Resort News, February 2022 by Multimedia AU/NZ

Registered by Australia Post Print Post No. 100023799

Issue 306 | February 2022 | $13.75 inc. GST

The Monthly Magazine for Accommodation Industry Professionals

www.accomnews.com.au

Profile Kings Way Apartments Person of Interest Chris Traill management rights • hotels • motels • resorts • holiday parks • time share • hosted SPECIALISTS IN ACCOMMODATION FURNITURE FF&E AND JOINERY Custom made furniture including packages & finance solutions.

Dennis Clark MDIA Hotel Interiors

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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.

Advertising Conditions The publisher reserves the right to refuse to publish or to republish without any explanation for such action. The publisher, it’s employees and agents will endeavour to place and reproduce advertisements as requested but takes no responsibility for omission, delay, error in transmission, production deficiency, alteration of misplacement. The advertiser must notify the publisher of any errors as soon as they appear, otherwise the publisher accepts no responsibility for republishing such advertisements. If advertising copy does not arrive by the copy deadline the publisher reserves the right to repeat existing material.

Disclaimer Any mention of a product, service or supplier in editorial is not indicative of any endorsement by the author, editor or publisher. Although the publisher, editor and authors do all they can to ensure accuracy in all editorial content, readers are advised to fact check for themselves, any opinion or statement made by a reporter, editor, columnist, contributor, interviewee, supplier or any other entity involved before making judgements or decisions based on the materials contained herein. Resort News, its publisher, editor and staff, is not responsible for and does not accept liability for any damages, defamation or other consequences (including but not limited to revenue and/or profit loss) claimed to have occurred as the result of anything contained within this publication, to the extent permitted by law. Advertisers and Advertising Agents warrant to the publisher that any advertising material placed is in no way an infringement of any copyright or other right and does not breach confidence, is not defamatory, libellous or unlawful, does not slander title, does not contain anything obscene or indecent and does not infringe the Consumer Guarantees Act or other laws, regulations or statutes. Moreover, advertisers or advertising agents agree to indemnify the publisher and its’ agents against any claims, demands, proceedings, damages, costs including legal costs or other costs or expenses properly incurred, penalties, judgements, occasioned to the publisher in consequence of any breach of the above warranties. © 2022 Multimedia Pty Ltd. It is an infringement of copyright to reproduce in any way all or part of this publication without the written consent of the publisher.

Inside our February issue FRONT DESK Editor’s Note: Scared to lift expectations? ......................05

INDUSTRY ARAMA Report .......................................................................... 06 State Report ................................................................................08 SCA Report .................................................................................. 10 BCCM Report .............................................................................. 12 Person of Interest: Chris Traill .............................................. 14

MANAGEMENT

By All Accounts .......................................................................... 18 Legal Ease.....................................................................................20 Motel Market ............................................................................... 21 Thinking MR.................................................................................22 Smoking Ban fires up legal minefield ................................24 Good Governance .....................................................................26 Building Relationships ............................................................ 27 Q&A: MR lawyer has empathy, passion & technical skills ........................................................................28 Revenue Management: What do you do when yesterday was like never before? ........................................30

Why use a rate comparison tool on your website?...... 31 What the maid saw and other risqué business .............34

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

North Queensland's confidence high for future growth ........................................................................36 Mixed bag in Queensland’s Christmas holiday stocking................................................... 37

EDITOR

Mandy Clarke editor@accomnews.com.au

INDUSTRY REPORTERS DESIGN & PRODUCTION ADVERTISING SUBSCRIPTIONS

Grantlee Kieza Richard McGill

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

DEVELOPMENTS Development News ..................................................................38

PROPERTY

Accomproperties Sales Report ...........................................40

CONTRIBUTORS

Canberra couple rides the crest

Trevor Rawnsley, Col Myers, Kristi Kinast, BCCM, Lel Parnis, Peter George, Andrew Morgan, Mike Phipps, Lynda Kypriadakis & Kelley Rigby.

of the Noosa property wave ..................................................40 North Queensland Management Rights Spotlight .....45 The FNQ market update .........................................................53

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!

PROFILE Kings Way Apartments: Life by the beach is Cathy's latest adventure ....................................................54

PREFERRED SUPPLIERS Preferred Supplied Directory ................................................58 FRONT DESK

45 ResortNews | February 2022

Welcome to the February issue of Resort News.

I wanted to find and share some inspiring news.

Once again, the magazine is brimming with industry hot topics this month! From that shock smoking ruling to stellar tips for improving body corporate communication, and a list of allimportant things to consider when navigating Capital Gains Tax rules. Following on from our popular recent series of location-focused management rights market reports, this month Grantlee headed North… Investigating Tropical North Queensland, he found that although the northern operators have been through countless hellish times, during, and even before COVID (floods and cyclones just to name two!) they remain resilient. Accommodation operators in the area are reportedly sat tight, confident the winds of fortune will change... soon. As for the FNQ industry experts, optimism is one word in circulation, and the other is faith. They are confident that FNQ tourism and the

Mandy Clarke, Editor editor@accomnews.com.au MLR sector will emerge bigger and better than before. Elsewhere in this edition, we put some legal questions to Vanessa Sciortino, and got up close and personal with EBM’s very own Chris Traill. In a month full of political insult throwing, endless international border feuding, and exasperated rhetoric from managers once again asking, ‘when will this pandemic be over?’ I wanted to find and share some inspiring news. So, first, I joined in with most

of Queensland cheering on our very own hero, Ash Barty, celebrating with great state pride such a remarkable young woman as she became the first Australian to win an Australian Open singles title since 1978. Second, I was over the moon to hear that Dylan Alcott, another hero, was named Australian of the Year. Shockingly it’s the first time in the award's 62-year history that a person with a physical disability received the honour. Dylan is a 31-year-old athlete, Paralympian, philanthropist, media commentator and advocate, with achievements in both sport and disability awareness work.

EDITOR'S NOTE

Scared to lift expectations?

Dylan announced he would be using his profile to increase awareness and urged nondisabled people to “challenge your unconscious biases, your negative perceptions and lift your expectation of what you think people with disability can do”. With his words in mind, I’ve been inspired to write a report for our Resort News March edition, finding out how inclusive our industry really is. I want to look at accessible accommodation in the sector and ask how we might do better. Can we even increase revenue by being more inclusive? Tune in next month to find out. Cheers, Mandy

SPECIALISTS IN ACCOMMODATION FURNITURE FF&E AND JOINERY Custom made furniture including packages & finance solutions.

Dennis Clark MDIA Hotel Interiors

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ResortNews | February 2022

FRONT DESK

ARAMA REPORT

Industry insurance:

What is it, who needs it and why it’s like orange juice

How do you properly insure your management rights business? Every business takes out insurance and 24 hours a day, seven days a week ARAMA is working to ensure the safety and wellbeing of the Management and Letting Rights (MLR) industry. The average worth of each MLR business in Australia is a hefty $1.5 million, and we provide insurance for the industry, not just through discounted conventional policies covering fire and accident, public liability and legal fees, but more importantly, through our advocacy and the way in which we continue to represent this fascinating industry. This year we celebrate 30 years of ARAMA at work, and it was our advocacy in the 1990s that safeguarded the management rights industry against legislation that would have ruined it.

Trevor Rawnsley, CEO, ARAMA

But we also safeguard our members through innovative assistance. Under our new exclusive, membership service called A-LEGAL, ARAMA provides free legal cover of up to $250,000 if our members become involved in litigation over such matters as protecting their contract from unfair termination, workplace health and safety, unfair dismissal, tax audits, defamation, discrimination or in other disputes associated with

caretaking service agreements. If you don’t need legal protection of up to $250,000 good, but it is also good to know that if you do, ARAMA is there to support you.

array of free operational advice, and members can benefit from the fact that we are available to give advice and assistance 24/7, 365 days a year.

In 2020 we also launched A-MAP, ARAMA’S Member Assistance Program, which provides a crisis counselling hotline if our members need emergency stress relief. Our members can pick up a phone and in 20 minutes they can be talking to a qualified psychologist or crisis counsellor, who will give them the tools and advice to deal with whatever problems they face in these stressful times.

As the ARAMA CEO, I have fielded calls from our members on Saturdays and Sundays, and even over the Christmas break, when there have been emergencies.

If you don’t need A-MAP to help you navigate your way through the daily stresses then good for you, but it is good to know that if you do, ARAMA is there to support you. A-MAP and A-LEGAL are free for ARAMA members. No one else provides these services to management rights holders. ARAMA also provides a priceless

INDUSTRY

While you may not need ARAMA on weekends and public holidays it is good to know that ARAMA is there to support you in times of need. I do not know of any other peak industry body that provides this level of service to its members. ARAMA has worked hard over the last 30-plus years to help create and build the MLR industry into one of the best business models in the world. ARAMA was involved in the legislation that made management rights the lifeblood of the Queensland tourism industry and we have been ResortNews | February 2022

protecting and nurturing that industry to the point that it is now an extremely valuable business model where you can get back up to six or seven times the annual goodwill when you sell a MLR business, plus a return of 15 percent to 20 percent per annum and sometimes more, for your efforts. Much of the reason for that is because ARAMA has been there putting in the work on behalf of its members. Because of our advocacy we made sure that the laws didn't change in the way they were about to in the late 1980s and early 1990s. Those changes would have wiped out the industry at a time when it was really commencing to establish itself. ARAMA continues this work today. Without ARAMA, MLR businesses would look vastly different to the way they look now. They would be worth less and they would not have the same kind of protections they currently enjoy. Our message to the industry, even to rights holders who

Those satisfied with the fruit should also spare a thought for the people who laboured to produce it are not ARAMA members, is that we have been servicing your needs for over 30 years by protecting you, advocating for you, and representing you by lobbying your business model to governments on your behalf.

ARAMA is listened to by the legislators, and we can open doors that your business would never be able to. As an ARAMA member you can have your say and have direct input into the laws that affect your business.

No matter what the detractors might say about management rights, it has been proven that no one can do a better job of looking after a complex and the interests of the unit owners than a resident manager.

ARAMA is like an insurance policy, making sure that the MLR industry stays strong and profitable. That is our role!

The advocacy and representation that ARAMA provides in dealing with government benefits everyone in this fascinating industry. As a trusted peak industry body,

But it is surprising to me that more than half of those in the industry are still not ARAMA members. To me that’s a bit like someone walking past and grabbing a juicy orange from a beautiful orchard, eating the orange and saying, “how good was that?”

Management Rights Transactions One of the Sunshine Coast’s most experienced firms in on-site management rights transactions. • Commercial & Business Law • Litigation & Dispute Resolution • Wills & Estate Planning

• Property Law • Retirement Villages • Body Corporate

SUNSHINE COAST & QUEENSLAND WIDE

ARAMA is a collective of the combined efforts of its members and has spent more than 30 years making the management rights industry strong and healthy, fruitful and appealing. The more people who join our association and retain their membership, the stronger the MLR industry will become, and the better it will be for everyone involved in this wonderful business. So, the next time you are thinking about how you can build a better business, consider what your business would be like if ARAMA was not there to continually represent the needs of the entire industry. This is why we liken ARAMA to insurance for the entire MLR industry. Juice anybody!

