May informer 2014

Australia’s No.1 tourism & business

No. 75 | May 2014

INFORMER Aussies on holiday Who travels where and why?

resortbrokers.com.au

inside...

ACCOR PROFILE

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FEATURE: PAMDA REFORMS

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PLANNING TO BEAT THE TAXMAN 22 CASINO SUBMISSION UPDATE

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FEATURE: AUSSIES ON HOLIDAYS

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PAYING THE PENALTY

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PARTNERSHIPS & SYNDICATES

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MIKE O'CONNOR'S COLUMN

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EXCLUSIVE LISTINGS

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RELIEF MANAGERS 47 INDUSTRY SPECIALISTS

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OUR TEAM 50 DIRECTORY 51

A time for confidence Ian Crooks MANAGING DIRECTOR

The Fair Work Commission’s May 14 decision to cut Sunday penalty rates for casual employees by 25 per cent from July 1 has been welcomed across the tourism and hospitality industries. It will see a reduction in casual loadings from 175 per cent to 150 per cent. But is it enough?

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onfidence is a word ringing in my ears a lot lately. That’s a good thing. And I reckon it’s a word we’ll be hearing for quite a while.

Everyone was a bit unsure what the Federal Budget might bring, but tourism turned out to be one of the winners. The AAA came straight out and praised the Government for showing faith in tourism by rejecting drastic funding cuts suggested by the National Commission of Audit.

The Budget recognised the importance of tourism by maintaining Tourism Australia’s funding, in turn supporting accommodation businesses. And, despite some other tough

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measures, I think business is generally pleased to have a government willing to do what needs to be done.

We’ve seen results … free trade agreements sealed, and a decision finally on Sydney’s second airport. As we’ve said so often, growth in our industry is all about infrastructure. Investment in infrastructure is number one.

We are certainly confident here at Resort Brokers Australia. The current level of enquiry is unbelievable, to say the least, as is our sales rate. Business is up 25 per cent for the first four months compared to last year. In fact we have sold a property every two business days since January 12th. I know that’s not the experience across the board. It’s a credit to our team here at Resort Brokers; everyone's professionalism and strategic approach is paying dividends.

Of course business confidence survey results rise and fall all the time. I read the other day that, while some of the initial post-election exuberance might have eased, business conditions for small and medium-sized enterprises (SMEs) have actually risen to a four-year high (NAB quarterly survey).

Property, construction and business/ financial services firms are the most optimistic. The Master Builders National Survey of Building and Construction

showed confidence in those industries is the highest since 2008. Government figures showed that, over the year to March 2014, job ads for construction workers were up by more than 33 per cent.

Speaking of jobs growth, this is a perfect opportunity to welcome the latest two additions to our team – Nat Marler, who’ll be looking after management rights in Brisbane, and Lyn Brodbeck on the southern Gold Coast. Great to have them aboard.

As always, this Informer is packed with fantastic business opportunities and news.

Our cover story takes a close look at the domestic tourism market, we profile our largest hotel operator, Accor, and tackle the vexed issue of penalty rates.

You’ll also find a preview of HotelsWorld Australia New Zealand, where industry executives will meet in Sydney (July 16-18) to explore emerging opportunities for investors and operators in the current market. I’ll be a guest panellist.

As I sign off, I’m preparing to mark a big milestone. On June 6, I celebrate 40 years in accommodation and hospitality business and property broking. I'm as excited by this industry as I was when I started and I am still learning!

Got any comments? Get in touch: carlacook@resortbrokers.com.au or PO Box 5004, West End QLD 4101

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EXCLUSIVE

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uest Echuca comprises of 30 dual keyed apartments which can be configured to 30 x studios, 26 x one bedroom and 4 x two bedroom, providing a total of 60 serviced apartments.

Stylishly furnished to a modern functional standard the apartment facilities include high speed internet, fax/modem lines and Foxtel digital T.V’s.

Quest Echuca is ideally positioned in the centre of Echuca and within easy walking distance to the Port of Echuca precinct, the Murray River and the border to N.S.W. The property has developed substantial corporate business whilst securing holiday and tourism bookings on weekends and holiday periods.

Echuca is the corporate hub for the area and provides an array of education, health, government, financial, retail and business services to the shire. Local industries include dairying, tourism, cropping, sheep and cattle farming, wool production, rice production and aquaculture.

All apartments provide quality furnishings and fittings, kitchens/kitchenettes, laundry facilities (except studio apartments), dining/ living areas and bathrooms.

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Prosperous leasehold offering growth and profitability SERVICED APARTMENT BUSINESS VIC/NSW BORDER • Building facilities include a large reception/foyer with back office, conference room, semi commercial kitchen, guest laundry, secure on site car parking, internet and Foxtel service.

• High nett expected for 2013/14 • Exceptional year on year growth and budgeted strongly for 2014/2015 • Quest Serviced Apartment franchise • Excellent mix of corporate and leisure guests • A purpose built building for Quest completed and opened in 2008 • Current refurbishment program with painting, re-carpeting and replacement of furniture and equipment • Long secure lease tenure, market rent.

Jim Chapman EXCLUSIVE AGENT Mobile: 0413 444 782 Melbourne office: (03) 9347 3100 Email: jimchapman@resortbrokers.com.au Gerard Hurry EXCLUSIVE AGENT Mobile: 0417 250 211 Melbourne office: (03) 9347 3100 Email: gerardhurry@resortbrokers.com.au

Net Profit: $ 360,000+ ( Expected 13/14) PRICE: $1,425,000 REF: LH003107

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Editorial

Drive to open

frontiers in hospitality

BY CATIE LANGDON: IN THIS SERIES OF ARTICLES, WE PROFILE LEADING SHORT-TERM ACCOMMODATION OPERATORS – THEIR ORIGINS, GROWTH, MARKET POSITION, AND FUTURE PLANS.

‘Pioneering’ and ‘innovation’ are words that will crop up in any discussion about the growth and influence of Accor in Australia’s hotel sector. Indeed, the group’s constant mission to “open new frontiers in hospitality” is given top billing as part of the Accor logo. Since first arriving on the Sydney waterfront in 1991, this formidable french-born hotelier has been a driving force in shaping our modern-day accommodation industry.

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he Novotel Sydney on Darling Harbour was where it all began for Accor in Australia. Opening in July 1991, it was central to the transformation of a grim collection of disused railway yards into Sydney’s vibrant tourism, hospitality and entertainment precinct.

During the near quarter century since, Accor has certainly opened new frontiers – in every State and Territory from WA’s Ningaloo Reef to our most easterly town of Byron Bay, from tropical Cairns to cosmopolitan Melbourne, and plenty of points in between.

Along the way, their contribution has extended beyond simple geographic growth.

Accor has sought out new frontiers in hotel concepts, customer service, improved sales and marketing, better training, and more inclusive recruitment practices.

‘Largest’ is another word almost always linked to the name Accor. Accor is the largest hotel group in the Asia Pacific region, where it now has over 500 hotels. And it is AustraliaNew Zealand’s largest operator with more than 200 properties. Worldwide, Accor has 3,500-plus hotels in 92 countries, operated by a staff numbering over 160,000 people.

Their portfolio spans the full market spectrum from 5-star establishments to 6

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Ayers Rock Resort, Ayers Rock

Pullman Melbourne, Albert Park

budget hotels. In the mid-priced segment, Novotel and Mercure are dominant. At the top end are the luxury Sofitel and upscale MGallery Collection and Pullman brands.

These brands have all seen accelerated growth in Australia since Accor’s purchase in 2012 of the Mirvac hotel group, an investment of over $280 million. Pullman is front and centre of their expansion in the upscale segment, and has become Australia’s largest 5-star hotel brand, now with 11 hotels and four more in the pipeline.

“Establishing and expanding Pullman in Australia is one of the group’s priorities, given we have recognised a sweet spot in the upscale market here,” said Chief Operating Officer Accor Pacific, Simon McGrath.

“Australia is seeing rapid increases in travel from a number of Asian destinations where Pullman is already well-established and, with the Australian Pullman network located in key business and resort areas, we believe the brand is well posed to further grow considerable support from both international and domestic travellers.”

Another priority has been innovation at the more budget-conscious end of the market. In 2011, Accor put the Ibis brand at the core of their economy hotel

Hotel Lindrum - superior room

strategy, and implemented what is termed a “megabrand restructure”. Formule 1 hotels were rebranded to Ibis Budget, All Seasons became Ibis Styles, and the existing Ibis brand was retained.

The result is a three-tier Ibis megabrand, which Accor says has already achieved significant revenue growth and improved consumer satisfaction. “The economy hotel sector is the fastest growing market in global travel, and is set to grow even faster with the rapid expansion of low-cost carriers,” Mr McGrath said.

This confidence and heavy investment in the segment will culminate in July when Accor opens its “premium economy” flagship hotel, the new 17-storey, 307-room Ibis Adelaide.

The Mirvac purchase, which added popular brands Sea Temple, Quay West, The Sebel and Citigate to the Accor network, has also been a catalyst for expansion in the premium apartment hotel sector. While many of the hotels have been rebranded to Pullman and MGallery, The Sebel will remain a key brand in Australia.

“Following extensive research into Accor’s apartment hotels, The Sebel Premier Apartments name has been selected to 7

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Ibis Budget, Brisbane

champion and leverage Accor’s upscale apartment product to create a unique proposition in the serviced apartment market,” Mr McGrath said.

“The Sebel Premier Apartments brand will be rolled out during 2014 with 20 current Sebel hotels and apartment properties alongside the majority of existing Grand Mercure Apartment hotels to integrate under the new banner across Australia and New Zealand.”

Another Accor priority in recent years has been to grow its franchise hotel division, through which Accor provides branding, sales, marketing and reservation support to owners who continue to operate their own property. With rapid and substantial changes to distribution channels and the rise of technology and reservations systems, aligning their business with such an internationally recognised brand is an attractive option for many operators.

“We bring an unparalleled range of brand options, an unsurpassed global sales, distribution and marketing team, and our proven record in maximizing returns for franchisees,” Mr McGrath explained.

There are some 70 franchised hotels

Garden View, king room

in the Accor Australia network, including the five hotels in the Ayers Rock Resort complex, which were added in 2012. Most recently, Accor took over management of the iconic Kakadu hotels, now Mercure Kakadu Crocodile Hotel and Kakadu Lodge Cooinda, which are operated by Kakadu Tourism.

Mention of these properties provides the ideal opportunity to recognise Accor’s role as a pioneer in employing and developing the hospitality careers of indigenous Australians. The company, which employs more than 10,000 people in Australia and has its own training academy (Academie Accor), has run its own Indigenous Employment Programme since 2011, introducing over 1000 indigenous Australians to the industry.

It has also just won a major government accolade in the Migration and Settlement Awards, for a self-initiated programme to recruit and train close to 100 refugees. The awards recognise initiatives that promote the inclusion of migrants within the Australian workforce.

“Accor is committed to cultural inclusion and creating programmes that encourage diversity,” Mr McGrath said.

Continues on page 17 > RESORTBROKERS.COM.AU 7

EXCLUSIVE

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entral is an award winning 6.5 hectare master planned development in the heart of Townsville’s CBD that is transforming an old industrial site into a thriving residential and lifestyle precinct.

Incredible off the plan in the heart of Townsville

Piccadilly, the 6th stage of Central, delivers the next level in stylish and contemporary inner city living. Piccadilly boasts a range of high quality one, two and three bedroom apartments created by the multi-award winning Honeycombes Property Group.

A PART OF AN AMAZING MASTER PLAN

This management rights is expected to have a high percentage of investors and will offer a great quality product with 38 dual keys. Combined with furniture packs and incredible amenities – Piccadilly is ripe for short term letting.

Located on the recently revitalised Flinders Street precinct and meters from Townsville’s city centre, Piccadilly takes advantage of the best inner city living that North Queensland has to offer.

With significant interest already in Townsville’s revitalised CBD, Piccadilly is your chance to live, invest and be a part of Townsville’s CBD growth.

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Piccadilly is a two stage project fronting the Ross Creek and is adjacent to Central Village, the heart of this award winning master plan.

Each stage will be constructed separately, and each will be a separate tower over a shared podium and car parking facility.

• Brand new 25 year term • Architecturally designed one bedroom, two bedroom and three bedroom apartments • The North Queensland region is home to approximately 16 percent of Queensland’s population, while generating 19.5 percent of Queensland’s Gross Regional Product • Since 2005, Townsville’s economy has grown at an average of 10% per annum • The city’s current population of almost 192,000 is forecast to grow to between 248,000 and 302,000 by 2031

Tim Crooks EXCLUSIVE AGENT Mobile: 0422 208 450 Brisbane office: (07) 3878 3999 Email: timcrooks@resortbrokers.com.au Net Profit: $359,775 PRICE: $1,749,000 REF: MR003157

EXCLUSIVE

Unique beach shack complex in WA EXPRESSIONS OF INTEREST Glenn Millar EXCLUSIVE AGENT Mobile: 0412 277 804 Brisbane office: (07) 3878 3999 Email: glennmillar@resortbrokers.com.au

Steve Campbell EXCLUSIVE AGENT Mobile: 0407 220 668 Brisbane office: (07) 3878 3999 Email: stevecampbell@resortbrokers.com.au

Net Profit: $232,181 PRICE: EXPRESSIONS OF INTEREST In conjunction with Accommodation West Pty Ltd REF: MR003147

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he management rights and associated real estate of Footprints on Preston Beach incorporating The Preston Beach Hotel/Cafe and the conference facility is being offered for the first time since opening.

The manager's lot encompasses a separate four bedroom house located off a private driveway on the high side of the resort.

It would suit a manager or couple with extended family.

A hotel licence has now been obtained which will open the resort to cater for weddings, conferences etc. Prior to this, this market has been untapped due to the lack of liquor licence. Bookings are now coming in strong for future functions which will see the income grow strongly in the near future.

Owners cannot permanently reside in their lots. However, they can use their beach shack up to a maximum of 90 days each year.

This unique beach shack style complex is located on the magnificent Indian Ocean beachfront of Preston Beach, on Western Australia’s South Coast half way between the two major regional towns of Mandurah and Bunbury. With the completion of a new freeway in 2009, the resort is approx 70 minutes from the Perth.

• 18 townhouses and 59 beach shacks • Body corporate remuneration of $89,000 • The reception-office is made up of a reception, waiting area, office, storeroom, PABX room with a floor area of 79m2 • The meeting-function room is made up of two meeting rooms, a storeroom with a floor area of 137m2 • The café-hotel is made up of indoor and outdoor dining areas, commercial kitchen, bar and counter and a floor area of 139m2 • Expressions of interest ends - 20th June 2014

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EXCLUSIVE

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eady for a lifestyle change? It has always been known that heading west produces more profit so why not grab this opportunity and run to Longreach. This motel and restaurant already have staff in place and unbelievable forward bookings for coaches (easy to accommodate) and a Qld Rail contract now in place. Naturally the farming industry, education and government departments make up a large part of the business as well.

