 units along with ground floor retail tenancies and commercial/ office podium. The first stage of the development, known as Silk One, has been recently released to the market. It includes 178 one, two and three bedroom apartments, overlooking the Gabba.

BROKER

THE GOLD COAST: As the Gold Coast continues to attract local and interstate interest, developers are taking advantage of strong buyer demand as Sydney and Melbourne residents look north. Developments include a 185 unit development at Hope Island, a nine storey residential building at Palm Beach, the 55-apartment Kailua complex at Burleigh Heads and the $380 million Kirra Beach Hotel redevelopment.

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

HOTEL FREEHOLD GOING CONCERN

18 ROOMS 2 STOREY TOWER

Denison Boutique Hotel R O C K H A M P TO N , Q L D

REF // MRB006588

Rare opportunity to purchase freehold going concern of a heritage hotel in Rockhampton This is your chance to secure the freehold to an 18 room boutique hotel in one of Rockhampton’s most extraordinary historic buildings, featuring a solid net profit and easily managed if you want to live off-site. This magnificent building was completely gutted and renovated in 2010 and has been trading well ever since. During the renovation all plumbing, electrics, plastering, painting and carpets were replaced throughout. The rooms are larger than average with each opening onto a large wrap around balcony over two floors with city views. The 18 room property features a small breakfast room, reception and 26 parking spaces. The operation of this property is ideal for a local person, or someone looking to buy an accommodation business but who does not want to live on site. Easily run properties that present this well are very rare, so call us to arrange an inspection. Freehold going concern accommodation hotel 18 rooms - all king rooms including 1 king spa room AAA - 4 star rating Central Rockhampton location Potential future development opportunity

Net Profit $224k (annualised 6 months) Turnover $631K (annualised 6 months) Price $1,250,000

GRANT SULZBERGER

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

TRUDY CROOKS

BROKER

MANAGING DIRECTOR

+61 455 053 832

+61 477 882 210

grant@resortbrokers.com.au

trudy@resortbrokers.com.au

MOTEL FREEHOLD GOING CONCERN 1721 m2

Blue Water Motel KINGSCLIFF, NSW

REF // FH006598

A Very Rare Sea Change by the Seashore an Outstanding Opportunity with Future Options Location, Location, Location.....less than 15 minutes from the Gold Coast in the north, 45 mins from Byron Bay in the South, and 20 minutes to Tweed hinterland in the west, Kingscliff is the perfect destination to enjoy what all the far north coast of NSW has to offer. With the beach just several hundred metres from the motel itself, it is the gateway to Kingscliff and has easy access to all the local villages in the area as well as the main highway. This unique opportunity can be considered in several ways; Leave the motel as is, or take advantage of the increasing demand in the area for short term accommodation. Also, this motel just needs a few tweeks to take it to the next level and to cash in on the latest trend of retro motels sweeping the east coast of Australia. And added advantage of this opportunity is if you’re looking for a prime area to develop now or in the foreseeable future, The large plot of land (1721 sqm) and zoning will ensure that you have options available going forward. Highly sought-after area in northern NSW Very Strong Post Covid Trading Perfect Seachange Opportunity 1721 sqm zoned medium density First Time to Market in 28 Years Not much to spend to become “Retro” Large Catchment Area

Net Profit $350,000+ (Projected) Turnover $700,000 (Projected) Price Expressions of Interest

GREG JAMES

BROKER

+61 416 247 068 greg@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS 37 ROOMS 21 LETTING 21 YEARS MANAGER’S RESIDENCE 3 BED 1 BATH

Pandanus Palms Holiday Resort POINT LOOKOUT, QLD

REF // M R 0 0 6 5 9 7

Fancy an island lifestyle business that is booming post-COVID? Then call off the search, because here it is. This is one of the most iconic locations and amazing views you will find. Nestled on top of Point Lookout shaded by local Pandanus Palm trees you will discover your new resort business. This perfectly situated island resort has no set office hours, is Gallery Vie compliant, has low maintenance facilities making it an easy to manage complex, a great Body Corporate committee and long term 21 year agreements. Plus a business that is booming. With 37 apartments in the building, 20 holiday let, two lock ups, three outside agents, one permanent let and seven owner-occupiers, this presents some real consistency in the letting pool and real potential for income. The key features of Pandanus Palms Holiday Resort are the incredible sweeping ocean views across Home Beach, a sparkling in-ground pool, tennis court, large well-appointed apartments and a cruisy island pace. With the net profit of more than $262k, 21 years on accommodation module agreements, a healthy sinking fund, plus an easy to run resort style complex this is great for a dynamic couple looking for an island sea change. 21 Year Agreements Incredible island location with ocean views Wonderful lifestyle business with great return 16.3% ROI No set office hours 3 bed manager’s residence + office on title Straddie business is booming with local tourism post- COVID $114k BC Salary + CPI

Net Profit $262,812 Price $1,600,000

TODD WARNER

BROKER

+61 438 170 763 todd@resortbrokers.com.au

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

MANAGEMENT RIGHTS

Aspect Murarrie & Aspect Yeronga MURARRIE & YERONGA, QLD

65 APARTMENTS 22 YEARS

REF // MRB006588

Pure Business - Only Management Rights - Will Be Sold! Aspect Yeronga and Aspect Murarrie represent a rare opportunity to purchase two fantastic near new Business Only Management Rights businesses with no onsite office, no set office hours and long term agreements. With NO real estate to purchase this business offers a robust ROI of more than 20% backed by the Body Corporate salary counts for 90% of the total next profit which makes this business a must consider. Ideal for an experienced operator to add on and grow their local business where the expenses could be absorbed in the current P&L to further increase return. Very manageable caretaking workload with no other facilities apart from a roof top terrace. These two modern building complexes are situated at Yeronga and Murarrie placing the manager in two letting markets and spreading any rental risk. Both complexes are conveniently located within walking distances to shopping districts and public transports, also easy access to major arterial roads. The vendor has provided strict instructions to sell to the best buyer who can perform under contract. Please contact Jessie Shi today with your enquiries as this type of business is in high demand and will not last long before sold.

Combined net profit $75,255 (including $67,763 Body Corporate Salary) 22 years remaining on caretaking and letting agreements Easy caretaking duties to undertake with no set office hours No requirement to purchase real estate or reside onsite One lift in each building accessing all levels Underground carparking and storage facility Property inspections are by appointment only

Net Profit $75,255 Price $368,748

JESSIE SHI

BROKER

+61 422 935 428 jessie@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MOTEL F R E E H O L D G O I N G CO N C E R N 3 APARTMENTS 3 LETTING MANAGER’S RESIDENCE 3 BED 2 BATH

mist at Cape Tribulation C A P E T R I B U L AT I O N , Q L D

REF // F H 0 0 6 5 8 0

The ultimate lifestyle business in the World Heritage listed Daintree Rainforest, with WFH possiblities. If a global pandemic has taught us anything, it is that you can work remotely. So why not take the opportunity to purchase a lucrative freehold business, live in the most beautiful tropical location and still have that full time role? The unique opportunity presents for the freehold purchase of three successful eco luxe pavilions, and a beautifully renovated three bedroom, two-bathroom home with study on eight acres of pristine rainforest. Located in the iconic Cape Tribulation, and only 70 kms north of Port Douglas, this business affords the lifestyle change you have been dreaming of. mist at Cape Tribulation is the newest eco luxe accommodation in Cape Tribulation and is designed to meet the needs and comfort of high value travellers. Freestanding and spacious, enjoying expansive views of the rainforest, each of the three elevated pavillions offers over 50sqm of indoor and covered outdoor living space. All the hard work has been done, the build of a successful business, the establishment of the grounds, and a renovated family home. Take advantage of the potential growth with guaranteed strong income already confirmed. The pavilions were constructed only 2.5 years ago. Terrific 3.16 hectare Freehold Property Large stylish renovated family home No staff required – one person role. Three near new eco luxe pavilions with strong income & forward bookings... 2021 income already 33% up on full 2020 figures as at end February 2021 Beautifully maintained grounds with iconic rainforest views

Net Profit Upon Request Turnover Upon Request Price $1,295,000

SHANE CROGHAN

BROKER

+61 418 451 006 shanec@resortbrokers.com.au

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ARTIST IMPRESSION

OFF THE PLAN MANAGEMENT RIGHTS 293 UNITS 25 YEARS 7m2 O F F I C E

Aster & Huntington C L AY TO N S O U T H , V I C

REF // O T P 0 0 6 4 6

Premium, Large-Scale Off The Plan MLR’s in Melbourne!

ARTIST IMPRESSION

This is a rare opportunity to secure a long-term Caretaking business with upside to grow a letting pool. The management rights to Aster and Huntington provide a business of scale, quality and position. These two premium projects are being developed by Cedar Woods and comprise a total of 293 apartments. They are impeccably designed to a superior standard by award-winning architects DKO. The construction of Huntington is well-progressed rising 9 levels and offers 165 apartments with an expected delivery of June 2021. Aster is a collection of three mid-rise buildings, featuring 128 modern one, two and three bedroom units. Huntington has a brand new 25 year agreement with a caretaking salary of $130,000 + GST per annum. Aster terms of agreement are still to be confirmed, subject to the new legislation.

