Resort news, November 2021 by Multimedia AU/NZ

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Issue 303 | November 2021 | $13.75 inc. GST

The Monthly Magazine for Accommodation Industry Professionals

www.accomnews.com.au

Profile Lanai Riverside Apartments Person of Interest Kristine Lehmann

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

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Inside our November issue FRONT DESK Editor’s Note: Freedom – Preparing for ‘Love Actually’ moments.......05

INDUSTRY ARAMA Report........................................................................... 06 State Report.................................................................................07 SCA Report...................................................................................08 BCCM Report............................................................................... 10 Person of Interest: Kristine Lehmann................................ 12

MANAGEMENT By All Accounts........................................................................... 15 Legal Ease...................................................................................... 16 Motel Market.................................................................................17 Thinking MR.................................................................................. 18 Good Governance......................................................................20 Direct Bookings..........................................................................20 Intonet............................................................................................22 Increasing Revenue...................................................................23

INDUSTRY REPORTERS

Grantlee Kieza

DESIGN & PRODUCTION

Richard McGill

ADVERTISING Stewart Shimmin advertising@accomnews.com.au SUBSCRIPTIONS Gavin Bill subscriptions@accomnews.com.au CONTRIBUTORS Trevor Rawnsley, Ben Ashworth, Kristi Kinast, Michelle Scott, Jonathan Hanaghan, John Mahoney, Andrew Morgan, Mike Phipps, Lynda Kypriadakis, Anna Jefferis, Arvo Elias, Kelley Rigby, Tanya Rose and Jordan Hayes.

Building Relationships.............................................................24 Hotel Website Design...............................................................25

TOURISM Tourism Report............................................................................26 The Last Resort........................................................................... 27

EDITOR Mandy Clarke editor@accomnews.com.au

EVENTS & APPOINTMENTS Events..............................................................................................28

PROPERTY

AccomProperties Sales Report............................................30 AccomProperties - New Managers.....................................30 Sunshine Coast Management Rights Spotlight............33 Sunshine Coast MLR market update.................................48

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

PROFILES Lanai Riverside Apartments..................................................50

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

33 ResortNews | November 2021

At last, fully vaccinated Australians no longer require exemptions to leave the country. It is the best news and not just because Aussies want to book their Bali holiday, but because they want to reunite with loved ones, whether it’s for births, Four Weddings and a Funeral, or just to visit family.

Born to be wild... we got out on the highway!

Apologies for all the Richard Curtis movie references but it is almost the silly season. For all my fellow Australians who have family living overseas, this is the best Christmas present we could receive. Like me, many others working in the management rights industry have children, parents, close family, and friends that reside overseas. For us it has been two years of torture without the option of a visit, or to have the reassurance of

Mandy Clarke, Editor editor@accomnews.com.au

being able to jump on an aeroplane to get to them in an emergency. This has been an added worry on top of everything else that this COVID period has thrown at us. Some of us may have even lost loved ones overseas and we haven’t been able to say proper goodbyes. Personally, having missed two weddings and a funeral, I can’t wait to be able

to throw my arms around my loved ones for an extra cheesy Love Actually moment. Brisbane Airport are you ready for this? We are reminded that vaccination is the most effective way to protect against COVID-19, and the only way we will get back to some sort of normality. Therefore, I want to say a big thank you to all of our readers who got their COVID-19 vaccine. In other news, last month myself and himself took off for a cheeky little visit to Cairns and Port

Douglas in TNQ and we enjoyed a delightful five nights of rest, relaxation and road trips, plus a touch of golf. A big shout out to all the TNQ operators and managers in FNQ. I ask myself, why would any Aussie seek an overseas beach holiday when we have such a divine tropical region on our doorstep. Go discover FNQ and support the sector.

EDITOR'S NOTE

Freedom: Preparing for ‘Love Actually’ moments

In this issue of Resort News, Grantlee’s special report is a real cracker. In it he examines all aspects of the Sunshine Coast’s management rights industry and it seems to be coming up roses. We also have an interview with Kristine Lehmann, who talks candidly about her life, loves and career. I hope you enjoy this edition of Resort News and remember, to please get in touch. Cheers, Mandy

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ARAMA REPORT

Advocacy and representation: Team ARAMA We are all familiar with the saying there is no ‘I’ in team, and ARAMA is no different. When we talk about ‘Team ARAMA’, we are referring to our members, industry stakeholders, industry partnerships and all those blowing the ARAMA horn, so the world knows who we are and what we do. It is important to not just be focusing on legislative reform or webinars discussing widgets. It’s also about representing the best parts of the management rights industry to either the visitor economy, industry, tourism and residential tenants. Roughly half of the ARAMA members are involved in tourism

are talking about it. We are there to promote management rights as a viable path subset of the visitor accommodation, so through our presence on the Queensland Tourism Industry Council for example we can make other stakeholders well aware of the importance of short-term letting in strata title apartments and holiday letting. Trevor Rawnsley, CEO, ARAMA

and the other half in residential tenancy, so what is important is that over a decade ago ARAMA joined every organisation we could whether it be council or on the board or a committee so we could actively advocate for our members. ARAMA want to ensure that management rights are cast into the spotlight and people

ARAMA wants to get the language right in tourism. It is very important that education is provided and whilst there are many holiday complexes that operate like hotels, it is still an apartment hotel. They don’t have rooms; they have serviced apartments or self-contained accommodation. One of our life members Dave Ruxton who recently passed once told us a story from back in the 1980’s when he ventured over to Singapore to participate in some travel exchanges to promote management rights before it even had a name. He did this over the course of three years, however unsuccessfully received no bookings from his efforts. Dave couldn’t understand why Singaporeans wouldn’t be excited about visiting the Gold Coast and staying in a spacious apartment. The feedback provided to Dave was that they love condos because they have space, kitchens and laundries and naturally Dave’s response was “yeah apartments have all that. Apartments have laundries, kitchens, dining rooms, balconies, barbecues, they are exactly like a condo."

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

For membership enquiries:

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

Naturally after this revelation was made, he went back to Singapore and started selling apartments as condos and the bookings flooded in. So, the moral of Dave’s experience is that we want to get the language right. When we are talking about tourism, we are not just talking about hotels, motels, caravan parks. We are also talking about management rights and serviced apartments. Being asked to be a judge in the Queensland Tourism Awards over the last three years is a great honour. INDUSTRY

As part of my role, I conducted virtual visits through the outback where there are currently no ARAMA members and no serviced apartment buildings. Having done this before and conducting site visits the conversation inevitably turns to ‘what do I do’? This is another opportunity to explain on behalf of team ARAMA what we do and promote the business of management rights. Some may be aware of what that is, and some may not. Why is this important for ARAMA members? Well, the answer is simple. The more opportunities the industry has to put forward the more positive aspects of our business, then that helps to balance some of the negative stories which are often exaggerated. We have been criticised, the industry has been criticised, so by being present, which is what Queensland Tourism Awards are about, it continues to push forward the positive aspects of management rights in the conversation as a viable and valuable part of the tourism visitor economy. ARAMA is thought of highly enough to be a part of the conversation among a variety of committees, government bodies and industry representative groups. There is no one else other than ARAMA that can positively promote the entire management rights industry as a viable and sustainable business model which provides value for money for community title schemes, to our members and their business. If ARAMA wasn’t in these rooms, management rights would no longer have a positive voice and inevitably no longer have collective value. Team ARAMA will continue to fly the flag for management rights, create and accept all opportunities to advocate for our industry ensuring we are a part of the conversation and part of the solution no matter what the problem may be. Thank you to all our valued members and industry stakeholders. It would not be ARAMA without you. ResortNews | November 2021

About a year ago, some operators of short-term rental accommodation (STRA) in New South Wales started hearing a strange noise in the air and naturally assumed it was the sound of the sky falling. As the months passed, more and more operators started to hear the same noises and the growing consensus was indeed that the sky was falling. As of November 1, 2021, the sky fell. Or did it? A new regime of laws that deal with STRA have been progressively coming into effect in NSW over the last 12 months, with the last piece falling into place on November 1. At first glance, the latest batch of these new laws specifically targeting the use of dwellings for shortterm accommodation, appear to affect every person who lets out a house, apartment or room on a short-term basis. Under the new laws, established STRA operators understandably are focussing a lot of attention on the fact that if your dwelling is not registered and doesn’t have certain physical attributes or safety features, the dwelling cannot be used for STRA. However, people who previously didn’t live next to a house, or in a complex, that provided STRA, are now more concerned by the fact that under the new laws, any residence could potentially start offering STRA if the owner ticks all the boxes. Although the new STRA laws are primarily intended to regulate Airbnb style accommodation and other similar practices, the language used in the laws can be quite confusing and appear to make the scope of the laws reach well beyond the average Airbnb host. This has led many organisations that deal with STRA (such as online booking agencies) to require all STRA operators ResortNews | November 2021

New STRA laws are primarily intended to regulate Airbnb style accommodation and other similar practices, the language used in the laws can be quite confusing Ben Ashworth, Small Myers Hughes

to jump a number of hurdles if they wish to continue using their services after November 1, 2021. This would be an appropriate response if the new STRA laws applied to all short-term accommodation. However, not all STRA operators need to take any action as a consequence of the new STRA laws, as the laws simply don’t apply to every operator. So, who do the laws apply to? The new STRA laws apply to residential buildings that have not been specifically approved by the local council to be used as tourist or visitor accommodation. Instead of stressing about whether you are offering hosted or non-hosted accommodation, whether you have the right kind of door locks or fire alarms, or if your building is Class 1a or Class 2, the first question you should answer is: “What does the Development Approval for my complex say?” Your Development Approval is one or

more documents that have been issued by your local council which states how your building may be used, provided the building is constructed in accordance with the council’s requirements. As stated in the STRA ‘Frequently Asked Questions’ document dated September 2021, issued by the NSW Department of Planning, Industry and Environment: “Approved tourist and visitor accommodation such as serviced apartments, bed and breakfasts, eco-tourist facilities, hotels, motels, resorts, camping grounds or caravan parks are not required to register for STRA. “They are allowed to continue to be listed on online accommodation platforms.” If the development approval that applies to your building confirms that your building is allowed to be used as tourist and visitor accommodation (or some subclass of that use) it means that the new STRA laws do not apply to you at all. It also means that if you (or anyone else) are

STATE REPORT

New disclosure requirements for NSW sales

operating STRA in the building, the sky is not falling after all. However, if the STRA laws do apply to your complex, the units you rent will need to meet new safety standards and be registered. You, and all other participants in the short-term accommodation arrangement, will need to comply with the STRA Code of Conduct (this includes the letting agent, the online booking agent, the owner of the unit and the guest). Plus, there may be a limit on the maximum number of days the unit can be let each year set by your local Council (generally between 180 to 365 days a year). Be sure to get legal advice if you are unsure how to interpret your development approval documents, or if you simply can’t find them. And like most laws, be aware that there are exceptions to the exceptions that might apply in your personal circumstances. Disclaimer – This article is provided for information purposes only and should not be regarded as legal advice.

Photo by Andrea Davis on Unsplash

INDUSTRY

SCA REPORT

Community titles legislation working group:

A once in a generation chance at reform

SCA (Qld) continues to be very active in pursuing a strong advocacy agenda to ensure that the strata sector has its voice heard. As a result of a strong SCA (Qld) advocacy campaign in the lead up to the last state election, the Queensland Government committed to a Community Titles Legislation Working Group in order to progress ideas for reform of the Body Corporate and Community Management Act (BCCMA) 1997 in its next term of government. This working group has been tasked with a holistic and sweeping review of the entire BCCMA, with a view to ensuring a modern, fit for purpose regime that balances all of the competing interests in the strata sector. At the time of its creation the BCCMA was world leading legislation which was designed to facilitate the growth of strata titled properties to ensure the easy housing of new migrants to the State of Queensland. 25 years on and there has been relatively little change to this legislation, despite vast changes to our cities, our other laws, our values and our preferences for living. Strata is no longer seen as a cheaper alternative to detached housing, but rather

SCA (Qld) will push hard to ensure that a high-quality set of reforms are what ultimately makes it into law. Kristi Kinast, President, SCA (QLD)

a preferred choice for many. This means the BCCMA which governs strata must reflect the desires and lifestyles of a rapidly growing proportion of our population, that already stands at approximately one in five Queenslanders. We are pleased to have created the opportunity to be involved in the reform process and are committed to driving the government to not only take action but take the most appropriate options for reform for the benefit of the entire strata sector. SCA (Qld) is committed to reform of the entire BCCMA, to make strata living more flexible, autonomous and desirable into the rest of the 21st Century. We will use this opportunity to ensure we have a strata sector that is attractive to owners, investors, professionals and businesses.

QLD - NSW - VIC - WA

These reforms will shape the strata sector and the millions of Queenslanders affected by its myriad of regulations and legislation immediately, but more importantly for decades to come. Given the growth of strata, as well as changing demographics and expectations for housing, the BCCMA must be changed sooner rather than later to ensure that the autonomy of people in their own homes isn’t undermined by excessive regulation. Despite the change in the way people live, there is no reason that this generation or the next generation of Queenslanders will want any less freedom in how they live. The Working Group is to be an all-encompassing review of how bodies corporate are governed in Queensland. During the Parliamentary Estimates process, the Attorney General noted that she was hoping to proceed with a bill as early as next year. We are pleased with this aspiration from the Attorney and hope that she is able to follow through on this commitment. SCA (Qld) will push hard to ensure that a high-quality set of reforms are what ultimately makes it into law. SCA (Qld) has been continuously engaging and informing government throughout the process by seeking feedback from its members to ultimately create submissions with the best possible consultation. Topics are varied and include changes to by-laws, management rights, bullying and harassment in schemes. We are particularly

INDUSTRY

committed also to important consumer protection reforms including licensing of Body Corporate Managers and ensuring there is an appropriate and fair framework for management rights. This whole of sector review will be incredibly important to shaping the future of the industry. The broad nature of areas proposed to be reformed means this can be a transformative moment for the industry. As a collaborative, consumer focused body, from the outset of this process SCA (Qld) has been working closely with other affected stakeholders to ensure industry consensus including ARAMA, the REIQ, ACSL, the UOAQ and the Cancer Council. All of the affected parties within the industry are members of the Working Group. We appreciate how wide the Government has cast the net and believe this will deliver fair and equitable outcomes for all stakeholders. SCA (Qld) will work tirelessly to ensure that the outcomes of the Working Group will include more community control over by-laws, communities with more power to enforce those by-laws, licensing for body corporate managers and appropriate consumer protection for service providers. The reformed sector at the end of this process will be one which represents the goals and aims of SCA(Qld) and is significantly more professional and contemporary than present. ResortNews | November 2021

BCCM REPORT

Getting to know your Community Management Statement All community titles schemes located in Queensland are created by registering a Community Management Statement (CMS) with Titles Queensland, formerly the Queensland Land Titles Registry. If you want to know the rules for living in your body corporate (by-laws), who pays what towards the running and maintenance of your scheme, or if use of any common property is allocated to individual lots, you may want to get yourself a copy.

Community Management Statement The CMS is a document that establishes a body corporate once it is registered with Titles Queensland, along with a survey plan identifying the scheme land. The CMS document contains a number of parts and five schedules containing invaluable information that, when taken together with the Body Corporate and Community Management Act 1997 (the Act) and regulations,

(Schedule C), certain other details such as architectural codes (Schedule D), and a description of lots that have been allocated exclusive use areas of common property (Schedule E).

What is in the CMS schedules? Lot entitlements (Schedule A) Michelle Scott Commissioner, Body Corporate & Community Management

provide for the operation and management of a scheme. By referring to the CMS, those living, working and investing in community titles schemes can avoid conflict and help the body corporate run smoothly. Importantly, the registered CMS must include, amongst other things: the identifying name for the scheme, its unique identifying number, the lot on plan, title reference from the scheme, the regulation module that applies to the scheme and a schedule of lot entitlements for the scheme (Schedule A), explanation of the development of the scheme land (Schedule B), scheme by-laws

You may find referring to Schedule A of the CMS, which sets out the lot entitlements for each lot, especially helpful when deciding to buy a property in a community titles scheme. It will inform you about matters such as the proportion you will contribute towards the running costs of the body corporate and your share of voting rights, in some situations, and the value of your lot for rates and other government charges, compared with other lot owners. Each owner needs to pay their share. The schedule of lot entitlements is first set by the developer and comprises two parts: a ‘contribution schedule’ and an ‘interest schedule’. Each owner needs to pay their share of expenses, such as maintenance and body corporate manager

fees, in accordance with their contribution schedule lot entitlements as well as the value of your vote in some types of body corporate decisions. Interest schedule lot entitlements on the other hand, will help you work out your share of the common property and body corporate assets if the scheme were to end. In some cases, the interest schedule of lot entitlements is also used to determine your share of the insurance levies and council rates. Explanation of development of scheme land (Schedule B) A developer may plan to develop the scheme in stages. If this is the case, Schedule B of the CMS will contain concept drawings and other information to assist you to understand the future development proposed. As new lots are developed, although the grand total of lot entitlements remains the same, the costs will be shared between a greater number of lots. The committee may also approve the lodgement of a new CMS to reflect this progression of the development over time.