On offer is the leasehold interest of the Albert Park Motor Inn and Oasis Restaurant, Longreach’s newest motel and restaurant. Set in an idyllic bush setting and in close proximity to Longreach’s iconic attractions.

There are 56 ground level units ranging from deluxe, standard, family and disabled units. There is undercover parking for all units, reverse-cycle airconditioning and Foxtel television in each room.

The fully licensed restaurant and bar the “Oasis Restaurant” offers a unique and memorable dining experience and caters for single diners to coach groups.

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Amazing outback opportunity LEASEHOLD OFFERING ON LARGE WESTERN MOTEL There is also a spacious function and conference room, "Joan Maloney room”, which holds approximately 80 people comfortably and is used for weddings, coach groups or that upcoming family or corporate event.

Other facilities include a modern and spacious three bedroom owners residence (which is off the reception for your convenience), large resort style pool with a kids pool and cold • 22 years on lease • Set on 2.5 acres and the newest motel in town • Close to Stockmans Hall of Fame, Qantas Outback Museum etc • 3.5 star • Presently run under management

Len Booth EXCLUSIVE AGENT Mobile: 0438 139 422 Brisbane office: (07) 3878 3999 Email: lenbooth@resortbrokers.com.au

Nett profit: $400,180 Turnover: $1,514,121 PRICE: $1,450,000 REF: LH003121

Are you buying or selling Caravan Parks, Motels, Management Rights or Hotels??

David Burrough and his team are the most respected legal advisors for those about to buy or sell an accommodation business.

Why not give them a call today?

T: (07) 3220 1144 E: email@hillhouse.com.au

www.hillhouse.com.au Many thanks to Queensland Tourism for providing the image of Brisbane

EXCLUSIVE

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his motel has been owned by a syndicate and run under management for the last three years meaning there is a huge opportunity for an owner operator to bring this property back to its former glory. Traditionally, this motel has traded very strongly with good tariffs and high occupancies.

Made up of 60 well appointed rooms, this property is popular with both corporate and rep trade as well as families who frequently visit Rockhampton.

A tropical style pool acts as a great centre piece for the property and is popular during the hot summer months. The motel also benefits from three good sized conference facilities and an incoming operator could definitely grow this side of the business.

There is also a well presented 100 seat restaurant with separate bar that represents only 18% of the turnover (most motels in Australia have a 70/30 split).

This motel is currently well over staffed.

This is a management problem that will be improved by a competent operator taking control of this business.

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Grow the business back to previous heights 60 UNIT CENTRAL QLD MOTOR INN Since purchasing the property the current owners have spent a lot of money on upgrades including painting both internally and externally, refurbishment of 20 bathrooms, plus many chattels have been replaced including beds, televisions, curtains and fridges.

This motel is simply screaming for new, enthusiastic owner operators to cut the costs and increase the net profit!

• 60 rooms including 13 standard, 24 executive, 16 premier, 4 family and 3 spa units • AAA 3.5 star • On site laundry where all linen is owned • 100 seat restaurant plus 25 person breakfast room which is divided by a cocktail bar • WiFi and Foxtel throughout

Ian Crooks EXCLUSIVE AGENT Mobile: 0411 171 648 Brisbane office: (07) 3878 3999 Email: iancrooks@resortbrokers.com.au

Trudy Crooks EXCLUSIVE AGENT Mobile: 0477 882 210 Brisbane office: (07) 3878 3999 Email: trudycrooks@resortbrokers.com.au

Net Profit: $401,949 2012/13 Turnover: $1,404,441 2012/13 PRICE: $1,150,000 REF: FLH003136

EXCLUSIVE

Price reduction vendor says sell AWARD WINNING SERVICED APARTMENTS Ian Crooks EXCLUSIVE AGENT Mobile: 0411 171 648 Brisbane office: (07) 3878 3999 Email: iancrooks@resortbrokers.com.au

Jim Chapman EXCLUSIVE AGENT Mobile: 0407 220 668 Melbourne office: (03) 9347 3100 Email: jimchapman@resortbrokers.com.au

Net Profit: $386,823 PRICE: $1,295,000 REF: LH003137

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uest Serviced Apartments are a very popular model and are in high demand! Quest Tamworth is the ideal property for an energetic couple looking to earn $380,000+ p.a.

Tamworth is a progressive city in the heart of New England. Although there are many motels in the region, Quest Tamworth enjoys more than its share of corporate guests. They enjoy having a self contained apartment where they can spread out and cater for themselves.

The manager’s residence is a large two bedroom, two bathroom apartment that is well appointed and is built above the office reception area.

The operating costs of this business include a full time receptionist for five days a week.

Additionally cleaning is conducted by a group of experienced cleaners giving the current owners flexibility and freedom.

The reason for sale is that the current owners are retiring and returning home to New Zealand. They have built this business into a profitable operation with continuous repeat clientele who frequent Quest properties.

In addition to repeat corporate trade, Tamworth has a lot of weekend sporting and cultural events, so there is plenty of leisure business. Of course there is the famous Tamworth Country Music Festival welcoming many international and national tourists to the event in January each year.

• 40 x 4 star serviced apartments consisting of 4 x 1 bedroom, 32 x 2 bedroom (all lock down) and 4 x 3 bedroom units • Each apartment is superbly furnished and features fully equipped kitchens, spacious lounge/dining, bathroom and laundry • Spacious reception and office, conference room, in ground pool, BBQ and on site parking for 56 vehicles • Occupancy, room rate and revenue are all up on last year RESORTBROKERS.COM.AU 13

EXCLUSIVE

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he Condobolin Motor Inn is a tidy 3.5 AAA rated motor inn that is suitable for a new starter or family business.

The motel has a thriving corporate following. It has new beds throughout, large flat screens and Foxtel in all rooms as well as Wi-Fi, and full bathroom renovations currently underway by the landlord.

With spacious grounds and peaceful surroundings, the lovely three bedroom residence with private kitchen and living area has a fully renovated bathroom with carport and storage shed.

The property has a 70 seat licensed restaurant with newly renovated kitchen and walk in cool room, as well as a salt water pool, function facilities and a cocktail bar.

The Condobolin Motor Inn is located in the heart of town making it the perfect stop for travellers. Just a short stroll to the Lachlan River and parklands, local pool, as well as local schools, restaurants, shops, pubs and clubs. A few minutes’ drive will take you to Condobolin train station and district hospital.

Live in Condobolin and experience the NSW countryside at its best - observing agricultural competitions or one of the many events conducted annually throughout the Shire.

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Fantastic regional NSW motel lease IN THE CHARMING TOWN OF CONDOBOLIN Condobolin is an ideal place for relaxing by the river, taking in the area’s natural beauty and exploring Aboriginal art and heritage.

This splendid leasehold is an opportunity not to be missed. Contact us today to arrange an inspection.

• Long lease term • Strong corporate clientele • Three bedroom residence • Thriving regional town • Excellent lease terms • Bathroom renovations by landlord • New bedding • Commercial laundry

Shane Wynhoven EXCLUSIVE AGENT Mobile: 0424 174 592 Sydney office: (02) 9904 8224 Email: shanewynhoven@resortbrokers.com.au

Net Profit: $160,711 (12/13) | $118,208 (11/12) Turnover: $613,290 (12/13) | $512,974 (11/12) PRICE: $540,000 REF: LH003104

EXCLUSIVE

Rare mid north coast freehold caravan park WITH DEVELOPMENT POTENTIAL

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wonderful and rare mid north coast freehold caravan park opportunity, benefitting from a steady mix of passing traveller between Sydney and Brisbane and your destination traveller to the stunning Mid North Coastal region.

James Carrick EXCLUSIVE AGENT Mobile: 0400 664 065 Sydney office: (02) 9904 8224 Email: jamescarrick@resortbrokers.com.au

Net Profit: $181,808 Turnover: $293,239 PRICE: $1,495,000 REF: FH003106

This property really does have it all. The existing operators of 14 years have systemised their property to offer a seamless transition should you be new to the industry. There is also opportunity for future expansion of tourist trade and/or permanent occupancy.

The parks size currently caters ideally for a husband and wife operation, or you may opt to take advantage of the under utilised permanent licence and create the perfect passive income whilst running under management.

• 75 site coastal caravan park with scope to increase permanent tenancy • Perfectly located adjacent to the riverfront on major highway the halfway point to north and south states • Walking distance to major food chains, cinemas, shops, restaurants, coffee shops and health care • Close proximity to patrolled beaches, estuary fishing spots and scenic bush track walks and lookouts • Prime land and location for potential future development • Ideal size for a husband and wife operation or create a passive income and operate under management

Alternately, for a future development view, it is a sought after location with flat usable land in a commercial area of high demand and short supply.

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Into the

POA Age

BY PETER SPRANKLIN of HILLHOUSE BURROUGH MCKEOWN EXPLORES THE NEW PAMDA REFORMS AND THE NEW AGE OF THE PROPERTY OCCUPATIONS ACT

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nto the POA Age - well not quite, but we are approaching an age where the existing Property Agents and Motor Dealers Act 2000 (Qld) will become an instrument of the past, and the Property Occupations Act (or “POA”) will become the present.

Highlighted in the media over recent times have been various State level reforms and the area of management rights and property law generally is no exception. For the moment, I would like to concentrate on POA as this reform is well advanced with an expectation that POA will commence during the second half of this year.

Momentum for reform in the area of real estate licensing was gathered when discussion of a national, harmonised approach to occupational licensing laws was commenced. Not only would such a collaborative approach have affected the area of interest to many readers here, but also those involved in, for example, the electrical and plumbing industries. For various reasons, a nationwide approach was not achieved. However Queensland progressed with amendments to PAMDA, to bring about the forthcoming introduction of POA into the legal landscape.

So what will change?

Of particular significance is that two facets of PAMDA will be reformed in POA being in relation to the creation of binding residential contracts and also, the regulation of real estate agents and property managers.

We have noted a number of key aspects below.

Residential Contracts • Those that have entered into a contract for sale of residential property will have experienced the effects of PAMDA regarding the presentation of contracts to buyers, in a set order. We have warning statements that serve a purpose and presentation requirements that provide termination rights for non compliance. POA will replace such regulation with a monetary penalty in place of termination rights, and a ‘particular 16 RESORTBROKERS.COM.AU

matters’ written statement in place of an approved form warning statement. The latter will effectively achieve the same objective as the approved form warning statement. As a result, expect some re drafting of the commonly adopted Real Estate Institute of Queensland Residential Contracts to provide for a ‘particular matters’ statement.

•C ooling off periods will remain a part of residential contracts however, should a buyer wish to terminate during this period then a mere written statement to that effect will replace the strict legal notice requiring citation of legislation.

Real Estate Licensing and Property Management • Many readers will hold a resident letting agent licence and be aware that restrictions in utilising this category of licence for conducting business in more than one complex can be difficult, due to the ‘contiguity’ principle. POA assists resident letting agents by removing the contiguity requirement. However, the requirement to have an office in one of your complexes becomes necessary. As a result, office areas being granted by virtue of an occupation authority may become more prevalent in new developments to facilitate flexibility.

• The above point results in those with a resident letting agent licence being able to live off site. However, operators must keep in mind that POA does not influence existing contractual obligations established by your management rights agreements.

Therefore, a requirement to live on site is not removed because of POA. • The ability for an operator to take leave and appoint a substitute licensee has seen amendment being that where you are absent for longer than thirty consecutive days, an application to the Office of Fair Trading will be required and approval will again be necessary where you want leave in excess of twelve weeks in a twelve month period. The only limitation to the grant of OFT approval will be that twenty

six weeks in a twelve month period is the longest period that can be approved.

• There is no statutory change to absences for less than thirty days.

• A new approach to letting appointments is being taken under POA, whereby assignment clauses will become less important as a new manager upon assignment will be obliged to issue lot owners within fourteen days, notice of their management. Lot owners will then have the benefit of a thirty day termination period as opposed to the current ninety day period maximum.

Like any reform, you take the good with the bad but the overarching principle in all business dealings remains unchanged, a solid relationship is invaluable.

Incidentally, and as of December last year, the Council Of Australian Governments decided to wind up the National Occupational Licensing Authority that was established to oversee the harmonisation process I alluded to earlier. Maybe a harmonised approach to occupational licensing will occur in the future, but it would appear that this could only be the result of staggered action at the present time.

If you would like further information on the reform then please contact either David Burrough or Peter Spranklin on 07 3220 1144.

New kids on the block Resort Brokers is delighted to announce the recent appointment of two new brokers to our ever-expanding team.

At Resort Brokers, we pride ourselves on the level of service, knowledge and professionalism that we offer our clients.

In order to achieve this, each of our agents covers a unique geographical area, getting to know the operators and market trends in

their patch intimately.

Lyn joins to the Gold Coast team, covering the southern end of the coast from Mermaid down to the NSW border and inland to Varisity Lakes and Robina.

Nat joins the Brisbane team, covering inner South Brisabne, West End, New Farm and surrounds

Lyn Brodbeck

Nat Marler

SOUTHERN GOLD COAST

Lyn is a Kiwi hailing from Auckland, but has been living on the Gold Coast for 16 years.

She has an extensive sales background, first in media, later in land sales. She has two young children who she dutifully takes golfing every weekend. A lovely lady, with a great head on her shoulders...we have no doubt she will excel.

Continues from page 7 > “We are proud to have many nationalities represented throughout our network of hotels.”

Simon McGrath has been with Accor for almost a decade now, after joining as General Manager of the Sofitel Reef Casino in Cairns in 2005. He rose through the ranks, working in diverse locations. He was appointed Vice President for Australia in 2006 and, in mid-2012, was promoted to COO for Asia Pacific.

So it must have been a proud moment when, at the 2013 HM Awards for Hotel and Accommodation Excellence, Accor won eight major gongs, including Hotel Brand of the Year (for Pullman) and Accommodation Chain of the Year for the third consecutive year.

“These awards are testament to the massive expansion of the group over the past 18 months,” he said at the time. “We have experienced strong growth for Accor and our brands, it’s been an exciting time, and it cements Accor’s leadership position in the Australian, New Zealand and South Pacific markets.”

For more information, visit www.accor. com where you’ll also find links to each of Accor’s individual brands 17 RESORTBROKERS.COM.AU

SOUTH BRISBANE & CBD

For a young man, Nat has an amazingly diverse and interesting history. As well as having a successful spell in off-the-plan residential sales, he has run for governent office and set-up his own charity feeding the homeless of Brisbane. An inspirational character, with a fantastic outlook on life... we expect great things from him.

In 2013, we sold an accommodation business every 3 days...

