Michael Mowle - Business Voice

from Greater Port Macquarie Focus - i186

by Focus

Jeremy Brigden - Legal Light

focus_contributor.

BUSINESS VOICE

tMICHAEL MOWLE

PRESIDENT PORT MACQUARIE CHAMBER OF COMMERCE

Port Macquarie is currently experiencing a housing supply and aff ordability crisis. This is being driven by high demand, rising building costs and land supply constraints. At present there is a limited and constrained supply of zoned land for future residential dwellings within our local government area to meet demand and maintain aff ordability.

Analysis of the rising demand for housing in this area has resulted in a forecast that we will need to accommodate an additional 20,000 people by 2036. This means that the local housing industry needs to supply about 500-600 dwellings annually for the next 15 years. The recent and ongoing COVID pandemic appears to have accelerated an exodus from capital cities to regional centres and rural areas. The demand from this trend is likely to exceed current forecasts and put even higher demand on housing supply in our area. As part of its existing Urban Growth Strategy Council has a subordinate document the “DRAFT Housing Strategy” on exhibition for comment until mid September. This document is accompanied by a Theoretical Dwelling Capacity report undertaken by specialist consultants. This capacity report is signifi cantly fl awed in that a large number of sites within the Port Macquarie LGA have been incorrectly assessed as having development capacity. The resultant inaccurate data fails to identify that Port Macquarie Hastings LGA does not have an adequate supply of zoned land for housing to meet the forecast demand. To properly address the land shortage, housing supply and resultant affordability crisis the PMHC Urban Growth Strategy fi rstly needs to identify future land release areas to exceed predicted demand up to 2036. This is so suffi cient choice in location and price is available to purchasers, competition is maintained amongst developers as well as allowing for some areas to proceed while others are in planning phases. Secondly, the strategy must identify the critical infrastructure needed to support release areas such as roads, water, trunk sewer and services. Where appropriate council should then forward fund key pieces of infrastructure to unlock development potential. This ensures that land is made available in a timely fashion, supply to market keeps prices under control and the additional costs of lead-in infrastructure is not borne by the home buyer. The Housing Strategy document should underpin and support the Urban Growth objectives in terms of housing types, development control settings, incentivisation and specifi c aims for various housing precincts. One example of the latter being medium density in fringe CBD areas where redevelopment could yield additional supply of villas and townhouses. The challenges here relate to replacing aging infrastructure, prescriptive development controls and high contributions making such development not economically feasible. In new release areas where 70% of demand is for freestanding houses the challenge is to extract the maximum yield from zoned land. This means ensuring that development controls allow removal of scattered vegetation that is not environmentally signifi cant whilst protecting areas that are sensitive and of high ecological value. Anecdotal evidence suggest those moving to our area from cities favour not only their own yard space but also desire living in an area that preserves its natural surroundings. The local housing and construction industry supports over 3000 jobs directly and countless others indirectly in businesses such as real estate, hardware and building suppliers, furnishing and white goods, conveyancing, legal and fi nancial services. A robust and considered long term strategy is required to meet our future housing demands, maintain housing affordability and provide certainty to a key local industry.

CELEBRATES 50 YEARS OF SERVICE

TO THE PORT MACQUARIE REGION

It’s 50 years since this young local lad commenced his own business. Focus has coaxed John McGuigan to share his story with us.

Hi John. How did the business of John Oxley Motors start?

Well I suppose it started in 1954 when Dad, Mum and I came to Port Macquarie from Premer in western NSW. My father was a farmer and grew peas, beans, tomatoes and cucumbers on our property out on Ocean Drive where McKillop Senior College and St Agnes Village are now. He did this successfully in the 1950’s but not so well in the 1960’s when Birds Eye introduced Frozen Peas and Beans. My father died when I was 14 so when the farm was sold up, we moved to town.

My father had been a “Penciler” at the races also and had taught me to be fast and accurate with numbers, particularly multiplication and additions, so I knew how to write up a Bookmaker’s ledger. This got me an odd Saturday job with Bookmaker Mr Terry O’Brien from the age of 15 on. I also ‘pumped petrol’ at The Plaza Shell for Mr George Heideman every second Sunday and public holiday when I was 17 to 18. This was while schooling was completed at St Joseph’s and years 11-12 at Port High. In 1971 after my HSC I went to work at the ANZ Bank as a junior and continued at Shell on Sundays. My friend, Geoff King, working for Jim Boardman Real Estate, one day showed me the lease of a Mobil Service Station, Macquarie Auto Port which was for sale, at $6,000. It was at the corner of Gordon and Munster Streets where the new Mobil now is. The business also happened to sell Volkswagens. The lease of the premises would be from people I knew, Bruce and his sister Silvia Longworth. Longworths’ Trading Company were the Mobil distributors for the Hastings.