©slavun - stock.adobe.com

INDUSTRY

ResortNews | November 2021

Schedule B will also help you identify whether your body corporate is part of a layered scheme. An example of a layered scheme is where a number of bodies corporate are created and located inside the boundary of a larger scheme; therefore, sharing associated costs and certain benefits of facilities like additional parking, gyms and restaurants. By-laws (Schedule C) By-laws are the rules for living in a particular community titles scheme. They assist the body corporate to manage the overall appearance of the lots and common property and to provide those living in the scheme with peaceful use and enjoyment of their lot and common property. For example, a by-law may require owners to seek prior approval from the body corporate before bringing their pet onto the scheme land, or before installing an air conditioning unit to a common property wall. If a by-law is registered in the CMS it can be enforced by the body corporate.

Other details (Schedule D) Other details that may be included in Schedule D include easements relevant to the scheme. In a community titles scheme, an easement can exist in either a lot or common property, giving rights to enter or use another lot or common property. Additionally, a statutory easement may exist, automatically creating rights for the party that the easement benefits. In particular, a statutory easement may exist for accessing various elements such as common walls, a shared roof, wiring and guttering, or a building next to a boundary, where it is not possible to maintain the building without entering the adjacent lot or common property. Services location diagrams, such as electricity and the sewer, may also be included showing the location of these easements. Schedule D of a CMS includes any statutory easements for community titles schemes and, if for certain schemes registered under a standard format plan, other types of easements.

Other details that may be found in Schedule D include architectural codes and landscaping requirements. These requirements are in addition to the body corporate by-laws and may dictate the type of fencing, house size or colour scheme owners can have. Exclusive use by-laws (Schedule E) An exclusive use by-law is a specific type of by-law that, unlike the by-laws found in Schedule C that apply for the benefit of everyone in the scheme, apply only for the benefit of a particular lot. Often exclusive use by-laws will, for example, grant rights to use a particular common property car park to an owner or occupier. When exclusive use is granted over common property, details of this, and a plan showing the area involved, will be included in Schedule E.

Obtaining a copy of the CMS Information about how to obtain a copy of the latest

CMS for a community titles scheme is available by contacting Titles Queensland. Each time the body corporate decides in relation to certain matters such as scheme by-laws that will change the CMS, a new CMS must be lodged with Titles Queensland within three months. This ensures that the most up-to-date information is available to those that wish to purchase a copy. A CMS has no effect until it is registered with Titles Queensland. If you are considering buying a property in a community titles scheme, you may also consider conducting a search of body corporate records such as minutes of previous general meetings to confirm whether the copy of the CMS you have obtained from Titles Queensland is about to change. As the CMS provides information and answers to many bodies corporate questions, knowing in advance what is expected of you and the body corporate will make for better community living.

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ResortNews | November 2021

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INDUSTRY

PERSON OF INTEREST

Kristine’s

new life and soaring success

By Grantlee Kieza, Industry Reporter

This issue Grantlee Kieza talks candidly with Kristine Lehmann, the principal of Lehmann Rights about her astonishing journey, her life, loves and career. Some years ago Kristine, a leader in Queensland’s management rights industry, arrived in Australia with three young daughters in hand. Having unexpectedly lost her husband and the father of her children she was determined to create a good life for her family in a new country. With a world to choose from, it was the golden shores of the Gold Coast that won the young family over.

It must have been a huge change for you coming to Australia with your three daughters? We really had to start from scratch because when we came over to Australia from the Philippines, we didn't have anything and we didn’t know a soul on the Coast. I started working in real estate on the Gold Coast and put the girls through school. Because of their grades two of my daughters were able to get scholarships at Emmanuel College and now one of them is a doctor right here in Broadbeach – she is Dr Niki Lehmann. Her sisters, Rae and Drew, are engineers. I’m so proud of them all. They are, without a doubt, the best part of my life.

They should be proud of you, too, for what you have achieved. You came here under very tragic circumstances. Yes, after the loss of my husband we had to uproot ourselves. Fortunately, I moved to Australia and was hired by David Bonifant, who is an amazing man. He's had several companies and at that point he was the principal at the Professionals. David hired me as a real estate agent and I spent several years doing that. Initially I was involved in project marketing for high-end residential properties. That involved marketing conceptualisation and project direction as well as customer development and sales.

Kristine Lehmann

INDUSTRY

ResortNews | November 2021

We are all in this together. It is very important to be supportive especially when people are going through struggles You later moved to the RAAS group? Yes. Fast forward a few years and I started to work with David's good friend Rusty Lush, who along with Mike Butler was the head of RAAS and one of the originals involved in the management rights industry. David convinced Rusty that he had to have me in his stable of agents. It wasn't even something that I was looking for but the minute I joined RAAS it was a great fit and Rusty was an amazing boss.

When you were at school and university in the Philippines you studied hotel management? Yes, I did. I was always enthralled with the hotel industry from a very early age. We were always going to restaurants ResortNews | November 2021

and hotels when I was young and to me the accommodation industry made people's dreams come true. It helped bring fantasies to life. Admittedly I may have been a little naïve, but I wanted to be a part of the magic behind the scenes.

You went to university in Madrid in Spain as well? Yes, I studied hotel, motel and restaurant management in Spain. My family is part Spanish and learning the language was important to me. It turned out to be one of the best parts of my life. It was amazing. I went there with two other women from the Philippines, and we shared an apartment and now they are leaders in the community in the Philippines and still my best friends. My roomies.

You started your own real estate company in Manila? Yes. It helped me in business when I came to Australia. David Bonifant brought me in to start marketing internationally. He would represent the building and I would help sell it. I sold properties on Hedges Avenues, Varsity Lakes and Surfers Paradise. When they assigned a building to me, I would help create a marketing plan and invite agents, and then do individual sales as well. Through that I segued into management rights.

What prompted you to start your own business, Lehmann Rights, in 2016? I found an opportunity to strike out on my own. I like to

INDUSTRY

provide a very personal and thorough service for both the ‘mum and dad’ investors and for the big developers. It's exhilarating to construct a marketing plan that then creates the hype that brings in the first wave of buyers. When you put a good marketing plan into action, and you get a lot of offers it's very rewarding. I find the management rights industry extremely engaging because it appeals to many facets of my character. Using my creativity and marketing skills and my business acumen addresses every part of my personality. When I feel creative and artsy, I lean into the media part of the business from our brochures, ad campaigns and our videos. When I crave organisation, I spend time with my salesforce group and talk about systems and strategies. Then there’s the nail-biting excitement of a negotiation. And, at the end of it all, there’s nothing sweeter than seeing two parties come out of the process with a rewarding result. I also like to bring a personal touch to the business especially during the due diligence process.

I remind both my vendors and the buyers that signing the contract is just the beginning. When the vendor’s and buyer’s solicitors are the only means of communication during the due diligence process, a request or concern can sometimes come across as cold or even harsh. So, I insist on explaining issues to both parties. Shedding light on the reasons behind a request can make the difference between a crashed contract and a settled one. It's the same with accounting and valuations and all those steps in between. You really have to hold the ship together, to make sure it goes through to a settlement without too much rocking.

I've seen some of the interviews on your website and on YouTube with people such as Mike Phipps and Stephen West. They are very informative. I’ll keep them coming then! I do hope people enjoy them and learn something about management rights from them. The interviews are simply a ‘thank you’ to an industry that I'm really enthusiastic about. It’s my way of giving back to an industry that has been kind to me.

You guide a lot of people through the business? We are all in this together. It is very important to be supportive especially when people are going through struggles. For instance, one of my clients who had a beautiful complex went through a very challenging six months while her husband was sick, and then sadly, he died. The building’s

committee (understandably) wanted her to get things back on track at the complex, but it was straight after her loss, at a time when she was grieving. At this point she needed to close the books on that chapter of her life. I knew she needed more than just an “agent”. I had to come alongside her, be her ally and her friend through this tough period in her life. More importantly I had to bring the change and the result she needed. There's a lot of gratifying stuff in my job in terms of friendship and camaraderie and supporting people.

You are also heavily involved in the Women in Management Rights group. How did that come about? To me everyone needs allies, whether you're a man or a woman in the industry particularly if you're new. I like to help women who have just been thrust into the industry. In the first three months they sometimes call me crying, or pulling their hair out

and saying, “what have I done?” I may be exaggerating a little here – but you get what I mean. I say: “Remember it's just like driving a stick shift. Everything is going to be alien to you at first but within three to six months everything will come automatically, and you will be an old hand.” When they hear other women in the industry say exactly the same thing, they realise that they've made the right move.

Why did you see management rights as an attractive business? I do love real estate and the business of management rights fascinates me. Not many people know about the management rights industry. It’s quite niche. Then of course, selling off-theplan complexes is another niche within a niche. When it comes to investors, management rights is a no-brainer. The banks are backing it and an investor comes in knowing that the bank has picked the business apart before putting their money in. Therefore, you know that it is a safe bet.

INDUSTRY

When it comes to the developers’ side of it, I try to get in front of the new ones. Some developers are leaving money on the table by not putting together a management rights plan and selling that as well. Some seasoned developers need advice on new sources of income that can be added to their business projections. There are so many facets of the business within this industry that motivate me to keep growing.

What do you do when you're not working in management rights? My daughters are my life, but I also do a lot of paddling to relax. I have a surf ski and I live beside a creek, so I just throw my surf ski in, and I paddle out to the Broadwater. Other than my kids my other great love is my dog, Banner. She’s a “border doodle”. I need to reassess my Instagram skills, though, because most of my photos are of my dog. I’ll get on to that.

ResortNews | November 2021

The hidden forgotten tax With the festive season kicking off I thought I would discuss some of the fringe benefits tax implications for Christmas parties and staff gifts and review some of the common fringe benefits associated with the accommodation industry generally. If you provide certain benefits to your staff, or their associates, you may be up for fringe benefits tax (FBT). It is important to note that the benefit must be because of employment and not business ownership e.g., a benefit provided to a shareholder of a private company who is not and never has been an employee or officeholder does not constitute a benefit for fringe benefits tax purposes. This tax is separate to income tax and is based on a 'taxable value' of the benefits provided, which is calculated according to the categories the benefits fall into. The Tax Office has even given FBT its own tax year, from April 1 to March 31. The upside for your staff is that they do not then have to pay income tax on the value of the benefits and payment of the FBT is tax deductible to the employer.

Entertainment and gift fringe benefits This is common benefit provided for the typical work Christmas party usually by way of food, drink or recreation. Generally, the more elaborate the meal and the inclusion of alcohol the more likely the meal becomes entertainment. Also, where the food or drink is provided also effects the classification. Provision of the meals and drink off your business premises e.g., a restaurant is more likely to be entertainment and subject to fringe benefits tax. One major consideration is the “less than $300” minor ResortNews | November 2021

employee’s private use of a taxi, panel van or utility designed to carry less than one tonne, is exempt from FBT if its private use is limited to:

Jonathan Hanaghan

•

travel between home and work

•

incidental travel while performing employmentrelated travel

•

non-work-related use that is minor, infrequent, and irregular (for example, occasional use of the vehicle to remove domestic rubbish).

Director, Jonathan Grant Accountants

benefit exemption and the now recognised fact that the ATO will accept that different benefits provided (e.g., gift and Xmas party) at the same time are not added together when applying the threshold. Essentially this means that both the gift and Xmas party entertainment may be exempt from FBT even if provided at the same time, as long as each costs less than $300.

Car fringe benefits If you make a car you own or lease available for the private use of your employee, you may provide a car fringe benefit. For fringe benefits tax (FBT) purposes, a car is any of the following: •

a sedan or station wagon

•

any other goods-carrying vehicle with a carrying capacity of less than one tonne, for example a panel van or utility (including four-wheel drive vehicles)

•

The most important message to reduce any potential car FBT is to seek advice from your accountant to see whether it is worth while completing a logbook for at least 12 concurrent weeks. This will depend on the value of the car and the expected business use percentage.

Housing fringe benefits A housing fringe benefit may arise when you provide accommodation to your employee rent-free or at a reduced rent where that accommodation is their usual place of residence. A unit of accommodation includes any of the following: •

a house, flat or home unit

•

accommodation in a

any other passengercarrying vehicle designed to carry fewer than nine passengers.

hotel, motel, guesthouse, bunkhouse or other living quarters •

a caravan or mobile home

•

accommodation on a ship or other floating structure.

BY ALL ACCOUNTS

Fringe benefits tax:

This is a common benefit provided to managers within the accommodation industry and in particular to businesses that are operated through modern corporate partnerships. It is clear the ATO do not care that the accommodation may be attached to a busy office that is open 7 days a week with the managers being on call 24 hours a day. The ATO still have an opinion that a housing benefit is being provided. Generally speaking, the benefit will be calculated at 75 percent of the market rental for the dwelling in question. i.e., if a manager’s unit would ordinarily rent for $400 per week, then the annual benefit is calculated at $400 x 52 x 75 percent equals $15,600. This amount can be reduced by payments made to the employer by the employee or associate for use of the accommodation. In summary if you are providing any benefits to employees, it is important to seek advice from your accountant as the ATO are reviewing more of these arrangements every year and as the saying goes: “There is no such thing as a free lunch”.

QLD - NSW - VIC - WA

A car is taken to be available for the private use of an employee if the place of business and residence are the same i.e., standard management rights business. There are some circumstances where use of the car is exempt from FBT. For example, an MANAGEMENT

LEGAL EASE

Another attack repelled! In yet another attack on the management rights industry certain academics and lawyers with an anti-management rights agenda have been pushing a disingenuous theory that any management rights agreement can only ever be ‘topped up’ once. That of course is contrary to the long-established industry practice for managers to top-up the term of their management rights agreements every five years or so, and even more often in the case of agreements subject to the Standard Module's 10 term limitation. Once again, we find ourselves having to defend against an attack that seeks to cause

the theory and those who perpetuate it rely on a misconceived interpretation of a particular section of the Regulation Modules.

John Mahoney Partner, Mahoneys Gold Coast

confusion and disputation. Those who have latched onto the argument do not seem capable of accepting the will of the owners. After all, any top up can only ever happen if a majority of voters at a general meeting vote for it and if that is what the majority want, why not accept it? Those who came up with

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RELIEF MANAGEMENT

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The particular wording is: The body corporate may subsequently amend the engagement to include a right or option of extension or renewal (a subsequent right or option) only if… the subsequent right or option is for not longer than 5 years… The argument is that the right to include "a" right or option means that there can only ever be one such right or option, and no more. Part of their argument relies on reference in the previous sub-section of the Regulation which allows for multiple rights or options of extension or renewal in the initial agreement, in contrast to reference to ‘a’ right or option for top ups. However, in the context of statutory interpretation such contrast is inconsequential. It is a principle of statutory interpretation that the words of a statute ought to be given the meaning which the legislator intended them to have. This requires consideration of the actual wording and its context and purpose, not just the act and regulations but any extrinsic material. In considering the actual wording the Acts Interpretation Act 1954 provides that in any legislation there is a presumption (which may only be displaced by a contrary intention appearing in the legislation) that words in the singular include the plural and vice versa. The relevant section in the Regulation Modules cannot be interpreted as imposing a singular cap on the number of top-ups, as the substance and tenor of the legislation as a whole is not capable of displacing this presumption. It is reasonable to expect that if there was a legislative intention to cap the number of top-ups permitted, it would appear with

MANAGEMENT

reasonable clarity from the terms of the legislation itself. By way of example section 130 of the Act (which deals with the statutory review re the terms and remuneration of a management rights agreement) states: The contract may be reviewed under this division only once. If there was a legislative intention to impose a similar cap on ‘topups,’ then arguably a similarly phrased provision would have been included in the regulations. Further, the cap on ‘top-ups’ is inconsistent with the operation of those sections of the Modules which preclude top up motions from being included on the agenda of a general meeting more than once in any financial year. If a manager was only able to ‘top-up’ their management rights agreement once, then only one motion would ever be able to be considered. If that were the case, there would be no need for these provisions. The one only ‘top up’ concept cannot be reconciled with the purposive and extrinsic material related to the BCCM Act and Regulation Modules. Explanatory notes to the 2003 amendments include these words: However, at any time, the body corporate may grant an extension of the term of the agreement, up to a maximum equivalent to the term limitation. Explanatory notes to the 2020 Module changes are also consistent with the concept of multiple ‘top ups’. Whilst the issue has not yet been tested by the Queensland courts and tribunals, comments by adjudicators have recognised without question current industry practice. Whilst I cannot envisage a court or tribunal would accept the argument that there can only ever be one ‘top up’, I genuinely hope that a hostile body corporate does not seek to challenge a ‘top up’ on the basis of the argument and put the manager to the trauma and expense of having to fend off what I am confident would be a futile and unsuccessful attack. ResortNews | November 2021

The ups and downs of motel partnerships Why do investors get together to form an ownership structure such as a partnership? Why do they not just go out and do it themselves? The pooling of resources is one answer to these questions, being one of the main benefits of the partnership arrangement. These resources referred to are not limited to the obvious financial contribution, but include the experience, personality, and skills that each person brings to the table. Operating and managing a motel successfully requires a wide range of skills, not just being limited to one. Hence why it is difficult to find such a person. Bringing together people who offer good organisational skills, people management, bookkeeping, people skills, bubbly personality, and the list goes on, can be made a lot easier utilising a partnership arrangement. Procrastination and fear are two of the biggest issues that stop anyone from moving forward or getting out of their comfort zone. However, joining forces with others can help to alleviate this procrastination and fear and allow one to progress forward when they may have stayed sitting on the sidelines. The comfort in having someone take that leap of faith with you can be just that bit of additional confidence needed. This goes for anything whether it’s buying a business, residential investment or even deciding to join a gym with a friend. Over the years I can recall many current and previous motel operations that have been operated under a partnership arrangement. Each has had different methods and formulas of operation, and each has had ResortNews | November 2021

MOTEL MARKET

Joining forces:

Many operators of motels can fall into the trap of burning themselves out rapidly by trying to do everything Andrew Morgan, Queensland Tourism and Hospitality Brokers

its own issues and benefits. In the greater majority they have worked well for the purpose of the owners and allowed each owner various benefits that they may not have been able to enjoy as a single operator. A partnership operation in any business is not everyone’s cup of tea. Many do not want to work with others and many simply cannot work with others. Two couples for example who know each other and are comfortable with each other from a trust, friendship or dare I say it, family position is in the main those utilising this type of operation. That is not to say experienced moteliers are not interested, they are, and are often the instigators of getting non experienced moteliers into the industry. The confidence in the accommodation industry that they project provides that confidence for others to get involved. Some believe that the motel industry is ideally suited to a joint management arrangement. Many operators of motels can fall into the trap of burning themselves out rapidly by trying to do everything. In a business such as a motel, burnout can occur rapidly unless more workable methods of operation are initiated to avoid this situation.