If you want results, head to greener pastures & give Resort Brokers Australia a call.

07 3878 3999 resortbrokers.com.au

The Original and still No. 1

RESORTBROKERS.COM.AU 17

Is your reservation software becoming obsolete?

HiRUM Property Management Software is a leading provider of Software for the Accommodation Industry. Whether you manage a small B&B, a large hotel, or anything in between, we have an integrated software solution to suit you.

Choose the components you require, and take the burden out of administering your property.

We have a tailored package available ESPECIALLY FOR MOTELS, and we are offering this at a special price starting at just $99* per month, fully inclusive, for new installations prior to 30 June 2014.

If you are looking to change your Motel software, talk to us today! (*conditions apply, training and set up additional) Our Motel package offers; • A simple, easy to use system • An inbuilt channel manager with full 2 way integration • The latest functionality at an affordable price • Optional extras including an automatic email facility • The opportunity to connect direct to Google Hotel Finder Is it any wonder we are recognised as the most affordable motel solution on the Australian Market today?

Don’t run a Motel? Contact us and find out what HiRUM can offer your business.

We would be delighted to give you an obligation free quote, based on the specific needs of your property.

Email sales@hirum.com.au for further information, or call us on 07 5574 4990 18 RESORTBROKERS.COM.AU

Buy, sell or hold?

Boom or bust ahead?

BY JOHN SMITH: INDUSTRY LEADERS TO MEET IN SYDNEY FOR A WORLD OF OPPORTUNITIES AT HOTELSWORLD 2014 Visitor numbers are up, hotel demand is rising, revenues and profits are increasing and investor appetite for hotel deals is back.

Even the accommodation development pipeline, which for so long has been constrained by inadequate returns and a shortage of investment capital, is growing.

“It seems that in 2014, investors and operators both here and around the world have decided that it’s finally time to look beyond the uncertainties and risks that have dominated markets for over half a decade, and instead focus on future possibilities in the hotel industry” says Horwath HTL Australia CEO, Mr John Smith.

“Whilst not every accommodation sector and market in Australia and New Zealand is booming, viewed overall its fair to say that the industry is in the best shape its been in for a very long time – which, of course, is why investor and developer interest is back so strongly” he added.

To explore the emerging opportunities for investors and operators alike in the current market conditions, CEO’s and other industry executives will meet in Sydney from 16 to 18 July 2014 at HotelsWorld Australia New Zealand, the regions leading suite of events for industry decision makers and for those who want to meet, listen to, learn from and grow with them.

HotelsWorld Australia New Zealand, together with its pre-event Luxury Hotels World, and it post-event Hotels Investment World, will deliver three days of unparalleled

industry meetings across a broad and structured array of topics, all designed to deliver insight, ideas and networking through innovative event programs and quality speaker rosters, involving over 70 global, regional and local speakers and panellists.

Reflecting the growing global, as well as local industry focus, the theme of the three events in 2014 is “A World of Opportunities”.

Resort Brokers is a major sponsor of the conference, at which CEO Ian Crooks is also a regular speaker. In 2014 he will be joining a panel of experts at Hotels Investment World in a session designed to assess whether its time to buy, sell, or hold and what the prospects are for a forthcoming boom….or a bust!

Over 400 CEO’s and other senior executives from almost every major hotel operator, owner, investor, advisor and key supplier, as well as 50 Sponsors, Exhibitors and Supporters are expected to attend the events in 2014.

The three HotelsWorld events, are also part of Megameet 2014, a series of six co-located and linked industry events over 3 days in Sydney and which include the 2014 Tourism Accommodation Australia (New South Wales) Awards for Excellence, the IT based Ted’s Conference and Future Leaders Forum.

Further information on HotelsWorld and Megameet 2014 can be found at www. hotelsworld.com.au or by contacting John Smith of Horwath HTL Australia at jsmith@ horwathhtl.com.au

A WOR L D OF OPP OR T U N I T I ES 3 E V E N T S I N 3 DAYS 16 T H - 18 T H J U LY 2014 SYDNEY

Hotel revenues and profits are increasing, investor confidence is rising and appetite for deals is back.

In 2014 it’s time to look beyond market uncertainties and instead focus on future possibilities. It’s time to look again at the World of Opportunities in the local, regional and global hotel industry.

HotelsWorld Australia New Zealand, the regions leading event for senior executives, will help industry stakeholders to do this in Sydney from 16 to 18 July 2014, by bringing together key industry participants and those who want to meet, listen to, learn from and grow with them.

HotelsWorld Australia New Zealand, together with its pre-event Luxury Hotels World, and its post-event Hotels Investment World, will deliver 3 days of unparalleled industry meetings all designed to deliver insight, ideas and networking through innovative event programs and quality speaker rosters, involving over 70 global, regional and local speakers and panelists.

Over 400 CEO’s and other senior executives from almost every major hotel operator, owner, investor, advisor and supplier are expected to attend, joined by over 50 Sponsors, Exhibitors and Supporters.

HotelsWorld, Hotels Investment World and Luxury Hotels World are part of Megameet 2014, a series of six co-located and linked industry events over 3 days in Sydney and which include the 2014 Tourism Accommodation Australia (New South Wales) Awards for Excellence, the IT based Ted’s Conference and Future Leaders Forum.

For further information, visit www.hotelsworld.com.au or call conference chair John Smith on 0418 447 222.

GOLD SPONSORS

SILVER SPONSORS

HOSTED BY

PLATINUM SPONSORS

Motels Made Easy GEELONG SEMINAR | WED 18th June 2014 Quality Inn, Bayside Geelong 13-15 The Esplanade, Geelong VIC 3220

FREE EVENT

Interested? Visit resortbrokers.com.au/seminars

An evening with the experts How to get ahead when purchasing a Motel business On Wednesday 18th June 2014 we are running an informative, informal and interactive event aimed at experienced operators and new comers to the Motel industry. Our team of industry experts will be on hand to share their extensive experience, answer your queries and put you on the path to success!

20 RESORTBROKERS.COM.AU

EXCLUSIVE

‘Man from snowy river’ country HIGH TURNOVER

Russell Rogers EXCLUSIVE AGENT Mobile: 0416 166 909 Sydney office:0 Email: russellrogers@resortbrokers.com.au Jim Chapman EXCLUSIVE AGENT Mobile: 0407 220 668 Melbourne office: (03) 9347 3100 Email: jimchapman@resortbrokers.com.au

Net Profit: $195,510 Turnover: $330,533 PRICE: $ 590,000 REF: LH003134

A

majestic caravan park that really does over deliver. Consisting of approximately 15 idyllic acres of almost dead flat tree studded parkland setting, with its own trout stream flowing through the park.

With council as the landlord and cocontributor, the current owner always has a good amount of money in the account to improve and maintain the park. This well equipped property has a long 14 year lease.

The 9 to 10 month nature of the turnover has the owner placing the park under a caretaker manager to allow at least a generous two month vacation per annum.

Corryong and surrounds is an adventure lovers paradise, a popular destination for rock climbing, rafting, kayaking, horse riding and a breath taking natural

environment for bushwalks, 4WD tours, cycling and fishing.

It is also known as the final resting place of Jack Riley, considered by many to be the inspiration for the hero in Banjo Paterson’s poem The Man From Snowy River.

This park would suit a person/couple looking for above average returns with an uncomplicated easy to run operation. A massive upside is the ability to add extra cabins to this parkland paradise Due to the natural recreational surrounds this park is frequented by adventure lovers and those wishing to experience the natural wonders of the Australian high country.

Corryong is a very popular destination for international tourists due to its famous link to “the Man From Snowy River”.

• Located in the beautiful ‘Man from snowy river’ country • Comfortable three bedroom residence • Huge 15 acre parkland setting • Trout stream flows through park • Motivated vendor ready to move on • Easy to manage property • High turnover RESORTBROKERS.COM.AU 21

indication of what your tax obligations will be for the current year a full 12 months before it is due. A proactive Accountant will also go to the next level providing you with a customized menu of options for legally minimizing your tax liability.

Legislation changes frequently, so that great plan that worked so well last year just may not apply again this year. Examples of strategies that may just deliver an early Christmas present courtesy of the tax man might include: • Restructuring debt to maximize interest deductions • Using Superannuation smartly • Prepaying expenditure including interest • Deferring taxable income • Maximizing depreciation deductions Importantly any strategy you implement should by tailored to your personal circumstances to ensure it is compliant and cost effective.

Super Savings

Planning to beat the

Taxman

TONY ROSSITER - HOLMANS ACCOUNTANTS

H

ow time flies, less than two months to go to the end of another financial year. To most people Christmas comes in December each year, but get your tax planning right, and your Christmas can come early.

Each year tens of thousands of Australian small business operators pay more tax than they need to and management rights operators are no different. There are always legal and cost effective measures that can be put in place prior to the end of the financial year 22 RESORTBROKERS.COM.AU

that can save you significant amounts of money.

Importantly, to be effective, most tax planning measures must be in place before midnight on 30 June each year so time is fast running out. Taking the time to meet with your accountant before 30 June just makes smart financial sense. Your accountant should review your current business structure to ensure it is the most appropriate for you to access all possible tax effective opportunities. They should be able to also provide you with a strong

Superannuation and specifically Self Managed Superannuation is becoming increasingly popular with business operators in the accommodation industry as they identify opportunities to utilize their superannuation savings to invest in the industry they know and understand.

With recent Government announcements indicating a proposed increase in the government pension eligibility age, it is all the more reason to consider self funding your retirement. Superannuation is the most tax effective way to make it happen.

One of the benefits of becoming more mature is that the government allows you to contribute more into Superannuation and claim a tax deduction. This year, if you are over 60 you are allowed to contribute $35,000 into Superannuation and claim a deduction. Under 60 years of age and you are restricted to $25,000.

From next financial year the higher rate of deductible contributions applies from the age of 50 years.

Don’t forget if your objective is to maximize your superannuation balance you can continue to make nonconcessional contributions (contributions for which you are not claiming a tax deduction) of up to $150,000 per year or $450,000 every 3 years.

With a tax rate of nil on superannuation income once you are 60 years of age and retired there is no better way to legally avoid the tax man.

The federal budget is about to be announced. With a recent change to a conservative Government which is keen to reign in the deficit we could see a number of tax minimization measures come under the microscope. As a result we may find Budget announcements which restrict opportunities to minimize

tax from 1 July and beyond. All the more reason to seek advice now.

In an ever increasingly complex tax system, it is vital to have customized strategies and solutions that align with your long term goals. Whether you are looking to fund a bigger property next time round, invest in a Partnership or simply retire and take the time to smell the roses, the strategies you put in place now should have your ultimate goal in mind.

Ultimately, successful business operators appoint specialists in the industry from the outset and are guided by their sound advice along the way.

The accommodation industry has a long established history of delivering strong returns to operators at a relatively low level of business risk, particularly where the right advice has been followed along the way. Make sure you maximise those returns by ensuring you aren’t paying any more tax than is necessary.

The information, opinions or conclusions provided above are generic in nature and do not express individual advice or recommendations. You should always consult a suitably qualified professional before taking any course of action outline above.

UPDATE - BY CATIE LANGDON

Holmans Chartered Accountants http://www.holmans.com.au Ph: 07 5430 7600

Regions from Far North Queensland to the Gold Coast are in with a chance for a major tourism fillip now that 12 consortia have formally expressed interest in developing up to three new integrated resorts with casinos in the Sunshine State.

F

ollowing last edition’s cover story (‘Gambling on Growth’, Informer, March 2014), we are pleased to report six groups have put their hands up for the Queens Wharf development in Brisbane, while another six are competing for two opportunities in regional Queensland.

As expected, major Australian players Crown Resorts Limited, headed by James Packer, and Echo Entertainment Group, which operates the existing Brisbane and Gold Coast casinos, have both antied up in Brisbane.

Also interested in the capital city opportunity is Lend Lease, which is currently developing Sydney’s new convention and exhibition centre at Darling Harbour, and Skycity Entertainment, the New Zealand-based owner of our Adelaide and Darwin casinos.

The biggest player in the Brisbane game is the Chinese group Greenland, a giant of the gambling industry that develops casinos and resorts around the world. Last year Greenland claimed global revenues of about $55 billion.

That really ups the ante!

As we reported, it is the prospect of enticing some really exciting and ambitious resort developments, (think Singapore’s Marina Bay Sands) that will

23 RESORTBROKERS.COM.AU

12 in the race for

casino resorts

make this whole exercise really worthwhile for our tourism industry.

So it’s encouraging to see significant international players lodging regional proposals. As foreshadowed, Hong Kong billionaire Tony Fung’s $4.2 billion Aquis development at Yorkeys Knob, north of Cairns, will be one contender.

We were also right to top ASF consortium, with its bid to develop a cruise ship terminal on the Broadwater at the Gold Coast, and China-Australia Entrepreneurs Consortium, which is betting on Airlie Beach, would be on the list.

Other interesting proposals would see the Whitsundays’ once-luxurious Laguna Quays reborn, and raise the stakes for Great Keppel Island.

Laguna, developed by the Japanese in the early 1990s and home to the once world-ranked Turtle Point golf course, died a slow death after the GFC, finally closing in 2012. But last year, the Fullshare Group, which now also owns Sheraton Mirage Port Douglas, took over, raising hopes that Laguna would once again have a bright future. News of Fullshare’s bid for the site 26 kms south of Proserpine will be welcome in the region.

A third hope for central Queensland is the EOI from GKI Resort, which is already moving ahead with a $2 billion makeover of the Great Keppel Island destination.

At the same time, owner Terry Agnew of Tower Holdings has also listed the resort for sale. No doubt a casino licence would be a significant sweetener for prospective buyers.

The big surprise was an EOI from Eastern Success Group Pty Ltd for a site at Nerang, a western Gold Coast suburb quite some distance from the city’s famed beaches.

Eastern Success is part of Chineseowned Ridong Australia, which is also behind the approved but as yet unstarted $1 billion Jewel apartment development in Surfers Paradise. While the 45-hectare riverside site at Nerang seems an unlikely location for a major integrated resort, some say it is just the spot for an ambitious, game-changing development.

Informer will continue to watch the process with interest. Contenders now have until the end of the year to submit fully-fledged proposals.

Have your say!

SAY

Email. carlacook@resortbrokers.com.au RESORTBROKERS.COM.AU 23

EXCLUSIVE

T

his unique freehold offering is the Musgrave Roadhouse, located on the Peninsula Development Road in the Cape York Peninsula. Situated on 767 hectares of land, the property is still owned and operated by one of the early pioneering families of the region - the Shepards. They know it’s time for a change which means a world of opportunities for you!