I knew from my bank experience that if Mum would lend me the house deeds, I could get finance and have a go. With the support of the ANZ Bank, Volkswagen Distribution and my Mum’s faith in me we took over on 1st October 1971.

With the competent support of our first two mechanics, Mick Higgins and Chris Van der Lay, more right decisions were made than wrong ones. We soon learnt that selling and repairing cars was more profitable than pumping petrol for a cent a litre.

Business grew and Renault, Peugeot and Subaru asked us to sell their cars which we jumped at. Our first Salesman, Colin Pentecost, sold everything in sight at about the time a young tall skinny Volkswagen Mechanic by the name of Warwick Simpson, fresh from completing his apprenticeship in Sydney commenced. Warwick worked with us in various roles and contributed greatly to our success over the years till his untimely death in March 2012. And as good a person as you would want to know.

Continued over...

59 Hastings River Drive (Yamaha)

Macquarie Auto Port

Mid 1974 we had Ivan Stroud, the State Manager of Capitol Motors, the Datsun Distributor (now Nissan) call in and tell us they wanted us to “give away all these supermarket brands” and be the Datsun exclusive dealer. I said “cannot do that Ivan” to which he replied “get a separate site as cars will be coming after Christmas.”

This coincided with a quietening in Real Estate, so Geoff King and I decided to form a partnership and modify the old Terrazzo Factory at 95 Hastings River Drive into a Car Dealership. Again, we needed $6,000 and it was Geoff’s block of land we used to secure the finance.

Part of the premises were owned by Mr Jim Goldring and the shopfront by Mr Eddie Quirk (where Andersons Car Care and Natrad are now).

We delivered our first Datsun 1 tonne truck to Mitchell’s Timber and Hardware on 19th February 1975. John Oxley Motors was in business.

Geoff and I had 10 very good years as business partners. I acquired his interests in John Oxley Motors and Geoff moved to Coffs acquiring the Holden/Mitsubishi Dealership in 1985. Geoff King Motors today is a highly regarded multi franchise Dealer in Coffs Harbour. Geoff and I are very good friends and we continue to keep regularly in touch.

Going back a bit, in my last year of school I fancied this young lady. She was the sister of one of my mates Geoff Spence. She thought I was ok, so Lorraine and I were married in 1974 and have just celebrated our 47th anniversary. We have three children Shane, Alison and Aaron.

I wouldn’t have managed in business without the continual support and encouragement of Lorraine and the understanding of our children in their earlier years that “dad was at work”.

One of our favourite brands BMW came along in 1977. Our first car was a BMW 3.0LA, worth $27,500. It was dropped off by the car carrier at our Gordon Street home one night. We were selling for $25,000. I said to Lorraine, if there is a fire tonight; get the baby and take the car. It’s worth more than the house.

In 1977 the Macquarie Auto Port Business was sold along with our little family home in Gordon Street, to help finance the purchase of land and the building of a bigger John Oxley Motors at 59 Hastings River Drive (where Yamaha are now). We moved in April 1979.

We had taken a massive leap and finances were very tight for a few years but working with committed people we moved forward leasing land and buildings beside us and adding further Motor Franchises.

Business had more good years than bad ones during the late 80’s and 90’s before we had again outgrown ourselves.

In 1999, after 2 years in the acquisition, planning and development stage, and with a huge financial commitment we moved to part of the old drive-in site at 130 Hastings River Drive. The hard work of Sid Hopkins, Hopkins Consultants, Trevor King the Architect and Malcolm McDonald Constructions resulted in a first-class facility.

It was at this time that the Volkswagen Factory announced their return to distribution in Australia. (From 1977 till 2000 VW’s were imported by commission agents and their sales were spasmodic.) We enthusiastically pursued the Volkswagen franchise which we were granted in late 2000. We had the brand back that started us off.

In the years till 2018 we selected vehicle Brands that best suited our business model and Customer base. Some were added, some relinquished.

95 Hastings River Drive (The Terrazzo Factory)

Our eldest son, Shane, after leaving school pursued a career in hospitality attending the Blue Mountains Hotel Management School and working in Melbourne and Brisbane. Lorraine and I wanted our children to make their own way and not just walk into a family business, which they all did.