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

Damian Quinn

For membership enquiries:

national@arama.com.au | www.arama.com.au

Damian Quinn (07) 5443 5266 www.simpsonquinn.com.au ResortNews | February 2022

Those satisfied with the fruit should also spare a thought for the people who laboured to produce it, those who tilled the soil, fertilised the ground and watered the plant to make that tree grow.

1300 ARAMA Q (1300 27 26 27)

INDUSTRY

The Strata Schemes Development Act 2015 and the Strata Schemes Management Act 2015 jointly provide the regulatory framework for the creation, governance and termination of strata schemes established in NSW.

STATE REPORT

Pending changes to the role of building managers in NSW: Part 1

Both of these acts have been recently reviewed by the NSW Department of Customer Service and a report on the outcome of the review was tabled in both Houses of the NSW parliament in November 2021. Of particular interest is the section of the report dealing with building managers.

manager by the developer cannot extend beyond the date of the first AGM, and that a building manager must disclose any connection with the developer, or any direct or indirect pecuniary interest that the building manager may have in the strata scheme.

The Strata Schemes Management Act defines a building manager as a person who assists in exercising any one or more of the following functions of the owners corporation: •

Managing common property.

•

Controlling the use of common property by persons other than the owners and occupiers of lots.

•

Maintaining and repairing common property.

The 2003 and 2015 strata reforms limited building management contracts to a maximum of 10 years (including

Col Myers, Small Myers Hughes

options) and provided that both the entering into and the termination of contracts with building managers had to be approved by an ordinary resolution at a general meeting of the owners corporation. The reforms also provided that the appointment of a building

The recommendations noted that the current definition of a building manager encompasses a wide range of contractors from concierges, gardeners, handy persons, and cleaners, all the way to facilities managers (who look after the facilities) maintenance, and safety (including fire safety) in a complex multi-storey building. The review noted the difference between strata schemes - small schemes that may simply

INDUSTRY

engage outside contractors as needed to undertake repairs and maintenance of the common property versus large, complex, multi-storey schemes who often engage a person as a building manager, whose role is to manage the safety and maintenance of the building, as well as facilities including gyms, pools, lifts, and carparks. The position of trust held by building managers in large schemes has led to suggestions that building managers should be subject to the same controls as strata managing agents. There is a belief that this would guard against conflicts of interest and ensure that schemes are not locked into contracts with building managers who are not competent or

ResortNews | February 2022

as common property contractors.

Recommendations

Term of building management agreements to remain under review

The report goes on to make the following recommendations in relation to these issues: 1.

•

Amend the definition of a building manager in the legislation to refer to a person who is contracted by the owners corporation to manage the overall maintenance, repair, and/or safety of a scheme’s common property. In this regard, they propose to conduct further consultation during the drafting of the new definition to ensure that it aligns with industry practice. Impose on building managers the following conflict of interest measures (that currently apply to strata managing agents): Requiring disclosure of whether any entity seeking to enter into contracts with the owners corporation is connected to the building manager in some way. Requiring disclosure of any referral fees or other commissions or benefits that a building manager may receive in relation to any contract that the owners corporation is proposing to enter into, before the contract is entered into. Prohibiting acceptance of gifts or benefits valued at more than $60.00 – except for commissions and training services approved by the owners corporation. Requiring reporting at each AGM of any commissions or training provided over the last 12 months and any expected over the next 12 months. Imposing clear obligations to provide the owners corporation with disclosures about how any owners corporation money is paid out or received. Redefine other contractors who undertake work assisting the owners corporation to manage the common property

ResortNews | February 2022

Whilst strata managing agents are subject to limited contract terms of 12 months for the first appointment (at the first AGM) and three years thereafter, feedback provided to the government has suggested that limiting the initial terms for a building manager to 12 months is not practical. This is because the building manager would almost certainly not commit to properly setting up the systems and processes to manage the property if they have no security of appointment beyond 12 months. Other submissions argued that the limitation of contract terms for building managers to three years is also too short, and that it is in the interests of the owners corporation for the term to be longer. While the Department of Customer Service appreciated these concerns, it also took the view that, as with strata managing agents, the concerns need to be balanced against the need to allow lot owners to reconsider the direction of the scheme in its early life, particularly given the vulnerability and lack of knowledge of lot owners at the first AGM. Consequently, the review recommended that there be further consultation with the strata sector on what the appropriate limitations on contract terms for building managers should be. While the legislation currently prohibits a person connected with the developer from being a strata managing agent for a scheme for the first 10 years, the review does not recommend that this prohibition should apply to building managers. Developers often operate their own building management businesses, which are part of the overall development package and can offer savings and innovative services to owners corporations. Hopefully, there will be no further shortening of the current 10-year term cap on building management agreements!

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Professionals

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Profile The Landmark Resort & Spa Person of Interest Alex Cook

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INDUSTRY

www.accomnews.com.au 09

While it is something we would all like to leave in the past, the fact is COVID-19 remains a significant disruption to business, life, and leisure in 2022. Readers of Resort News will be acutely aware the tourism sector has been battered by the pandemic over the past few years. Opening the borders has been a huge boost, yet the tens of thousands of accompanying Omicron cases have put a dampener on commerce. The COVID-19 pandemic has been disruptive, confusing and in many ways difficult for all. Members of SCA (Qld) have risen to the challenge and navigated the difficult problems of strata and social distancing. For many schemes that contain a tourist element, managing the minefield of ever-changing restrictions has been particularly difficult. It is important to remember that all the evidence and expert health advice indicates that this wave will peak in the coming months. The restrictions which accompany the present COVID-19 wave is a relatively light touch, particularly compared to previous lockdowns. We all need to remember that this wave will pass, to work together and not to panic. Restrictions in strata are in fact minimal, and common sense and self-regulation are what apply. After a few years of being very explicitly told what to do by the government, it is now down

SCA REPORT

Coronavirus and tourism Kristi Kinast, President, SCA (QLD)

to individuals, businesses, and bodies corporate to work together to ensure the safety of all. We must remember that for many of the tourist style schemes our members manage, this is the last roll of the dice after two years of border closures and historically high vacancies. Businesses associated with these schemes will not survive another dry spell. It is important for communities to work together in earnest to ensure they remain safe and open. Strata schemes have been placed in a difficult position throughout the pandemic given their simultaneously communal and yet private nature. At present, the government has not given committees or managers any power to shut down common property facilities, unless it is pursuant to a new public health order. Pools, saunas, barbeques, and gyms are all unable to be closed by the committee, unless another public health order is released ordering communities to do so. This is good news for residents and guests who can enjoy their holidays safely with the

QLD - NSW - VIC - WA

Restrictions in strata are in fact minimal, and common sense and self-regulation are what apply knowledge that they will be able to relax and enjoy all the facilities their accommodation has to offer. SCA (Qld) recommends the wearing of masks whenever on common areas to slow the spread within schemes. It is a sensible, easy to perform action which is not disruptive in the slightest. Masks are a simple and easy measure you can take to protect yourself and others and are already a part of normal life for all of us. What is important to remember in strata is that the legally enforceable framework is substantively that which we had in December 2019. It seems a distant memory but the pre COVID-19 way of life is closer than we think. From a tourism perspective, this is welcome, and in addition, there are no rules around access for unvaccinated versus vaccinated in accommodation - making life just that little simpler for managers. Whilst at SCA (Qld) we encourage all to be vaccinated, there is no doubt that body corporate managers and building managers not having to police compliance is a huge relief for them. The tourist sector will hopefully have a booming 2022 which

INDUSTRY

means that the need for efficient business practices and flexibility will be paramount. I encourage all readers to exercise discretion in how you manage COVID-19 in schemes. Lockdowns and restrictions do not appear to be coming back any time soon. It is up to all of us to work together to ensure we stay healthy and open. This means wearing face masks as a precaution, adhering to any applicable density limits and, particularly in mixed use schemes following restrictions. COVID will be with us forever it seems, and as the disease continues to slow in pace and become more of a part of life than an unexpected disruption we must adapt accordingly. To this end, we need to ingrain into ourselves a degree of vigilance about COVID-19, all whilst keeping our doors open. The resilience of strata managers throughout the COVID-19 pandemic is to be commended, and I for one as President of SCA (Qld) am tremendously proud of all they have achieved. SCA (Qld) understands how important a role our members play in ensuring that Queensland’s tourist sector thrives beyond COVID-19. ResortNews | February 2022

“Onsite Property” empowers managers Onsite Property is the leading service provider to Australian Resident Unit Managers and property investors. We provide cost effective services and infrastructure to resident unit managers to assist them in operating their management business including sales and rental services. From our origins in Brisbane in the early 2000’s – through our founding companies Viking Project Marketing, Viking Management Rights, Viking Strata, Property Economists and seqsales.com.au – to a single branded operation, Onsite Property has enjoyed a reputation for excellence providing leadingedge property insight and on-the-ground delivery focusing on the core value of client profit. We protect and grow resident unit managers rental pools by providing a sales solution

for the building or complex, marketing to property investors all the way through to our rental marketing services. We assist and help our managers to have a successful journey in the management rights industry and can assist in protecting and growing their asset and assisting in operating at a reduced cost, through to their eventual sale of the asset.

technology and our vast internet portals (to over 20 various real estate internet portals including realestate. com.au and domain.com.au). 2.

Sell yourself or have a dedicated salesperson to service the complex or building from Onsite Property, who is provided sale referrals as they arise by the Resident Unit Manager. This Onsite Property salesperson will conduct strategic investor marketing for any properties they are referred, aiming to provide first class outcomes for the vendor. Sales are conducted with the least possible disruption to tenants, protecting the Resident Unit Managers rent roll by marketing to property investors, who are buying through Onsite Property generally because of the fact that properties with Onsite Management are

We can help you maintain and grow your management rights asset through saving you money on essential services, whilst protecting your rent roll asset like no other through strategic investor marketing and sales. Resident unit managers join Onsite Property via an annual lowcost subscription starting from $299 per year which allows them: 1.

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

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Onsite Property Reviews “Managing a number of complexes and being in the industry for many years, Onsite Property is an essential tool to my business. The support they have are second to none, I am a fully licensed agent but prefer to use my complex representative John Diprose to help my owners sell properties to new investors”. – P & S Rowney, Sunnybank Approach “I have been involved with another company oﬀering similar services for onsite managers but decided to join Onsite Property for their better tools (user friendly) and lower cost. I am very happy to recommend Onsite Property”. – R. Marshall, Rosegarden Manors

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ResortNews | February 2022

INDUSTRY

BCCM REPORT

Body corporate communications By BCCM

The transition from life in a detached dwelling, where one is accustomed to a degree of autonomy, to life in a body corporate is a challenge for many residents. How well the realities of community living are managed hinges upon communication. It is not an overstatement to say that good communication is the cornerstone of an effective body corporate. Where the ties of communication are strained or damaged, conflict inevitably follows, too often ending up as a dispute application in the BCCM office.

Communication between residents

Where a concern about another owner or occupier escalates to the point that it needs to be addressed, be mindful that how you communicate initially can set the tone for the remainder of your interactions with that person. As they may be unaware of the impact of their behaviour on others, immediately switching into combat mode is unnecessary and more likely to be counterproductive. So, rather than venting your frustration by demanding to ‘keep the noise down’ or to ‘get your leaking pipe fixed’ in an abrasive manner, ensure that your first attempt at communicating the issue is non-confrontational.