The Musgrave Roadhouse is located 136 kilometres north of Laura, and is halfway between Cairns and Weipa. It provides services for all travellers heading north to the Cape York Peninsula and west to various communities. The roads coming out of Lakefield, Kowanyama and Pormpurraw all meet up at Musgrave - making Musgrave Roadhouse the only stop for miles.

In the high season it has a truly remarkable trading pattern. Travellers fill up their vehicles on their way north which often includes a world famous hamburger.

When they have completed the trip north, Musgrave is an over-night stay, before the trek home. During the day business is steady; and then they come. They stay for one night, the property is full to the brim – then by 8 am 90% leave.

24 RESORTBROKERS.COM.AU

This location does something to the soul FAMOUS ROADHOUSE IN CAPE YORK Over 55,000 vehicles (give or take) trekked to the cape last year. Every one of them passes or stops at the Musgrave Road House. Approximately 90% come through Lakefield National Park. Capital and bridge works proposed, to the value of $210 million government will allow for shorter stoppages (wet season) and stronger more consistent trading.

• Once in a lifetime freehold offering on 767ha • World heritage listed owners accommodation with large open plan living and eight large bedrooms • Accommodation consists of 15 cabins, 5 near new self-contained units and a camping ground • Licenced café/fuel station with a 100 seater restaurant A great opportunity!

Shane Mullins EXCLUSIVE AGENT Mobile: 0447 185 001 Brisbane office: (07) 3878 399 Email: shanemullins@resortbrokers.com.au

Net Profit: $540,000 (forecasted) Turnover: $2,300,000 (forecasted) PRICE: $3,300,000 + SAV REF: FH003150

EXCLUSIVE

Money, money, money BRAND NEW 35 YEAR LEASE

T

his well-established 30 unit motel is a one off opportunity to make some serious money. The Latara Motel is located in the rural township of Georgetown, servicing travellers and corporates en route from the western gulf regions through to the eastern sea board (Karumba).

Shane Mullins EXCLUSIVE AGENT Mobile: 0447 185 001 Brisbane office: (07) 3878 399 Email: shanemullins@resortbrokers.com.au

Net Profit: $250,000 Turnover: $766,000 - 2012-13 PRICE: $795,000 REF: LH003149

The current long term owners have done a great job in maintaining the current trading income over the last decade. They have built a strong database of corporate travellers. The average rate for most parts of the year start at $130 per night (no competition).

The great thing about this business is that you can continue to lift the performance of the operation through strong management and new business initiatives.

The accommodation trade is strong and there is real up-shot in the surrounding area with new state and federal planned works. A proposed $2 billion development to establish the area as an agriculture hub, creating over 1500 jobs, is currently on the table.

A real opportunity for you to make some serious money. They say “coast for show, west for dough” – you decide INSPECT NOW! • Brand new 35 year lease • 30 room rural motel with strong corporate clientele servicing the gulf through to the eastern seaboard including Karumba • Medium sized commercial kitchen, servicing indoor and sunroom dining area, approximately 60 pax • Limited competition in the area • Established accommodation trade • Buildings and accommodation have been subject to ongoing refurbishment • Proposed $2 billion development of a large-scale farm and integrated agriprocessing facilities 78 kilometres west of Georgetown • Opportunity for new operator to take motel to the next level RESORTBROKERS.COM.AU 25

T

here was a time when the archetypal Aussie holidaymaker was someone in shorts and thongs, heading for the nearest beach. Or a family on the road, eyes peeled for a likely motel or caravan park.

These days, they’re just as likely to be on a plane, bound for a week of city restaurant and gallery hopping or, heaven forbid, ‘relaxing and rejuvenating’ in some overseas spa resort.

With such big dollars at stake, it is vital to track Australians’ travel behavior. That job, providing the tourism intelligence to equip us with information that strengthens our marketing and business decisions, primarily falls to Tourism Research Australia (TRA).

The holiday economy

TRA’s latest National Visitor Survey showed travellers spent $51.5 billion on domestic overnight travel in the year ending December 2013, an increase of 3% on the previous year.

Holidaymakers were responsible for more than half of that outlay, spending $26.4 billion, 4% more than they did the year before. Almost all of the rest came out of the pockets of people travelling to visit friends and family or on business.

Holiday was by far the main reason travellers stayed somewhere overnight in 2013, accounting for 47% of all recorded visitor nights. Seeing friends and relatives was the purpose of 32% of nights, and 15% business nights.

The National Visitor Survey also highlighted just how important tourism is to regional Australia, with $26.2 billion (51%) spent on domestic overnight travel to areas outside capital cities.

During 2013, domestic travellers went on 75.8 million overnight trips. Most trips (almost 70%) were made within the traveller’s home state. There was solid growth in interstate trips (up 3%), but there is also a trend for interstate trips to be shorter than they once were.

So where do most of us go when we head off to holiday, visit or do business in Australia?

Destination decisions

The majority of domestic overnight travel last year was concentrated in New South Wales (30% market share), Queensland (26%), and Victoria (19.5%). Combined, these states accounted for just over threequarters of the 283 million visitor nights recorded nationally.

NSW actually tops the tables on every measure – attracting the most overnight trips, claiming the highest number of visitor nights and, consequently, the biggest dollar share.

Interestingly, while Victoria notched up more overnight trips (18.3 million) than Queensland (17.5 million), the Sunshine State outstripped its southern rival on both visitor nights and expenditure. Queensland visitors obviously tend to stay longer, so spend more.

26 RESORTBROKERS.COM.AU

Aussies

on holiday

BY CATIE LANGDON:

Domestic overnight visitors are crucial to the wellbeing of Australia’s tourism industry. They spend over $50 billion a year. So what does the Aussie traveller look like today? Who are they, where do they go, and why?

Domestic Travel

the numbers...

Australians’ Top

10 Domestic Travel Destinations

75.8 million

Rank

Destination

Visitors

Visitor Nights

% of

1

Sydney

8,337

22,274

7.9

OVERNIGHT VISITORS

2

Melbourne

7,074

19,650

7.0

33.0 million

3

Brisbane

5,156

15,914

5.6

4

Gold Coast

3,490

14,186

5.0

OVERNIGHT HOLIDAY VISITORS

5

North Coast NSW 3,367

12,532

4.4

283 million

6

South Coast NSW 3,264

12,157

4.3

7

Perth

3,156

12,000

4.2

8

Sunshine Coast

2,584

9,962

3.5

9

Tropical Nth Qld

1,594

8,420

3.0

10

Adelaide

2,139

8,077

2.9

VISITOR NIGHTS

$51.5 million OVERNIGHT SPEND Source: Tourism Research Australia

Ranked by nights in region for year ending December 2013 Source: Tourism Research Australia, Travel by Australians, NVS December 2013

Delving deeper into the visitor data, we were able to build a ‘Top 10 Aussie Destinations’ list (above), based on which locations attracted the biggest share of visitor nights in 2013.

Given NSW’s dominance, it’s not surprising to find the emblematic city of Sydney is Australia’s No.1 destination.

NSW recorded more than 85 million domestic visitor nights in 2013, and 26% of them were spent in Sydney.

Melbourne’s increasing popularity as a cultural hub sees it come in at No.2, and vibrant Brisbane rounds out the top three. Then it’s the turn of the beaches, with coastal destinations occupying the next three spots on the ladder.

WA’s capital comes in at No.7, beating Queensland’s Sunshine Coast and tropical north, while Adelaide sneaks in at No.10. Although Tassie is considered by many to be a rising drawcard, the whole state scores fewer visitor nights than the city of Adelaide on its own.

do they stay?’

The good news is, according to TRA’s 2013 survey, the vast majority stay in commercial accommodation. More than half of all visitor nights were attributed to hotels, motels, resorts, caravan and camping parks, or rented houses and units. Friends and family hosted 37.9% of all visitor nights.

Also very encouraging is that data collected by various researchers confirms Aussies who had curtailed their leisure spend in the wake of the GFC are on the move again. Since hitting a low of 262 million domestic visitor nights in 2009, the 2013 figure represents a 7.8% improvement. In the 12 months to September 2013, Roy Morgan Research says 59% of Australians (aged 14+) took a domestic holiday.

Who’s who

All this research just gives you the numbers. What you really need to help make marketing decisions is more information about your potential customers. Tools are The increasing availability of cheaper airfares means available to build very detailed profiles of who’s going more Australians are now flying to their domestic holiday where and what they want to do when they get there. destinations, recent Roy Morgan Research has shown.

Roy Morgan’s Helix Personas profiling tool is one, “Although the majority of Australians still drive to local categorising travellers into a number of ‘communities’, holiday destinations, more of us are choosing to forget given catchy names like ‘Leading Lifestyles’ (high income driving altogether and just fly,” they said. families), ‘Metrotechs’ (young, single, well-educated In the year to February 2014, 13% of domestic professionals), and ‘Golden Years’ (conservative, risktravellers ‘just flew’, up from 7% in 2002. Another 18% averse retirees). flew and drove, for a total of 31% of domestic travellers There are quite a few others, but you get the picture. catching a plane on their domestic trip – up from 18% Then, within each ‘community’, they identify distinct 12 years ago. 56% of Australians ‘only drove’ to their ‘personas’. People in the ‘Leading Lifestyles’ community, for destination, down from 65% in February 2002. example, might be ‘bluechips’, ‘humanitarians’, ‘self starters’, Once Aussies get where they’re going, the most pertinent question for most of our readers would be ‘where or some other market segment. Continues over page >

Getting to getaways

27 RESORTBROKERS.COM.AU

RESORTBROKERS.COM.AU 27

Continues from page 27 > Such forensic analysis of people’s preferences and behavior, when married with tourism market data, reveals all sorts of interesting travel trends.

For example, high-flying ‘bluechips’ love fine wine and dining so, in the year ended September 2013, 25% of them named the Hunter Valley as a preferred destination. Cultural centres Melbourne (30%) and Sydney (24%) appeal to welleducated and socially aware ‘successful bureaucrats’ who, it seems, are also quite partial to beach breaks.

Studying which profile best fits with your location, facilities and service may help to pinpoint precisely who your existing and potential markets are, and even throw up ideas for expanding your appeal to new market segments.

Outbound Aussies

Of course Australians don’t only holiday at home. International travel has become increasingly accessible and attractive. TRA tells us outbound travel continues to thrive, up 6% to 7.6 million trips by Australians during the year ending September 2013.

Most (4.5 million) trips were for holiday and leisure, while 3.2 million were to visit family and friends or do business.

Roy Morgan Research says 23% of the Australian population took an overseas holiday in the year to November 2013, with globetrotting Gen Ys (27%) and Baby Boomers (26%) leading the charge to foreign shores.

So, where do Aussies go when they're not holidaying at home? Naturally, destinations vary depending on the age group of travellers. But, interestingly, one country seems to bridge the generation gap, topping the list as the most visited destination for all age groups.

And that country is …. New Zealand.

“With its proximity to Australia, abundance of world-class natural attractions and relative affordability, New Zealand’s status as the most visited overseas destination for Aussies of all generations is no surprise,” said Jane Ianiello, International Director of Tourism, Travel and Leisure for Roy Morgan Research.

New Zealand drew more than a million visitors from Australia (Sept 2012-13), claiming 13.4% of our outbound market, followed by USA with 11.1% and Indonesia with 10.5%. See Table (middle right) for the full ‘Top 10’ overseas destinations list.

All in all, Australians spent 86.8 million visitor nights overseas on holidays and leisure last year, on which they forked out more than $30 billion.

28 RESORTBROKERS.COM.AU

No place like home

No wonder our peak tourism marketing bodies and all industry operators work hard to convince us to holiday at home. And, why wouldn’t we? With the world’s oldest surviving rainforests, ancient indigenous landmarks, cultural wealth, and endless miles of postcard perfect coastline, Australia is a holidaymaker’s dream.

It’s pleasing to see the Roy Morgan

Research Holiday Tracking Survey for January 2014 showed more Aussies are planning to take their next holiday right here.

Overall holiday intentions were up, with 70% (13.5 million people) intending to take a holiday in the next 12 months.

And, while 10% intend to head overseas, 56% (10.9 million people) plan to make for a domestic location. Let’s hope plenty of them are headed your way!

Australians’ Top

10 Overseas Travel Destinations % of visitors

Rank

Destination

Visitors

1.

New Zealand

1,022,000

13.4

2.

USA

847,000

11.1

3.

Indonesia

801,000

10.5

4.

Thailand

568,000

7.4

5.

United Kingdom

474,000

6.2

6.

China

361,000

4.7

7.

Singapore

313,000

4.1

8.

Fiji

264,000

3.5

9.

Malaysia

240,000

3.1

10. Hong Kong

212,000

2.8

Ranked by number of visitors for year ending September 2013.

Source: Tourism Research Australia

Where we stayed

Accommodation types

Rank

Accommodation Types

Visitor Nights (000)

% of Visitor nights

1

Friends or relatives property

107 218

37.9

2

Hotel, resort, motel or motor inn

71 978

25.5

3

Caravan park or commercial camping ground

29 505

10.4

4

Rented house, apartment, flat or unit

28 812

10.2

5

Caravan or camping – non commercial

12 210

4.3

6

Own property

11 357

4.0

7

Other private accommodation

7 755

2.7

8

Other accommodation

6 532

2.3

9

Guest house or bed & breakfast

2 764

1.0

10

Backpacker or hostel

1 506

0.5

11

Other commercial accommodation

1 352

0.5

Ranked by number of visitor nights, year ending December 2013 Source: Tourism Research Australia

An established traditional building in a prestigious location on water with easy access to waterways and the Broadwater.

This unique lifestyle offers shopping, dining and beach within an easy walk!

A generous two bedroom, two bathroom apartment with private north facing courtyard. Also boasts two car spaces.

Although this property is currently operated by a couple, it could easily be operated by one partner (enabling the other to continue full time work elsewhere).

This quiet permanent complex consists of 35 units, both 1 and 2 bedroom apartments.

Invest in location

LIVE IN PARADISE The property is immaculately presented throughout and boasts an idyllic location to match.

Nett profit: $70,000 Unit price: $450,000

• Home with an income • Traditional building with established grounds • On canal with marina and boat ramp • Boutique building with good salary • The location is the KEY!

Carolyn Griffith Mobile: 0419 675 429 Brisbane office: (07) 3878 3999 Email: carolyngriffth@resortbrokers.com.au

PRICE: $695,000

REF: MR003081

Are You an Onsite Manager?

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Advertise on all of these sites to find the best possible tenant in the shortest possible time!

ONLY

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RESIDENTIAL

resortbrokersresidential.com.au

EXCLUSIVE

At 11.5% this is Australia’s best investment return A REFURBED HISTORIC GEM Ian Crooks EXCLUSIVE AGENT Mobile: 0411 171 648 Brisbane office: (07) 3878 3999 Email: iancrooks@resortbrokers.com.au

Trudy Crooks EXCLUSIVE AGENT Mobile: 0477 882 210 Brisbane office: (07) 3878 3999 Email: trudycrooks@resortbrokers.com.au

Rent: $250,000 plus GST PRICE: $2,175,000 REF: INV003060 / FH003078

R

esort Brokers Australia is proud to offer South Australia’s best country hotel investment.