ARTIST IMPRESSION

The first development, Huntington has a 7sqm office under licence and the second building, Aster has the option to purchase an 85.5sqm retail lot to underpin the security of the caretaking and letting agreements with this freehold operational space. Part of Jackson Green, they are located in Clayton South 19km from the CBD and are part of the City of Monash. This region is a hub for healthcare and education facilities and is the second largest economic and employment generator in Victoria.

293 apartments across the two developments Solid combined Caretaking salary of $260,000 per annum + GST 7sqm manager’s office under licence in Huntington Facilities include courtyard gardens, rooftop activation, BBQ areas and gym Optional 88.5sqm retail lot is for sale in Aster for $550,000 Huntington is under construction and due to complete by June 2021 Aster is scheduled for delivery by Sept 2022

ARTIST IMPRESSION

Combined Salary $260,000 Price $1,092,000 ARTIST IMPRESSION

ALEX COOK

TIM CROOKS

D I R E C TO R

+61 467 600 610

+61 422 208 450

alex@resortbrokers.com.au

tim@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS

22 ROOMS 11 LETTING MANAGER’S RESIDENCE 2 BED 1 B AT H

Le Chelsea

S U R F E R S PA R A D I S E , Q L D

REF // M R 0 0 6 6 2 8

Excellent First Management Rights with no requirement to live onsite! Are you looking for a small manangement rights business to cut your teeth on? This is your chance. Le Chelsea is set in an amazing location which offers the desirable lifestyle that will make you feel like you are on holiday every day. Long Caretaking and Letting Agreements ensure the future is certain. The business provides a guaranteed caretaking remuneration of $36,000 and a net profit of $54,000. The manager's unit features two bedrooms, open-plan living area, 2 underground car parking spaces, attached office and a large enclosed storage bay. There are 11 of 22 units in the manager’s letting pool, of which the managers lets 4 of these on a short term letting arrangement and 7 as permanent rentals. An excellent little business in an sensational location. Secure your future now with this home and business on the beautiful Gold Coast! 15 years remaining on agreements Option to extend caretaking agreement with body corporate Easily managed by 1 person so you have time to enjoy the Gold Coast lifestyle Room to grow the bottom line Your chance to enter the booming Gold Coast property market Secure your future today! Experienced vendor to assist with all training required! Live and work within 200m of the beach!

Net Profit $54,000 Price $510,000

STEVE CAMPBELL

BROKER

+61 407 220 668 steve@resortbrokers.com.au

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

CARAVAN PARK 200 SITES MANAGER’S RESIDENCE 3 BED 2 BATH

Figtree Gardens FIGTREE, NSW

REF // FH006625

Opportunity knocks when you invest in Figtree Gardens Residents of Figtree enjoy a daily sunset over the adjoining mountains, while still having the convenience of a 10 minute drive to the Wollongong CBD, or a selection of glorious beaches. Invest in this long established, premium inner-suburb of Wollongong when you purchase Figtree Gardens, a well maintained, tidy caravan park, tucked away on 10.6 hectares in Woodrow Place, a short distance from the Figtree Grove shopping Centre and public and private schools. The 200 permanent sites will provide an exceptional income stream for the new owners that are home to its residents, many well cared for with quaint gardens. The neatly manicured lawns and shrubs and just two laundry blocks make caretaking the property easy work. Live on site in the three bedroom, two bathroom manager’s residence. The Wollongong urban area is home to over 300,000 residents. Figtree Gardens Caravan Park offers the most substantial parcel of land in the suburb of Figtree. Permanent occupants provide steady income Low maintenance property and facilities 10.6 hectares of land with open space zoning Three bedroom, 2 bathroom manager’s residence Walk to Figtree Grove shopping centre and local schools Just four kilometres west of Wollongong Long established suburb with premium real estate values Leafy green area, close to the coast

Price Expressions of Interest

RUSSELL ROGERS

SENIOR EXECUTIVE +61 416 166 909 russell@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS 19 ROOMS

20 YEARS

10 LETTING

6 S TO R E Y TOW E R

Beachfront Boutique - Stunning location This is your chance to secure the management rights to the ultimate seachange business on the beautiful Sunshine Coast. Santorini Twin Waters Resort is situated directly across from the popular Mudjimba surf patrolled beach and set within a vibrant seaside village featuring popular cafes, restaurants and other conveniences. The manager’s apartment is one of the best you will see in a management rights. The generous three bedroom, two bathroom apartment is located on level one with a massive entertainers deck. Long accommodation module agreements Short Operating Hours - Mon-Sat 9am - 1pm Minimal gardens to maintain 10 stunning apartments including a Penthouse in the letting pool

Santorini on Mudjimba MUDJIMBA, QLD

Stunning three bedroom residence at $675,000 Manager’s Residence, 3 Bed, 2 Bath

Net Profit $114,898 Price $1,134.592 REF // M R 0 0 6 6 1 0

GLENN MILLAR

BROKER

+61 412 27 804 glenn@resortbrokers.com.au

Would Would you you like like to to win win back back and and retain retain outside rentals in your business? outside rentals in your business?

We’re We’re here here to to help help onsite onsite managers managers with with every every facet facet of their business. We can help you with: of their business. We can help you with:

Building and retaining Building and retaining beneficial/profitable beneficial/profitable relationships relationships

Creating a unique Creatingstrategy a uniquefor marketing marketing strategy for your building / clientele your building / clientele

Brand Brand Development Development

Letts Rebuild prides itself on the Letts Rebuild prides itself on the work ethic we provide, the knowledge work ethic we provide, the knowledge we have and the passion we bring. we have and the passion we bring. 52

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Adding value to your Adding value to your building / business in building / business in preparation for sale preparation for sale

Ongoing Ongoing Business Support Business Support

Kelley Rigby Kelley Rigby 0402 158 136 0402 158 136 kelley@lettsrebuild.com kelley@lettsrebuild.com

Do you want to be successful? Are you incredibly tenacious? Do you always want to learn? Can you handle rejection? Are you ambitious? Are you quick on your feet? Are you hardworking?

WE’RE HIRING N E W B R O K E R S N AT I O N W I D E

ResortBrokers is the No.1 privately owned commercial brokerage specialising in the accommodation industry. We are looking to grow our team in key locations up and down the eastern seaboard to meet the increased activity we are experiencing across the country. This is an on-the-road role where your days are spent building relationships with clients and putting deals together. You will need minimum 3 years sales experience, although it doesn’t need to be industry-specific. Call our Operations Manager, Marissa, on 0437 198 164 or send a CV to marissa@resortbrokers.com.au BENEFITS OF WORKING WITH RESORTBROKERS:

FLEXIBILITY AND FREEDOM

A RECOGNISED AND RESPECTED BRAND

CONTINUOUS TRAINING AND SUPPORT

AN ATTRACTIVE RETAINER

AN IN-HOUSE MARKETING AND ADMINISTRATION TEAM BEHIND YOU

UNCAPPED EARNING POTENTIAL THROUGH A GENEROUS COMMISSION STRUCTURE

S U N S H I N E COA S T REGIONAL SPOTLIGHT

Australia’s most compelling growth story

escribed as “Australia’s most compelling growth story”, the Sunshine Coast region is on the cusp of unprecedented growth. Affordability and lifestyle, coupled with record infrastructure investment, is driving an influx of new residents, businesses and property developers. In my 30 years of living here, and 16 with ResortBrokers, I’ve never seen anything like the growth we are experiencing right now and this place is a whole lot different to the ‘sleepy-beachy little bolthole up the road from Brisbane’ from when I first moved here. Sunshine Coast Regional Council is in the midst of preparing a new planning scheme inspired by a vision to become Australia’s most sustainable region. So, what does the future of the Sunshine Coast look like and how can the property industry tap into this growth story? In the last few months, Sunshine Coast accommodation operators tell us this is the busiest they’ve been since the onset of the pandemic, with some months exceeding those of 2019 with occupancy rates on weekends and school holidays

Sunshine Coast Occupancy Rate

60%+

approaching 100 percent. We’re being told the phones have been ringing non-stop and some operators have had to turn guests away. This is especially the case on weekends when the “no vacancy” signs get put up. Mid-week bookings are a bit lighter due to the lack of long stay guests and overseas visitors but around 60 percent of the business is driving up from Brisbane, with people travelling from as far as three hours away. The state-wide occupancy average for Queensland was 49.2 percent while the Sunshine Coast pushed well above 60 percent. Sales activity of short stay management rights has drastically improved since November 2020 with our team settling five deals in a five week period with a number of others under contract. Buyers are now returning, however, it’s critical for those wanting to sell to seek professional advice from your agent and accountant as there have been new processes in place since the pandemic hit. It’s not all bad news as we have managed to normalise financial results in conjunction with industry valuers and accountants. The major

Average Yearly Population Growth

2.5%

Glenn Millar BROKER

change is that it’s now critical to have three years’ financials available to demonstrate the strength of your business. Permanent complexes are in demand especially those with net incomes in excess of $300,000. In November, we settled a large permanent complex with a net income over $600,000 in an off market deal. The demand for these permanent accommodation complexes is, in part, being driven by extremely low vacancy rates. For December 2020, the vacancy rate was 0.3 percent as it seems like everybody wants to move here, especially Sydney and Melbourne people.