Living in close proximity to other residents is characteristic

A polite letter explaining the situation or, depending on your

We have observed that, while on its surface an application might relate to a problem such as a busted pipe, a rowdy neighbour, an unauthorised improvement to a lot, a pet application that has been rejected, or a bad body corporate decision, it is commonly poor communication (in its many forms) that has cultivated the seeds of dispute.

of community living. It follows that residents must do their utmost to be considerate and avoid placing unreasonably high expectations on each other. For example, you are more likely to experience noise issues where someone is living directly above you, or where you share a common wall with another lot. Also, it is important to bear in mind that all residents have the right to use and enjoy common property areas, provided it is within the parameters of the by-laws for the scheme and the relevant legislation.

by insufficient communication. While the body corporate is required to act reasonably in the circumstances, it may not be reasonable for volunteer committee members to expend limited time and resources responding to all correspondence.

existing relationship, a friendly chat in person, is potentially all it takes to remedy the situation.

Communication between the committee and residents We often hear from residents who are vexed by their committee’s failure to respond to questions or correspondence. We consistently advise that body corporate legislation does not govern general communications and does not oblige the committee to respond to questions or correspondence from residents. Where time permits, it may be preferable for the committee to acknowledge receipt of correspondence from residents to avoid unnecessary disputes or further correspondence caused

INDUSTRY

In some schemes owners and occupiers believe that the committee’s role extends to acting as the body corporate ‘police squad’. While it is true that the committee has been elected to make decisions on behalf of the body corporate and tend to the day-to-day running of the scheme, membership is not a permit to unduly impose upon or harass residents. When communicating as a committee member, it is important for those communications to be courteous and professional. Limiting your involvement in the private lives of residents, wherever possible, as a committee member minimises the potential for conflict. However, some situations may demand a firmer approach. It is for the committee to act reasonably when communicating and to strike the appropriate balance in the circumstances. When communicating with committee members, residents ResortNews | February 2022

must recognise that these positions are typically unpaid and avoid setting unrealistic standards. Adapting your communications accordingly to reflect this fact is worth considering. Limiting the amount of correspondence so as not to bombard volunteer members with excessive communications may be a good starting point.

in the regulations. To clarify, it does not mean that a committee member who has a direct or indirect interest in an issue being considered is to be excluded from all communications around the issue. It simply means that the member is required to disclose that interest to their fellow committee members and not vote on the issue.

If there is a legitimate issue you would like the committee to consider, an owner can submit a motion. While there is no statutory obligation on the committee to respond to general complaints or correspondence, the legislation specifically provides that an owner can submit a motion to the committee to be decided within the ‘decision period’ (within six weeks after the day the motion was submitted, or up to 12 weeks at most if the committee notifies the owner that more time is needed than the initial six weeks). A motion should state the specific action you want the committee to take to resolve the problem. If the committee does not decide within the decision period, or an extended period, the motion is deemed declined. You can read more about drafting motions on our website.

While the legislation doesn’t regulate communication between committee members, it requires the committee to act reasonably when making decisions. Being inclusive and keeping the lines of committee communication open helps to maintain good working relationships.

Communication between committee members Committee members occasionally feel that they are being excluded from committee correspondence and discussions. As all committee members have equal voting power, there should be no reason to exclude certain members. Doing this only serves to exacerbate any negative feelings and promote further division within the group.

Developing internal dispute resolution processes may prove an effective means of promoting open communication in a body corporate. In addition to encouraging the free flow of communication, it enables grievances to be aired in a controlled environment, thereby deterring residents from lodging formal dispute applications. Some examples of possible internal processes include mediation or meetings of some kind. Also, not quite an internal dispute resolution process (but still helpful) is the appointment of a committee member as the first point of contact where practical. These options could be proposed by the committee, or they could be submitted for consideration as a motion from an owner. Enabling residents to voice their concerns internally means that they are less likely to view a formal dispute application through this office as their only

Communication by-laws Many of our clients experiencing communication issues are surprised to learn that the body corporate legislation does not specifically regulate communication. As the legislation is largely geared towards self-management and flexibility for schemes, communication is, for the most part, an internal matter. In some situations, stronger measures may be needed to regulate inappropriate communication and keep residents accountable. Implementing by-laws that regulate communication may assist here. For example, where a resident is persistently inundating the committee with correspondence or communicating in an offensive manner, a communication by-law may prove effective. In the decision of Tank Tower [2015] QBCCMCmr 322, the body corporate adopted the following by-law: Owners and occupiers must communicate with the committee in a reasonable manner and not in any way which may become an annoyance or a nuisance to any committee member. In considering this by-law, the adjudicator noted that it was “entirely appropriate… to expect communications to be reasonable, respectful, constructive, and not a nuisance” considering the extensive

responsibilities of the volunteer voting committee members and the paid non-voting members (namely, the body corporate manager and the committee). The adjudicator also determined that the respondent had clearly breached the relevant by-law. The volume of correspondence together with the abusive content were both found to be indicative of a failure to communicate in a reasonable manner When creating a new by-law to address issues of this nature, a body corporate should nevertheless bear in mind the limitations for by-laws in Section 180 of the Body Corporate and Community Management Act 1997. If a by-law is adopted that does not comply with Section 180, the body corporate runs the risk that an adjudicator may decide that the by-law is invalid. For further information, you can search for similar orders about communication by-laws online via the Australasian Legal Information Institute. It is evident that good communication goes hand in hand with the smooth and efficient running of a body corporate. As we have outlined, there are various attitudes and measures the body corporate and its residents can employ to support productive communication and avoid fracturing fragile relationships permanently. In most cases, stopping a dispute before it gets through the doors of the BCCM office is in the best interests of all involved. The strain on time and emotions makes formal dispute applications something to avoid where possible. Fostering healthy communication is critical and its value to a scheme should not be underestimated.

There is often confusion around the ‘conflict of interest’ provision

Internal dispute resolution processes

hope of a resolution. Once an issue escalates into an application in the BCCM office, the reality is that the ties of communication will be strained considerably, and relationships will be harder to preserve.

ResortNews | February 2022

INDUSTRY

PERSON OF INTEREST

Chris Traill

MR COVERED

By Grantlee Kieza, Industry Reporter

The name Christopher Traill will be familiar to most of you, and you may have met him at one industry event or another over the years. In fact, Chris was out and about a lot last year, and as a stakeholder of the ARAMA roadshows he visited venues up and down the Queensland coast, talking to managers about their insurance needs. This month Grantlee Kieza interviewed Chris to find out more about the man who has you covered. Queenslander Chris is a dedicated family man and a huge sport enthusiast but it’s insurance that flows through his veins.

You come from the Redcliffe Peninsula. You must be excited they’re getting their own NRL team? I've been following the Broncos

for so long I'll probably stick with them. I've lived on the Gold Coast for the last 10 years, but I haven’t converted to the Titans yet. To be honest I’m more into cricket these days than league. I spent nearly the whole of the Christmas break watching the Test matches. I was happy that Australia won the Ashes series, but I was disappointed in the way that England lost so badly. In the last match at Hobart, it looked like the English batsman were in a hurry to get out, so we lost two days of play.

How did you join the insurance industry? My family has always been involved in insurance. My father spent almost 40 years in the industry, and I was so sick of all the conversations around the dinner table being about insurance, I thought I'd get involved myself!

only way I could get a start in the insurance industry, and I've just worked my way up from there. I went into claims which is a great way to start when you enter the insurance business. It gave me a good grounding and knowledge of the business and of coverage and exclusions. I also got customer service experience because at the end of the day, we're all here to help customers with their claims. Eventually I became an account manager with my own clients and established relationships which I still have. There are some clients I’ve been working with for 15 years who have followed me, which is always very nice.

How did you start at EBM?

I left school in 2004 and completed a year or two at university before deciding to get into the industry. Now I've been involved in insurance for the last 15 or so years. I started working at OAMPS as a receptionist. It was really the

I've been with EBM for nine years. When the broker who was looking after management rights for the company resigned, I was given the opportunity to do the job. Since then, it's been a ‘good old foot on the ground’ career. A lot of our business comes from wordof-mouth recommendations and that's why you’ll find me at every single MR event.

INDUSTRY

Pre-COVID I was going to about five events a month, and most of them were out of hours. However, my high profile in the sector means that EBM is very much the go-to business for management rights. We're fortunate in the relationships that we've got and for our excellent reputation. We have so many leading accountants, brokers and lawyers in management rights that recommend us.

How did EBM come to specialise in management rights? It developed from our landlord provision which is massive. Now 95 percent of what I do is in the accommodation business. EBM is the largest management rights insurance broker, and we look after about 1000 management rights operators and that's about 30 to 40 percent of the industry with our EBM RentCover products. We have about 150,000 clients as landlords and insuring this is a massive puzzle piece for management rights and strata buildings. About 15 years ago ARAMA approached us because their previous provider ResortNews | February 2022

doubled the premiums and was restricting the cover. They asked us to do something to help. This happened before my time at EBM, but the company sat down and created a product they took to market. An insurer bought into it, and we've been doing it for 15 years now.

When it comes to management rights what are the main things you're insuring? Liability and professional indemnity are the two main ones, and we also do statutory liability. It's all about safeguarding a client in case people get hurt, property gets damaged or in case something that a property owner fails to do causes people to lose money; be it to a body corporate or a guest or tenant. The statutory liability component is all about government bodies; workplace health and safety, the Office of Fair Trading – those sort of government bodies that might fine or penalise you or take you to court if you do something wrong. Basically, we try to cover off all aspects that could come against a management rights operator. Even our basic package should cover off 99 percent of things that could go wrong for a management rights business from a liability perspective.

What is it about the insurance business that you really like? When I first joined the industry, I had a mentor who said that all businesses have lawyers, accountants and advisers of some description, but when the stuff really hits the fan there's only one person that they're going to turn to for help - and that's their insurance broker. If your house burns down, the insurance broker is there to make sure everything will be okay. So that really drilled home to me how important we are when it comes to looking after our clients and the level of responsibility we have. At the end of the day when things go wrong, what we do, and what we plan with our clients, are the things that are going to help them through any crisis. ResortNews | February 2022

Chris and Danielle's three-year-old daughter, Luna

What have been some big changes in your field? We look after equine insurance, and we do a lot of recreational horse-riding risk insurance and that is a very tough market at the moment. If you're operating a horse trail-riding business, or a motorbike trail-riding park, or you’re a jet boat operator - they are finding it nearly impossible to get insurance. Take for instance the tragedy that happened in Tasmania recently with the schoolkids and the jumping castle. A lot of people don't realise that apart from the shocking personal

tragedy, that case will also have massive ramifications for liability insurance right around the country. There are going to be quite a few civil and legal cases out of that. And insurance companies are going to be paying millions and millions of dollars. That will have a flow on effect for leisure operators who are already doing it tough.

You have a great new product you’ve developed for ARAMA? Yes. That’s an exclusive, ARAMA membership service called A-LEGAL. ARAMA provides free legal cover of up to $250,000 if their members become

We have so many leading accountants, brokers and lawyers in management rights that recommend us

INDUSTRY

involved in litigation over such matters as protecting their contract from unfair termination, workplace health and safety, unfair dismissal, tax audits, defamation, discrimination or in other disputes associated with caretaking service agreements. We have more roadshows coming up with ARAMA, the next one is planned for the end of February. So that will keep me busy over the next couple of months.