The opportunity for an incoming purchaser is tremendous. Only seven months ago the current owner refreshed the property and in the year 2000 the previous owners spent a whopping $2m on extensive structural upgrades.

This property is made up of a variety of buildings with a magnificent ‘Duckpond’ limestone building providing the focal point.

This historic gem built in 1924 includes a front bar, function room, restaurant with separate dining and a gaming room with 12 machines. This central facility caters to a wide range of clientele.

Additionally there are 27 well-appointed units of different star ratings. These have been constructed over time in various stages.

Included in the purchase price are two commercial shop fronts (Australia Post and Kimba Chemist). The many income streams mean the operator can be confident of the long term viability and growth of this fantastic business.

Ideally located halfway between Sydney and Perth, this property really does have it all. It’s the only hotel in the town and the district!

• Located in a very rich farming area driven by sheep and wheat production • Enjoys continuous passing traffic given Kimba’s main Highway 1 location • New 30 year lease in place • Large popular restaurant • Very attractive front bar • Separate gaming area • Not a cent to spend • Fantastic roadside appeal

RESORTBROKERS.COM.AU 31

Stringybark Place has been selling very successfully due to the large amount of development in the area, including the nearby hospital and university. It consists of 132 architecturally designed three bedroom, two bathroom townhouses with an expected 85% investor profile.

This business is an off the plan that will settle in three stages. Each stage will have a claw back/forward arrangement, which will determine the actual number of letting appointments. The first stage will consist of 66 units and is expected to be completed by July/August 2014. The second and third stage will be 27 units and 39 units respectively (construction completion will be confirmed).

Opportunities don’t come along like this often SUNSHINE COAST OFF THE PLAN - $369K (proj.)

• Brand new 25 year term • Opposite Sunshine Coast University with enrolments set to nearly double by 2021 from 8,000-15,000 • Includes four bedroom, three bathroom manager's townhouse with office • 10mins away from the new Sunshine Coast University Hospital • Attractive low purchase price entry point • Estimated rental return of 5.2%* • Sippy Downs vacancy rate is 1.7%*

BEST WESTERN Drouin Motor Inn Drouin, VIC

AUSTRALIA | NEW ZEALAND | FIJI

32 RESORTBROKERS.COM.AU

PRICE: $2,113,926

Tim Crooks EXCLUSIVE AGENT Mobile: 0422 208 450 Brisbane office: (07) 3878 3999 Email: timcrooks@resortbrokers.com.au REF: MR003152

BEST WESTERN PLUS Launceston Launceston, TAS

Three hotel types. One brand. Experience the difference. info@bestwesternaustralia.com.au

Nett profit: $369,761 Unit price: $450,000 (4 bed, 3 bath)

BEST WESTERN PREMIER Terrace Hotel Perth, WA

EXCLUSIVE

Situated just 8km from Brisbane’s CBD, Park Vue is perfectly located. Designed by one of Queensland’s finest award winning architects, each apartment has an emphasis on urban living and interior fitouts that are both contemporary and timeless in style.

Excellent access to buses, trains and major arterial roads with Nundah being under 60 minutes to both the Gold and Sunshine Coasts.

Park Vue is adjacent to multiple shopping centres, entertainment precincts and has unrivalled access to parks, sporting clubs and bikeways

First class management rights - Nundah

ARCHITECTURAL OFF THE PLAN MANAGEMENT RIGHTS

• 54 units in the complex • Large two bedroom managers unit - 163sqm • 25 year agreements • Body corp. remuneration $54,000 • No requirement to live onsite • Facilities include pool and BBQ area • Perfectly located amongst the retail and dining delights of Nundah Village, Toombul Centro and Clayfield • Construction is advanced • Completion is estimated in September 2014

Nett profit: $138,570 Business: $565,000 - Unit: $529,000 PRICE: $1,094,000

Steve Campbell EXCLUSIVE AGENT Mobile: 0407 220 668 Brisbane office: (07) 3878 3999 Email: stevecampbell@resortbrokers.com.au REF: MR003135

EXCLUSIVE

Best motel in town EXCEPTIONAL LEASEHOLD OFFERING Nett profit: $194,957 Turnover: $525,674 PRICE: $450,000 plus SAV

Lindsay Cooper EXCLUSIVE AGENT Mobile: 0418 711 047 Brisbane office: (07) 3878 3999 Email: lindsaycooper@resortbrokers.com.au REF: LH003107

This is without doubt the best motel in town and is always first to have the 'No Vacancy' displayed. Located in a strong motel town in country Qld but only two hours to the coast.

Offering 18 x four star, very well appointed rooms. It has no restaurant however serves breakfasts and simple home style meals to rooms. Set in real country surroundings, fronting the highway with a backdrop of hills and a comfortable residence to boot, this is a hard package to top.

This business is currently run by a couple, they love it and would prefer to stay, but personal reasons force this motel onto the market. An absolute beauty, with nothing out of place, the first to inspect this motel will buy!

• 18 well-appointed four star rooms • Strong occupancy and healthy tariffs • High way frontage • Strong motel town • Easily managed by a couple • 17.5 years remain on the lease • Price showing high return on investment • All laundry of linen off site • First to see will buy!

RESORTBROKERS.COM.AU 33

EXCLUSIVE

T

his rare gem has just come onto the market. The great thing about this investment is that the current owner of the last ten years is keeping the business and the management team, and will become the lessees.

This management team have done a fantastic job at building repeat business year after year. The exceptional thing about this business is that 98% of its entire trade is generated in a four and a half month period.

For the other seven and a half months of the year they could close the entire motel down. However as it is their home and they have children at the local school, the current managers keep the business open for dribbles of passers by who visit to Cooma in the summer months.

Most other establishments in the region close for eight months of the year. This means that the managers are fresh and raring to go when the influx of tourists visits during the snow season. The current owners have been there for ten years and hope to be there for another ten.

The property is a mixed use facility with four different income streams being the motel 34 RESORTBROKERS.COM.AU

Passive investment showing a net 10% return PRIME SNOW FIELDS LOCATION and cabins, a caravan park with 60 powered sites, a restaurant and a fantastic ski hire business.

The property could be described as 3-3.5 star standard and consists of 10 x deluxe rooms, 1 x suite, 18 x standard cabin style rooms, 9 x budget cabins, 2 x lodges (4 bedrooms each) and a massive four bedroom residence and secondary owner/ staff split level flat.

• Leased for 30 years • CPI annual increases • Tenants pay all outgoings • Continuous strong trading figures • Multiple cash flow streams • 100 seat restaurant with full commercial kitchen • Monthly rental $18,750 plus GST

Ian Crooks EXCLUSIVE AGENT Mobile: 0411 171 648 Brisbane office: (07) 3878 3999 Email: iancrooks@resortbrokers.com.au

Russell Rogers EXCLUSIVE AGENT Mobile: 0416 166 909 Sydney office: (02) 9904 8867 Email: russellrogers@resortbrokers.com.au

Rent: $225,000 plus GST PRICE: $2,250,000 REF: INV003153

Accommodation leasehold in inner Melbourne suburb SUPERB BUSINESS

H

ere is an opportunity to secure the leasehold interest of an apartment business situated in an inner southern suburb within 7 kms of the Melbourne CBD and close to substantial retail and leisure precinct.

Jim Chapman EXCLUSIVE AGENT Mobile: 0413 444 782 Melbourne office: (03) 9347 3100 Email: jimchapman@resortbrokers.com.au Net Profit: $311,735 2012/13 Turnover: $2,137,000 PRICE: $500,000 REF: LH003137

51 x four star suites, apartments and townhouses, provide a unique and inviting ambience for the corporate or leisure guest.

The local area offers many restaurants, cafes, supermarkets, retail shopping and night-time attractions. Convenient public transport offers easy access to the Melbourne CBD.

• 51 x 4 star suites, serviced apartments and townhouses, 30 x standard and executive spa suites, 1 x family suite, 14 x studio and one bedroom apartments, 2 x two bedroom townhouses and 4 x 3 bedroom townhouses • All apartments and townhouses provide a fully-equipped kitchenette, generous bathroom, quality furnishings, broadband access and foxtel • On-site licensed restaurant and function centre (separately leased) • Manager’s residence is a fully selfcontained one bedroom apartment and standard room • On-site facilities include a fully equipped guest laundry, large indoor heated pool and spa, secure on site parking and two acres of landscaped gardens

The business has enjoyed consistent occupancy and has achieved an increase in room tariffs during the 2013/14 financial year.

RESORTBROKERS.COM.AU 35

Paying the

BY CATIE LANGDON

Penalty

The Fair Work Commission’s May 14 decision to cut Sunday penalty rates for casual employees by 25 per cent from July 1 has been welcomed across the tourism and hospitality industries. It will see a reduction in casual loadings from 175 per cent to 150 per cent. But is it enough?

N

ews the Federal Government’s forthcoming Productivity Commission review of the Fair Work Act will broach the subject of penalty rates was music to business operators’ ears.

It was a major wake-up call when a pre-Easter poll by Tourism Accommodation Australia (TAA) found 67 per cent of hoteliers surveyed intended to close outlets or reduce services over the prime holiday period because of penalty rates.

The capacity for the hospitality and tourism industries to employ Australians is being severely hampered by the inflexibility of current work conditions, TAA said.

“Industrial regulations and inflexible working conditions are preventing hotels and tourism businesses from offering services at times that customers expect,” said TAA managing director Rodger Power.

“What people don’t understanding is that this is a common view shared by most employers and employees. “We are not about seeking to reduce wages. We want to see an increase in flexibility of working

36 RESORTBROKERS.COM.AU

conditions so that both employers and employees can benefit.”

Time and time again, Resort Brokers Australia hears feedback from operators saying, in many cases, penalty rates actually penalise the very people they are meant to benefit. Businesses shut because the additional costs outweigh any revenue they can earn.

TAA will be making a submission to the Productivity Commission seeking to demonstrate that greater flexibility of labour conditions will benefit both businesses and workers.

“Rather than protecting workers’ rights, penalty rates are impeding opportunities for greater employment,” Mr Powell said. “Penalty rates make it very hard for many businesses to employ staff on weekends and over holiday periods, but this is when casuals and part-timers most want to work, and when customers most need to be served.

“Australia’s competitiveness and professionalism in the eyes of the international tourism industry are suffering as a result.

“Regional and resort areas are very seasonal operations characterised by short periods of peak business and longer periods of fairly slow business, so employment and work conditions need to better reflect the trading cycle of these businesses and their customers.”

Unions naturally fear the review, describing it as an attack on hospitality workers and ‘the Australian way of life’.

Understandably, they argue workers should be fairly compensated for working when other people are not. They also contend the industry would find it difficult to attract and retain staff if penalty rates were modified or abolished.

Sharron Caddie, assistant national secretary of United Voice, the union that represents hospitality workers, was recently quoted as saying “without weekend, night and public holiday rates, there would be a massive exodus of workers from the (accommodation) industry. They would not be able to get workers to do this work.”

What do you think? Informer is keen to follow this issue, and will monitor the Productivity Commission review of workplace laws. If you have a view or experience that helps to inform the debate, we’d love to hear from you.

Have your say!

SAY

Email. carlacook@resortbrokers.com.au

Partnerships &

Syndicates

Revisited:

The good, the bad and the ugly MIKE PHIPPS - MIKE PHIPPS FINANCE

F

or over 20 years I have been talking to stakeholders in the management rights industry and for all the change experienced through this time the two most common areas for discussion remain; partnership finance and off the plan transactions. Needless to say when the two collide fun and games eventuate. My discussions have uncovered a general lack of understanding in both these areas. However, armed with a grounding in the fundamentals neither opportunity should cause alarm or present unacceptable risks to potential purchasers or investors.

The partnership or investor syndicate concept is nothing new. The arrangement sees a group of investors get together to leverage their combined purchasing power to secure an asset they wouldn’t usually be in a position to acquire in their own right.

Historically the structure has been used in the commercial property sector and to a lesser degree in the freehold hotel/motel investor sector. The acquisition of going concern businesses by investor syndicates are not as common, with the management rights industry being a rare exception.

Usually the management rights partnership opportunity starts with the listing of a large property, which ticks a number of boxes in terms of positive attributes that might attract investors and working partners. These include the term of agreements, real estate to going concern value ratios, return on investment, return on equity and future upside potential. I often meet with existing partnership investors and I am quite shocked to see they seem to have little or no knowledge about my return on equity questions. I am also equally surprised, or to put it bluntly horrified to discover that in many cases partnerships are formed to purchase large management rights with the working partner having no prior accommodation management or similar experience.

37 RESORTBROKERS.COM.AU

Regardless of the strength of the building and offering the single most critical component of any partnership acquisition is to identify the right managing partner.

A suitable working partner needs to have been found and a silent partner investor group needs to have shown interest in the project. To ensure a seamless process the group then needs to engage an industry expert accountant, lawyer and finance broker to co-ordinate the transaction, advising on appropriate structures, reviewing risk and potential opportunities, providing finance and return scenarios and coordinating investor group meetings and the equity, offer, contract, partnership agreement and settlement process more broadly.

Simple mistakes made at this stage of the process can see the risk profile of the transaction rise significantly. It is important for all investors in the syndicate (experienced or first timers) to be on the same playing field from the outset, with the same levels of understanding. A common theme I find from disgruntled managing partners or investors can usually be traced back to the initial transaction and a lack of transparency and understanding throughout the process.

From a numbers perspective the first consideration is to ensure the return on equity looks encouraging. In my experience that means north of 25 per cent return on the capital contributed by the partners.

The return on equity calculation needs to include costs not typically expensed in a typical management rights profit and loss for sale purposes, namely interest costs, managing partner wages and incidental expenses. Consideration also needs to be given to budgeted staffing levels which need to accurately reflect requirements of the business.

At this stage the base managing partner salary should also be agreed upon.

Traditionally this would include a cash component plus residence in the manager’s

unit and an allowance for payment of utilities, body corporate fees and business outgoings. It is imperative that during this process the silent investors divorce the fact the managing partner will be receiving a remuneration package for their work from the return they will also be generating from their capital. I have seen disputes caused by silent partners failing to recognize that the managing partner’s equity investment return is a reward for capital invested, not for time and effort.

A prudent risk management strategy suggests to me that debt funding for these projects be limited to gearing levels of 65 per cent or less with a request made for limited personal guarantees. In my view it is also a good idea to seek interest only terms. This will not only allow for greater control of cash flows but will also preserve the return on equity which would otherwise be eroded by the cash flow impacts of principal repayments. As with any financing arrangement loan covenants need to be reasonable and in an ideal world not give the lender too much leverage in terms of changing the rules post settlement.