December 2020 Vacancy Rate

0.3%

The Sunshine Coast is so hot right now, and not just the weather, and I couldn’t have timed my move here any better. There are buyers everywhere looking for quality accommodation businesses and the big problem I have with all this is that I simply can’t get enough stock to meet the demand! When I moved down from far north Queensland to the Sunshine Coast in March 2020, obviously I had no idea about how the pandemic would dramatically change everything we knew and what impact it would have on the industry here. It could have been a total disaster from a business point of view for myself but, as we all now know, the border closures and lockdowns led to a big increase in drive tourism, especially from Brisbane, and the Sunshine Coast has benefited from this. The main reason I moved was to get exposure to a more transient market and use my management rights knowledge in a faster paced environment and that’s exactly what’s happening now and there are more

Queensland Occupancy Rate

49.2%

commercial opportunities, including off the plan deals (I’ve just sold my first one) and generally more complex and challenging deals. It was a big deal moving my young family here and the lifestyle also played a major part in my decision to live and work on the Sunshine Coast. I mean we all know about the fantastic beaches, national parks and lush countryside plus a cosmopolitan lifestyle and climate that invites yearround swimming and surfing that just can’t be beat. And as Glenn mentioned, to say big things are happening is a massive understatement. The Sunshine Coast is in the middle of literally building a new city and economy based on a 20-year economic plan. More than $20 billion in infrastructure projects and private investment have either been completed, is under construction or in the planning pipeline. COVID-19, for all the chaos it has caused, has forced us all to think outside the box and I feel as though I’ve been able to do that in the current

Sunshine Coast Projected Population Growth by 2031

+24.3%

environment. This is a skill that most of our competitors are missing. It’s all really exciting and I’m looking forward to shaking things up in 2021 and using my knowledge, youth and drive to succeed to do things a little differently to other brokers. I’m also looking at ways to convince Glenn to adopt more of a swagger! He’s got the ‘cool’ going on, now he just needs a little bit more. I’ll get there. END

Chenoa Daniel BROKER

Median Age (2016)

John Mahoney

Amy McKee

Meet the team John Mahoney specialises in all aspects of management rights and leads the management rights team. He has nearly 45 years’ experience in property law and has been at the forefront of legislative change within the industry. Additionally, John is a board member of, and heavily involved in, the Australian Resident Accommodation Managers Association (ARAMA) and was made a life member for his commitment to the industry. He represents ARAMA in its dealings with government and presents regularly at its meetings and industry events. Amy McKee is a partner and a long-standing member of the Gold Coast office, specialising in management rights and motels (with expertise in New South Wales and other Australian jurisdictions).

Ben Seccombe

A business is nothing without its people, and key to Mahoneys success has been the quality of its team and its unwavering commitment to providing market-leading legal services.

Amy O’Donnell is a partner specialising in management rights, motels and commercial property. Amy also assists ARAMA in representing the management rights industry on the Residential Tenancies Authority stakeholders’ forum. Nicole Cleary is a special counsel specialising in management rights, property development and commercial property. Michelle Lim is a lawyer, fluent in Mandarin, specialising in management rights. William Kenny is a lawyer specialising in property, management rights and business transactions.

Ben Seccombe is a partner and head of the firm’s litigation department. Specialising in commercial and body corporate litigation, Ben has extensive experience in the Queensland Civil and Administrative Tribunal and the Body Corporate Commissioner’s Office – particularly with the successful conduct of many management rights disputes.

MANAGEMENT RIGHTS IS A UNIQUE A R E A O F L AW I N W H I C H M A H O N E Y S H A S EXTENSIVE EXPERTISE, LEADING TO A COMPETITIVE EDGE IN A COMPLEX AND H I G H LY S P E C I A L I S E D F I E L D .

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Amy O’Donnell

Nicole Cleary

Michelle Lim

William Kenny

Mahoneys commitment to the management rights industry ith a name that’s synonymous with management rights, law firm Mahoneys combines highly experienced legal service with the kind of knowledge needed to not just act upon legislation – they also write it as well.

Admitted as a solicitor in 1978, John Mahoney is head of the law firm’s management rights practice and has been heavily involved in the niche industry for almost 30 years. Management rights is a unique area of law in which Mahoneys has extensive expertise – leading to a competitive edge in a complex and highly specialised field. “We realised early on that no-one specialised in management rights in any meaningful way and we simply sought to bring expertise and professionalism to an industry which at that time lacked these elements,” recalls John. “It was an area that hadn’t received much attention from anyone that was really thorough, and there was a real chance to do something in a different way.” Fast forward to 2021 and the firm has now acted in thousands of management rights transactions throughout Queensland, New South Wales and other states. Mahoneys can offer expert advice when acting in the sale and purchase of management rights, developing strategies to approach bodies corporate to secure new agreements or additional options, addressing body corporate meetings, preparing letting appointments and acting in disputes. The latter issue is something Mahoneys has solid experience in. Despite everyone’s best efforts, disputes do occasionally arise, and Mahoneys has had great success in dealing with management rights disputes – either resolving them by negotiation, via the formal processes of the Commissioner for Body Corporate and Community Management, or through QACAT or the court system. Widely regarded as one of the most knowledgeable management rights lawyers in Queensland, John has

represented the industry at state and federal level on every significant piece of legislation for more than 25 years and is responsible for key parts of the legislation. “If something is happening in the industry we’re generally the first to know about it,” says John. “This means we’re able to advise our clients what’s happening, even if the legislation hasn’t yet been finalised. Because of the extensive experience we have in the areas of law in which we specialise, we can predict likely issues in advance and then deal with them in a proactive way, rather than trying to react (when it might be too late to be effective) to a problem that’s arisen.” Client focus Client focus plays a critical role in Mahoneys’ vision, and its reputation has been earned by delivering the best experience and outcome for its clients. “The vision when we started – and it’s still in place today – was to have a firm where client service is our focus,” says John. “We’ve expanded on the basis of providing a very high level of service and retaining good strong personal relationships based on mutual trust and respect. We know our clients’ concerns and work with them to deal with those concerns and achieve their desired outcomes. Our clients’ needs, not our billings, are our driving focus.” There’s a perception that specialist law firms are expensive and that it’s (rightly) important to have the very best advocates behind you, which doesn’t necessarily mean the cheapest. Mahoneys believes in giving clients the very best value in legal work they possibly can – using efficient work practices (such as restricting the number of staff working on a matter) to aid communication and help reduce unnecessary costs. Where possible, the firm’s prices are fixed which avoids any nasty surprises. CONTINUED ON PA G E 5 8 I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

Despite the commercial pressure to provide the lowest possible fees, Mahoneys isn’t prepared to cut corners to cut costs. “We take time to understand the client’s needs and provide them with thorough and considered advice to protect their interests,” John explains. “It’s far more logical to spend a little more at the beginning than a lot more at a later date to rectify shortcomings. People investing in management rights are often investing their life savings. That’s very important to us and we believe as much care as possible should be taken to protect that investment.” Mahoneys is committed to providing the best possible service, and to do this the team knows they must make themselves accessible. “One of the biggest complaints we hear from people who change over to us is ‘I could never get hold of my lawyer’,” says John. “Obviously, as a successful firm we’re busy people and we can’t pretend to be available 24 hours a day, but we pride ourselves on being readily available and getting back to people promptly.” For the team this availability is all part of the focus on client service, and it’s something that’s gained them many satisfied clients over the years. Usually no more than two staff members – a lawyer and their assistant – would be working on any one matter, so clients know exactly who to contact for information. The team is acutely aware of their clients’ needs and is committed to providing solutions and recommendations, rather than just advice and options. “We know our clients want decisive action,” John says. “We address the commercial as well as the legal issues, and our experience enables us to do this with clarity and precision.”