What do you do when you’re not working in insurance? I've got a wife, Danielle, and a three-year-old daughter, Luna. They take up almost all my time away from the office. Due to COVID my life has recently been about trying to keep a three-year-old (who can't be vaccinated because she's under five) occupied without going to too many high-risk areas. I do admit that some of my time is also spent trying to fit in watching cricket on the TV despite the best efforts of my wife and daughter wanting to watch something else!

INVEST IN MANAGEMENT RIGHTS FINEXIA DIRECT

ACCOMMODATION INCOME FUND PERFORMANCE UPDATE Finexia is pleased to provide an update on its Finexia Direct Accommodation Income Fund which commenced in September 2021; Since inception, it has achieved an annualised 12% return for its Unit Holders.* Distributions will continue to be paid monthly. The fund remains OPEN to new investors at any time. It is currently open to Wholesale and Sophisticated Investors. You can use your Superannuation Fund to invest. In the near future, the fund will allow investments from clients who are classiﬁed as Retail or Non-Wholesale and Sophisticated Investors. To recap; The Fund is an accommodation business that is domestically focused oﬀering hotels, resorts, serviced and permanent residential apartments. The portfolio currently consists of four properties; Two located in Broadbeach and Noosa. Focused on the Holiday, Leisure and Convention markets. Short stay properties. Two located in outer Brisbane. Focused on permanent or long stay residents, taking advantage of near zero vacancy rates. Liquidity: Investors can redeem their investment twice per annum. The mangers have been in the industry for more than 20 years. Management contracts with bodies corporate average 23 years. They currently have 90% of the maximum allowable term on the agreements. The Managers do not own the hotels, resorts or apartment properties themselves. Instead, it owns the contractual rights to operate the business on behalf of the apartment owners and bodies corporate. The portfolio is focused on the domestic guest market. 90% of guests are from Australia and NZ.

ﬁnexia.com.au/fdaif

Achieving 12.02% Since Inception

Monthly Distributions

Open to New Investment

Regular Redemption Available**

Experienced Management

"SYNDICATE, CONSORTIUM OR PARTNERSHIP DEALS" VS. FINEXIA DIRECT ACCOMMODATION INCOME FUND

4 Things You Should Know! For many years the Management Rights Industry has seen something of a boom in Syndicate, Consortium or Partnership deals as a way in which buildings have been purchased and how people have invested into those Buildings. These structures have provided investors with exposure to this successful Industry and very often have provided good returns and reasonably low on-going management needs. By their very nature they do have some inherent challenges that the Finexia Direct Accommodation Income Fund looks to address.

"Syndicate, Consortium or Partnerships"

FINEXIA Direct Accommodation Fund

1. What if I need my money back because my circumstances change? They can be very hard exit. Once an investor enters a partnership the only way they can get their money back is to ﬁnd another partner to replace them (sell their ownership) or dissolve the partnership by selling the asset. The other partners need to agree in both circumstances.

The Finexia Direct Accommodation Income Fund oﬀers liquidity via redemptions twice annually so you can enter and exit as your circumstances change. Conditions apply and are outlined in the Information Memorandum.

2. What am I liable for? What is the Legal Structure? It’s a legal partnership. Investors and the Manager of the complex are eﬀectively in business together and they form a legal partnership where amongst other things. Each partner typically has an equal vote on key matters irrespective of shareholding %. This means investors are exposed to the diﬀerent personalities and experiences of the other partners (who usually number 4 to 7) and are governed by a Partnership Agreement they all agree to at the outset.

The fund is structured as a unit trust, and you will own units in the unit trust. The Investment Manager and Trustee has appointed key management to the business. You are an investor in an investment vehicle. You will not be involved or liable for any of the day-to-day operations, nor will you have to guarantee any debts incurred by the business. Your maximum exposure is the amount you invest.

If there is Bank debt you are ultimately liable for those debts and they may ask for a Guarantee.

3. How am I protected? They can potentially be unregulated investment or ﬁnancial products. These partnerships are promoted and arranged by Building Managers themselves, Finance Brokers and Real Estate agents and have no external regulation or oversight beyond the complexities of Corporation Law. The Manager of the building is often eﬀectively the manager of the Investment.

This is structured as an Unregistered Managed Investment Scheme. The Investment Manager will operate under a Trust Deed, holds an AFSL and is part of an ASX Listed Group. There are many layers of governance and oversight. In addition, an external Custodian will be appointed to hold the assets of the fund on behalf of the investors.

4. What happens if the onsite manager doesn't perform or loses interest? Managers who aren’t performing or have lost interest or are just exhausted are not easily replaced. They are owners, partners, and can be diﬃcult to remove.

The Finexia Direct Accommodation Income Fund has management agreements in place with a leading industry professional with 20 years plus history owning an operating management rights. The contracted manager can be replaced without a ﬁnancial penalty due to nonperformance and the contract has a ﬁxed term.

BY ALL ACCOUNTS Capital gains tax (CGT) isn’t actually a separate tax, it’s ‘simply’ the methodology for calculating the taxable amount of any capital gain or loss made on disposal of a capital asset (property, shares, crypto-currency, business assets). Where a gain is made, the taxable gain amount is included in the taxable income of the individual or entity in their income tax return and taxed at their individual marginal or company tax rate for that year. Where capital loss is made the loss is available only for offsetting against other capital gains or to carry forward for future offset. No matter how large a capital loss you might make it cannot reduce your other taxable income, which can be a tough pill to swallow if you sell your business at a loss in a year where you otherwise have high taxable income, there is simply no opportunity to use the capital loss on sale to reduce your other taxable income. The CGT regime in Australia can be complex and varies depending on the type of asset

Lel Parnis Principal, Holmans

and eligibility to the Small Business Entity (SBE) CGT concessions. The ‘gross’ capital gain is essentially the difference between what you paid for the asset and what you receive for selling it, taking into account purchase and selling costs. The taxable capital gain, however, is often significantly less because of the various discounts and concessions available. Some CGT basics to consider

Full ‘Main Residence Exemption’ Your main residence/primary place of residence/home (PPR) is exempt entirely from CGT provided the following apply: •

It is your home for the whole period of ownership.

•

It has not been used to produce income (think, claiming a portion of costs in your tax return for running a business from home).

•

Is on land of 2 hectares/5 acres or less.

•

You were an Australian resident for the entire period of ownership.

Foreign residents are not entitled to the main residence exemption for properties sold after June 30, 2020, unless certain criteria are met. You cannot have multiple main residences at one time for tax purposes, excepting a six month overlap when moving from one to another. You can continue to treat your former home as your main residence for CGT purposes even though you no longer live in it provided you do not nominate another property as your main residence. If you use it to produce income in your absence the period of renting is less than six years at a time.

than six years at a time, you nominate another property as your main residence or you become a foreign resident you may be entitled to a partial main residence exemption on any capital gain made on the property. Where a property was originally your home, but you are not entitled to a full main residence exemption, there are two options for calculating the taxable gain on disposal: •

Pro rating the actual gain (sale price less costs) for the period the main residence exemption does not apply.

•

Substitution of a market valuation (prepared by a registered valuer) at the time the property ceased to be eligible for the main residence exemption as the cost base for CGT.

Example

Partial ‘Main Residence Exemption’

House ‘A’ bought as your home in January 2000 for $200k, you moved to a new home in January 2010 when the market value of House ‘A’ was $500k. You sold House ‘A’ in January 2020 for $600k.

If you use your former home to produce income for more

Main residence exemption calculation:

MANAGEMENT

ResortNews | February 2022

Option 1: Gross gain $600k less cost $200k = $400k. Main residence is pro-rated, 10 years as main residence divided by 20 years of ownership = 50 percent of the gain is exempt from CGT and the other 50 percent is the gross gain ($200k) which may be eligible for further discounts.

contribute the gain to your superannuation fund you must ensure the appropriate forms are submitted within seven days of making the election - liaise with your financial advisor, fund(s) and accountant to ensure an administrative error doesn’t end up costing you in forgone tax savings.

Option 2: Main residence exemption applies to the gain between purchase and where it ceased to be your main residence. Gross gain is sale price $600k less substituted cost base of $500k = $100k which may be eligible for further discounts.

Active asset rollover

Note: The market value substitution rule only applies where a property was originally your home. You cannot substitute a market valuation as cost base where you establish a property as your home where originally purchased as an investment property, in that case any main residence exemption is calculated on a pro-rata basis.

Having a broad understanding of the CGT regime is valuable, particularly for small business owners

CGT General Discount When you dispose of an asset, you can reduce the capital gain by the ‘General Discount’ of 50 percent or one third if the asset is owned by a Self-Managed Super Fund, where the asset was owned for at least 12 months, and you are an Australian resident for tax purposes. There may be access to a pro-rated general discount amount for foreign residents for assets acquired on or before May 8, 2021, provided they had a period of Australian residence prior to that date. There is an additional CGT discount of up to 10 percent for Australian individuals who provide affordable rental housing to people earning low to moderate income, increasing the discount to up to 60 percent for those residential properties.

Small Business Entity (SBE) CGT Concessions The small business concessions and eligibility therefore can be complicated depending on your circumstances, but generally you may be eligible to utilise the SBE CGT concessions provided one of the following applies: •

You are a small business entity with turnover (income) of less than $2 million for the year.

ResortNews | February 2022

•

You, or your asset, are used in connection to a carrying on a small business.

amount to your superannuation fund without affecting your other contribution limits.

•

You satisfy the maximum net asset value test. This test essentially means the market value of you and your related entities’ CGT assets less any liabilities related thereto does not exceed $6 million.

50 percent Active Asset Reduction

Some assets are specifically excluded from the definition of assets for the purposes of accessing the concessions, generally where a property is used to derive rent it is not eligible for these additional concessions. The 4 SBE CGT concessions you may be eligible to apply to further reduce any taxable income on sale of a business asset (an ‘active asset’) after any general discount is applied include the following:

15-year exemption Not one we see often, but a good-one. No CGT applies where you dispose of an active asset owned for 15 years or more and are at least 55 years old and are retiring. You may also be able to contribute some or all the gain

An additional 50 percent reduction is applied where the asset is ‘active’ which essentially means the asset is a business or used in a business. This concession is optional in application, an example of a time you might opt NOT to reduce your taxable capital gain would be where you are planning to contribute as much as possible to your superannuation fund under the ‘retirement election’ which is in addition to your other superannuation contribution caps.

Retirement Exemption Capital gains on disposal of active assets are exempt from CGT up to a lifetime limit of $500k if the gain is contributed to a complying superannuation fund OR you are over 55 years old at the date of disposal. No tax is paid on contribution to your superannuation fund and the contribution does not use up any of your concessional/nonconcessional contribution caps. If you do use this election and

MANAGEMENT

The rollover allows you to defer all or part of a capital gain for up to two years from disposal of the asset. If you purchase a replacement small business asset, or improve an existing one, one year before or within the two years of disposal of the asset, the gain will carry forward as a reduction of the cost base of the replacement asset essentially delaying any tax on the gain until disposal of the replacement asset. This process can be repeated over and over, provided all eligibility criteria met, meaning tax will only be assessed and payable on disposal of the final business asset. And if other concessions apply at that time, such as the retirement exemption, potentially no tax will be payable at all. You can apply as many of the small business CGT concessions as you are eligible for until the capital gain is reduced to zero.