An alternative to putting on extra staff to alleviate everyday time constraints and pressures is the partnership arrangement. An example is each couple work a month on and month off or longer depending on what suits both couples. This leads us to the main concern some have of entering a partnership, and that is how well both couples can get on together and make joint decisions that both will be happy with and will be in the best interests of their business. Trust and communication will make or break a partnership in any business. Also not working together on site at the same time would seem like common sense. It would be assumed that if two couples know and trust each other then they are probably going to be like-minded people, and this would be a big key to the success of the partnership, similar values, beliefs, and work ethics. There are many benefits to those with a partnership arrangement. Some of these include: •

•

Alleviating possible early burnout – owners working longer hours without getting away for a break can be avoided, with for example a month on month off type operation The residence provides accommodation for both couples as they move in and out for their shift

MANAGEMENT

•

Only working half of the year, means there is more time to travel and enjoy life with flexibility

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Doubling the level of finance that is available allows the purchase of a larger motel business and higher standard of property to be acquired

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Having another party or couple to enjoy the experience with, spread the risk and to share the highs and lows

One must also consider where these types of arrangements could go wrong, thereby helping make an informed decision before diving in: •

The more people involved increases the risk for arguments which is a potential problem in any business

•

Different methods/standards of operation, one couple might finish their month on and then leave the business in a poor state, financially or cleanliness wise

•

Working too closely together, sometimes partners working together might create friction

Having a structured partnership agreement in place to prepare for any future issues you may not see coming can be a good place to start.

THINKING MR

We’ve got a contract… Now what? “Now is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning,” Winston Churchill 1942. Churchill is of course famous for many an inspirational quote made all the more magnificent by virtue of the circumstances in which he found himself. I suspect somewhat more uplifting and motivating than the dross found on social media these days. Imagine addressing a population facing the existential threat that emerged in Europe in the late thirties and imploring the population to be the best they can be and to speak their own truth. Gimme a break!

Most important of all, choose the right agent. I’ve met them all over the years and some hold the deal together better than others

Mike Phipps, Director, Mike Phipps Finance

Financial due diligence and verification The buyer’s accountant will be instructed to prepare a verification of net profit report.

The process is highly detailed and relies on vendors and their advisors being organised and ready for the information request that will surely come. I think it makes sense for vendors to find

But, as always, I digress. Much has been written about selling accommodation businesses and it occurs to me that parties to transactions sometimes feel that the signing of the contract is, in fact, the end. If I put myself in a vendor’s shoes, I can appreciate how this mind set comes about. The decision to sell is not an easy one and the emotional roller coaster that follows can be pretty stressful. It’s totally understandable that once contracts are afoot a vendor might think that the worst is over, so to speak.

out who’s doing the verification as soon as an offer is accepted and request a copy of that firm’s information checklist. It should come as no surprise that the buyer’s accountant will want complete and unfettered access to accounting software, copies of agreements and relevant leases and in the case of management rights, up to date letting appointments. If you derive income from any activity outside industry norms, be ready to justify that income and have relevant documentation to hand.

Of course, as Winston knew, there’s still a bit of water to go under the bridge before matters are successfully concluded. I would encourage vendors to remain “present” throughout the process and with a little bit of pre-planning the bumps in the road can be successfully navigated.

The buyer’s accountant will also want to build a picture of the business, particularly if it’s a management rights. To this end vendors should be ready with copies of the last AGM minutes, the CTS/CMS, sample owner statements and a copy of the BC budget. If there’s been a recent review of the BC salary details will be required. The verifying accountant will be keenly interested in the composition of the letting pool and any trends insofar as pool numbers go. A clear and concise understanding of the dynamics in the building will go a long way to painting a positive picture, particularly if letting pool numbers are down.

The sale will swing on three important outcomes. Each can throw up “surprises” which can be emotionally taxing for vendors and challenging for their advisors. Let’s take a closer look.

Critical to the process will be the buyer’s accountant’s review of operating costs, particularly labour expenses. Vendors should be ready to justify in detail any inconsistencies between the P MANAGEMENT

ResortNews | November 2021

and L for sale purposes and the actual costs incurred in running the business. In our experience labour costs tend to be the most contentious area. If a vendor ends up in negotiations over a difference in verified net profit, I’d be prepared to bet it will boil down to labour cost allowances. There’s always a ‘story’ about labour costs and some are less than compelling. Be ready!

Legal due diligence A lawyer friend of mine has a great saying… you can fix most documentation errors, but you can’t fix dodgy numbers. He’s right. That’s why most prudent practitioners will not start the legal due diligence process in earnest until the outcome of financial verification is reasonably clear. Unlike analysis of financial performance, which can be open to interpretation, a legal document or compliance to process is generally either right or wrong. There are of course areas of legal ambiguity but it’s very unusual for a transaction to fail as a result. The buyer’s lawyer will, for the most part, rely on the outcomes of searches and information provided by the vendor’s lawyer. Key to the legal due diligence process is to establish that what is being sold is as presented and that contracts pertaining to the business are enforceable and reside with the seller. Establishing the chain of ownership since the business started is key to the process as is confirmation that any amendments to contracts or leases have been legally brought about. In particular, deeds of assignment and variation must be appropriately entered into to ensure security of tenure for the buyer. The occasional challenge that arises from the due diligence process is the discovery of a documentation or process error which requires attention prior to settlement. On the one hand most vendors would want their paperwork to be squeaky clean. On the other hand, many will be less than enthusiastic about alerting a landlord or body corporate to a potentially fatal flaw. In these circumstances all those years of building positive relationships with the BC pays back in spades. Either that or convince the buyer to have the problem fixed post settlement. Good luck with that! ResortNews | November 2021

Finance

accountants who pick up the phone and discuss potential issues with the other side. By all means send the billable hours confirming email but talk first. Most important of all, choose the right agent. I’ve met them all over the years and some hold the deal together better than

Here’s where the rubber hits the road. While buyers can use all manner of spurious excuses to wriggle out of a contract on financial and legal due diligence grounds, once finance is approved and confirmed with the other side the deal is unconditional and there’s no escape. Given that we pre-qualify buyers, finance approval should be a given, and in most cases, it is, albeit at glacial pace. It’s the glacier that vendors need to be aware of. Nothing spooks a seller more than a finance extension request. Regrettably very few such requests come with an explanation and some context. I’m a big fan of the buyer explaining why the extension is required and giving the vendor enough information to make an informed decision. With our client’s permission we will always brief their lawyers and provide enough information to put the vendors mind at ease.

others. The ability to juggle the competing interests of vendors and buyers is not a skill to be taken lightly. The really great agents know that the real work starts once the contracts are signed. I’ll close with Winston again… “If you’re going through hell, keep going”.

The Management Rights Lawyers BUYING/SELLING ASSISTANCE

OFF THE PLAN IMPLEMENTATION

RENEWAL STRATEGY

Some vendors do not take finance extension requests well albeit when faced with the prospect of jumping off the roller coaster so close to the end, more often than not cool heads prevail.

DISPUTE RESOLUTION

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www.mahoneys.com.au

In summary being a highly organised and patient vendor is the key. I’m also a huge believer in using lawyers and MANAGEMENT

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GOOD GOVERNANCE

Caretaker’s guide to replying to a remedial action notice So, your body corporate has issued you with a Directions Notice or Remedial Action Notice and now require you to do some things.

failure to manage regulatory compliance requirements? The first step is to understand what class of building you have. Management rights fall generally into two typical classes of buildings:

How do you reply? First and foremost, you absolutely must get legal advice, and fast! Don’t wait a moment. Just pick up the phone and engage your lawyer immediately because you will need their support and advice. It will be the best money you spend on investing in the future success of your management rights. But what action can you take immediately to resolve the breaches alleged against you?

Regulatory compliance breaches

DIRECT BOOKINGS

Breaches of regulatory compliance can become a breach of the caretaking agreement in circumstances where the caretaking services provider has

Lynda Kypriadakis, Diverse FMX

failed to coordinate and arrange specialist contractors to deliver the mandatory maintenance requirements of the essential services, safety installations and structural infrastructure within the common property. Failure to coordinate and arrange these actions - and process the associated records and certificates - may be seen as a failure to deliver your duties and a breach of contract. So, what sort of things should the caretaker be doing to satisfy a breach notice referring to

Class 1a and 10. Class 1a buildings include schemes with townhouses, duplexes, triplexes and quadruplexes that are no more than two stories in height. Class 10 buildings are ancillary structures like garages, sheds, shade shelters, and gazebos Class 2 and 7a. Class 2 buildings are apartment complexes over 2 stories in height. Class 7a structures include the basement carpark area.

Different classes of buildings contain different essential services infrastructure, so it is important that you know which class of building you are caretaking. For example, a

Class 1a townhouse is unlikely to have a lift installed. Once you understand your building’s class(es) you can then prepare a Regulatory Compliance Schedule and get about the business of becoming compliant. To make it easy for caretakers and committees, a Regulatory Compliance Schedule for all classes of buildings is available in the ABMA Building Management Code, see Chapter 24 “Regulatory compliance via self-assessment”.

Cleaning compliance breaches Probably the top complaints by bodies corporate are about gardening and cleaning, the latter now more than ever with the COVID and associated hygiene concerns. Cleaning is especially difficult to measure due to the generally subjective approach of those that scrutinise cleaning standards. Unless the cleaning standards have been audited against

The benefits of driving direct bookings through personalised booking engines By Anna Jefferis, HiRUM Software Solutions

The accommodation industry is an everevolving landscape, with new technologies and updated software consistently being released into the market. For years, hoteliers have relied on OTAs to secure the majority of their bookings. Whilst there is no denying that OTAs are an essential part of the accommodation industry, it has never been more important than right now to stand out

from your competitors and position yourself at the forefront of consumers’ minds - whilst finding ways to reduce expenses. OTAs provide a wider audience reach and help an independent property be seen by consumers all over the world. However, hoteliers are realising the financial benefits of driving direct bookings through their personalised booking engines. Direct bookings are becoming that favourable, that a recent study by Phocuswright predicted that by 2022 bookings would be shared evenly between OTAs and direct booking engines. Without an effective booking engine, you

won't receive your predicted share of direct bookings and your share of overall bookings will be heavily reduced. If this prediction rings true and you don't have a booking engine, your bottom line will suffer. To keep up with the everchanging landscape of the accommodation industry, your property must have a booking engine. A booking engine should showcase your property’s brand and quality, whilst being easy and efficient to use. A key feature the booking engine should include is, Google Map, it’s perfect for multi and single properties, providing potential guests with your exact

MANAGEMENT

location. By implementing a high functioning booking engine into your property, you are not only reducing costs on commission fees, but gaining the data, trust, and loyalty from your guests. Unfortunately, it is not as simple as just offering the option of direct booking to guests. Guests want to know this is the best way for them to book. The way to prove this to your potential guest is by using a rate comparison tool. The rate comparison tool showcases your rate as the best in market which will appear when a customer searches for availability on your booking engine. ResortNews | November 2021

a measurable standard, it is unlikely that two separate parties will come up with the same view on cleaning outcomes. Exciting news is soon to be released that Standards Australia are likely to produce an Australian Standard around cleaning (currently in discussions), but until that process is completed, the only objective standard for measuring cleaning standards in residential strata complexes is documented in the ABMA Building Management Code - Chapter 12 “Soft Services – Cleaning and waste disposal”. The ABMA is contributing to the working group that are currently developing the Australian Standard for cleaning, so once that Australia Standard is produced, the ABMA Building Management Code will align with it. Table 12B (internal zones) and 12C (external zones) detailed within the ABMA Building Management Code provide an easy-to-use table of cleaning standards compliance levels. Each cleaning area has specifics about what the objective standard of cleaning should be to be deemed acceptable. The Tables detail acceptable levels upon completion of the cleaning service, as well as what would be an acceptable level of ‘dirty’ in-between services. The

The inbuilt tool will then read the rates from the popular OTAs your property is listed on and display those rates in real-time next to your rate. This tool optimises your own-channel conversion, and by offering slightly cheaper rates guests can see the benefits of booking directly. This deceptively simple tool can be what turns a ‘looker into a booker’ as it gives your brand transparency and reassures customers that they are getting the best deal. You now understand why a booking engine is important, but HOW can you drive customers to book direct? For this to be considered by guests, a good website with decent photography is essential. Your website is your chance to show off the best parts of the property and paint a picture to customers about their stay. Investing in your own website can increase ResortNews | November 2021

Tables also detail what would not be considered acceptable. When responding to your Remedial Action Notice, don’t forget to consult the ABMA Building Management Code for details on what the acceptable cleaning standards are. If you believe your body corporate are holding you to a different standard, chat to your lawyer who can assist you with your reply to the RAN. It is important that your cleaning is being assessed against a reasonable, measurable, justifiable, and objective cleaning standard, opposed to an individual’s extreme view of what “clean” should be.

Gardening compliance breaches Glorious gardens are held in high esteem by property owners in Australia and as such, bodies corporate tend to hold their caretaking services providers to this high standard. As a caretaker you are considered a professional building manager and delivery of your duties should reflect this, especially the gardening! Consider a municipal parkland such as Southbank in the heart of Brisbane if you want to visualise the outcome of a professional gardening service. Does your complex garden look as lush and healthy and well-maintained as the Southbank Parklands? If not, perhaps you need assistance

with developing your skills and a garden management plan.

for the body corporate prior to the expiration date of the RAN.

Specialist contractor exemption

Checklist for responding to a Remedial Action Notice

Some breaches in your RAN may mistakenly complain that you have not done tasks that fall to the specialist contractor’s exemption within your agreement.

•

Get legal advice urgently you especially need to know the date of expiration of the remediation period so you can work toward resolving the alleged breaches in time

•

Consult the ABMA Building Management Code for objective measurable standards around cleaning and gardening so you know what standard to do the works to

•

Consult the ABMA Building Management Code for details on what would be deemed to be minor works for the caretaker to deliver as a duty under the agreement

Consult Chapter 16 “Minor works” of the ABMA Building Management Code for a comprehensive list of what would be deemed to be unskilled work for the caretaker to do as a minor works duty under the agreement.

•

Get (at least two conforming) quotes for the works you believe to fall to the specialist contractor’s exemption and submit to the committee prior to expiration of the RAN.

Where the caretaker believes the works fall to the specialist contractor exemption, in order to remedy the alleged breach, the caretaker will need to get the two-specialist contractor quotes over to the committee

For further information on gaining assistance in responding to a remedial action notice, please first contact your lawyer, then review your ABMA Building Management Code, and if still stuck, contact us.

Common breaches that are not actually the caretaker’s duty to perform include: pressure cleaning, inaccessible cleaning or pruning, dealing with builder’s defects under the builder’s warranty and things that would not be considered “minor works” or “unskilled works” under the agreement. So how do you objectively determine whether a minor works task is unskilled work for the caretaker to do, or specialist works for a skilled contractor to quote?

organic traffic and ensure that your property is easily found by guests searching in that area. Search Engine Optimising can be utilized to ensure your website will appear for the most relevant, commonly searched, and valuable search terms. Did you know that people often leave a web page within 10-20 seconds unless their attention has been captured by clean, fresh, and accurate images? A good website with decent photography might seem like an expensive upfront cost, but it will help secure bookings and last for years. If you have been relying on the OTAs to secure your bookings, it is time to think about investing in your own booking engine. Own your guest's data, minimise costly commissions, and put your property into the consumer's search bar. MANAGEMENT

INTONET

A millionaire anyone? “Clothes don’t maketh the man”: an aphorism by the master Mark Twain which I do quarrel with. They certainly do not change the substance but do change his appearance and appearance is more than half the battle in winning sales. Particularly so on the web. And therein lies the rub as Shakespeare once said! Don’t panic dear friends, this is not an article on English literature but a lead to what I have mentioned before but which seems to have been neglected with serious consequences. The pandemic has had me shopping online more than ever, I am sure most of you have also been doing the same. And to be blunt, I have been horrified by the websites I have seen using my mobile devices. One thing we must not forget is that the global world is highly mobile with phones obviously predominating. If you had any doubt let me paraphrase what Statista says.