Commitment to the management rights industry At a time of life when many people would be looking to wind down, John remains committed to Mahoneys and the management rights industry. As part of that ongoing strategic commitment, Mahoneys recently promoted Amy McKee to partner and appointed respected industry expect Amy O’Donnell as senior associate. “I’m excited about these appointments because they reinforce our long-term strategic commitment to the management rights industry, as well as consolidating Mahoneys’ position as a leading management rights law firm in Australia,” says John. Alongside John, the new appointments form part of a team of lawyers and paralegals who collectively have over 80 years’ management rights experience, making Mahoneys the largest and most experienced management rights team in Australia. About the firm Mahoneys was established in 2001 and, whilst management rights was for a long time the backbone of the firm, Mahoneys is now a full-service law firm offering a range of commercial advice, transaction support, litigation and dispute resolution services. Where to find Mahoneys Mahoneys is based in Brisbane and on the Gold Coast. END

Experts in Management Rights and Motel Law For over 30 years Mahoneys has been one of Australia’s leading management right and motels law firms. We are a preferred supplier to the Accommodation Managers Industry and have been awarded “Service provider of the Year” by the peak industry body (ARAMA) for the past 2 years. Our team of industry leading lawyers regularly assist clients with: Buying and selling accommodation businesses Preparing and reviewing leases, licences and service agreements Renewing and varying existing management arrangements Assisting with remuneration reviews, disputes and other disagreements Feel free to contact us if you want to discuss how we can help. Alternatively visit our dedicated industry web page or subscribe to our industry focused newsletter.

www.mahoneys.com.au 58

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

Brisbane office L 18, 167 Eagle Street Brisbane Qld 4000

Gold Coast office L 2, 235 Varsity Parade Varsity Lakes Qld 4230

p 07 3007 3777

p 07 5562 2959

BROKER PROFILE

Chris Kelly How, and when, did you come to work at ResortBrokers? I started towards the end of 2019. I had been running a family free range piggery in the central west of NSW and my wife had sent me the job advertisement weeks prior as we were closing the farm down as a result of the drought. I sought some advice from friends in the industry who all spoke of how they regarded ResortBrokers as “the best motel brokerage firm in Australia”. I hadn’t put a resume together for some time, so I pulled one together and sent it off after speaking with head office about the job and crossed my fingers that I’d get a call back. As the saying goes, the rest is history. What do you specialise in, and how is the market looking right now? You would think in this job that I should say I specialise in sales but that’s not entirely right. From farming you have to be a jack of all trades and that means plumbing, construction, engineering, financial reporting, time management, stock control, cultivation, pest control, stock presentation, feed rationing and then sales. This job is exactly the same, yes, we are looking for sales but every property, every vendor and every buyer is different. The property has to be presented well through to quality inhouse marketing. The financials have to be assessed and verified differently for every motel. The motel and its area have to be researched to show buyers the strength of the property and its district and what is happening in the area. The market at the moment is an interesting and varied one across the country given that some areas have recovered from

Based in Bathurst, Chris is ResortBrokers’ specialist covering everywhere from Lithgow to Griffith and out to Dubbo and beyond in the caravan park and motel sector. He’s a sports nut and family man who loves the farming life and we find out what makes him tick.

COVID-19 and some have not. My patch in the central west of NSW is doing extremely well with some areas showing substantial growth in comparison to last year. Other areas haven’t benefited from the pandemic and will probably take anywhere from one to three years to get back to where they were. So, it’s interesting times as there are more buyers in the market than properties. What would you mark as your biggest achievement to date? I think I can say, like all accommodation operators I’m happy that I survived COVID-19 and, although we definitely aren’t out of the woods just yet, the only way is up from here. What is the toughest part of the job? I couldn’t come up with one but I will have to agree with my colleague Greg James, who previously said the toughest thing is working so closely with our Chairman Ian Crooks, simply because he’s a one-eyed All Blacks rugby supporter! What makes you tick? What do you do on a typical weekend? I have a young-ish family, so I like to do things like help them build a cubby house on weekends or take them to their sports. Just the little things I love, like passing a football with my son. This makes me happy. It’s about making some quality time as we don’t stop on weekends. I still answer enquiries and do inspections and all the other things that come with this job. But

ultimately I make sure I do things like cook a BBQ, watch some rugby or cricket, squeeze in 18 holes and then everyone is happy. Mind you, my wife may throw in planting six magnolias or cementing together a fire pit in the back yard to push me with those free hours we have on weekends. Bring it on, I say! If you couldn’t work here at ResortBrokers, what would be your ideal job? I think I’d go back to farming although you never get a day off if you do that for a living. That being said, even though you work seven days a week it’s a fantastic lifestyle living on the land dealing with snow in winter, getting bogged in paddocks and dealing with snakes and flies in summer. It’s all fun to me. If you could time machine back 20 years, what would you tell a young Chris Kelly? Enjoy it. You only get one chance. I’ve had a varied working life. I managed pubs after university then worked as a finance broker in earthmoving for about eight years. Then I started in real estate and moved into farming. I started with ResortBrokers bringing all the experience from a range of industries which I believe is a benefit to both myself and my clients. But basically, I’d just say relax and enjoy where life takes you. I think I’ve done that and now I feel like I’ve landed on my feet here at ResortBrokers in a job I love. END

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MOTEL FREEHOLD GOING CONCERN 54 ROOMS DA APPROVAL FOR 42 ADDITIONAL ROOMS 1 . 4 5 3 H E C TA R E S I T E

MANAGER’S RESIDENCE 3 BED 2 B AT H

Korte’s Resort R O C K H A M P TO N , Q L D

REF // F H 0 0 6 4 2 6

Magnificent Resort property and conference centre encompassing high class wedding venue Offered exclusively by ResortBrokers ® is the rare opportunity to acquire this outstanding resort property situated in the central Queensland city of Rockhampton. With multiple income streams and a presentation which is second to none, this truly is a property that any purchaser would be proud to own. With 54 rooms set amongst beautifully landscaped gardens, a successful restaurant and a popular 300 guest function/wedding centre, Korte’s Resort is that perfect combination of an outstanding property that delivers multiple income streams. The resort was built in 2015 by the current owners to a very high standard and, five years later, still presents as new. The resort sits on a 3.8 hectare site with four separate titles. They are made up of the 52 room accommodation wing including restaurant, pool, reception and manager’s residence, a 300 seat function/wedding centre, which is without doubt the best in central Queensland, on another title , a lake and wedding pavilion are on another title and finally a 1.453 hectare site that has two self-contained two bedroom apartments with a DA approved to construct up to a further 42. Outstanding property all ground floor level Exceptional 300 seat conference facility with full hotel/Tavern commercial licence 2500 lot subdivision being constructed across from resort Beautiful lagoon style pool adjoins restaurant and reception Large net profit Professionally fully landscaped grounds 4 separate titles for future separation if desired

Net Profit (7 Months 2021) $818,247 Turnover (7 Months 2021) $1,917,440 Price $12,000,000

GRANT SULZBERGER

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

IAN CROOKS

BROKER

CHAIRMAN

+61 455 053 832

+61 411 171 648

grant@resortbrokers.com.au

ian@resortbrokers.com.au

MORE INCOME HIGHER VALUE EASY TO RETROFIT EXISTING BUILDINGS

VALUE FOR TENANTS Speeds equal to or better than fibre Instant connectivity

If you outsource internet service provision in your permanent building, you are missing out on valuable income. With gigafy’s simple WiFi network system, you become the preferred ISP.

EASY TO Residents enjoy betterRETROFIT service. We take care of EXISTING BUILDINGS billing and support. You collect the $$$.

Full coverage, including common areas No contracts, flexible plans No set-up fees, no equipment needed

TENANTS VALUE FOR No dealing with telcos/ISPs Speeds equal to or better than fibre Instant connectivity

It’s whyFull gigafy’s WiFiincluding solutions are found coverage, If you outsource internet service provision in

VALUE FOR YOU on valuable income. With gigafy’s simple WiFi your permanent building, you are missing out

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New on-going revenue stream

billing and support. You collect the $$$.

Proven 300-500% 5yr ROI

common areas

in more than 30,000 apartments and No contracts, flexible plans

450 venues across Australia.

No set-up fees, no equipment needed No dealing with telcos/ISPs

YOUR BUILDING COULD in more than 30,000 apartments and BE MAKING YOU MORE! 450 venues across Australia. It’s why gigafy’s WiFi solutions are found

Faster, more reliable connections YOU VALUE FOR High tenant satisfaction and retention New on-going revenue stream Proven 300-500% 5yr ROI

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YOUR BUILDING COULD BE MAKING YOU MORE!