In closing While not light reading, I’ll admit, having a broad understanding of the CGT regime is valuable, particularly for small business owners and those now dabbling in share and crypto investments. If you are considering buying or selling assets, please ensure you liaise with your accountant before signing any contracts to ensure you are clear on all potential tax consequences thereof. Disclaimer: This article contains general information only. Regrettably, no responsibility can be accepted for errors, omissions or possible misleading statements or for any action taken as a result of any material in this guide. It is not designed to be a substitute for professional advice, as such a brief guide cannot hope to cover all circumstances and conditions applying to the law as it relates to these items.

LEGAL EASE

Some caution about THAT smoking decision In December 2021, an adjudication from the BCCM Office ordered that a unit owner in Artique, Surfers Paradise on the Gold Coast be restrained from smoking cigarettes on her balcony, on the basis that smoke drift was causing a hazard (as defined by s.167 of the BCCM Act) to an adjoining owner. Some caution ought to be given to the decision, as it may not set a precedent binding all other schemes, principally because the outcome largely appears to have resulted from admissions made by the restrained owner. That is a matter of causation. The adjudicator was sympathetic to the applicant, finding in the reasons, when referring to a NSW tribunal decision, that there was no medical or scientific dispute that the inhalation of either primary or second-hand smoke can cause risk of adverse

The body corporate took the view, that this was a dispute between two owners, and did not issue a by-law contravention notice Peter George, Partner, Short Punch & Greatorix Lawyers

health effects (see Sheath v Whitely [2014] NSWCATCD 44) It appears that the findings in this matter may have application to other strata hazards and nuisances. However, an applicant will still have to discharge the onus of proof that the complained of conduct has been caused by a respondent and emanates from a respondent’s lot. In the absence of admissions, the circumstances of the determination of any application will depend upon the available

evidence. It is accepted that where the evidence supports a finding that cigarette smoke has emanated from one lot to another, that the smoke drift constitutes a hazard, and therefore can result in an order restraining the owner or occupiers of the lot causing the hazard.

could not be made against the restrained owner.

What if the smoke drift had come from a different source? The same evidence requirements must necessarily apply to other alleged nuisances and hazards.

In the instant case, the adjudicator was not satisfied that the applicant had provided sufficient objective evidence to establish a nuisance, although without admissions by the respondent, a finding

If the nuisance or hazard cannot, on an evidence basis, be attributed to a particular respondent, then the proceeding against that respondent ought not succeed. Another matter that should not be overlooked is the role of the committee of the body corporate. In this case, the body corporate took the view, that this was a dispute between two owners, and did not issue a by-law contravention notice.

It is observed that the body corporate could have but did not seek more evidence to assist the body corporate in making a decision concerning the issue of a By-law Contravention Notice.

MANAGEMENT

The take away from the decision is that the adjudicator considered it was the obligation of the committee to seek more information to make a decision in the context of compliance with the by-laws. Therefore, reading the reasons, the body corporate ought to take a more inquisitorial role in deciding whether or not there has been a breach of the by-laws. ResortNews | February 2022

Many businesses across all industries have struggled with changes that they have been forced to incur over the past couple of years. Changes in the way they do business, changes with demand for their product or service, changes in dealing with their employees and changes with their clientele.

The accommodation industry is no different and all types of accommodation businesses have had to make changes in various ways. There are challenges that have faced each in one way or another, whether it be a motel, hotel, caravan park, backpackers, resort, guesthouse, retirement village, workforce village, and so on. Some of the challenges faced have been common across probably all these types of accommodation and others will be specific to just the one. Further to this, those that have food and beverage venues onsite have incurred additional and varied challenges. The good news is that no matter what these challenges the industry and each individual business has faced, they have adapted and changed to either counter these challenges or work with them. During the past two years we have witnessed, too many examples to mention, of this occurring, however there are some common challenges and examples of how they have been countered, that come to mind immediately.

Those most savvy operators have looked to fill any void left by those not moving around as much due to the pandemic, either by government determination or self-preservation, by accessing these alternative markets that they did not previously target. The pandemic has helped to fuel the increase in this demand for longer accommodation terms by the, pardon the pun, ‘shot in the arm’ to the real estate market, residential in particular. This includes the increase in people moving around, buying houses or units, and/or building houses using government incentives where available.

fill the void such as contractors within the construction industry. The construction industry has ballooned in recent times with the demand for trades people at a peak. Short- and long-term construction contracts create the movement of workers thereby fuelling demand for short- and longer-term accommodation. Hospitality workers looking for more affordable accommodation options also assisted to fill a void left by the lack of international travellers. Students have also been able to access this more affordable type of accommodation thereby creating a win-win situation for all concerned. With the residential property industry recording rental market vacancies at less than 1 percent in many areas of Queensland, it is almost impossible for many to find any rentals available, let alone something affordable.

Another example that stands out is the backpacker accommodation market. The loss of the international travellers/ backpackers has had a major impact on this industry. Some businesses have struggled however others have adapted and looked to different types of potential customers in need of accommodation. Other types of workers have been targeted to

There are dozens and dozens of examples of the above situations within businesses that we have witnessed within the accommodation industry throughout the past two years. There is such a resilience and ability of accommodation business operators to change and think outside the square to make their business adapt and improve, within ever changing dynamics.

unable to access a rental house for weeks or months and need accommodation in between. Students who cannot access residential properties therefore seek alternative accommodation options. The list goes on...

Andrew Morgan, Queensland Tourism and Hospitality Brokers

to longer term stayers. Those people (potential guests) that may require accommodation for more than one or two nights but not necessarily to the extent of six months that would move them into housing/apartment rental time frames. Those that are in the ‘no man’s land’ area of not wanting or being required to stay for six months but somewhere in between. This type of demand can be driven by many different reasons. Work related such as a one week or four-week contract in a certain area, medical reasons such as the lack of particular medical facilities and machines therefore requiring the person to travel to a larger centre to access the specific requirements. Those moving locations who are

One is where demand for short term accommodation had declined in some areas of the state due to border closures or increased COVID case numbers keeping people from moving around. To counter this decline in demand many accommodation businesses changed tact by seeking out other types of potential guests to fill a void. One of these has been medium ResortNews | February 2022

MOTEL MARKET

Another word for adapt? Accommodate

MANAGEMENT

THINKING MR

The weird and the wonderful

Unless you are of my vintage (and what a good year it was!) you’ve likely never heard of Harry Day. He was from another time and to use a well worth cliché, I doubt that we will see his like again. Harry was born in Borneo in 1898 and spent his early youth there. He was educated in England and served in both world wars, first as a marine and later as a pilot. He was shot down during WW2, suffering burns to his face and hands but parachuted relatively safely into the hands of the Germans. I should mention that Harry was over 40 at the time and was only in active service through his own insistence. In 1944 Day and 75 other prisoners organised what came to be known as The Great Escape. Sadly, they were betrayed and re-captured the next day. Most of the escapees were executed but Harry was spared, apparently due to his status on both sides of the conflict. He finally escaped in the closing days of the war after stealing a Volkswagen, no mean feat if you’ve ever owned

Mike Phipps, Director, Mike Phipps Finance

a VW of that era. For his service Day was awarded, among many accolades, an OBE and the United States Legion of Merit for his service to fellow POWs. How do I know all this? Well, to be honest, until I started writing this, I knew bugger all about Harry Day! However, unbeknown to me I’d been quoting him for years, for it was Harry who once remarked “rules are for the obeyance of fools, and the guidance of wise men”. While the quote is now a bit dated and should perhaps refer to men, women and the undecided, there is a lot that Harry Day can teach us. We certainly live in a rule driven

society where there seems scant regard for the capacity of citizens to act with a degree of wisdom. The fiasco that is our “management” of the COVID crisis is but the latest in a litany of rules, mandates and legislation that simply don’t work. I suspect the same mob that told us the banking system was fundamentally corrupt (it isn’t) are now telling us that COVID will kill us all (it won’t). What we seem to do in the way we apply our rules is to remove from our processes any nuance or capacity for flexible critical decision making. The result is a society driven by a rule book so large and complicated that at best it’s an expensive and time-consuming nightmare to follow and at worst… well, look no further than poor Novak. Of course, once our ‘leaders’ realise that the rules are impossible to follow they do something really interesting. They add more rules, without first getting rid of the ones that don’t work. Kerry Packer once famously challenged a senate enquiry to repeal legislation at the same pace that new laws were introduced. The YouTube clip is magnificent and well

MANAGEMENT

worth a look. Watch out for the bemused faces of Kerry’s inquisitors, nothing’s changed. In any event, this ramble needs to look like it’s going somewhere and indeed it is. I started by deciding to write about two very different sorts of finance. That’s when the rules riff struck me. Let’s start with the easy and more relevant one:

Strata / Owners Corporation Finance As the name suggests this is debt funding to assist bodies corporate with expenses that might usually be covered via accumulated levies. The facility seems particularly appealing in instances where the sinking fund balance may be less than adequate, and the owners are not keen on paying a big ugly special levy. Terms of up to 10 years are generally available for residential schemes and up to five years for commercial. Funds can be taken in a lump sum or progressively drawn and can be used for multiple purposes. Levies are adjusted to take into account the loan repayments which essentially spreads the pain over the term of the loan. ResortNews | February 2022

The arrangements require approval at general meeting and importantly, the facility is unsecured. That’s reflected in interest rates that are a bit higher than fully secured business finance. Owners have no obligation to provide any personal or financial information and no personal guarantees or mortgages are required. Interest only options are available for up to 12 months albeit I suspect there would be little point in taking up such an option unless the improvements being funded were likely to materially increase income to the owners. If you are an owner who wants to know more feel free to give us a call. We work with strata managers to ensure the application is presented professionally. With a range of lenders providing strata finance our finance tender process ensures the best possible result.