These transactions are of a specialized nature and require attention from lenders who understand the complexities, particularly agent companies, unit trusts and increasingly self-managed superannuation fund compliance.

It is not usually possible for a SMSF to purchase a going concern in its own right, however we are seeing an increasing number of investors using SMSF capital via compliant purchase structures. I will not go into great detail about this issue, except to say that under the appropriate purchase structure SMSF investment is possible. We are seeing a reasonably relaxed approach from lenders who regularly deal with and understand these structures. Needless to say the appropriate purchase and Continues on page 43 > RESORTBROKERS.COM.AU 37

RECEIVERS’ SALE

*Pictures are indicative only

P

anorama Tower is situated in Surfers Paradise, approximately five minutes walk to the centre of Surfers Paradise and approximately seven minutes walk to the beach. The common area overlooks the river and has a pool, BBQ area and deck for sunbathing and fishing.

• L ocated at 30 Watson Esplanade, Surfers Paradise, Gold Coast, QLD 4217 •A pproximately five minutes walk to centre of Surfers Paradise and approximately seven minutes walk to beach •P ool, BBQ area, deck, river frontage •H igh-rise of 59 units, 12 units in the letting pool (1 nonassignable) •E stimated net profit of $84,462 (ex GST, 12 months to 28/2/13, inc BC salary)

38 RESORTBROKERS.COM.AU

Management rights & manager’s unit PANORAMA TOWER, GOLD COAST, QLD 4127 • BC Salary of $49,661.28 (plus GST) • Lot 15, BUP 295 - 2 bed, 1 bath manager’s unit • Caretaking/letting agreements expire 2022 Alex Cook EXCLUSIVE AGENT Mobile: 0467 600 611 Brisbane office: (07) 3878 3999 Email: alexcook@resortbrokers.com.au Expressions of interest Closes 14th May 2014 REF: MR003103

EXCLUSIVE

The ultimate lifestyle business - no set office hours TWEED HEADS PERMANENT LETTING

A

true lifestyle opportunity, managing a highly rewarding business with the Championship Golf Course and abundant wildlife on your doorstep.

Ian Dore EXCLUSIVE AGENT Mobile:0412 752 238 Brisbane office: (07) 3878 3999 Email: iandore@resortbrokers.com.au Net Profit: $113,347 Unit price: $425,000 PRICE: $845,000 REF: MR003144

Tweed Heads, the most relaxed northern town on the NSW Coast, is located next to the Queensland border adjacent to the 'Twin Town' of Coolangatta, a suburb of the Gold Coast. It features surfing beaches and Tweed River waterways all just five minutes from the Gold Coast Airport.

The Clubhouse, a purpose designed lifestyle residential community is superbly laid-out and beautifully presented. This permanent management rights is located adjacent the Coolangatta Tweed Heads Golf Course.

Thecomplex has a very strong demand for both rental and purchasers alike.

Easily managed with a strong salary and flexible office hours, currently opening three hours per week.

• Lifestyle in a purpose designed ground level permanent residential community of 80 units • Security key access to The Tweed City Shopping Centre • Adjoins 2 x 18 hole championship golf courses with restaurants, bars, gaming & entertainment etc • Close to universities, an international airport, several hospitals and numerous medical specialist facilities, major shopping malls, a selection of primary and high schools, banks and financial service centres and licensed clubs and entertainment venues • Managers spacious three bedroom residence sits on a 512m privately fenced block surrounded by gardens and an enviable backyard aspect to the Golf Course RESORTBROKERS.COM.AU 39

EXCLUSIVE

P

erched on the hill above the CBD of Townsville City is a very solidly built 24 unit motel offering amazing upside for a prospective purchaser.

The current owners are selling this business after only seven months due to family circumstances. They had planned to be in the business for the long haul and have spent a lot of time and money bringing the property up to a strong 3.5 star standard. Come in and enjoy the fruits of their labour and enjoy the upward trend this motel is experiencing.

The motel rooms span over three different buildings with a very attractive roadside appearance. The central facility is two levels; the ground level holds the reception, back of office, large commercial kitchen and a bar that services the restaurant. The dining component is situated on a large deck with outdoor blinds and offers the most stunning views of Townsville with Magnetic Island as the backdrop. Above this area is a spacious three bedroom manager’s residence complete with ensuite and more spectacular views.

40 RESORTBROKERS.COM.AU

You can buy this business for the cost of a house ENJOY THE BEST VIEWS IN TOWNSVILLE The business is mainly corporate from Monday to Thursday with a lot of repeat clientele. Weekend trade consists of the leisure traveller who visits Townsville to attend sporting and music events.

This is a great opportunity - you can buy this property for the cost of a house.

• Large three bedroom residence.

• F ully upgraded throughout.

• Great size units.

• Easy to operate.

• Small restaurant with huge potential.

• Panoramic views from every unit.

• No money to spend

Ian Crooks EXCLUSIVE AGENT Mobile: 0411 171 648 Brisbane office: (07) 3878 3999 Email: iancrooks@resortbrokers.com.au

Trudy Crooks EXCLUSIVE AGENT Mobile: 0477 882 210 Brisbane office: (07) 3878 3999 Email: trudycrooks@resortbrokers.com.au

Net Profit: $130,000 PRICE: $450,000 REF: LH003156

Drive up the net profit with online marketing 3.5 STAR BEGINNERS LEASE OPPORTUNITY

T

weed Harbour Motor Inn overlooking the beautiful Tweed Boat Harbour is 3.5 star self- rated motel offering modern refurbished rooms with old fashioned friendly hospitality, in a highly desirable location.

Ian Dore Mobile:0412 752 238 Brisbane office: (07) 3878 3999 Email: iandore@resortbrokers.com.au Net Profit: $84,938 (projected) 2013/14 PRICE: $279,500 REF: LH003142

The building is cavity (double) brick with a tile roof, while rooms have a mix of plasterboard painted walls and face brick.

The managers ground floor residence is located separately to the reception and office and comprises of two bedrooms, two bathrooms, large open plan living with separate kitchen - all adjoining a secure and private courtyard. There is an internal laundry plus a single lock-up garage.

If overall presentation, cleanliness and large room size was the ‘yard stick’, this motel would receive ‘ten out of ten’.

It also holds the record in the Tweed Heads region for attracting the highest number of repeat clients and also achieving the highest rate / tariff on Wotif.

Opportunities abound for the new operator by taking a fresh approach and adding more internet booking sites to their existing three sites, as well as upgrading the motels older style website. These initiatives alone will improve bookings / occupancy, while attracting coach business will further drive up net profit.

• 15 x queen; family and two bedroom suites • Salt water swimming pool and BBQ area • Spacious refurbished modern rooms • Prime left hand inbound main road corner location • Longest stay repeat business in Tweed Heads area • Highest net rate / tariff in Tweed Heads area • Opportunities to grow business via adding internet booking sites • Website upgrade will increase trade, occupancy and net profit • Brilliant testimonials on Trip Advisor

RESORTBROKERS.COM.AU 41

How to dodge

Electricity pain

in the new financial year

BY DAVID REID - SILVER ASSET SERVICES About David Reid: David has been the General Manager of Silver Asset Services since 2012. Before joining Silver Asset Services he spent nine years in the Royal Australian Army, travelling the country supporting major weapons and communications systems.

After leaving the services, David spent a number of years setting up and managing distribution and service channels for remote communication systems throughout Australia. In his most recent roles, David was responsible for the project management and implementation of major Federal and State Government energy management programs. In his current role as General Manager of Silver Asset Services, David uses his negotiation and project management skills to help Strata communities get the best value from energy systems and suppliers.

H

ow to dodge electricity pain in the new financial year The Queensland Competition Authority (QCA) has released a draft determination on electricity pricing for 2014 and it isn’t pretty.

At first glance, the price increases do not look alarming. The variable charges, based on consumption, are projected to rise by less than 5%. Upon further investigation, the real sting is in the non-variable charges, often referred to as service fees. These charges will rise by a whopping 66% from $170 to almost $305 per annum. To give some perspective, in early 2012, these service fees were around $95 per annum.

QCA has speculated that an average consumer in Queensland will see a total increase of 13.6%, with the average customer being $200 a year worse off. This figure can be multiplied for families that can often consume two or three times the average The big losers will be low income households. A significant rise in the fixed charges means that it doesn’t matter how frugal you are with your energy consumption. You will have to pay 66% more, just for being connected to the network.

Thankfully, bulk utility purchasing offers some relief from the rising costs, particularly those fixed charges.

What is bulk utility?

Bulk Utility Supply is a relatively new way in which bodies corporate and strata properties can team up to gain bulk buying power that will save money on utility expenses. Bulk utility takes advantage of the full buying power of the community.

Rather than each individual lot being supplied by the energy provider, the community/body corporate has one incoming energy supply, which is then distributed to the lots.

An immediate benefit of bulk utility is the great leverage attained when negotiating tariffs with service providers. Recently Silver Asset Services negotiated a 39% decrease in tariffs on behalf of a 105 lot Gold Coast body corporate.

But the massive savings on kWh price isn’t even the highest ranking reason more and more bodies corporate convert to bulk utility. I previously mentioned how the service fee is about to rise again to a whopping $305 pr connection.

Consider the definition of bulk utility again; one connection 42 RESORTBROKERS.COM.AU

for the whole community. One connection will equal one service fee.

Now, using the 105 lot community on the Gold Coast as an example, rather than every individual owner paying a $305 service fee, the owners now share one service fee. Bulk utility effectively saves the community more than $31,000 per year, even before considering the massive savings in tariff costs.

How can we convert to bulk utility?

While the cost savings associated with on selling utilities can be attractive, there are many regulatory and administrative obstacles that can be overwhelming for a committee to manage. Silver Asset Services assists bodies corporate with these administrative and regulatory hurdles.

By purchasing electricity at regulated bulk tariff rates, Silver Asset Services can save bodies corporate up to 40% on the cost of their individual and common area power.

Some of our key services in bulk utilities include:

• Energy contract and tariff management • Metering and meter reading • Billing • Account management • Debt Management • Rebate and Ambulance Levy Management If you are not taking advantage of bulk utility purchasing, contact our team today to discuss the benefits and the limitations

Energy Conservation

In many strata communities, utility costs are among the top expenses. With prices continually rising, there has never been a better time to ensure your common property areas are as energy efficient as possible. Contact Silver Asset Services today to organise a basic audit. These audits can identify potential inefficiencies and we can recommend consultants for further investigation if warranted.

For more information regarding the Queensland Competition Authority, or the new tariff pricing structures, please refer to their website http://www.qca.org.au For assistance in converting to bulk utility please contact Silver Asset Services www.silverasset.com.au or by phone 07 3010 5560.

I

t’s the unknown that adds that element of allure to holidays, the thrill of unplanned encounters and of sights hitherto unseen.

There was the first time we visited Venice, sipping coffee at dawn in St Mark’s Square as a lone sweeper worked his way across the cobblestones.

There was that impossibly romantic farmhouse we rented in the Dordogne, set amidst a field of flowers and that hotel room set into the side of a hill on Santorini with views that caused you to just sit and stare.

Then there was the river cruise on the Seine.

What no one had bothered to tell us was that every cabin except ours was occupied by the elderly members of an English horticultural society.

On the first morning I made the mistake of going on deck and sitting in a chair. All chairs, it seems, had been invisibly reserved, the chair you sat on when you first boarded becoming "yours" and I had broken this sacred, unwritten law.

"I feel like I’m in a floating retirement village" I moaned to my wife as I surrendered my chair to the glares of an elderly passenger clutching a cup of tea in one hand and a blanket in the other.

"I think," I said to my partner, "that it might be time to abandon ship’’. The next morning I told the purser that my wife had just heard that she had inherited a sheep station and we had to go back to Australia "Zere are sheep in ze station?" he asked.

"Absolutely," I said. "Thousands of them"!

And with that we bolted down the gangplank hauling our luggage.

We would have made a clean getaway if at this point, the wheel had not fallen off my suitcase.

"Bye" I yelled, dragging my suitcase on one wheel and ploughing an impressive furrow up the dirt track to the riverbank, followed all the way by the astonished gaze of the purser.

We followed this experience with a cruise which sailed from Dubai.

Sadly, due to a bout of stupidity, I had failed to ascertain the likely national mix of the other 2000 people on board. It turned out to be 1000 Germans and 998 Italians, the other two people being British.

The Italians, bless them, began yelling at each other at 7am and ceased around midnight while the Germans contented Continues from page 37 > investment structure need to be established at the outset. It would be advisable for investors to seek their own advice and ensure that their investment decision complies with Superannuation Industry Supervision Act guidelines.

In recent times we have assisted a number of syndicates, particularly providing potential investors with feedback in relation to likely debt finance structures, interest costs and lending guidelines. In addition we work closely with industry lawyers and

43 RESORTBROKERS.COM.AU

The romance of

travel, bikinis, culture & the cathedral of deaf expletive

BY MIKE O'CONNOR themselves with pushing their fellow diners out of the way to get at the buffet.

They also rose at 4am and placed towels on the sunbeds to reserve them. I amused myself by moving the towels and lying on the beds. This led to some ugly scenes and the temporary suspension of diplomatic relations between Australia and Federal Republic of Germany.

We met the British couple after dinner in one of the ship’s bars and starved off English speaking company, joined them for a drink.

"Do you go to the swimming pool?" the husband asked of my partner. "Yes,’’ she said.

"I bet you wear a bikini. You’d look good in a bikini,’’ he leered.

His wife smiled benignly and appeared not to have heard him while my partner flicked me a quick "What the ……?" glance.

"Will you be going to the pool tomorrow?" he asked, drooling slightly. " And wearing a bikini?"

"She won’t," I said, "but I will and I’ll be wearing a bikini. We take turns and it’s my go tomorrow. See you there. Good night."

"Was he….?" asked my partner, pausing as she searched for an adequate description.

"A very dirty old man," I said. "So much for our fellow English speakers. Let’s go and yell at the Italians."

Culture, of course, and the rich tapestry of civilization are an important element of any trip which brings me to the Cathedral of the Deaf Expletive.

We were in Cartagena in Spain and I was admiring the ornate ceiling of a cathedral when my then partner, now my wife, attempted to attract my attention.

Two factors combined here, one being my less than perfect hearing and the other her short temper.

Frustrated, she raised her voice and said: "I’m talking to you, you deaf (expletive)!"

The acoustics in this 1000 year old building were exceptional and her voice echoed through the church, several hundred American tourists turning as one to catch a glimpse of the Deaf Expletive.

"You’ll never get to Heaven now," I said. "If I ever did," she replied "it’s not likely I’d find you there."