Increased rights resale value short-termmanagement uses Easy switch between permanent and short-term uses

gigafy.com.au gigafy.com.au 1300 1300 444 444 239 239 I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

MANAGEMENT RIGHTS 45 UNITS + MANAGER'S 42 LETTING 10 YEARS

MANAGER’S RESIDENCE 3 BED 2 BATH

Griffith Scenic Village GRIFFITH, NSW

REF // M R 0 0 6 2 2 4

Perfect lifestyle business for those looking to scale back! The Griffith Scenic Village provides quality affordable rental accommodation for independent seniors. The friendly community is conveniently located and provides residents with regular social interaction with like-minded people. Managed under a Management Rights model with renewed agreements back to full term under NSW legislation, this is an opportunity for someone to scale back their working life yet still have a stable income whilst being part of a low maintenance community environment. The manager is not required to live onsite. Renting in retirement at Griffith Scenic Village allows tenants to enjoy the best of both worlds - they can maintain their independence whilst enjoying the benefits of community living. There is no food service so this is simply a caretaking and letting role. Designed in clusters, all of the lettable units are set amongst attractive landscaped gardens and grounds. Covered walkways provide all-weather protection and step free access to the Community Room. Griffith Scenic Village is conveniently located within walking distance of public transport, and only a short drive to the doctors, hairdresser, hospital and shopping centre. Full 10 year term management rights agreements Net profit of $80,630 Net profit after real estate outgoings $61,011 Real Estate includes manager’s unit and Common Facility ($220k) Earn an income whilst living an independent community lifestyle No requirement to live on-site

Net Profit $80,630 ($61,011 After Property Outgoings) Turnover $91,089 Price $372,527

CHRIS KELLY

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

NATHAN EADES

BROKER

+61 431 055 221

+61 448 339 920

chris@resortbrokers.com.au

nathan@resortbrokers.com.au

MANAGEMENT RIGHTS 71 ROOMS 51 LETTING 24 YEARS

Gold Coast Outlook 3 EAGLEBY, QLD

MANAGER’S RESIDENCE 4 BED 3 BATH

REF // M R 0 0 6 6 0 3

Beautiful 4 Bedroom Queenslander Home with Managment Rights ResortBrokers ® is proud to present the management rights and letting for Gold Coast Outlook 3. This complex is only 35km from the Brisbane CBD and 45km to the beautiful beaches of the Gold Coast. It is currently operated by two people comfortably, along with a large 4 bedroom Queenslander home. The complex has a great sized pool, partially covered with a shade sail, attached entertaining area, meeting room and a lockup storage area at side. With a current net profit of $198,802 why not live off site and rent out the manager’s residence, increasing the Net to $221,802, this management rights would suit both a new operator or add-on to an existing management right business in the area. Separate office attached to home and on title No office hours 24 years accommodation module Rent out the beautiful 4-bedroom home for $450 P/W Strong long standing letting pool Room for growth Massive 4-bedroom home Good complex with long term tenants

Net Profit $198,802 Price $1,500,000

PAUL MUELLER

BROKER

+61 439 255 507 paulmueller@resortbrokers.com.au I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

LEGAL

E-sign: The future of Contracts WORDS_DAVID APOLPHE

There have been many effects of the COVID-19 pandemic on the accommodation industry and an important one with respect to the buying and selling of accommodation businesses has been the rapid increase of the pre-pandemic use of electronic signatures in contracts and other documents. This occurred not only by an increase in growth in electronic transacting by parties but also by State and Commonwealth legislative changes in response to the COVID-19 pandemic. WHAT IS AN ELECTRONIC SIGNATURE? An electronic signature, as the name would imply, is the act of a person using some electronic means (usually by a computer) to place their normal hand written signature or initials (sometimes referred to as a ‘wet ink signature’) on an electronic version of a document which can be reproduced in physical form by printing in a way that indicates the signing party’s intention to adopt, authenticate or be bound to the terms of the document or communication.

A ‘digital signature’ is a form of electronic signature created using a software platform operating with cryptographic technology to attach a mathematically generated code to the document or communication to verify the contents of the document or communication at the relevant time and the identity of the person signing. Examples of these types of software platforms are Adobe Sign, DocuSign and Secured Signing. ARE ELECTRONIC SIGNATURES VALID? Yes, electronic signatures are valid at general law. The validity of electronic signatures depends on the signatory demonstrating an intention to be bound by the terms of the document on which the signature has been placed, sometime referred to as the ‘authentication intention’. Parties need to be careful with email communication where signatures footers are usually automatically included in the creation of an email (or a reply or forwarded email) and words are used which could demonstrate an intention to be bound to some agreement (i.e. by using phrases such as “I agree” or “I accept your offer” etc.). During contract negotiations it is important to make it clear when the writer (or their client) will be bound (i.e. on the parties signing the finalised Contract and not before).

Whilst that seems complicated, people will generally recognise the following common examples of the use of electronic signatures:

Typing the person’s name or initials on a document including in footers to an email;

Cutting and pasting a scanned image of a person’s signature or initials on an electronic document (such as a Word or PDF document);

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

3 Using an e-signing software platform to insert a typed or scanned version of a person’s signature or initials on an electronic document;

4 Using a biometric or electronic device such as a stylus or touchscreen to insert a person’s signature or initials on an electronic document (often used when receiving a delivered package);

What are electronic signatures and how are they used in legal documentation in the post-pandemic environment?

ELECTRONIC TRANSACTIONS ACTS Before the COVID-19 pandemic the State and Commonwealth governments recognised the need to deal with legal requirements for electronic communication in transactions and passed Electronic Transactions Acts. These Acts are functionally and technologically agnostic by not invalidating a transaction based on the type of electronic media or technology used. For example, digital signatures are not given any greater validity, however, there may be practical or security reasons why parties may choose to use a specific e-signing platform, software or app. The purpose of the acts is not to validate electronic signatures in transactions, done at general law, but rather to provide additional statutory validity so electronic signatures will also comply with signature requirements under other State and Commonwealth legislation (for example under Duties Acts and Property Law Acts). THE FUTURE FOR TRANSACTING Electronic signatures are valid and the future of contracting in Australia and globally. The ability to transact electronically (and all manner of electronic communication) has greatly assisted parties during the COVID-19 pandemic and have become a normal aspect of accommodation transactions. With the convenience and ease of electronic transactions comes a greater need for attention on identity issues for parties and vigilance against cyber fraud. Participants in all transactions, particularly electronic transactions and those involving the PEXA system, will notice an increased requirement for verification of identity and other personal details. Digital signatures and other technologies will assist in the future by providing further protections to the transacting parties. END

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BROKERS INSIGHT

How To Stand Out From Your Competition WORDS_JASON VOGLER

ith the influx of domestic travellers continuing to be the new normal, is your accommodation business ready to fill the high demand of regional tourism? As you’ve already gathered from reading this edition of Informer, Australians are hitting the road and travelling domestically which is fuelling a massive demand for accommodation in many regional destinations. This has been one of the few positives to come out of the pandemic and, for accommodation operators, this provides the perfect time to take a good hard look at what is being offered to your guests. There’s no doubt that travellers now have higher expectations on where

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they stay. They require more quality inclusions, often superior to their own home, at a reasonable price. This means some accommodation providers will have to raise the bar in order to reap the rewards now and into the future. This doesn’t mean you need to reduce your rack rate but, quite simply, now more than ever, you need to ‘wow’ your guests the minute they step out of their vehicle. First impressions are lasting and are essential in creating a good impression which ultimately leads to word of mouth and social media referrals and the potential for return visits. Is your driveway clean and in good repair, is your paint looking fresh, your lawns well maintained and are your

gardens pruned? If yes, then great, you’ve passed their first visual test. Next on the list is the check-in experience and your office/reception. This is where I find most people let their business and themselves down. An inviting reception area, tastefully decorated, sometimes themed, is engaging as well as interesting. Next is the all-important greeting. We all know this is essential for creating a positive experience for guests, but being human, we sometimes allow the stress of operating a 24/7 high demand business rear its ugly head. I can’t tell you how many times I have walked into a reception and instantly after being greeted, thought to myself, they do not want to be here. We are all guilty of this from time to time.

How to ‘wow’ your guests and turn them into repeat visitors: • Are your guests impressed when they walk in your rooms? • Are you offering quality inclusions? • Are your beds comfortable and inviting? • Is the size of your TV well received? • Is your artwork intriguing? • Does your shower have good pressure? • Are you creating repeat guests?

If you have answered ‘no’ to any of the above, you may not be doing enough to stay ahead of your competition. If you are unsure why not create a short survey asking your guests those questions.

Let us assume you greet your guest with a big smile and thank them for choosing to stay with you. The checkin process is the perfect platform for engaging with guests. Everyone loves to talk about themselves. Ask them simple questions about how their day was and where are they driving to or from. Offer all your up-sell products, beverages and dining options. Try to make the time to show all new guests to their door. This is another small touch that will not go un-noticed. You have the power to create repeat guests, who will reward you by booking directly with you and save you commission. Once the door to your guest’s room is opened, they need to be so impressed that they verbally announce their delight. Your beds must look comfortable and inviting and be in

top condition with crisp sheets along with an assortment of pillows, cushions and splashes of colour. Tasteful bed runners, comforters or bedspreads precisely positioned will add to the appeal. Artwork on walls and benches should be of adequate size for the space, showcasing the location or be simply unique to your property. Next and possibly more important than artwork is the TV. Minimum expectations are at least a 42” Smart TV, capable of live streaming the likes of Netflix, Stan and Kayo. Most modern homes have massive TVs in multiple locations. Guests expect to be as, or more, comfortable than when they are in their own home while paying you for the experience. Cleanliness is essential especially in this COVID and post-COVID world. Bathrooms can often cause great angst

for some guests. Not everyone has large designer bathrooms - far from it. The important things to consider are that tiles need to be in good repair, and well-cleaned with grout intact and free from any evidence of mould. Shower screens should be stain free and shimmering. Shower roses and basin tapware should be water efficient, in good condition and preferably modern. Large shower roses that provide strong water pressure add to the luxury of the experience. Who doesn’t love a good hot shower with ample water pressure? If you’ve done all of this, then you’ve done the basics. Happy and contented guests will tell everyone they meet on their trip where they have stayed and will also proudly display your business online through social media, and the myriad of review sites that can be used to your advantage as good advertising and free publicity. If you can hold firm on room rates, while providing the best guest experience possible, this will allow your business to flourish amid the current high demand for regional travel. Welcome them now, treat them right and you will create loyal repeat guests for the future. END