Reverse Mortgages Yes, a bit out of left field but an increasing topic of conversation. I guess we are all getting older albeit I intend to fight it every inch of the way! To say that what should be a pretty simple debt product is a minefield of rules and compliance would be an understatement! Put simply, a Reverse Mortgage is a way for an older person to access money against equity in their home without having to prove an ability to service the debt. Nice for some you might say, but there are some rules (surprise) and it’s not all beer and skittles. First, you’ve got to be over 60… okay, so far, I’m in. You can use the funds for any worthwhile purpose including taking a lump sum to go on a holiday or regular drawdowns to supplement existing income from investments or the pension. There are no repayments as such, and interest accrues on a compounding basis. The older ResortNews | February 2022

you are the more you can borrow as a percentage of your home’s value. As the loan and interest are repaid from the sale proceeds of the house, you can see that the closer you are to falling off the twig the lower risk to the lender, hence the higher LVR. Importantly, once you’ve drawn down on your limit and interest starts compounding you are essentially eroding the value of your property. That might be okay if property prices keep going up but there’s no guarantee of that. It is of some comfort that the law prohibits lenders from chasing so called negative equity if the debt ends up exceeding the property value when the house is sold. The more concerning downside is the very real possibility that a borrower could live for a long time past 60 (that’s my plan) and end up with little cash from the eventual sale of the home to fund full time care or other later life arrangements. I think these are matters that anyone considering a Reverse Mortgage loan need to contemplate. Of course, if the kids are sweating on the proceeds of the estate, then gear to the heavens and have as much fun as you can get away with. There are of course rules around the kids coercing mum and dad to access equity to fund an early inheritance. That’s one rule I’m very much in favour of. But seriously, there’s a lot to think about with this sort of finance and the impacts and outcomes may well be almost impossible to predict. Having said that if you Google ASIC Reverse Mortgage Calculator it’s worth a look. The managing director just caught me on the site and has suggested reason for finance - New Ferrari is unlikely to get a run. I have argued that if you can’t erode your property value to acquire a beautiful car what’s the point in living… apparently, I’m about to find out!

a review of reverse mortgages in 2018 and with no hint of irony suggested that the rules, process, and product were hard for older people to follow. They blamed, yes, you guessed it, lenders, and brokers. It’s also worth noting the existence of the federal government’s Home Equity Access Scheme, formerly known as the Pension Loans Scheme. It’s a product designed to provide additional fortnightly income and can’t be used for a lump sum draw down. It works pretty much the same as a Reverse Mortgage albeit with some tweaks to give some scope to accessing the payment without impacting your pension. Details are available on the MyGov

site, good luck with that. In closing I can’t help wondering what Harry Day would make of the Novak incident? I suspect his reaction would not be fit for publication. I’ll leave you with this from one of my favourite poets, Dylan Thomas 1914-1953. Apparently, he drank himself to death after taking out a Reverse Mortgage and hitting the town! “Do not go gentle into that good night, “Old age should burn and rave at close of day; “Rage, rage against the dying of the light. “Do not go gentle into that good night.”

Problems Prevented - Problems Solved

SPECIALIST EXPERIENCE IN MANAGEMENT RIGHTS Over 40 years of service to the Management Rights industry, providing assistance in: Buying and Selling Ensuring Agreements Comply with the Law Agreement Negotiation with Bodies Corporate Representation to Licensing Authorities ‘Body Corporate & Community Management Act’ Advice Employee Dispute Resolution For expert advice please contact: Paul Jones Jeff Su Peter George Phone: 5570 9327 Phone: 55709 367 Phone: 5570 9360 Fax: 5539 8745 Fax: 5539 8745 Fax: 5539 8745 paul.jones@spglawyers.com.au jeff.su@spglawyers.com.au peter.george@spglawyers.com.au

Wyndham Corporate Centre, Level 7, 1 Corporate Court, Bundall Q 4217 PO Box 5164 GCMC, Bundall, QLD 9726

Interestingly, ASIC published MANAGEMENT

Smoking ban fires up legal minefield By Grantlee Kieza, Industry Reporter

A shock ruling that bars a Gold Coast unit owner from smoking on her own balcony could have wide ranging ramifications for strata complexes and open the way for many other restrictions. The ruling was made not because the smoking was a “nuisance”, but rather that it was deemed a “hazard”, paving the way for bans to follow other complaints over such things as cooking smells, noise levels and even coughing in an owner’s apartment. ARAMA CEO Trevor Rawnsley told us the ruling could open a “Pandora’s Box”. “If we now deem that smoking on a balcony is a hazard, does this now lead to ban on singing in the shower or whistling on a Tuesday?” Mr Rawnsley asked. “The latest ruling doesn't solve

anything; it just strengthens one argument against the other and could lead to more disputes over ‘hazards’.

from an owner of an apartment on the floor directly above. She is now only to smoke in mandated areas within the apartment.

“Smoking is a divisive and emotional issue, always has been and always will be. This latest ruling probably strengthens the argument of the anti-smoking campaign but it’s not going to resolve anything. Until the government makes a law that says smoking is banned and is specific about the circumstances where you can and can't smoke in strata buildings there will always be these kind of cases going before the courts.

The aggrieved resident on the ninth floor claimed her eighth-floor neighbour was a “chain smoker” and that the smoke entering her unit was “relentless and unbearable”.

“What’s next? Someone with COVID having to move out of their home because they have a cough?” On December 21, the Office of the Commissioner for Body Corporate and Community Management barred a unit owner at Artique Resort, Surfers Paradise from smoking “tobacco products” on her balcony following a complaint

The adjudicator’s ban was based on second-hand smoke being a “hazard” after the neighbour provided “sufficient evidence” as to the “volume and frequency” of the smoke drift. Former BCCM commissioner Chris Irons told us that Artique Resort’s body corporate was not involved “which of itself was a bit of a problem”. “It was the first time that particular issue was brought before an adjudicator as a hazard, rather than a nuisance,” Mr Irons said, “and the adjudicator declared it was a hazard and made orders about how and where the chain smoker could

MANAGEMENT

smoke in their apartment. “The adjudicator, who has power almost like a magistrate because he can make legally binding orders, found that the secondhand smoke constituted a hazard. “Now, if other people in units are annoyed by smoking they could pretty much do the same thing. “The ruling puts every building in Queensland on notice that second-hand smoke is a hazard. The adjudicator said that the potential harm from second-hand smoke was well established. “So not only does it open up that issue, but it also opens up the issue of what else is a hazard in a body corporate situation.” Mr Irons said cooking smells could “definitely be seen as a hazard” because the adjudicator ruled that a hazard is something with the potential to harm. “Loud music could now be deemed a hazard and not just a nuisance,” Mr Irons said, “the same with barbecue smoke, ResortNews | February 2022

incense smoke, even something such as an infectious disease.” Mr Irons is now the Director of Strata Solve, a strata mediation, alternative dispute resolution and problem-solving service for Queensland. He said it had always been difficult to prove that smoke, drifting into an apartment, was a nuisance, but the adjudicator had cited federal government and state government communications to prove it was indeed a hazard. Mr Irons said the adjudicator’s ruling, though, was not binding for other properties. “Adjudicators don't set precedents quite like the courts,” he said, “but it sets a benchmark. “All body corporate committees across the state are going to have to think twice about what they do and don't do when someone presents a complaint like this.” The eighth-floor smoker approached the case defiantly, saying she was “not hurting anyone”, that she was entitled to smoke “anywhere on her property”, and that she could not control the direction of the wind. She also objected to being “dictated to”.

It's the same as people not being allowed to have a party that goes all night long because they are going to affect other people. You just can't do it.

“Going downstairs was out of the question,” she said, because of a disability. She also asked why the complainant could not “buy a fan” to blow the smoke away and that she too, had “cigarette smoke, marijuana smoke, BBQ smoke (and) strong perfume smells” wafting into her unit. The adjudicator stated that “owners and occupiers within a community titles scheme do not have unfettered rights” and are bound by body corporate by-laws. “Although smoking is not inherently illegal, controls exist on smoking in many contexts within the community because of its potential to harm others,” the ruling declared. Todd Garsden, a partner at Mahoneys law firm, told us, that the provision to complain about smoke being a hazard “was always available but the problem was in producing the right amount of evidence”. He said the Queensland Civil and Administrative Tribunal decision of Norbury v Hogan [2010] QCAT 296 was the leading decision on what was previously ResortNews | February 2022

needed to prove a breach of section 167 of the BCCMA.

needed to prove ‘hazard’ was less than ‘nuisance’.”

“Essentially evidence was needed to prove the location and source of the smoke, as well as the volume, and that this created an unreasonable interference or nuisance,” he said. “Proving it was almost impossible because measuring the volume of smoke can only be done with expensive equipment.”

But he warned, “If this case gets to the point where it is appealed to QCAP, then QCAP may think ‘hang on you’re forgetting the standard of evidence 10 years ago’.”

In a Mahoneys article entitled Smoking in a community title scheme Mr Garsden also wrote that the Artique Resort decision had suggested a different way of applying section 167 of the BCCMA. “If sufficient evidence of the smoking can be put forward that proves the smoking creates a hazard, as opposed to an unreasonable interference, a breach of section 167 can be made out,” he wrote. Mr Garsden said the adjudicator in the smoking case “seemingly accepted a lower standard of evidence, and that the evidence

He also cautioned that “different adjudicators may see things differently in other cases” and may not follow the Artique Resort ruling. “For the meantime though it is very exciting.” The adjudicator on the Artique Resort case declared that the eighth-floor smoker was still permitted to smoke within her apartment but needed “to take reasonable steps to make sure smoke drift does not affect neighbouring lots”. The adjudicator also took aim at the body corporate for not making a submission on the dispute and that it had a statutory obligation to enforce bylaws. Peter George, Executive Consultant from Short Punch

MANAGEMENT

& Greatorix lawyers, said for the last 15-20 years there had been a public feeling against passive smoke, but doubted that the Artique Resort case set a precedent to stop smoking on balconies at all strata properties. “The outcome of this case, I thought, was really a result of some pretty robust admissions made by the owner who was smoking,” Mr George said. “She said she was in her unit, that she was going to do what she wanted, and that it didn't really matter how it affected anyone else. She said she was going to continue doing it because the laws didn’t bind her. “If she hadn't made those admissions in a pretty robust way the onus of proof would have rested with the applicant to prove that the smoke she was complaining about came from the respondent. “Every case has to be assessed on its own merits but if you can't prove that the smoke is coming from the respondent, you're not going to be successful. “In strata schemes there are limitations on what you can do. If the respondent wanted to take the view that she could smoke cigarettes wherever she wanted, she should live on 100-acre property out west where she's not going to annoy anyone. “It's the same as people not being allowed to have a party that goes all night long because they are going to affect other people. You just can't do it.”

GOOD GOVERNANCE

“PCBU” or not a “PCBU”? WorkSafe Queensland clarifies whether residential strata communities are persons conducting a business or undertaking. The WHS Act governs safety in workplaces in most states of Australia (check with your local state regulator to confirm) and the definition of a person conducting a business or undertaking “PCBU” has been a challenge to comprehend. This definition is important, because if you are defined as a PCBU then you have duties and obligations under the Act. Failure to discharge your duties could attract infringement penalties, so it’s a good idea to find out.

So, who is a PCBU? The easiest category of PCBU’s relevant to residential strata complexes is contract workers. All contract workers are PCBU’s. This includes trade contractors (the builder, the electrician or the plumber and so on) other service contractors (cleaners, pool service contractors, and gardeners), the letting agent (property manager) as well as the building manager, caretaker or facilities manager. In residential strata the body corporate may not be defined as a PCBU provided the common property is used for residential purposes only and the Body Corporate does not employ

•

Site induction at every site you work on.

•

A hazardous materials management system (if you use hazardous chemicals in your work.)

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An incident reporting system.

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A documented scope of works, Work Order or Contract in place for the works you deliver to each client.

•

Permission to work on the common property of the body corporate complex.

Lynda Kypriadakis, Diverse FMX

and employees that they pay wages or salary to. The best way to determine if you are a PCBU or not is to get legal advice.

PCBU duties If you identify as a PCBU you are required to demonstrate vigilance in risk management and be able to supply an audit trail supporting a positive safety culture on demand. So how do you do that? The following minimum requirements will get any PCBU started on the track to full compliance.

When working on the common property of a residential strata complex you also need to: •

Sign in/out with someone – make sure you get permission to work on the property, get keys or access provided by an authorised party, and let them know when you arrive/leave.

•

Be inducted to the common property - someone needs to induct you into the Evacuation Plan, Asbestos Register (if applicable), fire-fighting equipment, utilities, toilets and wash down stations, parking and so on, prior to arrival. Make sure you document your site induction for your records.