In 1998 there came a rare opportunity for Shane to attend the 7-month program at BMW Business School in conjunction with the European Business College in Germany. After prolonged family discussions and selling everything he owned to pay the heavily subsidised fee, his career was changing. Shane graduated and returned, securing a position with Brisbane BMW for the next 3 years. His love of the car industry had started.

In 2001 McGuigan BMW had a sales position. Shane applied and as the best applicant was successful. Shane went on to be General Sales Manager.

In 2010 Shane and I had a conversation. Dad, one of us is staying and one is going. There can be only one Boss. Lorraine and I discussed, looked at my birth certificate and decided I would go. We put a plan together for Shane to take over the running of the business and also a 10-year plan for him to acquire the assets of the operating company. Shane exceeded these goals 2 years early and in 2018 John and Lorraine retired.

John, to what do you owe the outstanding growth of this locally founded company?

That’s simple. It’s the people you work with every day. They are the business. You show the care and attitude towards your customer, set the rules and the guidelines, what needs to be achieved and encourage everyone from there. Dedicated people do the rest.

What has been the most satisfying highlight for you over the last 50 years?

Firstly, the young people we have been able to help start their working life through apprenticeships and our ability to teach skills they didn’t learn at school. Some stay for a short time, some for decades. But equally it’s seeing

John with model Chev they came to town in and the model of the first Beetle he sold

the excitement a new car brings to people. Helping them make the right decision for them, and providing a fix for the car problems when they arise.

The people you meet in our industry, from the various Brands and like-minded Dealers, with whom many I have forged lifelong friendships. I miss the interaction with the people I worked with and the customers.

What would you say is the best car?

When you open the garage door and the car you see brings a smile to your face and a warm feeling… that is the best car. A bad car today is rare. Of course, Volkswagen is my favourite.

What is your involvement with John Oxley Motors today?

I’m still the Dealer Principal for Volkswagen. That is the person responsible to the Factory for the total operation of the franchise within a Dealership. They like the heritage and want me to hang around for a while. And so do I. We’re the landlord and have a very fussy tenant, Shane, making sure all the gardens are first class and the blown light globe etc is replaced immediately! I’ll also offer an opinion sometimes... but only when I’m asked.

Thanks John. I know you were reluctant about any publicity and had to be encouraged by your family and friends to tell this brief part of the story with the hope it encourages others to have a go and “Do a good Deal Better!”

Volkswagen Group Australia Pty Ltd Volkswagen Group Australia Pty Ltd 24 Muir Road 24 Muir Road Chullora NSW 2190 Chullora NSW 2190 ABN 14 093 117 876 ABN 14 093 117 876 Phone (02) 9695 6000 Phone (02) 9695 6000

John McGuigan is in many ways the face of the Volkswagen brand in Australia. It is to him more than any other single dealer of the more than 100 in this country that our brand owes its status as the only European represented among the top 10 selling automakers in this crowded market.

Whenever Volkswagen has been here, John has been there. The brand’s contemporary success was a remote prospect 50 years ago when the then-19year-old was appointed at Macquarie Auto Port. Indeed, Volkswagen was sKll at best a niche brand when we returned to Australia as a factory importer in 2001. Naturally, John was among the first dealers enfranchised. John, who even now remains Dealer Principal for Volkswagen at John Oxley Motors, has been not only Volkswagen’s longest serving dealer principal, he is among its most decorated. There can scarcely be room enough on his mantle for his array of Premium Dealer and Dealer of the Year Awards. To these add the seldom awarded Gold Pin and Diamond Pin.

If a brand is only as good as its dealers, in John McGuigan we and you – the customer – could not be in beTer hands.

Thank you, John, for your decades of making Volkswagen what it is in this country.

Best wishes

It is to him more than any other single dealer of the more than 100 in this country that our brand owes its status as the only European represented among the top 10 selling automakers in this crowded market. Whenever Volkswagen has been here, John has been there. The brand’s contemporary success was a remote prospect 50 years ago when the then-19year-old was appointed at Macquarie Auto Port. Indeed, Volkswagen was sKll at best a niche brand when we returned to Australia as a factory importer in 2001. Naturally, John was among the first dealers enfranchised. John, who even now remains Dealer Principal for Volkswagen at John Oxley Motors, has been not only Volkswagen’s longest serving dealer principal, he is among its most decorated. There can scarcely be room enough on his mantle for his array of Premium Dealer and Dealer of the Year Awards. To these add the seldom awarded Gold Pin and Diamond Pin. If a brand is only as good as its dealers, in John McGuigan we and you – the customer – could not be in beTer hands. Thank you, John, for your decades of making Volkswagen what it is in this country. Best wishes