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Tired of Making Money for Someone Else? We first published this article in 2016. We called it “Taking the Next Step, Are you Ready?” At the time we thought interest rates were low and demand for a lifestyle change among corporate types and small MLR operators was pretty strong. Turns out Bachman Turner Overdrive was right: “You ain’t seen nothin’ yet!” Come 2020 and the great COVID reckoning and it seems everyone is moving their plans forward. In the hotel management and hospitality space, managers who might have planned to do their own thing in 10 years are now looking to do something in a much shorter time frame. For many, the prospect of running their own show and leveraging their skills to value-add to their own business just makes good sense. Given the scale of property that many industry professionals have been running, the partnership model is compelling and allows access to businesses that might otherwise be out of reach for an individual or a couple. Of course, for hospitality professionals the final decision is very much in the hands of those who control our state and international borders but there’s no doubt that people are ready to move. My expectation is that as soon as some certainty returns to the tourism sector we will see a migration of managers from corporate life to full or part ownership of management rights and other accommodation assets. Needless to say, if you are one of those contemplating a change, we are here to help and look forward to having a chat. Anyway, edited and updated but largely unchanged (except for interest rates) here’s how we see things today. Human ambition is an interesting thing. Even while confronting the terror and stress of a new role or business venture, many of us are already thinking about the next step.

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THE THIRST FOR IMPROVEMENT AND THE NEXT B I G S T E P I S C E R T A I N LY A L I V E AND WELL IN THE MANAGEMENT R I G H T S I N D U S T R Y. I reckon it’s all part of our innate survival instinct ingrained into us as a species. I’ll bet that even while our Neanderthal cousins were dragging that Brontosaurus back to the cave, they were already planning the next hunting expedition and perhaps some improved techniques and a more effective and efficient conquest. All the better to improve one’s lifestyle and avoid the risk of becoming dinosaur poo! This thirst for improvement and the next big step is certainly alive and well in the management rights industry. The vast majority of our clients, having mastered the day to day management skills inherent in successful business operations inevitably turn their thoughts to the next step up. For some, they can sell their existing business and have the fire power to go bigger by themselves. However, for many operators there is frustration as they build the necessary skills to operate quite large businesses but lack the equity to go it alone in a big high net profit property. This dynamic can lead to a disconnect between skill sets and business size where the business operator is arguably over qualified but lacks the financial capacity to step up to the sort of business they are qualified to operate. In fact, the same can also apply to salaried onsite managers. They develop strong skills and drive value within

the business while creating no additional wealth for themselves. Fear not, I have a plan. Just as there are experienced management rights operators looking for the next opportunity, there are investors looking for somewhere to place their spare cash. Hopefully somewhere that might yield a better return than bank interest, property or shares. Given the abysmal returns in many asset classes that wouldn’t be hard. So, how might all this work? Typically, an operator or an investor will approach us and express some interest in purchasing a management rights. They may have one in mind or they may simply be on the hunt. They will seek our input in terms of funding options and, in many cases, ask us to help manage the acquisition process end-toend. We are seeing many investors using self-managed super funds to invest, albeit these types of decisions are obviously taken in conjunction with independent legal, compliance and tax planning advice. The operator of the rights is referred to as the managing partner (typically a husband and wife team or similar) and is paid a salary package by the partnership. This will usually consist of a cash component and the use of the manager’s unit in which to reside. In most cases, an allowance is made to cover relief for four weeks holiday and utilities and levies

FINANCE associated with the manager’s unit are paid by the partnership. Reasonable supporting labour costs are allowed in the budget and a working capital reserve is also maintained. On top of the salary, the managing partners receive a return on their equity investment. If they are 20 percent shareholders in the partnership, they will receive an equivalent distribution of profits after bank interest and liquidity provisions. It is important not to confuse the salary paid by the partnership with the working partners’ investment dividend. They are two entirely different matters and should never be combined to reflect a total income. Doing so distorts the real return as there is a return for labour and a separate return on equity. They are totally different matters albeit investors love the idea of the managing partners having skin in the game. I hate that expression but it serves its purpose in this context! Equity calculations are pretty simple. We take the total purchase price, add costs and working capital allowances, take off bank debt and the balance is the required equity. Most investors will look at their slice of the total equity pie, analyse their likely cash

return and convert that to a return on equity figure. Provided the return is appropriate for the perceived risk in the deal, investors are likely to proceed. As you can see the managing partner essentially has a dual role. On the one hand they are investors in the ownership of the asset and on the other hand they are employees of the partnership. I use employee as a broad term, it may well be a contract arrangement but you get the idea. I can’t talk about this subject without a word on debt and gearing. At present, interest rates are at record lows so the miracle of leverage plays a big part in the success of these transactions. In this case, what we are talking about is the ability to borrow at sub 3 percent variable rates and acquire an asset that may well be showing a 14 percent return on investment and a >20 percent return on equity. Clearly the more of that sub 3 percent money you can get your hands on the better the return on equity will be. However, a word of caution. We do not support the concept of fearless gearing nor do we believe that rates will stay low forever. Prudent borrowers will always plan for interest rate fluctuations, cyclical trading conditions and some

volatility in asset values. Placing a portion of the total debt on P and I and taking a slightly lower return makes sense to us and builds a buffer for the inevitable speed bumps. It’s fair to say that there’s a lot more to these transactions than I can cover in this forum. If you would like to know more or are contemplating the next big step, give me a ring.

END

Disclaimer: This article does not constitute investment advice. We are not financial advisors nor do we hold an AFSL. The percentages and concepts used are for illustration purposes only and should not be relied upon in any manner. Parties contemplating the purchase of any business or any investment should consult their professional advisors.

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

OPERATOR PROFILE

Downsize your life, upsize your lifestyle They’re part of a growing trend of retirees downsizing to holiday parks and Manufactured Housing Estates (MHEs) and Lifestyle Villages has emerged as one of the leaders in an industry which is growing rapidly. With nine properties across Australia, its modern over 50s independent living communities are proving to be an attractive and more affordable option to traditional aged care facilities. The concept is relatively simple. You buy your home which you own, and it sits on the land owned by the operator who charges a small weekly rental fee which also covers rates. Set in landscaped gardens, the homes are self-contained usually with one, two or three bedrooms, some fenced, some with garages or carports, decks, big yards or small selfcontained gardens and are pet friendly. Lifestyle Villages Director Antony Wiesener said the company was borne out of a road trip taken by his business partner which provided a “light bulb” moment. “My business partner, Damien Daly, was on a caravan holiday with his family travelling around Australia and he kept noticing all of these mobile homes usually located at the rear of the caravan park,” Mr Wiesener said. “After doing his homework and getting an understanding of the business, he loved the concept of owning a caravan park and he purchased his first one in 2009. It was located at Redhead Beach near Newcastle.

For residents, there are no rates to pay and most parks have community facilities and, unlike retirement villages, any profit on the sale of the home is kept by the resident.

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"Shortly after this, Damien purchased a Manufactured Housing Estate (MHE) at Anna Bay." “During this time, Damien and his family often spent a week with my family in the Gold Coast and we spoke extensively about his successful parks and this is how I got involved with him. In 2013, we purchased a MHE together at Cooroy and the name of Lifestyle Villages was chosen.” The company now has nine parks at Anna Bay, Nambucca Heads, Nambucca River and Redhead in NSW, Bundaberg, Dakabin, Cooroy and Hervey Bay in Queensland and Traralgon in Victoria. Lifestyle Villages has developed a model in which they can run a profitable business which also provides financial benefits to its residents. “Firstly, residents are protected by legislation. They own their home and in effect they rent the land. This has many advantages as the rent component in most cases is mostly paid for by the government,” Mr Wiesener said. “As all residents are over 50, they are generally like-minded and they find these types of communities safe and friendly. There are no rates to pay, most parks have community facilities and unlike retirement villages, any profit on the sale of the home is kept by the resident,” he said. Lifestyle Villages has also focused on an acquisition strategy, rather than acting as a developer who finds and builds parks.