PCBU’s need to have: •

A WHS Plan for the work they do.

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Evidence of competency to do your job (e.g., trade contractor license.)

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Pre-start risk assessments.

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Safe work method statements for higher risk work activities you perform

person who coordinated/ arranged your work when you find a hazard that needs addressing

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Report any hazards you identify in the workplace - make sure you tell the

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Report any incidents that occurred during your time on the property – even if you were simply a witness to an event, such as security breach, WHS breach, accident or near miss incident, damage to property, theft or other unlawful event.

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Have someone sign-off on your work – or provide an ‘Exit Survey’ or some other document showing you completed the task safely and without incident.

The fundamental outcome of a conforming WHS Plan is the production of a documented safe system of work that enables the parties to the works contract to collaborate so as to anticipate risks and deal with hazards proactively, which in turn will increase the chance of avoiding an adverse incident occurring in the workplace.

Workplace health and safety relies on collaboration between parties to be effective Even if the body corporate is not considered a person conducting a business or undertaking under the Act, when engaging contract workers to work on the common property the body corporate will need to nominate someone to assist the workers with their WHS duties.

A contract worker cannot “induct himself” (for instance, arrive on site and find his way around to where the work is supposed to occur).

MANAGEMENT

In order for the contract worker PCBU to comply with his WHS duties, someone from the body corporate will need to nominate someone act as the Health & Safety representative, which includes facilitating the signing in of the worker, providing the site induction, providing copies of the evacuation plan and other safety documents, signing-off on the works once complete and being available to take hazard ResortNews | February 2022

reports or incident reports should the PCBU contract worker need to report them. Usually, these HSR duties would fall to the caretaker or the facilities manager, but if there is no caretaker or FM, the committee will need to work out a way to help the PCBU with these things so they can comply.

Public Liability versus Workplace Health & Safety Managing the risk of a public liability claim is very similar to managing the risk of a workplace incident claim. Both public liability and WHS risk management require vigilance in anticipating adverse events and evidence of putting things in place to prevent them from occurring.

A public liability incident is any adverse event that occurs on the common property that does not include a worker or their workplace. For example, if Mrs. Jones slips over on the wet floor that the cleaner is still mopping, this would be considered a workplace incident and could be investigated by WHS. The cleaning contractor and body corporate could both be joined as contributors or liable parties to this incident if Mrs. Jones were to make a claim. The cleaner (because it’s their workplace and work that contributed to the incident) and the body corporate (because the common property is owned by the BC and the work instruction was given to the cleaner by the BC as well). Alternatively, if Mrs. Jones is returning from having a swim in the pool within the complex

and slips over on the wet tiles, this is a public liability incident because no worker or workplace is involved. If Mrs. Jones were to make a damages claim for injuries incurred in this incident it would go to the body corporate. Unlike WHS (which puts the responsibility onto the PCBU to manage, as well as the body corporate who own the common property and issue the work instructions), the onus for public liability risk management rests with the body corporate when it comes to the common property of the strata complex. To consider how to approach this, bodies corporate may consider developing a site-specific Public Liability Risk Management Plan. The fundamental outcome of a Public Liability Risk Management Plan is the production of a documented safe system

of managing the common property, that enables the body corporate to anticipate risks and deal with hazards proactively, which in turn will increase the chance of avoiding an adverse incident occurring involving users of the common property. Risk management in residential strata is becoming more complex as the years go by (not less complex!), and liability claims against bodies corporate for things like slip/fall incidents on the common property are on the rise - at least in my experience. The Diverse Group are not lawyers and cannot give legal advice. Please do not construe this article as site-speciﬁc legal advice. Legal advice is highly recommended for all bodies corporate to better understand their PCBU status and WHS/public liability exposure.

If I could merely have one phrase that would sum up how to recover and retain clients it would be, “Play the long game”. I would leave my article there, but Mandy might not appreciate me sending in a one sentence editorial for the month of February. Have you ever decided to start going to the gym and after a week of slogging it out you see no results and conclude it is a waste of time? When really if you just stuck with it, kept consistent and were patient you would see phenomenal results. Retaining and recovering clients is somewhat similar to this scenario. You can’t simply send an email and expect clients to drop everything and trust you with their business. Building relationships and rapport takes time and consistency in all businesses but especially when you are asking to look after someone’s biggest investment. Whether this be in relation to sales or property management, both are huge decisions, and you must, at all times respect and understand that. You may not notice it but the little things that you consistently ResortNews | February 2022

Building relationships and rapport takes time and consistency

Kelley Rigby, Managing Director, Letts Rebuild

do for a client such as, keep them up to date through your quarterly newsletter, send them their favourite wine at Christmas, call them every six months just to enquire how they and their pooch are doing, may be the very reason they decline to move on when offered 5.5 percent commission by another agent. For some people it is hard to comprehend but the driving force behind a decision is not always money. You must find out what is important to your client and continue to exceed their expectations in that area. When contacting outside investors for our clients we have a 24-week marketing schedule, that is a six-month plan to try and retain their business. Although we know the onsite manager

is the best person to look after their property, we must prove to them we are the experts and find out what their driving force is and work on it. You must listen, remember - two ears and one mouth. If I am having a conversation with a potential client, there is a pen in my hand to ensure I catch anything that we can use to win them over. For example, the potential client might mention that the call out fee for their handy man is only $30. The next marketing campaign would be about how the manager does not charge a call out fee OR we do group booking for some repairs and the call out fee for ALL trades people is only $10 per unit. We listened to what might be important to them and provided a better option for them. The long game not only relates to marketing, sometimes it is also about working with your heart

MANAGEMENT

and not your pocket. In no way am I saying do everything for free and let people take you for a ride, but I believe that if you do what feels morally right money will come in one way or another. I wanted to end this month’s article on a somewhat serious message purely due to the tough times we are living in. If you are struggling at the moment and simply need someone to talk to, please ensure you reach out.

BUILDING RELATIONSHIPS

Client recovery and retainment

ARAMA has created a safe space called A-Map, it is an initiative that helps managers connect with a professional when times are a little tough. If that isn’t your style and you need an ear (and hopefully by the end a little giggle) please give me a call. If not me then a neighbouring manager who knows the struggles this industry can bring. The years 2020 to 2022 have not been easy for some people, so as they say, “it isn’t weak to speak.”

Q&A

MR lawyer has empathy, passion & technical skills Vanessa Sciortino with her son Sebastian. Photos: Annie Brett

By Mandy Clarke, Editor

This month, Vanessa Sciortino, Associate Director, Hynes Legal - an industry leader in body corporate and management rights, is in the Resort News hot seat! Vanessa you are a powerhouse, how did you get into law and this industry? Thanks Mandy! I went into law initially as I have an innate desire to assist others. That could also be why I gravitated to working in pharmacy from a young age. I started my legal career in a small firm on the north side of Brisbane where I was given a broad range of matters and naturally gravitated to property law. I have practised in multiple areas of property law (it is such a wide and varied area of law) and ended up in management rights by chance… and the rest is history (as they say).

What do you love most about management rights? The people and relationships, our industry is incredibly supportive, probably because there are more women than men - you’ve been to a Women In Management event - everyone is so welcoming and genuinely wants to see other managers succeed in their business.

What qualities should a good MR lawyer possess? Empathy and passion, as well as technical skills, of course. Understanding the intricacies of the business your client is buying is essential to being able to provide advice and guide clients through the management rights process. Putting yourself in the shoes of your client makes a real difference to the way in which you provide advice.

What should a buyer look for in their legal representation? Someone that genuinely knows what they are doing and gives frank advice. The easiest question to ask is how many transactions their lawyers have on at the moment.

What should a seller look for in their legal representation? I think the same can be said from a seller’s perspective. Most managers have (obviously) been through a purchase process but haven’t been through a sale process. Sellers can be quite emotive and tired by the time settlement comes around, especially if there have been multiple extensions of conditions and managing client’s expectations is really important in that process. Understanding bodies corporate is also a really important part of any sale, which is why Hynes does so well for sellers when it comes to body corporate issues. MANAGEMENT

What is the main MR legal issue you tend to deal with on a day-to-day basis? I’m in the transaction space so for me it’s really the validity of agreements and whether or not variations to those agreements have been done correctly and in compliance with the legislation - it may seem simple to prepare a deed of variation, but the number of documents I’ve seen which are non-compliant is worrisome. Getting those right is critical for the validity of the term that they create. Our litigation team tends to be seeing a lot more remedial action notices - I think (that dreaded C word) COVID has meant more people are at home and noticing whether or not their managers are doing a good job.

How has COVID impacted your own work life balance? While it brought many challenges, for me the best part is being able to work from home. While a lot of firms still hold the ‘old school’ view of having to be in the office to work, that mindset is different at Hynes. We all work remotely and this has given me much needed flexibility, being a busy single mum to an active grade two student (when school finally re-commences) I get more time with him after school and more time to fit in Pilates. Not having to commute to the city has been a huge weight off my shoulders, one I didn’t even realise was there until I stopped. ResortNews | February 2022

What trends in the sector have you seen in the last few years?

What commonly leads to failure? Poor or no communication between owners, managers and the committee. People’s expectations are best managed up front.

Transactions have definitely not slowed down for permanent complexes and short-term complexes, appear to be on the move again which is nice to see. The other big trend we are seeing more of is the ‘un-linking’ of the business from the unit with property prices increasing so rapidly, some managers wanting to sell are finding that the property value is far greater than the business, which causes issues for buyers and their financiers. By ‘un-linking’ the business from the unit it gives the manager the ability to sell their business far easier than they otherwise would. This also gives experienced managers the ability to ‘bolt on’ other businesses to their existing business. The slight worry with this is that a traditional strength of the industry (living with your owners) is becoming less common without the obligation to own or reside.

What is the one legal issue you would like new managers to be aware of? It’s not so much a legal issue but understanding your agreements and your duties. The duties are the cornerstone of your role, and you really need to be ‘across’ what you are required to do and manage any expectations of the committee. If you don’t understand a duty, ask. Ask your lawyer, your neighbouring manager, or get yourself the ABMA Building Management Code which will give you the answer. There are no silly questions after all, and you are far better to seek clarification than risk breaching your obligations. Don’t be in doubt about duties. Ask questions and remember that you are being paid to do a job. Everyone (especially bodies corporate) wants to get value for money for what they pay.

Talk to us about due diligence, how long should it take and what are the biggest issues? How long do we have? A thorough due diligence can take five (solid) hours or more depending on the number of documents. The biggest issues I’ve recently seen are the records of the body corporate not being properly kept up to date. This makes it difficult to verify compliance with legislation. This is often compounded by regular changes in the body corporate management companies and each having different processes for the way in which they store documents. It’s so important that records are kept up to date properly. ResortNews | February 2022

What is your piece of golden nugget advice for our readers? If you are in management rights, communicate, communicate, communicate and continually display the value you bring to a scheme and owners. Never, ever take those relationships for granted.

What are your thoughts on the recent smoking decision from BCCM?

What are the most common deal breakers? It generally comes down to two things: 1.

The income not stacking up; and

the personality of the committee - we can usually get a feel for that when we review the records of the body corporate.

There aren’t many legal due diligence issues we cannot find a way through. We love to solve a problem.