Today, mobile internet traffic accounts for more than 55 percent of total web traffic Arvo Elias, Cybercons

many people using more than one smartphone, the actual number of smartphone subscriptions is much higher. As of 2021, smartphone users are using an estimated 6.4 billion smartphone subscriptions, a figure that is expected to climb to 7.5 billion by 2026. Global smartphone penetration rate is estimated to have reached 78.05 percent in 2020. This is based on an estimated

6.055 billion smartphone subscriptions worldwide and a global population of 7.8 billion. Mobile devices have become a fixture of every-day life for millions of people. Across the globe, web-enabled devices such as smartphones and tablets have evolved into essential tools for communication, information, and entertainment alike. In 2020, the number of unique

If you need more convincing: In 2025, consumers are projected to spend 85 billion U.S. dollars on mobile apps from the Google Play Store. Combined user spending in the App Store and Google Play is set to reach almost 270 billion U.S. dollars by 2025. Many of those are shopping apps targeting almost anything you care to name. Mobile retail commerce revenue worldwide from 2016 to 2021 is somewhat mind boggling. In 2017, global mobile retail revenue amounted to 1.36 billion U.S. dollars, and it is expected to reach 3.56 billion U.S. dollars in 2021.

The smartphone industry has been steadily developing and growing since then, both in market size, as well as in models and suppliers. Smartphone shipments worldwide are projected to add up to around 1.48 billion units in 2023.

Mobile ownership and internet usage are forecast to increase in the future, as mobile technologies are becoming more affordable and available than ever. This upward trend in mobile internet adoption is particularly visible in developing digital markets where mobile networks are the primary means of internet access. Today, mobile internet traffic accounts for more than 55 percent of total web traffic, while in mobile-first markets such as Asia and Africa, mobile connections account for an even large share of web-page views.

Smartphones, mobile phones with more advanced computing capabilities and connectivity than regular mobile phones, came onto the consumer market in the late 90s, but only gained mainstream popularity with the introduction of Apple’s iPhone in 2007. The iPhone revolutionized the industry by offering customer friendly features such as a touch screen interface and a virtual keyboard. The first smartphone running on Android was introduced to the consumer market in late 2008.

By the end of 2020, 46.45 percent of the world’s population owned a smartphone. With

mobile internet users stood at 4.28 billion, indicating that over 90 percent of the global internet population use a mobile device to go online.

Photo by Levi Elizaga on Unsplash

MANAGEMENT

Smartphone retail visits amounted to 69 percent whilst the same vehicle produced 57 percent of online retail sales. ResortNews | November 2021

By Anna Jefferis, HiRUM Software Solutions

as Instant Identity Verification. This is a simple yet extremely beneficial tool that allows you to instantly verify the legitimacy of the card holder over the phone whilst you are speaking with them.

The festive season is fast approaching, bringing Christmas carols on the radio, increased occupancies and unfortunately the risk of fraudulent guests. Whilst this is mostly an exciting time of year, cybercrime historically increases during the busy Christmas period. Hoteliers busily looking after their guests, can often fall victim to scammers. So, what should you be looking out for and how can you keep your business protected during these busy times? These days, the majority of the interaction between guests and hoteliers is performed online or over the phone. Whilst this makes life easier for both the hotelier and the guest, it can leave you open to vulnerabilities. The autonomy that this provides for the guest is often misused by unethical people. The booker could essentially be anyone because at this stage they are 'faceless' to you. Whilst we like to believe most people are genuine, there are times where people may attempt

To me these numbers are not only overwhelming but somewhat incomprehensible because of their magnitude. Add all the required zeros and it may be the same for you. But imagine if you could just get a tiny slice of the income they represent. Just imagine: Take 10 percent and the numbers are still huge. Yet take only 0.1 percent and you are a multi-millionaire laughing all the way to the bank! These numbers can only be ignored at your own peril! Regardless that these statistics are global values our mime will be on a proportional basis. So where do web sites fall down. You have heard this word before: adaptive design, a technical term which defines how a ResortNews | November 2021

©olly - stock.adobe.com

to use a stolen or fraudulent credit card to make a booking. Christmas is a time when you are busiest, with 1001 jobs to be achieved in any given day. With the phone ringing off the hook, you may not pay the same level of detail to matters as you usually would and unfortunately scammers may turn this opportunity to their advantage. It can be financially straining, embarrassing, and extremely time-consuming to have to deal with a fraudulent booking. When inventory is tied up with fake bookings, legitimate revenue opportunities are lost. There can be an increased workload when banks debit your bank account some weeks after the event. You can endure embarrassment

web site is displayed an any medium. Here the emphasis is obviously on anything defined as a mobile device. Technically this is a complex design requirement, but the code can detect your hardware by maker, the operating system, the devices screen size, your font choice, your location and more. Amazingly it can also detect the active window size on a device even if it is smaller than the actual screen size. In many instances my frustration has caused a significant loss of sales for the vendor. I search for a product, visit the site and am confronted by screens with huge fonts, horrible colours, illegible layouts and clickable buttons which do not respond. And yes,

by having to explain to the apartment owner that you were outsmarted by a fraudster and now have to ask the owner for money back. Not to mention that with the added stress of COVID-19, scams increased by 13 percent in the last year alone. The Australian Cyber Security Centre advised they had received one cybercrime report every eight minutes over the 12 months to June 30, 2021. Luckily for hoteliers, there are strategies you can implement to help protect yourself from such crimes. The best way to protect yourself is by having a PMS with an authentication feature such

the apposite display features, where everything is illegibly tiny, also appear from time to time. Surprisingly, some major brands also failed miserably with the eShop they presented. Having some research time left I did a survey of a significant sample of our industry’s sites. Regrettably my pessimistic anticipation was fulfilled. To me this is a great disappointment because the implementation of the required code is not particularly demanding and certainly not so for a reasonably skilled webmaster. This should not make you feel better but even our government sites fail miserably in quite a few instances but please do not let it become your

MANAGEMENT

This tool works by automatically sending an SMS or email verification link to the guest that must be accepted prior to finalising the reservation. If the guest can't verify the booking using this security method, the booking can be declined.

INCREASING REVENUE

The risk of the faceless guest

This has proven immensely effective in preventing scam bookings before they become the inevitable nightmare. It also teaches the fraudster that your property is a no-go opportunity because of the security you have in place. Instant Identity Verification allows you to outsmart the potential scammer by getting indisputable authority from them at the time of the booking, leaving no room for credit card disputes down the track After such a turbulent year, it is time for a carefree Christmas. If your PMS has not kept up with the times of stranger danger, then now is the time to find one that has!

excuse. Our governments do not sell very much but your living depends on the income your site can generate! It appears that we still have a few unskilled coders generating websites. So please become your own tester. Visit your own website with every mobile device in your household and then get all your friends to do the same. That way you have a fair chance of different model mobiles of different make and model using other browsers and software versions testing the ‘unbreakability’ of your site. Not hard to do and your business depends on it.

BUILDING RELATIONSHIPS

Toot… Toot!

You can’t sell a secret Don’t worry this article is not going to be my attempt at fumbling my way through a conversation about cars, or any kind of motor vehicle. Seriously, that would just be too painful for all involved. However, I do want to talk about tooting! Tooting your own horn, tooting it loudly and tooting it proudly for all to hear. In my beautiful, optimistic world, I choose to believe that we all do good things just because we want to help and be kind to one another. In saying that, I also believe that in business when you do something that goes above and beyond your normal role you do need to talk about it… Loudly. This is an important message that I want to convey, so let me clarify. When you do good deeds, it must be for the right reasons and because you genuinely want to make the world a better place, but then you must promote what you have done. Go ahead and toot your horn.

the investor isn’t asking to be in their letting pool. To this my question is: “But do you tell them what you do?” If they reply yes, I ask: “But did you tell them that task was not your responsibility?” To this the normal answer is: “No, but shouldn’t they understand that their property manager should be doing that?”

Kelley Rigby, Managing Director, Letts Rebuild

It’s time for onsite managers to get on the same page because most of you do a long list of tasks that go over and above your agreement and role to benefit the residents and the community, but these ‘good deeds’ are never discussed. We all know that the service an onsite manager provides their clients far outweighs a regular property manager - tenfold but we do not talk about it. It is astonishing how many onsite managers I speak to that tell me all about the amazing tasks they have completed for an outside investor, and they simply can’t believe

My response is: “No, they will not understand if you don’t tell them!” There is a very good reason why investors wouldn’t already know this. It is because management rights is a unique and glorious industry but it is also a complicated one that most people know nothing about.

Quick story… An unfriendly real estate agent sold a townhouse to a Sydney buyer who walked into the manager’s office on a Friday afternoon and said: “Where shall I park my car tonight so you can give her a wash in the morning?” The unfriendly agent had told

MANAGEMENT

the out of state buyer that on Saturday the manager cleaned the resident's cars for them (If I could put an emoji here it would be of an intense laughing face). People need to be educated in a polite and gentle way about our industry and the role we play. To your outside investor, when you do something out of the kindness of your heart because you are an amazing human tell them, but also explain your role and how that task was well above what is required from you. I would also sneak in a little one liner that says: “If I work this hard for you when you aren’t in my rental pool, imagine the job I would do for you if you were.” It might just get them thinking. In your monthly or quarterly newsletter that you are writing now because you were inspired by my last article, include a section that is called “Over and above”. This can be your chance to toot your horn and let all the owners in your community know just how valuable you are. Because remember that you can’t sell a secret.

ResortNews | November 2021

We have all heard the spiel of good website design and more often than not it includes phrases such as clean design, clear messaging, ease of navigation, search engine optimisation, and mobile responsiveness. These phrases are now commonplace and represent minimum expectations of service delivery however, there are a range of distinguishing factors within hotel website design that form key design fundamentals. First, let’s take a step back and gain a little insight into the consumer journey for hotels.

The guest path to booking With the exception of dedicated repeat guests and loyal customers, the vast majority of consumers that stay at a hotel property do not search on Google with terms such as ‘hotels in Sydney’ or a local town. Consumer sophistication has evolved over the years as utilisation of preferred online travel agents is well-established therefore, most hotel search journeys commence on online travel agencies. A shortlist of potential properties is selected at online travel agency level as choice, price and hotel information is generally well-presented with comparable features. A majority of consumers do venture outside of the initial online travel agency environment at this point. Generally, the purpose of this deviation is to check on price as well as to ascertain further roomspecific information. This deviation may include other online-travel agents and meta channels and most certainly will include the direct website. This is the point at which an opportunity is presented to hotels to hijack the booking.

The direct website deviation Having left the online travel agency environment with a shortlist of properties, perhaps just one, the ResortNews | November 2021

HOTEL WEBSITE DESIGN

The fundamentals of hotel website design ©MclittleStock - stock.adobe.com

Tanya Rose, Marketing Manager, Nuvho

consumer is now on a mission to execute the booking. Cognisant of this motivation, there are a range of design fundamental that should be applied to a hotel website…

Ease of access to the reservation process Commencing the reservation process generally starts with a ‘Book Now’ button and/or access to a booking engine mask with check-in/check-out and number of guest options. Too many booking engines and websites do not include the latter option of a booking engine mask. This should be present, located front and centre when consumers land on your homepage with an efficient design. In an ideal world, when landing on the home page an option to ‘Book Now’ ‘Call Now’ and present search options through a booking engine mask should be present.

Booking-engine, booking-engine, booking-engine! It cannot be iterated enough the relevance of a booking engine with high conversion rates. Consider the consumer that has ventured to the direct website and enters the reservation flow immediately; having garnered all necessary site and room information from an online travel agent. With the most beautiful website in place, this can be undone by a mundane booking engine. While hoteliers can exercise control over the design of the website, this control is generally not present at booking

engine level, which is arguably the most important facet of the website. Key features of a booking engine that contribute to higher conversion rates are automated online travel agency price matching/discounting, strong mobile optimisation, efficient reservation flow and ease of low-risk check-out.

Supplementary information Let’s assume that the venture to the direct website is not purely price motivated but also information driven. Primarily this relates to room and property information. An opportunity to showcase exclusive imagery and descriptions that are not present in an online travel agency environment is presented. This has the effect of endearing the consumer to your particular channel and building more trust than with the online travel agency channels. Providing ease of access to the reservation from any location within the website is just common sense.

Mimic online travel agents If you can’t beat, join them! Room and rate plans should mirror those presented in an online context. Typically, online travel agencies present the ‘best available rate’ as the initial option i.e., the room without the bells and whistles. Structuring the booking engine in this manner such that the consumer is comparing apples with apples upon an initial search is simply good practice and maintains consumer interest. If the consumer is presented with

MANAGEMENT

an alternative for the same room type that is more expensive, that is a lost opportunity.

Exclusive offers If the booking engine does not have the ability to price match/ discount relative to online travel agencies, then structuring of offers that can be presented as a closed-user-groups with ease of sign-up is present. These offers have got to represent a clear alternative to online-travel agency searches up-front to convince the consumer to participate.

Basic security Do not underestimate basic security in terms of SSL certificates. Too many websites are classified as ‘Not Secure’ in the address bar. Equally, utilising a payment process with high security levels and ease of passage in a basic fundamental.

Good hotel website design is not about good website design We have established a few key elements to fundamentals of good hotel website design. The major takeaway is that good hotel website design on its own is nowhere near enough to increase direct conversion. Good hotel website design incorporates key elements from the disciplines of hotel sales, marketing, revenue management and in particular, the selection of a high conversion booking engine. Input from these elements, as well as a design approach are key fundamentals of best-inclass hotel website design.

TOURISM REPORT

Calls for firm date on return of

international tourists By Grantlee Kieza, Industry Reporter

Queensland Tourism operators are urging Premier Annastacia Palaszczuk to set a firm date for the return of quarantine-free international travel – rather than her proposed 90 percent vaccination threshold – or risk losing vital business to NSW and Victoria. They say the 90 percent vaccination threshold is unlikely to be reached until next year amid fears that Brisbane Airport will lose both domestic and international flights to other Australian states because of Queensland’s slowness on border re-opening. From November 1, Qantas will fly up to five return Sydney to London flights a week and another four from Sydney to Los Angeles. Qantas and Jetstar are bringing forward the restart of other international flights to Singapore, Bangkok, Phuket, Johannesburg and Fiji. The airline will bring back two of its Airbus A380 aircraft earlier than planned and a new Sydney to Delhi route will begin before Christmas. The NSW Government has recently announced quarantine requirements will no longer apply for passengers arriving in NSW on international flights who are fully vaccinated with a TGA approved vaccine. Brisbane Airport Corporation’s executive general manager of aviation, Jim Parashos, told The Brisbane Times that Queensland’s COVID-19 road map was “much appreciated” after months of border closures and restrictions. But he said, the airport was still at a competitive disadvantage compared with other state hubs, despite Queensland traditionally being a major tourist destination.

Flight Centre chief executive Graham Turner said he believed the state would eventually have to renege on the 90 percent vaccination threshold requirement before opening the borders to fully vaccinated international tourists.

©Skórzewiak - stock.adobe.com

by December 17, visitors to Queensland will not have to home quarantine provided all other conditions are met.

Queensland’s 80 percent vaccination target will be reached well after New South Wales and Victoria, with some lingering travel restrictions on the road map, and Mr Parashos said this could see airlines focus on other capital-city routes instead. He said both Qantas and Singapore Airlines had already ramped up the number of flights into Sydney after its COVID-19 opening road map was announced on September 27. NSW Premier Dominic Perrottet has announced a $500 million package to revitalise his State’s tourism industry. Mr Perrottet said his government’s decision to scrap hotel quarantine for international arrivals and open borders from November 1 sent a clear signal to the world that “NSW is open for business”. “Right around the world people will sit there and go, well if I’m going to come to Australia I know where I want to be – I want to be in Sydney, I want to be in New South Wales,” he said. “That is the signal we have set.” Queensland’s reopening plan says that at the 70 percent vaccination mark, anyone who has been in a hotspot, such as Sydney or Melbourne, can enter Queensland if they are fully vaccinated, have a negative test result and arrive by air. They must also undertake home quarantine. At 80 percent, expected

Queensland will still require anyone who arrives from overseas to do 14 days of quarantine, even if they are vaccinated, and even if they arrive in a different state and then travel to Queensland from there. At the 90 percent vaccination point, expected early next year, fully vaccinated travellers from interstate and overseas will be able to enter Queensland without quarantining. While most businesses welcomed plans to allow fully vaccinated people from NSW and Victoria into the state from December 17 without having to quarantine, there are concerns over delaying the return of international tourists, especially in places such as Cairns that traditionally have been reliant on overseas holidaymakers. Tourism Tropical North Queensland chief executive Mark Olsen told the Australian Financial Review that most tourism operators were resigned to the fact that international tourists were not returning until next year, but they still wanted clarity on the date. He said it was a challenge for the Queensland tourism sector to prepare for the return of international travellers without a set date and that there were concerns that the vaccination rate might slow after 80 percent.