CONTINUED ON PA G E 7 2

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

LEGAL

Across Australia: 750 mixed caravan parks & MHEs

170 pure MHEs

Shifting demographics: 1976 1.3m people aged over 65 (9%)

2016 3.7m people aged over 65 (15%)

“So far we have only acquired parks, however some major works have occurred at some parks. For example, when we bought Lifestyle Village Dakabin in outer Brisbane, it was very run down and only licensed for 91 sites. “We then bought an unused mining camp at Miles in the Western Downs region of Queensland. We stripped the 36 cabins from this caravan park and transported all the cabins to Dakabin. Today it has a licence for 169 sites and we continue to purchase cabins which are nearly always full. It is now a very neat and clean park that provides long term affordable accommodation for residents. “We purchase parks if we see there is potential to make the park better and increase profits. MHEs are extremely hard to purchase these days, as they are very popular with listed companies and private equity groups.” And the reason for this? According to the Australian Bureau of Statistics (ABS), during 2016 there were 3.7 million Australians aged over 65 years, representing 15 percent of the population. This is a significant increase from the 1976 ABS figure of 1.3 million people aged over 65 years, representing just nine percent of the population. PRDnationwide reports there are 750 mixed caravan parks and MHEs and 170 pure MHEs across Australia.

RESORTBROKERS.COM.AU_I S S U E N O . 9 8

The average listing price of MHEs in the south east Queensland region was $338,178, which is lower than the median house prices in Queensland metro areas such as Brisbane, Gold Coast and Sunshine Coast. Lifestyle Villages’ acquisition strategy has extended into the Outback with the purchase of the BIG4 Stuart Range Outback Resort at Coober Pedy, South Australia, in a move that will create the company’s first “flagship” property. “We are really excited about this one. We want to create an iconic park in the middle of Australia and we have some big plans to make the park a must-stop for all the travellers who venture to the Outback,” Mr Wiesener said. As for what are the essentials of running successful park or MHE, Mr Wiesener says it’s down to simple strategy of creating a “community” within each property. “For us it all starts with the staff. If you look after everyone they will look after you. We don’t care whether you’re a cleaner, groundsman, manager or office worker, we consciously make an effort to get to know them all and make sure that they are happy in what they do. “Happy and content staff makes for a great park and in turn creates a good community for residents and tourists.” END

The Three Golden Rules relating to Letting Appointments, Commissions and Accommodation Cancellation Fees No. #1

Golden Rule

Written Letting Appointment An agent must have a written and signed appointment with an owner (in Qld, a Form 6) and the agent cannot charge for something that is not directly authorised in the Form 6. The appointment must clearly set out:•

the service to be performed;

•

the fees, charges and any commission payable for the service;

•

when any fees, charges and any commission for the service become payable;

•

any expenses the agent is authorised to incur in the performance of each service or category of service, such as advertising and marketing costs;

•

the sources and estimated amount or value of any rebate, discount, commission or benefit you may receive for any expenses you may incur in the performance of the appointed services; and

•

any condition, limitation or restriction on the performance of the service.

Where an appointment refers to commission expressed in the form of a percentage, this rate of commission must be calculated on the actual amount of rent collected (including a deposit).

No. #2

Golden Rule

Must show the Gross Income and not the Net Income Agents must account to their clients for everything they receive and disburse. Agents cannot report their rental income as the net amount. They must show the gross payment received and any deductions, then the net amount.

•

enable one party (but not another) to breach or terminate the contract • penalise one party (but not another) for breaching or terminating the contract. When the terms and conditions allow for it, a booking cancellation fee can be kept from deposit money a guest has paid for accommodation. In some cases, usually depending on the way the booking was made, such as via a third party, guests also pay a booking administration fee on top of the accommodation costs. If a guest cancels their booking and is penalised with a cancellation fee in accordance with the agent's booking terms, the fee is generally considered rental income and should be paid to the owner. Where an appointment to act refers to an agent’s commission expressed in the form of a percentage, this rate of commission must be calculated on the actual amount of rent collected, which in the event of a cancellation, may only be part of a retained deposit.

Agents may also claim any expenses relating to cancellations that are stipulated in the appointment to act. If cancellation expenses are not stipulated in the appointment, the agent cannot claim them, and, if a cancellation fee is retained from a guest’s deposit, this must be paid to the owner.

An exception to this rule would be where a booking administration fee has been charged to the guest in excess of the accommodation costs and is not payable to the owner. At the end of each month, the agent is required to provide an account to their clients that clearly shows each amount the agent has received and exactly how it was paid out. A client should be able to ascertain from this monthly account if a deposit was received from a guest for a booking that was cancelled and how the deposit was distributed (i.e. the amounts returned to the guest, claimed by the agent, and paid to the owner).

Management Rights Law Specialists

No. #3

Golden Rule

Accommodation Cancellation Fees – Who is Entitled?

Booking cancellation fees for accommodation may be applicable in certain circumstances when a guest cancels their booking. However, all cancellation terms and conditions must be clear and transparent at the time of booking (as part of the booking form or a term and condition on the booking web site), and they must not: • enable one party (but not the other) to avoid or limit their obligations under the contract

Australia Wide

Liability limited by a scheme approved under Professional Standards Legislation Disclaimer – This article is provided for information purposes only and should not be regarded as legal advice.

Our trManagement usted team of legal experts, ledRights by Col Myers,Law draws on Specialists over 30 years experience to Australia Wide get you the best possible outcome. Our Our trusted trusted team team of of legal legal experts, experts, led led by by Col Col Myers, Myers, draws draws on on over over 30 30 years years experience experience to to get you the best possible outcome. get you the best possible outcome. Although Although our our full full suite suite of of services services is is more more comprehensive, particular expertise comprehensive, particular expertise covers: covers: -- Buying & Selling Buying & Selling -- Structuring Structuring -- Variations Variations -- Renewals Renewals -- Establishments Establishments -- Licences Licences & & Letting Letting Appointments Appointments -- Advice on all Body Advice on all Body Corporate Corporate Issues Issues -- GST, Stamp Duty and GST, Stamp Duty and Tax Tax -- Exit Exit strategies strategies -- Dispute Dispute resolution resolution -- Legal due Legal due diligence diligence reports reports

Although our ful suite of services is more comprehensive, particular expertise covers: - Buying & Selling - Structuring - Variations - Renewals

Contact Contact us us today today to find out how to find out how we we can can assist assist you; you; P: +61 (0)7 5552 6666 P: +61 (0)7 5552 6666 M: M: +61 +61 (0)417 (0)417 620 620 516 516 E: cmyers@smh.net.au E: cmyers@smh.net.au W: W: smhmanagementrightslawyers.net.au smhmanagementrightslawyers.net.au

Contact us today to find out how we can assist you; P: +61 (0)7 5552 6666 M: +61 (0)417 620 516 E: cmyers@smh.net.au W: smhmanagementrightslawyers.net.au

I S S U E N O. 9 8 _RESORTBROKERS.COM.AU

The Importance of Design & What Guests Look For In A Hotel It’s a business that was born more than two decades ago with a niche focus and the appropriately named Furn-Niche is now recognised as one of the leaders in the design, manufacture and installation of furniture fixtures and equipment (FFE) for hotels, resorts and apartments across Australia. Managing Director Jo Street is a passionate interior designer who has been in the FFE industry for more than 20 years and we asked her about the evolution of the business and why hotels are increasingly looking for design ideas and inspiration. How, and when, did Furn-Niche come into existence? My two business partners and I took over Furn-Niche four years ago after working many years together in the business. The buyout was several years in the making which gave us plenty of time to dream about how we were going to improve our service and increase our offering. But Furn-Niche was born about 25 years ago originally importing furniture from Indonesia and doing small holiday apartment fit-outs in far north Queensland.

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I personally have worked on-and-off in Furn-Niche for about 18 years, including a four year stint in Dubai. So, I have lived and breathed this business and I’m very passionate about the industry. What processes are involved when you are approached by a hotel or chain to redesign their spaces? Step one is always understanding the scope and the brief. What is the objective? What product is included? Where is the hotel located and who is the end user? What is the budget? And of course, it’s crucial to understand the brand standards and design expectations. One of your recent high profile projects was with Riley, a Crystalbrook Collection Resort. What was the final design concept with this project? Being in far north Queensland, the hotel had to ooze a chilled, relaxed, holiday vibe. Our client however, was driven to stand out and make a statement in the Cairns market that showed a new level of sophistication.

Has COVID-19 changed the level of demand for FF&E, and/or create any different type of creative styles? Overall, we’ve weathered the COVID-19 storm very well and, although we had a few hotel openings delayed, we have mostly found that there is a very strong pipeline of hotels under construction and in planning. Probably the biggest change that we’ve experienced is not being able to travel to our project sites and our factories. But overall this has improved our technical shop drawings and general communication with clients and factories. We are very lucky to have a team on the ground at our offshore factories that we can trust, and we are talking to them all day every day. Generally speaking, are individual and chain hotels becoming more aware of the need to redesign and refresh their interiors? Definitely. Hotel chains are much more aware of the importance of interior design. There is too much competition out there, and there is no room for spaces that are lacklustre and uninviting.