That’s what I love about travel – it’s so culturally enriching.

accountants to assist clients through the whole process from reviewing opportunities to executing transactions.

If you would like to know more about these opportunities we have the expertise and industry experience and would be more than happy to assist. Simply call or email and we can provide guidance as required. If you are an experienced accommodation manager looking to take the next step we are also happy to have a chat.

Here is an equation to leave you with and some food for thought…. if a bank lends a

partnership 65 per cent gearing at an interest rate of 6 per cent and the partners contribute 35 per cent plus costs for a return on equity of 25 per cent who is taking the bigger risk for the lower return?

Disclaimer: Mike Phipps Finance is not a financial planner or investment advisor. The contents of this editorial reflect broad observations of transactions for which the writer has been mandated to negotiate finance. Potential investors in management rights businesses should conduct their own due diligence and seek their own independent advice.

Returns, rates and equity numbers are for demonstration purposes only. SMSF compliance is an area requiring specialist advice and potential investors should seek appropriate guidance from industry professionals.

43 RESORTBROKERS.COM.AU 43 RESORTBROKERS.COM.AU

Agent Profile

110 Steve Campbell BRISBANE CBD & SURROUNDS

OUR AGENTS PRIDE THEMSELVES ON THEIR LOCAL KNOWLEDGE. THEY EACH LOOK AFTER A GEOGRAPHICAL PATCH, AND GROW TO LEARN IT INTIMATELY. WE FEEL THIS ADDS GREATLY TO THE CONFIDENCE WITH WHICH A PROPERTY CAN BE SOLD. IN THIS FEATURE WE WILL GET SOME THOUGHTS ON THEIR LOCAL AREA AND WILL ALSO LEARN A BIT ABOUT THEIR PERSONALITIES. HOW LONG HAVE YOU WORKED AT RESORT BROKERS AUSTRALIA? Since 4th July 2011 - coming up to the three year anniversary.

WHAT IS YOUR BACKGROUND I produced television commercials and was in that industry for 10 years. It was very challenging and lots of fun for a younger guy, but when I settled down and started a young family, I needed a change of pace.

MY AREA I service Brisbane Motels and a section of management rights that runs from Kenmore in the West, through Toowong, Spring Hill and the CBD, then out to Cleveland on the bayside. Brisbane motels are generally tightly held and seldom hit the open market if they are priced correctly.

Brisbane permanent management rights are very strong at the moment - we certainly have more buyers than sellers at this point for these complexes. Rents in Brisbane permanents have increased in excess of CPI for years so unit owners and managers alike have been extremely happy.

With Brisbane a current hot spot for developers, many complexes are currently coming out of the ground, and even more are in the DA approval process. Brisbane 44 RESORTBROKERS.COM.AU

corporate businesses have had a very good run in recent years, but have slightly come off that high in the past 12 months. This wont last long and the Brisbane corporate market will be in full swing again shortly.

Again, there is new short term stock coming onto the market, but Brisbane can certainly withstand this at the rate of growth that the city is experiencing.

WHAT DO YOU LOVE MOST ABOUT YOUR JOB? I love looking into businesses and assessing where there could possibly be room for improvement for a fresh set of eyes. But most of all, I love finding someone that perfect business that they have been searching for and being part of the process of that individual starting the next chapter in their life.

WHAT HAS BEEN YOUR BIGGEST SUCCESS SINCE STARTING AT RESORTBROKERS AUSTRALIA? On a personal level, it has been the ability to take control of my time and my life and make time for what I would like - number one - time with my family.

On a business level, it has been helping to assist a client do exactly the same. It was a guy that was on the road the whole

time in his previous career. Loved his job, but missed being able to spend more time with the family. I found him and his wife an inner city permanent management rights. It has been the best decision they have ever made. They have never been happier. Now, 18 months down the track, they have a real spring in their step and are loving their new life even more than they ever thought they would.

WHAT ANNOYS YOU? 110km limit on the highways. Peak hour traffic. Dishonesty. Valuers - isn't market value what a willing buyer and willing seller are willing to transact at.

DO YOU HAVE A NICKNAME? Billy - after Bill Campbell who played 2nd row for QLD. I also played a bit of second row years ago and that is how that started

WHAT DO YOU DO IN YOUR SPARE TIME? I love the outdoors and enjoy boating, camping, snowboarding, the beach and fishing. I am also a lover of food, wine and good hotels / resorts with a difference.

Relief Managers DIRECTORY

We have many more relief managers in our directory. Please contact us if you require a full list. Please note that this is a directory only.

Resort Brokers Australia do not interview or qualify any of the manager’s below.

Name: Delwyn and John Gane Mobile: 0421 987 462 Email: N/A Manager type: Motel Location: SE Qld / Central Qld

Name: Ray and Bev Hearn Mobile: 0429 420 826 Email: management@yourpark.com.au Manager type: Caravan Park Location: South Qld / Nth NSW

Name: Llew and Trisha Pointon Mobile: 0400 035 359 Email: llewp@tpg.com.au Manager type: Motel Location: Nationwide

Name: Steve and Pam McMullen Mobile: 0418 497 214 Email: sgpj.mcmullen@bigpond.com Manager type: Motel Location: Nth / Coastal NSW

Name: Graeme Fillipe and Deborah Wallace Mobile: 0427 512 751 Email: graemedeb@motelmanagers.com.au Manager type: Motel Location: South Qld / Nth NSW

Name: Simon and Anne Frost Mobile: 0433 921 029 Email: simon@serviceplease.com.au Manager type: Motel Location: Nationwide

Name: Phillip and Sharyn Stallman Mobile: 0428 931 589 Email: pjstal@bigpond.com Manager type: Motels, MR & CP Location: Nationwide

Name: Bob and Judy Sheppard Mobile: 0419 784 215 Email: bj.sheppard8@bigpond.com Manager type: N/A Location: NSW

Name: Sue and Hubert Rietberg Mobile: 0418 883 233 Email: sueandhugh@iinet.net.au Manager type: All properties Location: Brisbane / Sunshine & Gold Coast

Name: Lyne and Wayne Foster Mobile: 0437 217 621 Email: waynefos@dodo.com.au Manager type: Motels Location: Nth / Nth East NSW

Name: Chris and Carmel Moloney Mobile: 0400 483 291 Email: ccmoloney-315@hotmail.com Manager type: Motels Location: Nationwide & N.Z.

Name: Michael Hunter Mobile: 0439 950 900 Email: N/A Manager type: Motel Location: Qld

Name: Carol and Harry Turnbull Mobile: 0428 399 733 Email: N/A Manager type: N/A Location: Nationwide

Name: Peter and Julie Johnston Mobile: 0409 218 751 Email: N/A Manager type: Motel / MR Location: Qld

Name: Robyn and William Campbell Mobile: 0409 838 856 Email: rgcampbell@hotmail.com Manager type: N/A Location: Nationwide

Name: Louise and Siggy Dannell Mobile: 0408 901 927 Email: lsdannell@bigpond.com Manager type: All Location: East SA

Name: Paige Renshaw Mobile: 0438 847 941 Email: paigeandrea@hotmail.com Manager type: Management Rights Location: Nationwide

Name: Karla Harding Mobile: 0414 767 499 Email: bnbangel@fastmail.net Manager type: B&B / Guesthouses Location: Nationwide

Name: Sylvia and Gilbert De Michiel Mobile: 0419 204 773 Email: sylvia@anzacs.net Manager type: N/A Location: East Vic / Qld / NSW

Name: Gary and Robyn Loakes Mobile: 0408 798 352 Email: grl21@bigpond.com Manager type: All Location: Nationwide

Name: Scott Walters Mobile: 0488 726 888 Email: dougie.71@hotmail.com Manager type: Management Rights Location: Nationwide

Name: Tony and Dawn Davies Mobile: 0412 065 348 Email: dawn.tony@hotmail.com Manager type: Hotel / Motel / CP Location: West Qld

Name: Anastasia and Gus Johnson Mobile: 0408 021 303 Email: anastasiajohnson@bigpond.com Manager type: Resort Location: SE / NE Qld

Name: Jan and Allen Morton Mobile: 0417 529 129 Email: N/A Manager type: N/A Location: Sunshine Coast

Name: Christopher Hillman Mobile: 0488 550 005 Email: christopher.hillman@bigpond.com Manager type: Motels, MR, Resorts Location: Nationwide - Capital Cities

Name: Paul and Arlene Moore Mobile: 0404 855 711 Email: pfandammoore@live.com Manager type: Hotel / Motel / CP Location: Qld & NSW Name: Greg and Linda McWhirter Mobile: 0409 882 803 Email: thamacz@octa4.com.au Manager type: Motels Location: Nationwide

Name: David and Belinda Gustafson Mobile: 0403 219 562 Email: gustafsondavid@hotmail.com Manager type: N/A Location: NSW / Qld

Name: Elisabeth Grimm Mobile: 0414 751 142 Email: yellowroses4me2222@yahoo.com.au Manager type: Management Rights Location: Gold Coast

Name: Sabrina Simmonite Mobile: 0410 926 221 Email: qldreliefmanagers@bigpond.com Manager type: Management Rights Location: Brisbane, Sunshine & Gold Coast RESORTBROKERS.COM.AU 45

Exclusive Listings DESCRIPTION

PROPERTY LOCATION TYPE

NO. OF UNITS

TEMP/ PERM

NETT PROFIT

PRICE

Queenslands Best Motel Leasehold Opportunity Massive ROI 43.5%

L/H

Biloela

28

Temp

$724,774

$1,250,000 + SAV

New South Wales Rural City Motel Leasehold – Direct from Freehold Owner

L/H Motel

Griffith

54

Temp

$240,920

850,000 + SAV

Management Rights in Western Australia - At the Gateway to the Margaret River

M/R

Dunsborough

35

Holiday

$400,000

$2,010,000

Armidale Leasehold Opportunity – Officially Reviewed Number #1

L/H

Armidale

20

Temp

$168,808

$550,000

Brisbane Short Term Management Rights

M/R

Spring hill

42

Mixed

$262,376

$1,506,000

Lease for Sale - Lifestyle and a great return on the Central Coast

L/H

Gorokan

18

Temp

$140,000

$495,000

Resort Style Motel in busy Rockhampton

L/H

Rockhampton

30

Temp

$294,000

$980,000

New Lease - Quality Corporate Motel in New South Wales Rural City

L/H

Griffith

63

Temp

New Leasehold of this Fantastic Caravan Park in QLD Darling Downs

L/H

-

Dalby

19

Temp

Majestic Guesthouse and Function Centre in Regional New Sout Wales L/H

Wellington

16

Temp

Terrific lease in the heart of Townsville

LH

Townsville City

49

Temp

Australia’s Best Boutique Ski Hotel

FH

Dinner Plain

15

Temp

Proposed Serviced Apartment Leasehold in CBD Adelaide

LH

Adelaide

105

Temp

Tasmanian Freehold Hotel/Motel in East Coast Seaside Town

FH

Scamander

60

Temp

$483,445

$2,900,000

Golf Living at its Best and a Body Corporate Salary to prove it.

MR

Merrimac

69

Mixed

$280,000

$2,325,000

Substantial Leasehold – Big Improver

LH

Horsham

41

Temp

$181,191

$650,000

Outstanding Freehold Going Concern in Sydney

F/H Motel

St Marys

28

Temp

Fantastic Opportunity for Business only Management Rights

M/R

Indooroopilly

20

Permanent

$20,000

$100,000

4 Star Motel & Serviced Apartments

L/H Motel

Portland

15

Temp

$284,654

$1,060,000

Broadwater Beauty - Stunning Management Rights, Runaway Bay

MR

Runaway Bay

56

Mixed

$155,000

$1,100,000

Amazing Leasehold Opportunity Boasting Stunning Views over Lake Jindabyne

LH

Jindabyne

25

Temp

$224,626

$750,000

Panoramic Views over the Whitsundays

MR

Airlie Beach

25

Holiday

$220,000

$1,600,000

Do you want the Best in the West? 90 room, 4 star rated Fabulous Leasehold Motel

LH

Roma

90

Temp

$1,550,000

$5,292,000

Do you want the Best in the West? 90 room, 4 star rated Fabulous Freehold Motel

FH

Roma

90

Temp

$2,819,480

$18,995,000

Do you want the Best in the West? 90 room, 4 star rated Fabulous Freehold Passive Investment Motel

INV

Roma

90

Temp

-

$13,716,000

Resort Style Motel in busy Rockhampton

LH

Rockhampton

30

Temp

$294,000

$980,000

Freehold Motel with Options

FH

Bundaberg

16

Temp

$170,000

$1,190,000

Excellent Lease For Sale - Central West New South Wales

LH

Cowra

25

Temp

$126,895

$325,000

Ripper Leasehold Motel - Long Lease Low Rent

LH

Moree

27

Permanent

$161,380

$495,000

Mid North Coast Management Rights. Own and Manage or have it Managed for your Passive Investment

MR

36

Mixed

$204,312

$1,070,000

The Next ‘Wonder of the World’

FH

Port Douglas

6

Permanent

-

$2,200,000

Regional Mining Centre - Main St Motel Development Opportunity

FH

Orange

75

Special Projects

-

$1,750,000

Mid North Coast Manufactured Home Estate - Stage 1 of 3 complete

FH

Bonville

91

Permanent

-

$4,200,000

30 Year lease on Brand New Mackay Motel

LH

Mackay

57

Permanent

$575,000

$1,700,000

Auction on Tuesday 25th March 2014

FH

Singleton

30

Temp

$1,533,669

Auction

Award Winning Noosa Boutique Management Rights

MR

Noosaville

20

Holiday

$271,304

$1,998,535

46 RESORTBROKERS.COM.AU

$411,620

$900,000

$330,187

1375000 ROI 30% $250,000 $1,075,000

-

$1,900,000

-

$2,149,875

-

$5,300,000

DESCRIPTION

PROPERTY LOCATION TYPE

NO. OF UNITS

TEMP/ PERM

NETT PROFIT

PRICE

Unique CBD Bed and Breakfast Motel

LH

Bundaberg West

14

Temp

$109,126

$350,000

Freehold Motel Whyalla

FH

Whyalla Norrie

15

Temp

$257,577

$1,500,000

Southport Permanent MR - Carry on with your full time job and use this business to pay your mortgage!

MR

Southport

18

Perm

$22,105

$395,000

West End Permanent

MR

West End

93

Perm

$295,853

$2,127,000

North East Victoria Motel Leasehold

LH

Myrtleford

17

Temp

$226,000

$725,000

Inner Suburban Leasehold Accommodation Business

LH

South Yarra

40

Temp

$395,333

$1,585,000

Surfers Paradise Management Rights for Sale - $550,000 NETT

MR

Surfers Paradise

81

Mixed

$550,000

$3,757,500

4 Star Motel - 36% Return

LH

Hamilton

10

Temp

$128,958

$365,000

Extraordinary freehold holiday park in North NSW.... Don’t miss this!