TOURISM

He also predicted it would take well into next year for Queensland, which lags other states and territories on vaccinations, to reach the 90 percent rate. Mr Turner said there should be no difference between fully vaccinated tourists, no matter where they are from. “What’s the difference between a fully vaccinated Brit who has negatively tested for COVID that’s coming from London and a Sydneysider who is coming from Sydney? It’s xenophobic. I can’t see any logic to it,” he said. Queensland tourism operators will again miss out on international tourists during the peak summer season as they cling on to struggling businesses. Ms Palaszczuk’s announcement to effectively end the state’s COVID-zero approach to the pandemic took many in the tourism sector by surprise. But Mr Olsen said the announcement had slowed the stream of cancellations for North Queensland bookings – worth millions of dollars – in the past few weeks. “That has been stopped and we are now seeing bookings come through,” he said. “It’s been a long wait to get to this point. There’s been lots of businesses hanging on by their fingernails.” Federal Health Minister Greg Hunt announced 70 percent of the eligible Australian population was now fully vaccinated against COVID-19, with first dose rates sitting at 85.5 percent. ResortNews | November 2021

THE LAST RESORT

Giant crocodile wows guests with unique design Image: Joe Florian

Mercure Kakadu Crocodile Hotel

By Grantlee Kieza, Industry Reporter

It’s the biggest crocodile ever seen on earth, 250 metres long and 30 metres wide. And it has been stunning visitors to the Northern Territory for 33 years as one of the great innovations in the Australian accommodation industry. The Mercure Kakadu Crocodile Hotel in the Northern Territory’s Top End was built in the wake of the phenomenal success of the Paul Hogan movie Crocodile Dundee. Released on 30 April 1986 in Australia, the comedy flick was the highest-grossing film of all-time in Australia, the highest-grossing Australian film worldwide, and the highest-grossing non-US film ever to screen in America. ResortNews | November 2021

Its staggering success helped sell Australia and its rugged outdoor life to the world, and it created enormous interest in Top End tourism. Kakadu National Park became a must-see destination for visitors from around the world. The crocodile-shaped hotel built in the movie’s aftermath offers four-star accommodation in Jabiru, the main hub of the Kakadu National Park. The croc’s body contains an idyllic swimming pool and the circular parking areas represent the crocodile’s eggs. The yellow eyes house the hotel’s ventilation units. The crocodile’s head houses the hotel’s reception, restaurant, bar, and Aboriginal art gallery. Guests enter the hotel through the crocodile’s mouth, passing its enormous teeth. The welcome is much more friendly, though, than that provided to Kakadu

visitors by the real saltwater crocs of the area that inspired the hotel’s stunning design.

hotel’s lobby and interior walls. The hotel won a Brolga Award in 2016 for “Unique Accommodation”.

The hotel is fully Indigenous owned, while Accor Hotels manage the property.

The Mercure Kakadu Crocodile Hotel is the world’s largest animalshaped property, though other hotel designers have tried hard with their peculiar concepts.

The town of Jabiru has a population of just over 1000 and opened in 1982, servicing the neighbouring Ranger Uranium mine. The mine closed in January this year, leaving the town focused on an income from tourism. The crocodile design was chosen as the reptile has huge cultural significance to the Gaagudju people of the Kakadu area. The giant crocodile is one of their spirit ancestors. Local bush tucker and international dining is on offer at the Escarpment restaurant and bar. A collection of Indigenous art pieces including paintings and didgeridoos is in the on-site gallery and displayed on the

TOURISM

The Dog Bark Park Inn in Cottonwood, Idaho is shaped like a gigantic beagle. The inn consists of one room inside the dog, with a second-story loft nestled in the head. The property is run by a husbandand-wife team with a passion for dogs, art, and quirky design. The Trojan Horse in Heyd, Belgium is a two-story cabin inside a whimsical accommodation property. The horse also has a set of wheels, paying homage to the story of the Trojan War.

What about Women In? Marisa Millane updated us on the October event. We finally made it to the Sunshine Coast luncheon and what a fabulous afternoon on the water. The afternoon ran beautifully from the ambience to the food and most importantly the wonderful connections made. A big thank you to Brigit from MR Sales for coordinating the afternoon with Women In. Don’t miss out on the next event: Greendays Restaurant Wednesday November 17, 2021, from 12.00 to 3.30pm. For all luncheon information visit www.womenin.com.au. Make sure you add yourself to the invite list so your always informed of upcoming luncheons Instagram - womeninau Facebook Women In Luncheons.

EVENTS & APPOINTMENTS

ResortNews | November 2021

Alex Cook elected ARAMA Associate Director One of Australia’s most experienced and successful management rights specialists, Alex Cook, has been formally appointed to the board of ARAMA at its Annual General Meeting in Brisbane.

ARAMA represents more than 2,500 resident managers across the country with active branches in the Gold Coast, Brisbane, Sunshine Coast, Wide Bay, Whitsundays/Mackay, Townsville, Cairns and Port Douglas, Sydney, central and northern New South Wales and Victoria.

ARAMA provides a wide range of benefits to its members including networking opportunities with other ARAMA members, access to publications and materials such as the printed newsletter, stationery, and access to its inhouse library and other useful resources via the “Members Only” section of the ARAMA website. Alex said: “I am both humbled and excited to sit on the ARAMA board next to some of the most experienced and respected professionals in the industry and following in the footsteps of many more. I’ve been working in the industry for over a decade now and have always taken a particular interest in ARAMA. Being an active member is a great way to give something back to the industry that I love working in every day.”

As Director and Senior Broker at ResortBrokers, Alex Cook’s position as ARAMA Associate Director was ratified at its AGM following his election by ARAMA members to the position in July. ARAMA was formed in 1991, The Australian Resident Accommodation Manager’s Association (ARAMA) is the peak body for the management rights industry.

As well as providing a broad spectrum of operational support and expertise to its numerous members (both within the shortstay sector and the permanent accommodation sector), ARAMA fulfils an essential role as an industry advocate, making sure all stakeholders’ interests are represented at many levels, most importantly government. He said: “If you are active in the management rights Industry, I really see it as your duty to be an ARAMA member. Management rights is built on legislation, and legislation can be changed. It’s critical to have a professional body protecting and defending the MLR Industry against those who would benefit from its demise. Indeed, this is ARAMA`s prime directive and this shouldn’t be forgotten.”

News from the Accommodation Industry Golf Series Our golf day at the Brisbane Golf club on October 21 was well patronised with over 80 players.

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renovations. Consequently, the 2022 Brisbane golf day will be held at an alternate course. We are also looking to add the Sunshine Coast into our golf calendar. This will make for an exciting year ahead.

The series dates and venues will be announced at the Christmas Golf Day. Here is the exciting news… Our huge Christmas event will be at Lakelands golf course on Friday November 26! This year your committee will endeavour to surpass all previous efforts. We are looking to continue the leg ham giveaways and the huge prize pool. We hope to have additional on course activities as well as free food and drink on course. Lunch vouchers and a Christmas dinner after golf will follow. This is a day not to be missed just ask anyone who has played in this day before. A great fun two-person Ambrose event.

More good news… We have managed to keep the price the same as previous years. Prepayment will be required for organizing purposes. Now this is important! There will be a need to book early as players are limited and many have committed already. This event books out each year and we would not want any of our regulars to miss out. So please organize your mates and get in early with your booking. Please note all player payments will be required prior to the day. For bookings or enquiries contact Tracey Taylor on mobile: 0417 360 898 or email Taylor77@bigpond.net.au.

2021 ARAMA INDUSTRY EVENTS CALENDAR For registration and/or event information please contact us on 1300 ARAMA Q (1300 27 26 27), email national@arama.com.au or visit: https://www.arama.com.au/

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ResortBrokers Central West NSW Specialist Chris Kelly with the new general manager of the Quality Inn Dubbo, Luke Newman (formerly of the Quality Inn Bathurst). Chris handled the sale of the Quality Inn Dubbo which was sold by Kerrianne and Carolyn Rowe to Regional Motels.

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Management rights glow on Sunshine Coast

Coolum Beach, Sunshine Coast. Image courtesy of Visit Sunshine Coast

By Grantlee Kieza, Industry Reporter

“The Sunshine Coast is now an aspirational location,” Mr Phipps told Resort News, “and parts of it have become brands of their own and are kind of bulletproof.

Queensland’s shining Sunshine Coast has become a dream destination, and the management rights industry is following the price of residential real estate through the roof. Some interstate buyers are even snapping up management rights on the Sunshine Coast without inspecting the properties. Industry leader Mike Phipps says the popularity and high prices being paid for management

“There have been plenty of people locked up during COVID and they’ve had lots of time to think about the meaning of life. Some want to come into the Sunshine Coast at a point in their lives and buy into a business. Mike Phipps

“I think COVID has brought those plans forward with a rocket.”

rights on the Sunshine Coast comes in a climate where a buyer recently paid $16.1million for a unit in Hastings Street, Noosa.

Mr Phipps, who runs the brokerage and consultancy firm Mike Phipps Finance, said “6.3 times multiples” on yearly

PROPERTY

earnings were now fairly standard for management rights in Noosa and that it was “a significant improvement on a few years ago.” “The tourism market on the Sunshine Coast is predominantly domestic,” he said. “It is a very strong drive market. The Gold Coast has done it tough during COVID because there are no international tourists, but the Sunshine Coast has a much bigger local catchment. “I think we've got to a point on the Sunshine Coast and certainly in Noosa where the amount of international money flowing in from Singapore and Hong Kong would blow you away.

ResortNews | November 2021

It's a lot like New Zealand’s South Island was back in the day, where they had a lot of investment from North America and it’s going to continue.” The latest Tourism Research Australia National Visitor Survey showed that the Sunshine Coast was able to offset the massive falls in international and interstate visitors with significant growth in intrastate numbers.

“It’s still a young area compared to the Gold Coast,” Mr Jancevski said. “You can see by the amount of cranes around that more management rights properties are being built because the demand is there.

of 17 percent in visitor numbers to 3.8 million for the year. Neil and Amanda Watson took over the lovely Noosa Village River Resort in Noosaville on July 1, buying the management rights because of what Mr Watson described as “lifestyle, location and return on investment”.

In fact, the region recorded record intrastate visitor numbers for the year to June 30, 2021.

“We lived in Cooroibah, which is in the Noosa shire and we’re part of the community,” Mr Watson said. “I needed a career change coming from consulting in ISO standards and auditing.

The Sunshine Coast has close to three million people living within a drive radius of 300km and Visit Sunshine Coast was able to use a market that couldn’t fly interstate or internationally to make up for the losses from international and interstate visitors (about 35 percent of its usual total market).

“I had been involved in accommodation before, but it has changed in quantum leaps since the days when all the traffic was by phone or off the street by foot. Dealing with OTAs and computerised booking systems that don’t sleep has been a massive eye opener.

While Queensland reported a 16.2 percent decrease in visitor expenditure and 19.9 percent decrease in domestic visitor arrivals for the year to June 30, 2021, the Sunshine Coast grew domestic visitor expenditure slightly to a record $2.8 billion, built on an increase

“But we’re enjoying it even though to start with we had more cancellations than bookings because of COVID. It was very onerous processing all those cancellations and refunds, but we applied a 100 percent refund policy so we will get the return custom one day.

Sasha Jancevski

“We had been looking for years for the right place. By and large with most management rights properties the manager’s unit is the last thing that gets thought about, whereas for us this one was ideal. “We think the property has great potential for growth. We factored in the key ingredient that the manager’s salary must be enough to service the debt and it’s working out well.” Sasha Jancevski, from the RAAS Property Group, who has been involved in management rights for 22 years, said limited supply on the Sunshine Coast was making the management rights market there “extremely buoyant”.

Peace of mind for your property decisions

“Despite the reports about COVID affecting the industry I’ve just closed on two properties at Noosa, both around the $2 million mark. “There are new younger people coming into the industry because management rights is such a good business model, and what we are seeing is that people who have many years in management rights are now bolting onto their existing business and expanding their portfolio. They can see the worth in good value properties and the banks are always willing to help because they see management rights as a sound investment.” Mr Jancevski’s colleague at RAAS, Rossina Gall, has three properties listed, and more coming onto the market. “We’re seeing a lot of interest from younger people these days,” Ms Gall said.

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Glasshouse Mountains, image courtesy of Visit Sunshine Coast

Mooloolaba Beach, image courtesy of Visit Sunshine Coast

Barry Davies said strong sales were also being recorded at coastal areas such as Yeppoon, Bargara and Agnes Waters, though the Sunshine Coast offered consistent returns and continued visitor demand.

Matt Campbell and Barry Davies from the Maroochydore-based, Resort Management Sales, are enjoying a record run with 14 properties under contract and six settling on December 1. “We've seen a rush and we have a number of listings coming to market and we suspect this will be a record year for us,” Mr Campbell said. Rossina Gall

“Historically management rights has been a job that people sometimes think is a semiretirement business, but there are properties that suit everyone these days from earning $60,000 a year to more than $500,000 a year. The education opportunities on the Sunshine Coast draw a lot of young families to make the lifestyle choice. Some people have two jobs and use management rights as part of that. “People are designing their own lives and depending on the type of management rights they can work as much or as little as they want to.”

“That’s remarkable since Barry and I collectively have 40 years in the industry and it comes despite the problems that COVID has caused with border closures and lockdowns.” Mr Campbell said the Sunshine Coast’s laidback lifestyle and natural beauty was a great enticement for management rights owners. “There are the attractions of the beach and the hinterland and the national parks,” he said. “It's also less densely populated then the Gold Coast and Brisbane. “COVID has actually heightened the enquiry level for us with people wanting to come to a desirable area like this.”

Barry Davies and Matt Campbell

Mr Campbell said his business was offering a range of properties from below $1million right up to $7million. Properties above $3million were creating the most demand because of the income they generated. “The $500,000 net profit and above is the sweet spot for syndicate purchasers, providing a return on investment that is so far superior to anywhere else that you can put your money. “Those properties will offer even greater returns once borders are open.”

Peter Brewer

Accountant Peter Brewer, of PBB Consult, said much of the demand on the Sunshine Coast was fuelled by its proximity to large population centres, especially Brisbane, after the border closures.

Local Focus with a National Coverage

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ResortNews | November 2021

THANK YOU. A message from Barry Davies and Matt Campbell from Resort Management Sales, Sunshine Coast’s Most Experienced Agency: As 2021 draws to a close, Barry and Matt wish to thank all of our valued clients for working with us to achieve one of our most successful years in our 40 collective years in the industry, with 22 sales worth in excess of $46m settled or currently under contract in the last 6 months alone. We are proud of the results we have achieved for our sellers, despite the challenges COVID has presented to the contractual process and thank them for their patience and trust in our ability to bring their sale to completion. We hope all of our sellers enjoy a restful break and wish our buyers every success in their new venture. To all of the current operators out there who would like to know what their business is worth in the current market, and to better understand how to present their business for sale, please don’t hesitate to make contact for a confidential chat.

Matt Campbell - 0410 343 219 matt@managementrights.com

Barry Davies - 0438 554 995 barry@managementrights.com

“The Sunshine Coast has been a beneficiary of that. People who would normally travel overseas see the Sunshine Coast as a good alternative

“Noosa may have suffered a little from its traditional reliance on Melbourne, but especially the southern end of the Sunshine Coast has fared very well during COVID,” he said.

“The recent strong sales in management rights have benefited from strong trade on the Sunshine Coast rather than the multiplier going through the roof.

“Management rights on the Sunshine Coast and heading further to Yeppoon have been strong. “The big end of town is chasing yield. Syndicates try to benchmark a 15 to 20 percent return but that can be driven by gearing as well with low interest rates. “To potential investors that’s very attractive but mum and dad/two-person management teams can still get good returns compared with alternative investments. It’s a good business model considering you are not carrying stock or debtors, and there is a body corporate salary coming in every month.” Industry veteran Tony Rossiter, from Holmans Accounting and Taxation, said management rights on the Sunshine Coast had received an unprecedented level of demand over the last 12 months. “It’s been quite exceptional,”

Tony Rossiter

Mr Rossiter said. “Until the most recent border closure in August all of our clients were achieving record trading. The closure of the NSW and Victorian borders continues to impact but the lockdowns will end.” Mr Rossiter said in contrast with the Gold Coast, the Sunshine Coast was still seen by many tourists as a regional centre. “There's a human reaction to COVID to want to get away from the populace,” he said. “That's what we've seen in the capital cities with people moving out of city centres and apartmenttype living for the suburbs, and then out to regional and rural towns which have never seen the sort of growth they have experienced during COVID.