We find one of the biggest challenge that some larger hotel chains have is the variation in the quality of the fit-out between properties. Unfortunately, the weakest property can have devastating impact on the whole brand. As we move well and truly into 2021, are there any new trends set to emerge through this year and next? I think COVID-19 has given us an opportunity to explore our own backyards instead of holidaying overseas. We are feeling proud and more confident of our identity, and I feel this is showing in the latest designs we are working on. They are brave and optimistic, clever with colour and have a strong connection to nature while still being quite ‘blingy’. We are combining oak timbers with earthy hues such as terracotta, sage and nude with splashes of metallic copper, and lots of mirrored surfaces! END

O U R N E W D E S I G N S A R E B R AV E AND OPTIMISTIC, CLEVER WITH C O L O U R A N D H AV E A S T R O N G C O N N E C T I O N T O N AT U R E W H I L E STILL BEING QUITE ‘BLINGY’.

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REGULAR FEATURE

Relief Managers Please note: this is simply a directory service that we provide to assist you. Should you choose to go on holiday or take a break, we recommend you interview and qualify relief managers yourself, before hiring. Nb. You’ll find more managers listed on our website: resortbrokers.Com.Au/buy/reliefmanagers

RAMON SPIDLA

STEVE REYNOLDS

BARRY & LESLEY ROBERTS

Motels, Resorts & Caravan Parks Nationwide

Management Rights & Motels Brisbane, Gold & Sunshine Coast

Motel Nationwide

0402 255 078 rayann3010@hotmail.com

0413 614 936 steve.managementrightsrelief@gmail.com

0428 422 456 lez.baz@bigpond.com

LLEW & TRISHA POINTON

MARION & PETER KEULEN

MICHAEL STIRLING

Resort & Motels Nationwide

Caravan & holiday parks Nationwide

Management Rights, Resorts & Motels QLD & NSW

0400 035 359 llewp@tpg.com.au

0411 865 905 marion_keulen@hotmail.com

0437 455 865 stirling6298@yahoo.com

MICHAEL & CAROLYN GREALY

MIKE AND TERESA THOMSON

NANETTE MORTIMORE

Motels, Hotels & Caravan Parks QLD, NSW & VIC

Motels Nationwide

Management Rights Brisbane

0437 697 772 cmgrealy@optusnet.com.au

0419 174 221 info@mitemgt.com.au

0419 707 773 nanette.mortimore@gmail.com

PATRICIA LAVERTY

PAUL & JANE HANSEN

PETER & JANINE TEMPLETON

Motels & Resorts QLD, NSW & VIC

Caravan Park & Villa QLD, NSW & VIC

Caravan Park & Motels Nationwide

0478 611 202 patricia_laverty@hotmail.com

0438 877 932 happycamperparkmanagement@gmail.com

0408 178 130 tempy7@bigpond.com

PHILLIP & SHARYN STALLMAN

ROB & LYN KEEN

KAREN & PETER DEACON

Motels Nationwide

Management Rights QLD & NSW

Motel Managers VIC, SA, NSW

0428 931 589 pjstal@bigpond.com

0406 884 343 roblynkeen@gmail.com

0400 997 877 peterdeax@gmail.com

SALLY & EDWARD SHIRKE

SHANE & JODIE ADAMSON

SHANE & MADONNA ASHMAN

All Property Types Nationwide

Caravan Park Queensland

Management Rights NATIONWIDE

0437 606 918 sshirkie@gmail.com

0427 155 399 info@safejourneyaustralia.com.au

0400 997 877 peterdeax@gmail.com

VICKI & WAYNE GOWLAND

YVONNE & GEORGE ARATO

CHARLIE & JACKY

Management Rights & Motels QLD, NSW & VIC

All Property Types Nationwide

Caravan Parks & Motels QLD & NSW

0434 200 110 vickigowland@hotmail.com

0410 685 003 hgarato@bigpond.com

07 4622 3221 jacquelineryan1@bigpond.com

BELINDA & DAVID GUSTASON

CARMEL MOLONEY & CHRIS BALEY

CHRISTIAN CARBONE

All property types QLD & NSW

Motel QLD - Gold & Sunshine Coast

All Property Types Nationwide

0403 219 562 gustafsondavid@hotmail.com

0400 483 291 c.m.j64@hotmail.com.

0432 008 988 alisonandlinley@icloud.com

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JEFF MITCHELL & COLLEEN BARNES

THE GOOD KNIGHTS

PAULINE & ROBERT DONALD

Hotel & Motels Nationwide

Resorts, Motel & Management Rights Australia Wide, Overseas, East Coast Based

Motels & Caravan Parks QLD & Northern NSW

0418 728 493 jeff.colleen@bigpond.com.au

0412 005 537 julia@brightandbold.com.au

0419 810 052 donaldhospitality@gmail.com

GARY & ROBYN LOAKES

JIM & CARMEL RYAN

JOHN & LESLEY GIBSON

All Property Types Nationwide

Motels Australia & New Zealand

Motels Nationwide

0408 798 352 grl21@bigpond.com

0437 404 079 muttley8@optusnet.com.au

0418 681 124 long.yard@bigpond.com

JOHN & SUSAN CONDE

KANE ANSELL & ROBYN HALL

KRISTY & LANCE BUTT

Motels QLD & NSW

Motels South East QLD & Northern NSW

Motels South East QLD

0438 488 738 jnsmotelrelief@internode.on.net

0416 016 614 info@businessbay6.com.au

0428 902 878 nqpropertygroup@gmail.com

MARIA DELANGE

PAUL & ARLEENE MOORE

PAUL ANTHONY KIRKPATRICK

Motel & Management Rights Central QLD

Motel Managers QLD & NSW

Motel, Resort & Hotel Nationwide

0425 732 569 mariajdl@bigpond.com

0404 855 711 pfandammoore@live.com

0419 675 671 paul.kirkpatrick@gmail.com

ANNIE & GARY MIEGEL

GARRY BAKER

CHRIS CAMPBELL

Operations Managers Nationwide

All Property Types Nationwide

Motels & Management Rights South East QLD & Northern NSW

0449 790 039 annieandgaz@hotmail.com

0437 455 865

garrybaker7@hotmail.com

0449 957 414 cj.campbell@gmail.com

CHRISTOPHER HILLMAN

COLIN & LARAINE FIELDS

ELIZABETH GRIMM

Management Rights, Motels & Resorts QLD & NSW

All Property Types QLD & NSW

Management Rights Gold Coast

0488 550 005 christopher.hillman@bigpond.com

0402 176 933 larainefields@gmail.com

0408 000 891 yellowroses4me2222@yahoo.com.au

GARTH & TRISH CAREY

GEOFF & MARYANNE CHEESEMAN

GRAEME & DEBORAH WALLACE

Resort & Motel QLD & NSW

All Property Types Nationwide

Motels QLD & NSW

0421 359 059 garth@careynominees.com.au

0410 662 963 cheezmg@bigpond.com

0427 512 751 graemedeb@motelmanagers.com.au

PETER MACKAY

KAREN & ROBERT NISBET

KARLA HARDING

Motels & Caravan Parks NSW 0408 000 554 mackas@gmail.com

Motel & Caravan Parks Nationwide

B&B + Guesthouse Australia & New Zealand

0488 934 899 karen.nisbet70@gmail.com.au

0414 767 499 bnbangel@fastmail.net

GRANT & KERRY O’SULLIVAN

LAUREN KROPP

LINLEY AND ALISON MADDICK

All Property Types Nationwide

All Property Types QLD & NSW

Motels Northern NSW & Southern QLD

0404 473 100 grant2466@bigpond.com

0458 416 484 lauren@realstrategix.com.au

0432 008 988 alisonandlinley@icloud.com

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REGULAR FEATURE

Meet our team Introducing resortbrokers' national team of accommodation business and property brokers. We are the industry experts at your service in every state and territory.

IAN CROOKS

TRUDY CROOKS

TIM CROOKS

ALEX COOK

Chairman Nationwide

Managing Director Nationwide

Director of New Developments and Hotels, Nationwide

Director Nationwide

0411 171 648 ian@resortbrokers.com.au

0477 882 210 trudy@resortbrokers.com.au

0422 208 450 tim@resortbrokers.com.au

0467 600 610 alex@resortbrokers.com.au

CARLA COOK

MARISSA VON STIEGLITZ

NICHOLA LANE

BEN HALL

Director of Marketing and Strategy, Nationwide

Operations Manager Nationwide

EA to Trudy Crooks

Marketing & Communications Manager, Nationwide

0467 600 611 carla@resortbrokers.com.au

0437 198 164 marissa@resortbrokers.com.au

07 3878 3999 nichola@resortbrokers.com.au

0416 295 877 ben@resortbrokers.com.au

NATHAN EADES

GARETH CLOSTER

JESSIE SHI

JEFF KEAST

Broker Brisbane

Broker Brisbane Central

Broker Brisbane

0448 339 920 nathan@resortbrokers.com.au

0423 182 766 gareth@resortbrokers.com.au

0422 935 428 jessie@resortbrokers.com.au

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GLENN MILLAR

CHENOA DANIEL

STEVE CAMPBELL

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0412 277 804 glenn@resortbrokers.com.au

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PAUL MUELLER

TODD WARNER

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0439 255 507 paul@resortbrokers.com.au

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0418 451 006 shanec@resortbrokers.com.au

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0431 055 221 chris@resortbrokers.com.au

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