FH

Seelands

147

Temp

$371,156

$3,900,000 + SAV

Outstanding Returns on Lease in Central West NSW

LH

Parkes

39

Temp

$243,673

$500,000

Renovated Seaside Beauty - Leasehold

LH

Mission Beach

18

Temp

$190,000

$560,000

Massive 47% ROI - on ‘Golden Mile’ at Tweed Heads

Motel

Tweed Heads

20

Temp

$160,033

$339,000 ONO

Rare opportunity to secure two off the plan management rights businesses in one line

MR

Nundah

80

Perm

$231,063

$1,062,892

Exceptionally Stylish Business Only

MR

Lutwyche

53

Perm

$90,058

$378,245

Top Motel In Town... Be Quick!

LH

Gympie

32

Temp

$999,033

$1,220,000 + SAV

Excellent performer in the heart of the Hunter Valley - New 30 year lease

LH

Muswellbrook

27

Temp

$427,320

$1,200,000

Highly sought after Motel Lease - Brisbane

LH

Springwood

30

Temp

$346,791

$995,000.00

Idyllic Waterside Living - Luxury Management Rights on the Sunshine Coast

MR

Minyama

106

Perm

$297,454

$1,969,935

Where Heaven meets Earth - Clifftop Villa Complex on Mt Tamborine

FH

Mt Tamborine

4

Temp

$342,108

$2,750,000

High Return on Investment - Cairns Esplanade

MR

Cairns

37

Mixed

$358,000

$1,850,000

Prime Mildura Leasehold

LH

Mildura

38

Temp

$358,796

$1,200,000

Recievers’ Sale - ‘Panorama Tower’, Management Rights and Managers Unit

MR

Surfers Paradise

59

Tasmanian tourism destination

FH

St Helens

8

Temp

$96,165

$850,000

How good is this...Freehold Caravan Park for the price of a house Business free

FH

Clifton

14

Temp

$43,000

$360,000

Fantastic new leasehold B&B motel in outer Brisbane precinct

LH

Caboolture

20

Temp

$275,000

$995,000

Exceptional Opportunity to secure a Leasehold Business in Melbourne

LH

Melbourne

34

Temp

$438,660

$1,900,000

25 year lease for sale - Excellent Regional NSW Motel

LH

Condobolin

21

Temp

$160,711

$540,000

Entry Level Management Rights - Cairns

MR

Cairns North

24

Mixed

$163,000

$770,000

The Gold Coast’s Premier Residential Building - Paradise Waters Management Rights

MR

Paradise Waters

166

Permanent

$164,000

$1,295,000

Rare Mid North Coast Freehold Caravan Park

FH

Nambucca Heads

75

Temp

$176,290

$1,495,000

Golden Opportunity to Purchase the Lease of the Best Motel in Town

LH

Gayndah

18

Temp

$194,957

$450,000

Near New Serviced Apartments - Leasehold

LH

Portland

49

Temp

$252,526

$850,000

Leasehold In Great Location with High Occupancy

LH

Seymour

15

Temp

$191,227

$625,000

Leasehold Opportunity in Iconic Western Queensland Town

LH

Longreach

56

Temp

$400,180

$1,450,000

Expressions of Interest

RESORTBROKERS.COM.AU 47

Industry Specialists 100 95

[

75

100

a

]

RESORT MANAGEMENT ADVISORS

25 95

SPECIALISTS IN:

Review of operations | Pre-opening planning 5 75 Owner representation | Operations management 0

25

For professional assistance contact: tjshort@attglobal.net or phone 0413 752 717

Expert management rights lawyers

TM

The team at Hynes Legal can assist you with all of your management rights needs.

We are different, not in what we do, but in how we do it - fixed fees, returned phone calls, accessible lawyers, no billing surprises and more. Try Hynes Legal.

Would you like to receive the best management rights information in the industry?

Visit www.hyneslegal.com.au/subscribe

Frank Higginson Director 07 - 3193 0588

Sharon Flood Senior Associate 07 - 3193 0502

5 0

Specialising in Hotels & Motels

Service Stations

Management Rights

Residential Development

Caravan Parks

Industrial

Child Care Centres

Commercial & Retail

Mike Phipps 0448 813 090 Paul Grant 0448 417 754 mike@mikephippsfinance.com.au paul@mikephippsfinance.com.au 4/31 Mary Street, Noosaville, Qld

BRISBANE P 07 3226 0000 F 07 3226 0099 E mailbris@lmw.com.au | www.landmarkwhite.com.au

THE MANAGEMENT RIGHTS LAWYERS Servicing resident unit managers throughout Queensland and New South Wales Brisbane 07 3007 3777 Level 15, 167 Eagle Street Brisbane Q 4000

Gold Coast 07 3007 3777 Corporate House, 155 Varsity Pde, Varsity Lake Q 4227

Buying or selling Hotels Caravan Parks, Motels, Management Rights?

Call (07) 3220 1144 or email@hillhouse.com.au

www.hillhouse.com.au

 Specialist Business Advisor to the Accommodation Industry  Specialist Business Advisor to the Accommodation Industry  Verifications Reports  Verifications Reports  Trust Account Audits  Trust Account Audits  Business Services  Business Services  Taxation Specialist Business Advisor to the  Taxation  SpecialistAccommodation Business Advisor to the Accommodation Industry Industry  Accounting Verifications Accounting Reports Verifications Reports | Trust Account Audits | Business  Benchmarking Benchmarking Trust Account Audits

Services | Taxation Accounting | Benchmarking

Sunshine Coast Brisbane/Gold Coast  Business Services Sunshine Coast JohnCoast Siemon Brisbane/Gold Sam Hodgetts John Siemon Sam(07) Hodgetts (07) 5474 8955  Taxation 3421 3421 (07) 5474 8955 (07) 3421 3421  Accounting Email: cpa@mcadamsiemon.com.au Email: www.mcadamsiemon.com.au cpa@mcadamsiemon.com.au  Benchmarking www.mcadamsiemon.com.au ‘ALL PROFESSIONAL FEES QUOTED UP FRONT’ Sunshine Coast Brisbane/Gold Coast ‘ALL PROFESSIONAL FEES QUOTED UP FRONT’ John Siemon Sam Hodgetts (07) 5474 8955 (07) 3421 3421 Email: cpa@mcadamsiemon.com.au www.mcadamsiemon.com.au ‘ALL PROFESSIONAL FEES QUOTED UP FRONT’

Valuations and Property Advice Specialists in Accommodation Properties and Businesses Prepurchase advice, preparing for sale, rent assessment, and valuation panellist for a wide range of banks.

Owen Barbeler (07) 3620 7900

Owen Barbeler Associate Director

Brisbane T: 07 3620 7900 E: owen.barbeler@m3property.com.au

LOOKING TO REACH THE ACCOMMODATION AND TOURISM INDUSTRY? WHY NOT ADVERTISE HERE. YOU WILL SEE A RANGE OF INDUSTRY SPECIALISTS ARE ADVERTISING IN OUR WIDELY READ INFORMER. CIRCULATION - 8,500 - MAILED HARD COPIES AND 15,650 - SENT DIGITALLY IF YOU WOULD LIKE A COMPANY ADVERT ON THIS PAGE PLEASE CONTACT: CARLA COOK: 0467 600 611 OR EMAIL US CARLACOOK@RESORTBROKERS.COM.AU Qualifications

48 RESORTBROKERS.COM.AU Owen has worked in the valuation industry since 2002 and specialises in going concern valuations.

> Bachelor of Business Management (Real Estate and Development), University of Queensland

Recently Sold

Resort Brokers Australia has sold and settled 60 properties since the 15th January 2014.

We have a further 54 properties under contract

FREEHOLD CARAVAN PARK CALOUNDRA, QLD

LEASEHOLD SERVICED APARTMENTS LAUNCESTON, TAS

MANAGEMENT RIGHTS BIGGERA WATERS, QLD

LEASEHOLD MOTEL HAY, NSW

MANAGEMENT RIGHTS STAFFORD, QLD

FREEHOLD MOTEL TERRIGUL, VIC

LEASEHOLD MOTEL MANAGEMENT RIGHTS EDEN, NSW GYMPIE

MANAGEMENT MANAGEMENTRIGHTS RIGHTS RUNAWAY BAY, QLD GYMPIE

LEASEHOLD MOTEL GLEN WAVERLEY, QLD

MANAGEMENT RIGHTS HERVEY BAY, QLD

LEASEHOLD MOTEL PIALBA, QLD

LEASEHOLD MOTEL LUCINDA, QLD

MANAGEMENT RIGHTS BUNDALL, QLD

FREEHOLD HOTEL COOKTOWN, QLD

LEASEHOLD MOTEL TOOWOOMBA, NSW

LEASEHOLD MOTEL ALBURY, NSW

LEASEHOLD MOTEL MERRIMBULA, QLD

MANAGEMENT RIGHTS SOUTHPORT, QLD

FREEHOLD CARAVAN PARK GUNNEDAH, NSW

LEASEHOLD SERVICED APARTMENTS MOORABBIN, VIC

RESORTBROKERS.COM.AU 49

Our Team Ian Crooks

MANAGING DIRECTOR NATIONWIDE

Neville Littleton BROKER BRISBANE NORTH

Trudy Crooks

SALES MANAGER / BROKER NATIONWIDE

Nat Marler

BROKER BRISBANE CBD & SOUTH

Glenn Millar

BROKER SUNSHINE COAST

Tim Crooks

OFF THE PLAN SPECIALIST NATIONWIDE

Tyler Millar

BROKER SUNSHINE COAST

Steve Campbell

BROKER BRISBANE CBD & SURROUNDS

Lindsay Cooper

BROKER WEST QLD & NTH NSW

David Janett

BROKER SOUTH & WEST BRISBANE

Alex Cook BROKER GOLD COAST

BROKER NTH. NSW & GOLD COAST

BROKER CENTRAL GOLD COAST

BROKER SOUTHERN GOLD COAST

Lyn Brodbeck

Lynn Booth BROKER CENTRAL QLD

BROKER CENTRAL QLD

Len Booth

Shane Mullins

James Carrick

Russell Rogers

Shane Wynhoven

Jim Chapman

Stuart Charles

Gerard Hurry

Ian Dore

BROKER MID NORTH COAST & NORTH WEST, NSW

Brooke Kelly

RECEPTION / OFFICE ADMINISTRATION

50 RESORTBROKERS.COM.AU

Carolyn Griffith

David Jiang

BROKER & CHINESE LIAISON NATIONWIDE

BROKER SOUTH COAST, NSW

Julie Davidson

NATIONAL TEAM MANAGER

BROKER GREATER SYDNEY, CENTRAL TABLELANDS & HUNTER, NSW

Sarah Wilkinson

OFFICE ADMINISTRATOR

BROKER NORTH EAST, VIC

Emma Krause

ACCOUNTS MANAGER

BROKER WEST, VIC

Dianne Atkinson

FINANCIAL CONTROLLER

BROKER FAR NORTH QLD

BROKER NORTH WEST, VIC

Carla Cook

MARKETING MANAGER

Directory QUEENSLAND

BRISBANE - HEAD OFFICE Telephone: Facsimile: Email: sales@resortbrokers.com.au

07 3878 3999 07 3878 1199

PO Box 5004, West End Qld 4101 0411 171 648 0477 882 210 0481 500 278

OFF THE PLAN Management Rights Tim Crooks

0422 208 450

NORTH BRISBANE Management Rights Neville Littleton

0407 727 194

SOUTHERN & CBD BRISBANE Management Rights Nat Marler

Motels Len Booth

0438 139 422

FAR NORTH QUEENSLAND Motels / Pubs / Caravan Parks / Management Rights Shane Mullins 0447 185 001

362 Montague Road, West End Qld 4101 NATIONWIDE Ian Crooks - Managing Director Trudy Crooks - Sales Manager David Jiang

CENTRAL QUEENSLAND A/h: 07 4155 6330 Facsimile: 07 4155 6440

NORTHERN TERRITORY Motels / Pubs / Caravan Parks / Management Rights Trudy Crooks 0477 882 210

NEW SOUTH WALES

0401 932 200

Telephone: Facsimile: PO Box 78, Freshwater NSW 2069

02 9904 8224 02 9904 8867

NORTHERN NSW Motels/ Management Rights Ian Dore - Northern NSW

0412 752 238

CENTRAL/ NORTH WEST NSW Caravan Parks / Pubs/ Motels Lindsay Cooper

0418 711 047

CBD & BRISBANE Motels/ Management Rights Steve Campbell

0407 220 668

SOUTH WEST BRISBANE Management Rights David Janett

GREATER SYDNEY, CENTRAL TABLELANDS & HUNTER Motels/ Backpackers / Management Rights Shane Wynhoven 0424 174 592

0404 204 672

MID NORTH COAST / NORTH WEST, NSW Motels/ Caravan Parks James Carrick

0400 664 065

SOUTH COAST, NSW Motels/ Caravan Parks Russell Rogers

0416 166 909

CENTRAL WEST/ SOUTH WEST/ SOUTH EAST QLD Caravan Parks / Pubs/ Motels Lindsay Cooper 0418 711 047 GOLD COAST Telephone: Facsimile:

07 5510 3900 07 5510 3111

MAIN BEACH Motels/ Management Rights Ian Dore

0412 752 238

VICTORIA Telephone: 03 9347 3100 Facsimile: 03 9347 3111 PO Box 1100, Carlton VIC 3053

NORTH GOLD COAST/ SURFERS PARADISE Management Rights Alex Cook 0467 600 610

NORTH EAST VIC Motels/ Caravan Parks/ Management Rights Jim Chapman 0413 444 782

CENTRAL GOLD COAST Management Rights Carolyn Griffith

WEST VIC Motels/ Caravan Parks Stuart Charles

0458 588 472

NORTH WEST VIC Motels/ Caravan Parks Gerard Hurry

0417 250 211

0419 675 429

SOUTHERN GOLD COAST Management Rights Lyn Brodbeck 0400 297 202

SUNSHINE COAST / DISCOVERY COAST / HERVEY BAY Management Rights Glenn Millar 0412 277 804 Tyler Millar 0411 271 761

TASMANIA Motels/ Caravan Parks Jim Chapman

0413 444 782 RESORTBROKERS.COM.AU 51

QUEENSLAND OFFICE PO Box 5004 West End, QLD 4101 (07) 3878 3999 NEW SOUTH WALES OFFICE PO Box 78 Freshwater, NSW 2096 (02) 9904 8224 VICTORIA OFFICE PO Box 1100 Carlton, VIC 3053 (03) 9347 3100 facebook.com/resortbrokersaustralia resortbrokers.com.au

The Original and still No. 1