“The businesses have been trading well, but separately the buying and selling activity of these businesses has improved as well. Management rights are seen as a safe and secure income. Transactions are happening more quickly. Properties are spending less time on the market because there is simply more demand from around Australia. “The Noosa Crest resort was sold to a buyer from Canberra. Other interstate investors have bought management rights without actually seeing the property because of the restrictions on movement.” Chris McKillop, a director of valuers Herron Todd White, said the Sunshine Coast benefitted from being just an hour’s drive from Brisbane

Chris McKillop

at a time of lockdowns when people preferred to make lastminute holiday bookings. “Occupancies aren't quite back to where they were from a couple of years ago before COVID, but they are getting closer,” Mr McKillop said, “and the returns have been about the same because of good incomes out of Friday and Saturday night trade. “The Sunshine Coast typically has a more relaxed and slower pace than the Gold Coast and a lot of regional people from places such as Toowoomba prefer it as a destination. The Sunshine Coast beaches are only 40 minutes or so from the hinterland of Montville and Maleny which makes it very attractive as well.”

Endless Summer in Coolum Steve and Desiree Woolford, the new onsite managers of Endless Summer resort only took over the management rights of this 32-unit holiday resort in early October. Steve is a plumber by trade and Desiree a childcare worker, three years ago they moved to the Sunny Coast from Young in NSW. Steve told us: “Finding an MR business was a remarkably simple and quick process for us, it only took one year from when we began to look, to when we took over. “We had been holidaying on the Sunshine Coast for years and knew we wanted to buy in Coolum. Barry Davies from Resort Management Sales

showed us this property, and we instantly felt that it was the one for us. It’s a great resort that fits our lifestyle. It has the best lagoon pool in Coolum and caters for families, couples and people wanting a break, it is also somewhere our children and grandchildren can visit. “We love the location, the resort facilities, the three-bedroom manager’s unit and the business price was within our budget. “It may be seen as a risk to buy a holiday resort during COVID, but we think there is a light at the end of the tunnel, with borders open the resort is already fully booked over the Christmas period. Overall, we are very excited about this next chapter of our lives. “A big thankyou to Barry and team for their professionalism over the due diligence period.” PROPERTY

Steve and Desiree Woolford

ResortNews | November 2021

Mr McKillop said there were reports of a beachfront property in Hastings St, Noosa that was under contract after attracting a 6.5 multiplier. He said the Coco apartments at Mooloolaba recently sold for a 5.63 times multiplier with a net around $650,000 while Noosaville’s Ivory Palms, with holiday units and a conference centre, sold for a little over $6.5 million on a net profit of around $900,000.

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He said La Mer at Sunshine Beach had sold for about $3 million on a 5.2 times multiple. Michael Kleinschmidt

Atrium at Buderim, with 258 units in its letting pool, sold for $5million on a net profit of $700,000. Mr McKillop said high residential prices, though, meant the overall return on investment for some management rights was actually dropping. “A lot of the syndicates are wondering if they should buy properties that now include a $1.4 million manager’s residence because it reduces the return on investment,” he said.

WHEN EXPERIENCE MATTERS

Michael Kleinschmidt, the Legal Practitioner Director of Mooloolaba-based Stratum Legal, has lived on the Sunshine Coast half of his life and has seen some of it now priced as among the most expensive real estate in Australia. “There's a huge demand for permanent let complexes and a lot of syndicates are picking up key sites,” Mr Kleinschmidt told us. P42

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Management Rights Transactions

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We work closely with industry profesionals and financiers to ensure our clients interests are protected and outcomes optimised. Peter Brewer t: 07 5449 9992 e: peter@pbbconsult.com.au w: www.pbbconsult.com.au

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

www.pbbconsult.com.au ResortNews | November 2021

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The Resort Accommodation and Sales (RAAS) Sunshine Coast team Rossina Gall, management rights owner and RAAS sales agent says: “No one knows a building or scheme better than an onsite manager. With both a financial and emotional attachment to the scheme, onsite managers can be, and often are, the biggest stakeholders.” She explains: “We have ‘skin in the game’ that makes us, not only managers but also lot owners, committee members, property and sales managers and when it comes to people all living together, often a little bit more.

Rossina Gall

Sasha Jancevski

the building or scheme as much as people who have a vested interest, it is so much more than a business, there is also a community involved. Over the years I’ve enjoyed meeting people from all walks of life, making improvements along the way that increase returns for investors and make it a nice place to live.

“Now is a good time to buy with interest rates low, but if you are looking to invest in management rights you must enjoy dealing with a range of people. You must have what’s ‘Best for Scheme’ at the forefront because you are helping to look after a scheme that could be worth over $50 Million and also a home or investment to many.

Sasha Jancevski from RAAS says:

“I believe in management rights as no one will care for

“Rather than choosing to state my sales results, history and

“If you would like to discuss taking your first step into the management rights industry, purchase an additional business, or get back into the industry after a break, call me today.”

personal achievements in management rights over the past 20 years, I think it is far more appropriate that my fellow management rights owners and buyers decide where I stand when it comes to the management rights industry. “The entire process of either purchasing or selling your management rights requires skills and diligence from the outset and my commitment never waivers. Often, I am contacted by buyers and sellers who seek my opinion on current market conditions, they do this purely because of my wealth of experience and I am always happy to provide feedback and support. “I do get results and I believe

that if a seller is prepared to meet the market conditions, I will produce a desired outcome within 90 days of listing. I believe that a buyer must be matched to a property according to their wish list and not based on 'just taking a look', and so if you have been on the market for over 90 days or are contemplating taking your property to market for a 'market conditions' result then call me for a no obligation , experienced and professional discussion. You will be pleasantly surprised.” Darrel and Michael Woodham said: “We recently purchased the Noosa Tropicana Management Rights Business on the Sunshine Coast, through Sasha Jancevski of RAAS Sales. Dealing with Sasha was an easy process and he has a wealth of experience in the industry which helped us immensely being new to management rights. Sasha was always available to answer any questions & kept us informed of key dates to remember leading into settlement. After settlement he has followed up with good advice and information we have needed."

Long search reaps rewards for new owners By Mandy Clarke, Editor

Although new to management rights, both Michael and Darrel have a hospitality background. They clearly love Noosa having holidayed there for 20 years; they enjoy the laid-back lifestyle the Sunshine Coast offers. On their journey to purchasing Noosa Tropicana Michael told us: “We started our search over two years ago and looked at a few properties, but then COVID hit so we decided to continue to concentrate on our café and catering business in Brisbane. But, during our 2020 Christmas holiday in Noosaville, we decided

to focus on our management rights goal. In January we sold our house and business and the opportunity to purchase Noosa Tropicana came along.” Noosa Tropicana is a tranquil and tropical resort with 19 short term let apartments in the letting pool, it’s the perfect fit for these managers. Sasha from RAAS was both the agent for this sale and their tutor when they completed their real estate licences. Darrel explained: “After guidance from a friend with lots of industry experience, we had a blueprint. We looked for key components (length of lease, ROI, percentage of letting pool to total apartments) and we wanted suitable managers accommodation.”

Michael and Darrel Woodham

Michael and Darrel believe passionately in the future of management rights on the Sunshine Coast. They said: “The region has already bounced back from COVID, and Noosa

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is a popular destination for domestic travellers. We believe that after surviving the lows of COVID, our industry is heading for much better times, we are very optimistic.” ResortNews | November 2021

Management Rights

A great place to live and work

Despite a reported slowing of the Australian population, the Sunshine Coast population is increasing due to an influx of people moving into the region, and current residents deciding they will stay put. Already known as one of Australia’s top holiday destinations, Queensland’s third largest city’s economy is on a growth trajectory set to reach $33 billion by 2033. “As a business destination, the Sunshine Coast offers an unbeatable combination of capital city infrastructure and a famously stunning natural environment in a regional location. Projects such as our digital infrastructure was recently confirmed as the fastest east coast data path to Asia - and

it’s 70ms faster than Sydney!” reports Sunshine Coast Council development branch.

Resort Accommodation and Sales (RAAS) Sunshine Coast sales agents, Sasha Jancevski and Rossina Gall agree. “Sunshine Coast has historically offered a fairly laid-back lifestyle coupled with exciting business opportunities.” “More so than ever, people are reconsidering what their lifestyle looks like and the Sunshine Coast ticks quite a few boxes in terms of education, access to Brisbane or flights, worldclass medical services, lifestyle and 52km of open coastline” explains Rossina. “Management Rights buyers are no different and we are seeing new and experienced operators researching properties for sale in the region of varying sizes and

Bruce Highway incomes. Buyers are both local and interstate, though a higher proportion from Victoria.”

operators themselves. They are a wealth of knowledge and happy to share it.

Resort Accommodation and Sales (RAAS) has been successful in thousands of Management Rights and Residential transactions for almost 20 years. The friendly, experienced and professional agents usually are previous or current MR

“We are match makers, not deal makers and our goal is to find the right opportunity for our buyers who eventually join the RAAS network of On Site Managers,” says Sasha. For more information contact: Rossina Gall, 0407 374 800 rossina@raas.com.au

Sunshine Coast Properties For Sale Noosa Heads

Irresistible location, ideal lifestyle, Noosa Parade...

Ideal for a single operator or couple who enjoy a minimal working lifestyle in the precinct of Noosa Heads - without blowing the budget. This little gem provides solid returns for one and/or allows your partner to maintain their own career; live & work in one of the best positions in Noosa, being a stones throw from the Noosa river and surfing/cafe/restaurant mecca. The managers apartment provides comfortable living for managers with the office neatly tucked in to access internally from your apartment. The complex has just had a new coat of paint, which compliments an already neat and tidy holiday makers destination. First time to market in over 10 years, the owner has priced to sell... Contact: Sasha Jancevski, sashaj@raas.com.au, 0406 075 270

Net Profit: $115,000

Total Price: $667,650

Peregian Beach Brilliant Beachside Business

Located on Qld’s beautiful Peregian Beach, this exciting Management Rights opportunity is complete with prime absolute beachfront access. There is an impressive welcoming office/reception area with shop & coffee offerings. Spacious accommodation townhouses & airy three bedroom managers townhouse designed for relaxed coastal living. Top resort facilities include heated pool, spa, sauna, BBQ area, fast unlimited internet, convenient unit parking, private balconies, lush irrigated lawn, games room and conference/meeting areas.

Contact: Rossina Gall, rossina@raas.com.au, 0407 374 800

Net Profit: $250,000

Total Price: $2,024,000

GROW YOUR BUSINESS • INCREASE YOUR INCOME • PROTECT YOUR INVESTMENT

07 5593 0007 raasrights.com.au

Images courtesy of Visit Sunshine Coast

The Ginger Factory

P39 “Unlike your traditional twoperson management team or even a family-owned business, the syndicates just keep on keeping on, and swap out managers. “It's a classic concentration of market that as a market matures larger players come in and they consolidate properties. That's what's happening in this space." "Consortiums out there with industry accountants pick up some of these properties and it obviously has an impact because it drives demand. “Operating teams make the difference. “I’ve seen the same buildings sold three or four times during my career and while the fundamentals remain the

same, they can have different outcomes depending on who is running it and if they know what they’re doing. “One couple can do it badly, and another can come in and go gangbusters. First and foremost, in management rights you must be a people person providing personal service. If you’re not, then get out because you must have a deft touch with guests “There is also a mindset that creeps into some committees that in financially challenging times they have to spend the least amount of money possible, instead of getting ahead of things before they breakdown. They become Ebenezer Scrooge. They do washdowns instead of painting, whereas the whole

Damian Quinn

Alex McCowan

system should be about meeting the needs of a building.”

hotel style accommodation whereas on the Sunshine Coast it's more family accommodation.

Damian Quinn, from Maroochydore-based Simpson Quinn Lawyers, said larger complexes as well as smaller ones were in big demand all the way from Golden Beach, on the Sunshine Coast’s south to Rainbow Beach in the north. “There are nice beaches all the way along our coast,” Mr Quinn said, “and if you want to settle in there's an Aldi on every second corner, so it’s all there for an easy, relaxing holiday. “The Gold Coast was more affected by COVID because they had a lot of fly-in traffic from Victoria and NSW and their big buildings down there are largely

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“There's always a market for that.” Alex McCowan, from Accom Valuers, said the Sunshine Coast had weathered the COVID storm better than most areas. “The value of management rights is running alongside the good prices we are seeing for residential real estate and the high rents that are being paid on the Sunshine Coast,” Mr McCowan said. “Properties are not only coming out of lockdowns well but trading better than they have for a long time and I see that continuing. “Even with international borders opening, a lot of people will still ResortNews | November 2021

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A lot of people don’t realise that the majority of accommodation on the Sunshine Coast is under management rights be inclined to holiday at home for some time yet and the Sunshine Coast has always benefited from a very big Brisbane market just an hour away.” Liam Kennedy, the General Manager of the Stay Resort Group, and a former general manager of Noosa Blue, offers a consultancy to newcomers in the management rights field. “A lot of people don’t realise that the majority of accommodation on the Sunshine Coast is under management rights,” Mr Kennedy said. “When COVID-19 hit we went into survival mode but now we're coming out of it very well and we relied very heavily on the local drive market to do it because ResortNews | November 2021

MANAGEMENT & LETTING RIGHTS VALUATION SPECIALISTS

the vast majority of people at the moment are driving rather than flying for obvious reasons. “Once the borders are open again I would imagine that the floodgates will open and things will kick on even more because the longer you have to travel the longer you stay.

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“People who fly to a destination stay a lot more than two nights which is the average length of stay if you're driving from Brisbane. “With Sunshine Coast management rights, people are buying themselves a job with a pretty secure income and at the same time they are able to live and work in paradise.”

quotes@australianvaluers.com.au www.australianvaluers.com.au AUSTRALIAN VALUERS SPECIALISE IN: Holiday Complexes Corporate Complexes Permanent Complexes Student Accommodations Manager Unit Valuations & Rights Time in Motion Reports & Rent Rolls Body Corporate Salary Market Assessments

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ResortBrokers on the Sunshine Coast market

©Darren - stock.adobe.com

By Glen Millar & Chenoa Daniel, ResortBrokers Australia

ResortBrokers, Australia’s longest established and most experienced specialist agency operating in the accommodation and hospitality sector, reports that demand for management rights on the Sunshine Coast has hit unprecedented levels because of a combination of a major increase in drive tourism and permanent domestic migration. The ResortBrokers’ Sunshine Coast team of Glenn Millar and Chenoa Daniel have settled on 16 properties in the past 12 months to the value of $35 million and they have a further eight to settle before Christmas in deals worth a total of $21.7 million. “In my 30 years of living here,

and 16 with ResortBrokers, I’ve never seen anything like the growth we are experiencing right now. This place is a whole lot different to the ‘sleepy-beachy little bolthole up the road from Brisbane’ from when I first moved here,” said Mr Millar. “It’s been caused by a combination of key factors. We have a massive increase in drive tourism because of the border closures and lockdowns which has benefited the short-term operators and businesses,” he said. “Then there’s been a serious wave of interstate and intrastate migration because of the obvious lifestyle benefits of this beautiful part of the world. “And this is all being boosted by record infrastructure investment. The Sunshine Coast is in the middle of literally building a new city and economy based on a 20-year economic plan. “More than $20 billion in infrastructure projects and

private investment has either been completed, is under construction or in the planning pipeline.” Some of the notable sales which generated headlines for ResortBrokers on the Sunshine Coast include Tingirana at Noosa – which was the first short term complex sold after the COVID outbreak – Ivory Palms at Noosaville and Atrium at Buderim which sold for a record multiplier for the region of 6.1X. “The Sunshine Coast is so hot right now, and not just the weather, and I couldn’t have timed my move here two years ago any better. There are buyers everywhere looking for quality accommodation businesses and the big problem I have with all this is that I simply can’t get enough stock to meet the demand!” said Ms Daniel. “Permanent complexes are in demand especially those with net incomes in excess of $300,000. As well as existing

PROPERTY

businesses, we currently have four off the plan complexes under contract,” she said. “The demand for these permanent accommodation complexes is, in part, being driven by extremely low vacancy rates. According to SQM Research, the vacancy rate is 0.6 percent as it seems like everybody wants to move here permanently, especially Sydney and Melbourne people,” she said. “When I moved down from far north Queensland to the Sunshine Coast, obviously I had no idea about how the pandemic would dramatically change everything we knew and what impact it would have on the industry here. “It could have been a total disaster from a business point of view for myself but, as we all now know, the border closures and lockdowns led to a big increase in drive tourism and domestic migration, and the Sunshine Coast has benefited from this.“ ResortNews | November 2021

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gets results, pure and simple Over the past 12 months, ResortBrokers has settled on 16 deals with a total value of $35m. Call us for a free appraisal. Sold

Sold

Tingirana

Ivory Palms Resort

Atrium

Noosa, QLD

Noosaville, QLD

Buderim, QLD

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Verve on Cotton Tree

Edgewater Lake Kawana

Bluewater Point Resort

Maroochydore, QLD

Kawana Island, QLD

Minyama, QLD

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Azure on Double Bay

Noosa Heads Motel

Shine on Brightwater

Parrearra, QLD

Noosa Heads, QLD

Mountain Creek, QLD

Glenn Millar

Chenoa Daniel

Broker, Sunshine Coast

0412 277 804

0403 143 151

glenn@resortbrokers.com.au

chenoa@resortbrokers.com.au

RESORTBROKERS.COM.AU | 1300 665 966

Meet the ResortBrokers Sunshine Coast team Introducing Glenn Millar For the past 16 years, Glenn has worked exclusively in the management rights industry and he’s established himself as one of Australia’s premier brokers in the sector. Since he joined ResortBrokers in 2005, he has sold more than 200 management rights with a combined value exceeding a quarter of a billion dollars. Very few brokers come close to this. His region predominately covers the Sunshine Coast, however, he has been involved in sales of both management rights and freehold branded hotels throughout Australia. A fervent believer in the management rights model, Glenn’s knowledge of the sector is highly regarded, leading to his involvement with the industry’s peak body ARAMA on an advisory panel. Glenn has sold many of the region’s

Glenn Millar

Chenoa Daniel

landmark management rights, many two or three times over. There are few management rights brokers who understand this segment of the market, certainly not to the degree needed in such a specialist field.

Introducing Chenoa Daniel Whilst Chenoa has just clocked up five years as a broker, she has been working in the MLR industry for 12 years running her own management rights and consulting business.

For three years Chenoa was ResortBrokers’ far North Queensland specialist and, after racking up an impressive $30 million in sales, she is now well and truly established in her new patch on the Sunshine Coast. Chenoa has become the go-to broker in a short period of time due to her hands-on experience in management rights in both short term and permanent complexes. Her track record speaks for itself. Chenoa achieved the highest multiplier to date in the far north with the sale of

the management rights to the Peninsula Boutique Hotel Port Douglas. That multi-million dollar sale attracted national media coverage and the achievement was all the more meritorious given the tough market at the time. Chenoa also hit the national headlines when she and Glenn Millar sold the management rights to the former Oaks Lagoons resort in Port Douglas on behalf of Minor Hotels to Silkari Hotels. After fine tuning her skills in a tough far north market she has brought her skill set to the Sunshine Coast and shaken things up. Some of her more recent noteworthy deals include Ivory Palms Resort at Noosaville, Verve at Maroochydore and Edgewater at Birtinya, to name a few. Chenoa demonstrated her superior negotiating skills by brokering the sale of Atrium, Buderim which sold for a record multiplier for the region of 6.1X.

Ben Orton from Prestige Residential is new to management rights on the Sunshine Coast By Mandy Clarke, Editor

Ben and his business partners recently took ownership of three management rights businesses on the Sunshine Coast and Ben is the managing partner. The properties include, the stunning beachfront resort, Tingirana Noosa which offers luxury Hasting Street holiday apartment accommodation, and two permanent properties, the Atrium in Buderim, and the High Street residential buildings in Sippy Downs. Ben, his wife and three small children chose to move to the Sunshine Coast from Brisbane because it offered the young family a more relaxed way of life. In doing this they were very specific about the management rights business they wanted. ResortBrokers knew exactly what Ben and his partners were

looking for and only presented properties that ticked all the boxes. Ben told us: “Predominately we look for large management rights businesses with higher incomes or big body corporate salaries that are in highly sought after locations, and all three of these buildings fitted our brief. “Hasting Street Noosa is the everdesired holiday location and the permanent management rights properties in Buderim and Sippy Downs sit in high demand, high growth residential locations.” Regarding the Sunshine Coast’s future Ben said: “There is still so much more room for growth in this beautiful region and therefore there is huge potential for the Sunshine Coast management rights industry. I believe that demand for both holiday and permanent letting will increase exponentially as borders open and even more people will choose to move or holiday here to enjoy this relaxed beach lifestyle.” PROPERTY

Ben Orton from Prestige Residential

ResortNews | November 2021

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Sunshine Coast MLR market

update October 2021 ©Kenishirotie - stock.adobe.com

By Jordan Hayes, Australian Valuers

There’s been a number of reports recently regarding the “post COVID” market and emergence from the slumber that the world has endured in the past 18 months. We’ve got a slightly different take. COVID is here for the long haul, and we are now entering a phase of living with COVID and the challenges and opportunities that this new lifestyle presents. The Sunshine Coast Management Rights market has shown incredible resilience throughout the 2020 to 2021 calendar year. As a region that has historically been labelled as volatile or ‘too heavily reliant’ on tourism, we find ourselves in a substantially stronger position than pre COVID conditions. Not that this has been unique. There has been high levels of property growth nation-wide, but the coast market appears to be at the forefront of the charge. With a far smaller reliance on international, and even interstate tourism, the Sunshine Coast has benefited from an increase in localised holidaying. There have been struggles, there is no doubt about that, but once we navigated through the initial three-month COVID window, previously untapped opportunities began to rise to the surface. The Sunshine Coast has always benefitted from a

$0 to $200k

$200 to $400k

$400 to $600k

$600k +

Gold Coast - Short/Mixed

3.98 to 4.57

4.59 to 5.43

N/A

Gold Coast - Perm

3.90 to 5.23

5.50 to 6.45

6.62

N/A

3.6

4.93 to 5.30

5.1

N/A

Brisbane - Perm

3.28 to 5.68

5.47 to 6.20

5.27 to 6.27

N/A

Brisbane - OTP

3.58

4.00

N/A

Sunshine Coast - Short/Mixed

2.41 to 4.35

4.27 to 5.88

N/A

5.40 to 5.77

Sunshine Coast - Perm

4.54 to 5.01

N/A

6.1

Townsville - Short Term

N/A

4.9

Townsville - Perm

4.12

3.86 to 4.0

N/A

Cairns/Pt Douglas - Short

3.98 to 4.15

4.00 to 4.25

4.04 to 4.80

4.03

Cairns/Pt Douglas - Perm

3.9 to 4.14

4.1 to 4.14

N/A

Net Income Brackets

Brisbane - Short/Mixed

* Standard Module **Large NRAS ^Not Settled strong level of return travellers, and who can blame them! We’ve now had nearly 12 months where the bulk of tourist destinations for Queenslanders have been limited to our state only and it’s given us the perfect opportunity to discover the best parts of our own backyard. Not only are our traditional NSW and Victorian guests itching to return, we’ve unearthed a whole new section of localised holiday makers that have discovered just how little ground they need to cover to visit some of the world’s best destinations.

A challenge we are beginning to encounter, is the impact of rising property prices and the pressure this is placing on manager’s unit values. Historically, manager’s units have attracted a premium over and above standard units within a complex, primarily given the additional areas on title. There is a genuine case to mount that this may be inverting, with real estate prices across the coast, particularly in high demand coastal areas surging. At some point the cost of the managers unit will start to impinge on the

PROPERTY

Source: Australian Valuers

returns of the business but we are yet to see circumstantial evidence indicating discounts are at play. At the same time business owners still need a principal place of residence, be it internal or external to the complex. As always, the market will find a way to adapt. With restrictions easing, vaccination numbers improving and an ever increasingly appealing destination on offer, there are positive signs ahead for the Sunshine Coast management rights industry. ResortNews | November 2021

Sunshine Coast Specialists – MR Sales LYN PEARSALL & AMANDA ROWE With a wealth of experience between them, Lyn and Amanda both have long and established careers in the Management Rights industry. As previous owners and managers of Management Rights complexes, Lyn and Amanda have vast experience, negotiating skills and understand what it takes to run a busy complex.Their enthusiasm for the industry is evident and both have the ability to add value to both purchasers and owners alike. From packages to profit, their experience helps identify opportunity and business growth. Working together alongside the MR Sales team, a smooth transition whether listing or selling your most valuable asset is assured.

BRIGID CLARKE With over ten years’ experience in real estate and Management Rights, Brigid is excited by the potential she sees for the market and plans to use her expertise to encourage growth across the sector. Brigid was introduced to the real estate industry at a young age working in her father’s real estate offices in Brisbane, QLD during school holidays. Brigid followed her family to Kingscliff, NSW where they purchased residential and commercial Management Rights to a consortium of properties in Kingscliff and found her place working alongside her father in this now premier holiday destination. After the family sold their interests in Kingscliff, Brigid invested in First Light Mooloolaba, a new development on the Sunshine Coast where she is currently appointed. Experienced in both family run management rights and the complexities of syndicate ownership, Brigid holds a wealth of knowledge and offers dynamic insight into the current day industry for her clients.

Contact: Lyn Pearsall - 0425 168 244 / lynpearsall@mrsales.com.au Amanda Rowe - 0427 413 319 / amanda@mrsales.com.au

Contact: Brigid Clarke - 0409 816 635 / brigid@mrsales.com.au

MARK MCKAY

RICHARD O’CONNELL

Mark is currently directly involved in the Management Rights sector operating a 46-apartment complex in Mooloolaba on The Sunshine Coast. Mark, and his wife Mandy, purchased the business in February 2019. Mark & Mandy still operate and run the Managements Rights for this business and therefore have a very good understanding of the day to day running of resorts. With the purchase, ownership and management of this business, Mark has put both his building skills and his real estate skills from the past 30 years into practice. His skill set serves him well in this particular industry therefore he is able to assist both potential purchasers into this exciting sector and current operators who are ready to sell their business and move on. Mark describes himself as a good communicator who understands what purchasing a business entails and someone who is motivated to building client relationships.

Contact: Mark McKay - 0428 865 120 / markmckay@mrsales.com.au

With 25 years in the hotel & hospitality industry as a hotel and resort General Manager, Business Development Manager and business owner, Richard has gained a strong knowledge of all accommodation sectors. Richard has had ownership of both motel leases, freehold ownership of boutique retreat businesses, both providing further insight into the financial management and operation requirements within the industry. Recently Richard has been involved in the retirement village industry, assisting in opening new facilities on the Sunshine Coast and operating a large retirement village. He enjoys working with people and providing great customer experiences to achieve common goals for business success for all parties. Richard has been a board member for tourism associations in VIC & NSW. Richard has the skills and knowledge to add value to any accommodation business.

Contact: Richard O’Connell - 0447 013 006 / richard@mrsales.com.au

MR Sales have an extensive range of listings Australia wide. Visit www.mrsales.com.au to view them now or Phone: 1300 928 556 | Email: info@mrsales.com.au

www.mrsales.com.au

Lanai Riverside Apartments

A little turbulence

can’t stop Karen from flying high By Grantlee Kieza, Industry Reporter

love the lifestyle. It gives me a great sense of achievement to know I’ve come from very humble beginnings in the outback to running such a beautiful complex as Lanai. My husband Ross and I bought the management rights to take us through to retirement and it's a great lifestyle.

Karen Nelson had key roles in two of Australia’s great tourist attractions, and she received this year’s ARAMA award as Resident Manager of the Year for her work at the magnificent Lanai Riverside Apartments in Mackay. Karen’s luxury Mackay accommodation offers style, space, convenience alongside the very best business, recreation, and leisure experiences. Her one-, two- and three-bedroom apartments with state-of-the-art facilities are located in Mackay’s CBD, which is known for being a mining, business and corporate destination but the locale is also a drawcard for tourists too. This modern bright and airy property also offers guests access to fantastic private resort facilities including a swimming pool, gymnasium, and traditional style sauna.

Your award from ARAMA this year is acknowledgement of what a great job you are doing. Karen Nelson at the ARAMA Awards.

Karen’s journey from her first home in the outback to Lanai has been incredible, and in conversation with Grantlee Kieza, she revealed quite a story!

You come from a background that’s very different to life on Queensland’s beautiful coast? I originally come from Tibooburra, New South Wales, which is in the far northwest corner of NSW near the state borders of Queensland and South Australia.

When I was very young my father was a boundary rider on the border fence, making repairs so the dingoes didn't cross over. I'm showing my age when I tell you that my father paid £1 for my first pair of R.M. Williams riding boots. Dad decided to move to Longreach for a change and I followed shortly after and ended up working at the Stockman’s Hall of Fame and the Qantas Founders Museum both of which I loved immensely. Dad is an opal miner still. He’s 73 but I don't think they will ever retire as they

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I was stunned to receive the award as Resident Manager of the Year for Mixed Letting. We do a combination of both short term and permanent letting within our complex and being an independent small family business, we know firsthand just how challenging it can be, but it’s also a privilege having a small but dedicated team to support us in our endeavours. We’re both thrilled and humbled to accept the ARAMA award and encourage all management rights operators to nominate themselves, it’s not hard but so worthwhile.

ResortNews | November 2021

Tell us about your journey on the way to running Lanai? When I moved to Longreach in the mid 80’s the town was very dormant. It was going through a terrible drought and the wool prices had collapsed. But the Hall of Fame breathed new life into the town and acted as a catalyst for tourism. I moved from the Hall of Fame in 1996 to the Qantas Founders Museum across the road and I had another six years there, becoming the CEO of the attraction. Originally, we were based in the hangar that Qantas used when they started in the early 1920s. It was always the plan to develop the aircraft display at the museum to encompass all the types of aircraft built and flown by Qantas during its history. Over time we acquired several magnificent planes that are on display.

Mike Phipps director of Mike Phipps Finance told us: “I had the great pleasure of first meeting Karen and Ross in 2012. They came from an accommodation business background and were immediately impressive as a ‘can do’ type of couple. “In particular, Karen’s journey at Lanai has presented challenges that many would have found insurmountable, but she has always found a way through. I greatly admire her determination, positive attitude, and glass half full approach to life. I am proud to count Karen and Ross as valued and highly regarded clients.”

A lot of people still don't realise that Qantas had its early beginnings in central western Queensland as a bush airline. I resigned in 2002 on the day we took delivery of the Qantas Boeing 747-400 which is one of the museum’s great attractions. It was time to hand over the reins and allow the museum to soar to new heights.

Those museums in Longreach are dedicated to the pioneering spirit that built Australia? Yes. It's only when you get out there that you realise just how much hardship Australia’s pioneers went through. They had wonderful character traits such as tenacity, determination and perseverance.

Do you have an interest in flying, too?

You’ve needed a lot of that in your business to cope with difficult times?

My husband and I both love it. My father taught himself to fly and he ran a flying school in Bundaberg for a period of time. He had a Jabiru aircraft at Longreach, where we both learnt to fly. Ross went solo in 13 and a half hours, and I went solo in eight.

Absolutely. In May 2013, an opportunity came up to purchase the management rights at Lanai at a time when Mackay was absolutely booming. They were doubling Caneland Central, which is the largest shopping centre here, and they had just built our big football stadium.

We are delighted to have Karen Nelson as a valued client. Best wishes from Mike and all the team.

ResortNews | November 2021

PROFILES

Within nine months it all unravelled because we suddenly hit one of the worst mining downturns in history and we had several properties still opening. So, there were 760 more rooms and beds added to a massive oversupply of accommodation, and with employment opportunities drying up, particularly in the mining sector, everyone was leaving Mackay. It certainly brought us to our knees, and we had to think outside the box to survive. We had very deep and meaningful conversations with our body corporate, strata managers and unit owners, and collectively we were able to put a blueprint in place to get us through those difficult times. We started emerging from the dark about two and a half years ago only to then get smashed by COVID.

What experience did you have in management rights?

within a 400-kilometre radius because of our buying power. We left Longreach in 2007 and came to Mackay because the education for our three kids was a priority and it was close to Central Queensland University in Rockhampton.

None, but we had bought a hotel, Starlight’s Hideout Tavern, in Longreach in 2000 and we ran it while I was at the Qantas Founders Museum. We also leased the Royal Hotel there at the same time and were also operating the TAB agency. When we bought the hotel, we knew nothing about running a hotel business but the community support in Longreach got us through those difficult times. Our business expanded with the introduction of a nightclub, providing catering services to the general public and the construction of a large bottleshop and within 12 months we were wholesaling out to practically every hotel and motel

We leased the Miners Lodge Motor-Inn from 2009 to 2012 but we didn't have full autonomy and we could see there was a bigger picture to set us up for retirement. Ross’s cousin has a company that specialises in non-destructive testing and industrial radiography so I worked in the business for a number of years until such time as I became more actively involved in the day to day running of Lanai, but Ross is still working for the company and his travels take him all around Australia and Papua New Guinea, leaving little time to assist with Lanai. We’re very much a family

PROFILES

business, our eldest son Aidan is a school teacher and doubles as our duty manager at night. Our daughter Chentele is my head housekeeper while our youngest son Joel works as a mobile plant operator at the Hail Creek coal mine near Moranbah.

You said you got smashed at the start of COVID. How are you handling it now? We've been very fortunate. Last March I knew that we were going to be in for a fair bit of turbulence, and we sat down and spoke with our body corporate, our unit owners and our body corporate committee. We knew it was going to be difficult, but we needed a clear plan to be able to navigate a path through and provide guidance and reassurance to our unit owners at all times.

ResortNews | November 2021

We had to keep the doors open so I suggested we transition a lot of our units from short-term letting into permanent lets with short leases and made sure the owners tapped into any financial assistance that they could avail themselves to, at the time. We also communicated regularly with updates on market conditions and availed ourselves of every opportunity to boost occupancy and returns while working within the Qld Dept of Health guidelines. We also kept ourselves busy by embarking on a refurbishment program of our units and undertook a significant amount of maintenance around the complex to ensure it continued to present to a high standard. In terms of the short-term letting, we contacted all of our mainstream corporate clientele, particularly those who had contracts in place and we found out what they needed to be able to book safely and made sure we had our COVID safety plan in place, and continued operating with essential travel only. We had approximately six weeks of pain, but we were very much

open for business, and we kept all our staff, we just redeployed them to other areas within the complex. We knew when things returned to normality and borders reopened, we would need a team at the ready, so we couldn't afford to lose their experience or enthusiasm.

How many units do you have? There are 80 of which 20 are owner occupied, but it's swings and roundabouts, some go out of the letting pool, some come

in. From April 1, 2020, through to March 31, 2021, we achieved 78 percent occupancy but it’s something we never take for granted. We shared our COVID plan with Mackay Tourism and they were able to provide that information to other members, particularly moteliers and other accommodation providers. Through our association with ARAMA we were able to have an input into their COVID-safe plan and benefit from the wisdom of their members who were also experiencing similar difficulties.

Last October, I was very fortunate to accept a position on ARAMA’s Board of Directors. My advice to anyone wanting to get into management rights is to surround yourself with great like-minded people and industry experts, push yourself hard, apply your learnings and never be afraid to ask questions. Failure has never been an option, nor the quest to give more than what you expect in return because it can be a wonderful business and a fantastic lifestyle.

congratulations! We appreciate the opportunity to partner with Karen from Lanai Riverside Apartments and congratulate her on winning the ARAMA Resident Manager of the Year. Through strong partnership comes great results.

Curious about who we can connect you to? This is just a sample of some of the amazing connections HiSITE offers, contact us to find out more.

Ph: (07) 4947 4401 reservations@lanaiapartments.com.au Property Management System

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ResortNews | November 2021

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

Commercial Bedding Specialists ASBESTOS REMOVAL ALL ASBESTOS REMOVED - QUEENSLAND WIDE

Personal Service. Trusted Advice.

Gold Coast: (07) 5592 3344 Sunshine Coast: (07) 5447 1210

Look for the sign of an Industry Specialist

BODY CORPORATE MANAGERS

DO YOU WANT TO CHANGE YOUR BODY CORPORATE MANAGER? IT’S EASY CALL...

1300 845 176 www.bcssm.com.au

w w w. L M g o l d s t a r. c o m . a u

Risk or Repair? ASSET MAINTENANCE

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

CIWREMEDIAL.COM.AU



BATHROOM RENOVATIONS

1800 425 903

Look for the sign of an Industry Specialist Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

1300 88 53 70 service@ciwremedial.com.au

WINDOW CLEANING PRESSURE CLEANING ANCHOR TESTING AND INSTALLATION CONCRETE REPAIRS BUILDING MAINTENANCE AND PAINTING SIGNAGE REMOVAL AND INSTALLATION HIGH-RISE WINDOW SEALING

sleepmakercommercial.com.au

ResortNews | November August 2021 2021

BUILDING MAINTENANCE SERVICES

Look for the sign of an Industry Specialist

PREFERRED SUPPLIER DIRECTORY

FREECALL 1800 306 316

MB 0433 369 351 W www.ghom.com.au

CARPET & FURNITURE CLEANING/PROTECTION

Red

F I N A N C E

Look for the sign of an Industry Specialist...

• We clean carpets, tiles, mattresses and upholstery • Professional maintenance and emergency cleans • Water extraction and flood restoration

Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

Across the Sunshine Coast Call 0438 302 591 www.firstresort.com.au

ENERGY MANAGEMENT CONSULTANTS & SERVICES

Professional & friendly service Over 30 years finance experience Accommodation funding specialists

Nick Smith - 0450 179 677 www.redtenfinance.com.au nick@redtenfinance.com.au

Management Rights Finance Specialists

Look for the sign of an Industry Specialist...

Brisbane: 07 3252 2219 • Gold Coast: 07 5576 7059 enquiries@pcsfinance.com.au

CLEANING CONTRACTORS

www.pcsfinance.com.au

Whatever, Wherever, Whenever!

NING

CLEA LIFESTYLE

www.accomnews.com.au/business-directory

RESORT & COMMERCIAL CLEANING SERVICING THE SUNSHINE COAST FOR OVER 15 YEARS

Look for the sign of an Industry Specialist

SUPPLYING ALL TYPES OF COMMERCIAL QUALITY FURNITURE, UMBRELLAS & SUNBEDS

FURNITURE

LARGE INVENTORY FOR FAST DELIVERY

David: 0421 618 566 jporter01@bigpond.com COMPUTER SOFTWARE

AUSTRALIA WIDE BEST PRICES FR

d an d o io ad m er lo de ial p wn tr do a vi

Daily Reconciliation – Systematic Distribution Holiday Resident Puma Light No trust accounting

Year 1 $1,100 Year 1 $990

FINANCE

Year 2+ $599 Year 2+ $440

ACL (364 314)

Motels, caravan parks etc. from $220 to $330 p.a.

1300 876 055 dennis@hotelinteriors.com.au www.hotelinteriors.com.au

Phone (07) 5446 2135

www.pumasoftware.com.au FURNITURE - OUTDOOR

ELECTRICAL APPLIANCES

Quality Electrical Appliances

Suppliers of Quality Commercial Outdoor Furniture & Accessories Personal Service. Trusted Advice.

Gold Coast: (07) 5592 3344 Sunshine Coast: (07) 5447 1210 w w w. L M g o l d s t a r. c o m . a u

fresh finance... Mike Phipps

0448 813 090

mike@mikephippsfinance.com.au

Paul Grant 0448 417 754 paul@mikephippsfinance.com.au

Look for the sign of an Industry Specialist

Cameron Wicking

0477 776 859

cameron@mikephippsfinance.com.au 4/31 Mary Street, Noosaville, Qld - 07 5470 2194

www.mikephippsfinance.com.au

A U S T R A L I A

Specialising in furniture for hotels, motels, serviced apartments, resorts and refurbishments

Reservations and Trust Accounting

W I D E

info@kudosfurniture.com.au

Commercial Specialist Direct Importers Sales, Service & Repairs ¾LARGEST RANGE¾FURNITURE ¾UMBRELLAS¾SUN LOUNGES Cnr Main Drive & Nicklin Way, Warana, Qld 4575 | Ph 07 5493 4277 Acres Centre, 1/37 Gibson Rd Noosaville 4566 | Ph 07 5449 9336

www.daydreamleisure.com.au sales@daydreamleisure.com.au

GLASS INSTALLATION/REPAIRS

• New Chairs • Tables • Sun Lounges • Umbrellas • Cushions & Accessories • Prompt Service Guaranteed REPAIRS - RESLINGS AND SUPPLY OF REPLACEMENT SLINGS TO P.V.C AND ALUMINIUM OUTDOOR FURNITURE

0418 765 257

www.casualfurniture.com.au

coastalcasualoutdoors@gmail.com VISIT OUR SHOWROOM AT: Unit 4, No. 2 Cnr Captain Cook Drive and Kendor St, Arundel, QLD

PREFERRED SUPPLIER DIRECTORY

ResortNews | November 2021

We get results. Pure & simple.

GYMNASIUM EQUIPMENT

Management Rights, Motel, Hotel and Caravan Park sales.

Look for the sign of an Industry Specialist

We’ve got you covered

MAIL BOXES

EBM is your Management Rights insurance specialist. As industry partners and members of ARAMA, we are proud to support the Management Rights sector. 1300 755 112 | ebm.com.au

INSURANCE

AFSLN 246986 ABN 31 009 179 640

1300 665 966

YOUR PARTNERS IN SUCCESS Quality Aust Products to meet All Building & Government Standards

DELIVERIES QLD WIDE – INSTALLATION & SERVICE IN SE QLD

P: (07) 5596 1440 E: info@sunni.com.au

MANAGEMENT RIGHTS AGENTS

Property Bridge MANAGEMENT RIGHTS

Calvin Bailey LREA

0414 889 593 calvin@cbmr.com.au

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

CALVINBAILEYMANAGEMENTRIGHTS.COM.AU

RESORTS

 Discreet Silent Listings  Free Market Appraisals …When you need us most! MGA was founded in 1975 and has since opened up 38 offices around Australia, offering Insurance products for:  Business  Strata  Landlord Protection With quick quote turnaround and hassle-free claims service Call us today on (07) 3720 6000 or email: quotes.brisbane@mga.com

INTERNET SERVICES

“Always passionate, committed and professional, you can trust the team at Property Bridge.” info@propertybridge.com.au propertybridge.com.au

Specialists in management rights Off the plan sales qld & victoria Buying or selling best advice Rod Askew 0411 758 236 (QLD & VIC) Eric Brizuela 0413 060 683 (QLD) Nationwide: 07 3554 0040 Email: sales@rcabb.com.au

www.rcabusinessbrokers.com.au

The Management Rights Specialists

1800 888 518

WORLD CLASS INTERNET ACROSS QUEENSLAND RESORTS  OPTIC FIBRE & COAX SOLUTIONS  NOT NBN  ENABLE FOXTEL BUSINESS IQ  USE YOUR EXISTING CABLING  FREE AUDIT CONTACT ANNIE MECKLEM 0410 607 846 | 1300 GIGABYTE

LINEN &/OR LINEN GOODS

SUNSHINE COAST

Matt Campbell 0410 343 219 Barry Davies 0438 554 995

contact@managementrights.com

www.managementrights.com Specialising in Motel & Resort Sales Qld wide Andrew Morgan m 0417 608 041 p 07 4953 1611 | w qthb.com.au

Australia’s Leading Hotel Bedding Suppliers

Supporting and servicing the needs of both buyers and sellers of management rights throughout Tropical North Queensland PO Box 1037 Gordonvale 4865 • P 07 4056 6366

Look for the sign of an Industry Specialist ResortNews | November August 2021 2021

07 5437 8544 info@mainlinen.com

PREFERRED SUPPLIER DIRECTORY

info@resortsales.com • www.resortsales.com

Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

SOLICITORS

Whatever, Wherever, Whenever! www.accomnews.com.au/business-directory

SPECIALIST AGENTS COMMITTED TO MAKING EVERY DEAL A SUCCESS

ASBESTOS REMOVAL QUEENSLAND WIDE

FREE CALL

1800 111 622 WWW.STRATACORP.COM

1800 766 366

HIRISE

Think Management Rights Wayne & Linda Stoll 0452 181 505

wayne@thinkmanagementrights.com.au

Narelle Filmer 0459 229 744

narelle@thinkmanagementrights.com.au

www.thinkmanagementrights.com.au

PAINTERS & DECORATORS

Specialising in:  Hi-Rise Repaints  Large Complexes  Interior and Exterior  Hi-Pressure Cleaning  Concrete Spalling Repair (Concrete Cancer)  Waterproofing & Roof Membranes LOCALLY-OWNED FOR OVER 25 YEARS

Ph 5520 1256

www.anppainting.com.au

FREE QUOTES &ADVICE

MAINTENANCE PTY LTD HIGH RISE/COMMERCIAL RE-PAINT, ABSEIL ACCESS INSTALLATION & CERTIFICATION, WINDOW CLEANING, ALL ROPE ACCESS MAINTENANCE

0435 818 380 www.hirisemaintenance.com.au vince@hirisemaintenance.com.au

MORE THAN

JUST

LAWYERS EXPERIENCE COUNTS We have the largest team of management rights lawyers across Queensland and NSW. We guide you through management rights every step of the way.

GET THE RIGHT ADVICE Painting, High Rise, Interior & Exterior and Building Rectification Brisbane – Gold Coast – Sunshine Coast W. Wilkopainting.com.au P. 1300 945 564

PLUMBERS & GAS FITTERS

Don’t put your accommodation industry investment at risk. Our industry knowledge is second to none.

QBCC Lic No 1050861 NSW Lic No 179886C

- SUNSHINE COAST -

LOOKING FOR DRAIN PLUMBING & GAS ? BLOCKED

SPECIALIST

• • •

OUR

SERVICES • GENERAL PAINTING • PROJECT MANAGEMENT

GENERAL PLUMBING DRAINAGE PROBLEMS GAS-FITTING & MAINTENANCE

Visit hyneslegal.com.au/subscribe or call +61 7 3193 0500 info@hyneslegal.com.au www.hyneslegal.com.au

24/7 EMERGENCY RESPONSE

SHEET METAL

• MAINTENANCE PAINTING SOLUTIONS • NATIONAL MULTI-SITE PAINTING • SPECIALISED ACCESS • BUILDING SERVICES

• Painting • Grounds Maintenance & Landscaping

• ANTIMICROBIAL SANITISING 1300 HIGGINS www.higgins.com.au

• Signage & Branding

Stainless Steel Handrails Restaurant Fit-Outs Exhaust Duct Work Ph 07 5593 4183

• Electrical Services

M 0413 432 294

• Audio Visual

adrian@sheetmetalimprovements.com.au

C O O L A N G AT TA T O B E E N L E I G H

• Data Communications • Sustainability

SIGNS

BRISBANE: 07 3007 3777 GOLD COAST: 07 5562 2959

info@mahoneys.com.au

Call 1800 620 911 or 07 3718 1600 programmed.com.au

Whatever, Wherever, Whenever!

New Agreements or Variations

General Advice

All at Fixed Fees

Flood Legal offers all the experience & expertise of a big firm while delivering accessible, personal & affordable service that comes with dealing with a small firm.

www.accomnews.com.au/ business-directory www.amalgamatedgroup.com.au info@amalgamatedgroup.com.au

Buying & Selling

PREFERRED SUPPLIER DIRECTORY

Call Sharon Flood, Director 0459 070 871 or 02 6674 5118 sharon.flood@floodlegal.com.au www.floodlegal.com.au

ResortNews | November 2021

think

management rights, think...

Whatever, Wherever, Whenever!

Buying or Selling Renewing or Reviewing Negotiation & Dispute Resolution We are recognised experts in our field, always outcomes focused and offer flexible fee options. Michael Kleinschmidt, Legal Practitioner Director PH: 07 5406 1280 info@stratumlegal.com.au

SWIMMING POOL SUPPLIES/REPAIRS

(07) 3226 3944 mjr@nicholsons.com.au / vas@nicholsons.com.au www.nicholsons.com.au

Appliance Rental Specialists

Personal Service. Trusted Advice.

Gold Coast: (07) 5592 3344 Sunshine Coast: (07) 5447 1210

Matthew Russell, Partner Vanessa Sciortino, Special Counsel

Management Rights Lawyers

TV & VIDEO HIRE/REPAIRS

Leading Sunshine Coast Law Firm

w w w. L M g o l d s t a r. c o m . a u

Heat Pumps

Proudly installed and serviced

Need advice regarding: • Buying / Selling • Legal due diligence reports • Variations including top up of term • Renewals/Extensions • Management & Letting Agreements • Body Corporate Issues • Off Plan Developments

VALUERS - REAL ESTATE MANAGEMENT RIGHTS VALUATION SPECIALISTS

Noosa 5449 7855 | Maroochydore 5443 2111 Caloundra 5438 1588

Get it right the first time…call

Griffiths Parry Lawyers

T: 07 5390 1400 www.gplaw.com.au

• equipment • repairs • regular servicing • maintenance • chemical supplies • swimming aids & toys

153 Cooyar Street, Noosa Junction (07) 5447 3896 shop@noosapoolandspa.com

TRAINING & DEVELOPMENT

Australian Valuers have proven to be the No.1 choice for this highly specialised work. Our valuation team operate on a national level providing advice to the majority of Australia’s Banks

australianvaluers.com.au mlr@australianvaluers.com.au 1800 664 094 The only specialist Management Rights valuation company in Australia (with 25 years experience)

Classes from Coolangatta to Cairns

Valuations for all purposes - National Coverage Major Lenders - Consultancy - COVID-19 Advice

REAL ESTATE LICENSING COURSES

Alex McCowan 0417 405 115 or Alison Sun 0416 181 285

WHEN EXPERIENCE MATTERS

admin@accomvaluers.com.au

www.accomvaluers.com.au

SPECIALIST EXPERIENCE IN MANAGEMENT RIGHTS Short Punch & Greatorix Cnr Bundall Rd & Crombie Ave Surfers Paradise PO Box 5164, GCMC, Bundall QLD 9726 Fax: 5539 8745 john.punch@spglawyers.com.au

Call John Punch on 5570 9322

CERVETTO COURTICE L AW Y E R S QUEENSLAND

Management Rights Sales & Purchases Phone: (07) 3202 2266 Fax: (07) 3812 1128 Email: cervettocourtice@outlook.com

1800 080 349 www.propertytraining.edu.au LIVE CLASSES at Logan Central

Management Rights, Body Corporate and Property Law Specialists 10/1 Lanyana Way, Noosa Heads T 07 5474 5777 E info@siemonslawyers.com.au siemonslawyers.com.au

PRET AUSTRALIA Professional Real Estate Training Since 2006 Resident Letting Agent Licence Course Real Estate Agent Full Licence Course

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Whatever, Wherever, Whenever! www.accomnews.com.au/ business-directory

Bonus FREE CPD Workshops & Ongoing Support for Graduates

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Valued up to $2000 per annum (conditions apply)

www.accomnews.com.au/business-directory ResortNews | November August 2021 2021

or Anywhere via Zoom

email info@pret.com.au visit www.pret.com.au

PREFERRED SUPPLIER DIRECTORY

RTO Number 31303

Look for the sign of an Industry Specialist

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