What are the most common ongoing legal issues managers and bodies corporate face? Legislative compliance. This is becoming more of an issue in recent times and with good reason. Non-compliance with fire regulations or workplace health and safety requirements can have catastrophic consequences. The other issue is understanding who is responsible for what in these roles.

In your opinion what makes some MR people so successful in this industry? Good interpersonal and communication skills. Sometimes, you just have to do something extra to keep your committee on side, because if it is something small, isn’t going to cost you a lot of time or money, why wouldn’t you do it? The moment managers start saying “that isn’t my job” is usually a good indication of trouble about to arrive. MANAGEMENT

From a personal perspective, I think it is a good decision and is in line with the proposed changes to the BCCMA which have been floating around for a number of years. The health impacts of passive smoking have been known for many years; I recall even doing an assignment on that way back in grade 10! There will always be arguments on both side of the fence, but it really comes down to smoking being a hazard.

Why is the management rights business such a potential minefield for investors unfamiliar with the sector? Usually because they do not understand what management rights actually are, and they buy in with unrealistic expectations of a manager’s role.

Why do lawyers have a reputation for being very expensive to engage? I can’t speak for all lawyers, but what clients are paying for is expertise, and that’s where the value is. I’m still surprised by the number of clients that would rather pay litigation fees than spend money at the outset seeking legal advice from experienced management rights lawyers. You are much better off paying for the right advice at the outset, rather than spend tens of thousands of dollars trying to save your business, which you have invested a lot of time and money. People sometimes also misunderstand what is included and not included in the role of what the solicitor is doing. I'm fortunate enough to work with a firm that makes that really clear at the outset. Having a clear understanding of what is and isn’t included in your fee arrangement can save clients a lot of angst.

Revenue management:

What do you do when yesterday was like never before? By Martin Hadfield, ARMA Columnist & Senior Pricing Analyst, ARMA

Revenue management forecasting techniques traditionally use the past to predict the future. But what do you do when yesterday was like never before? And what does “back to normal” look like?

As politicians grapple with the return of international travel, the opening of borders and a return to ‘normal’, those in the forecasting game get to thinking about what ‘normal’ means and how it might return. The traditional method of using the past to predict the future becomes an impossibility when something unprecedented like the global pandemic occurs, and the future is consequently just as uncertain.

Image courtesy of ARMA

PROGRAMME

So, what are the questions that need to be answered and what resources can you use to have the best shot at optimising your revenue?

What is normal? ACCOUNTANTS & AUDITORS

Business Mechanic Holmans Hospitality & Strata BUILDING MAINTENANCE SERVICES Building Rectification Services FINANCE Red10 Finance INSURANCE MGA Insurance Brokers SOLICITORS Siemons Lawyers Spranklin Legal SWIMMING POOL SUPPLIES/REPAIRS Billabong Pool Service & Supply All Preferred Suppliers have been recommended by other accommodation properties for their service and have qualified for inclusion in the programme. The next time you need to use a new supplier, why not make life easier and use a Preferred Supplier.

What do you hope to achieve? For revenue managers that simply means what demand at what price? But, to get to that simple answer you need to dig a little deeper. Will the demand come from traditional or new market segments? For instance, will the composition of your new normal customer base be more domestic demand, or do you expect a stronger rebound from international customers? Where should the marketing team focus their efforts? Unfortunately, there is no universal answer. The truth will be different for every business in every location.

When is normal? To find a Preferred Supplier see the directory in the back of this issue

Will the return of demand to your new normal be swift or gradual? Is that past regular corporate traveller going to continue to MANAGEMENT

travel to that next business meeting, or have they discovered that Zoom meetings are just as effective and widely accepted now, also affording increased time to service more customers rather than spending time travelling to and from meetings? Will airlines ramp up their old schedules quickly or will schedules change to suit the new normal, and will it take time to hire new crew as needed? Is there strong pent-up demand that will be released, or will people be a little more cautious and wait to see how things go? How will the emergence of a new variant impact consumer behaviour? The 1950’s is looked on as a boom time, which came about partly because of the end of rations and other wartime restrictions from World War II. Although a major difference with the pandemic is the ongoing uncertainty and risk of imposed restrictions, are there any parallels with our situation today? ResortNews | February 2022

to reach a new audience? Are they predominantly families or couples, old or young? How do you think these core customer groups will behave in the future?

Image courtesy of ARMA

What do people care about? Over the last twenty years, the airline and accommodation industries have become reliant on low price “use it or lose it” bookings. Has the level of uncertainty in recent times caused people to think differently about cancellation fees and non-refundable bookings? When we eventually see a resurgence in travel, will customers be prepared to and now more inclined to pay a little more for the security of a refundable fare? Terms and conditions that customers previously dismissed as an “it’ll never happen to me” situation may be viewed very differently moving forward. Getting your terms and conditions right may become a very important consideration for people looking to make a booking. What terms and conditions in your organisation could you adapt to make your product more attractive? The fine print isn’t the only non-price aspect of your business that people may care about. A property with a strong reputation for cleanliness and for being well-maintained has the potential to bring more business your way. What are your businesses other competitive advantages that people might now start caring more about?

What’s right for me? Now that you have an idea of the problems you have to solve, where do you go for the answers? The good news is that there are just two places to search. Locally and globally. The local search involves understanding who your customers are in your business. Are they the same types of customers you had two years ago or has your business adapted ResortNews | February 2022

What are your key local competitors doing? Are they ahead of the game and trying new things or are they lagging behind and just reverting to the same old thing, providing you with an opportunity? What is happening to other cost drivers that affect your customers? For instance, if you run a holiday park, will high fuel prices impact people’s decisions to take a driving holiday? Or will the re-opening of local attractions and open spaces make your location highly desirable? How has your community responded to local catastrophes in the past like floods, bushfires, and cyclones? And don’t forget to jump into your customers’ shoes and consider how you would behave as a customer. The global part of the equation is a search to learn from similar and relevant experiences. Are there people that you can reach out to overseas who you can learn from? Are there articles or studies that might provide some information or new ideas? There are thousands of newspapers around the world writing stories and articles every day. What are our governments doing? Will their actions help or hinder your business? The next year or two will be full of continued and new challenges for everyone who forecasts and predicts as a part of their daily jobs. Sometimes we will get it right, and sometimes we will get it wrong. The key is to ask the right questions and make rational decisions with as much widely sourced information available at the time and always continue to monitor, review and pivot as needed. Martin Hadfield is currently a Senior Pricing Analyst and columnist for ARMA - Australian Revenue Management Association. His experience includes roles as Manager, Commercial Planning at Qantas Airways Limited and Finance Manager, Commercial Contracts with Department of Transport and Main Roads. Martin is a published author, speaker, and freelance writer on a variety of topics including aviation.

Why use a rate comparison tool on your website? Most travellers will start researching destinations and hotels well before they have applied for annual leave. Current statistics indicate that over 90 percent of all travellers will conduct their research online and 82 percent will go on to make an online booking. However, were you aware that 87.08 percent of online travel bookings are abandoned at the booking stage, with 37 percent of these leaving the site to compare prices on other booking sites? The question to ask is, how can you increase the stickiness of your website to secure a direct booking?

Correctly display what your property has to offer It is always a good idea to clearly display your offering by making sure all your property information is easily accessible on your site. You do not want to encourage potential guests to leave your site in order to search for relevant information elsewhere.

Provide clear pricing Be clear on the price throughout the booking process. No one likes a nasty surprise when they get to the final step in the process only to discover hidden additional charges.

Don’t let your guest shop around, use a rate comparison tool Price-conscious travellers abandon bookings at the last minute to check out prices on OTA sites that may be perceived to offer better rates. An inbuilt live ‘Rate Comparison’ tool on your website reads the rates from other distribution channels that your property sells on and displays these rates next to

MANAGEMENT

Sylvia Johnston, Senior Executive, HiRUM Software Solutions

your own. Not only does this eliminate the need for customers to check prices elsewhere but it increases the trust in your own website by providing the guest with up-to-date transparent data.

Why use a Rate Comparison Tool? A rate comparison tool has benefits for both you and your potential guests. It can help you stay aware of your own pricing within the market, enabling you to adjust your rates accordingly, without the hassle of having to manually research pricing on each of the OTAs. By introducing the rate comparison tool into the early stages of the customer's journey, you are providing transparency to your guest, which is important to instil trust with them from the outset If customers aren’t looking on other sites for a better deal, they are less likely to come across your competitor’s property, making it more likely that they will continue with the booking process for your property. By offering added value on your direct booking form, the guest will more likely transact with you directly rather than booking through an OTA. Along with good photography, engaging copy and easy functionality, one of the best ways to increase guest confidence and secure a direct booking is to use a rate comparison tool.

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Protect and defend your MLR business

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“Working with Kelley was a great experience, Kelley always responded promptly to our emails and worked us through the entire sales process which was efficient and professional.“ – Bobby & Tiffany, The Hudson On Albion Hill

“Kelley is a great business partner to work with, she has very good knowledge of the real estate market and done works efficiently . I highly recommend her and look forward for a chance to be working with her again in future.” – Seiko Ma, Bodhi Tree Group

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

“Kelley was able to reach our outside investors The results were immediate, and we were able t letting pool. It really is a no-brainer. To say we re – Chris & Emma Lane, Cellas Real Estate

“It is with pleasure that I am given the opportuni known Kelley for many years. Kelley comes from

the industry since she was a little one. Kelley is a and dedicated to her clients and their success. O immersed in the issue and is one of those rare p Kelley in her new venture and would thoroughly – Mike O’Farrell, MLR Services, Chairman

Our expertise offers comprehensive supp For more information please contact: kelley@lettsre

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on a level that we just couldn’t achieve. to bring several investors back into our ecommend Kelley is an understatement.”

ity to write a testimonial for Kelley Rigby. I have m a lovely family and has learnt and breathed an industry revelation. She is enthusiastic Once Kelley in involved she becomes persons that ‘owns’ the task. I applaud y recommend her to prospective clients.”

“Kelley is my hero! She is my go to lady for advice and guidance on everything related to our industry. Selling properties in our apartment complex is so easy with Kelley taking care of all the paperwork, legal matters and admin, allowing me the time to concentrate on finding my owners the best possible buyer. The professionalism and experience that Kelley adds, makes me confident and capable. The practical and balanced suggestions that Kelley offers for a large range of questions makes this complex industry so much easier. Kelley is also exceptionally well known and respected in the industry and is a networking queen! So anything that I need, Kelley is a phone call away, making complex challenges,simple and easy to remedy.” – Marion Simon, Boulevard North

port services to assist Resident Managers ebuild.com, call 0402 158 136 or visit lettsrebuild.com

What the maid saw and other risqué business By Grantlee Kieza, Industry Reporter

Housekeeping staﬀ see all manner of weird, wonderful and sometimes horrifying things when they do the rounds making beds and cleaning rooms. Among some of the most common items guests leave behind are phone chargers, toothbrushes, glasses, books, teddy bears, passports and single shoes, which are often found under the bed. Some of the finds are amazingly quirky. It’s quite common for housekeeping staff to find false teeth left behind in rooms, and according to one UK hotel chain, guests left behind a total of 80 prosthetic limbs in a single year.

apparently forgotten about when he checked out.

In America’s Washington state last year, police were called to the Lacey Days Inn when housekeeps found a baby deer in a guest’s bathroom.

Other housekeepers have reported things such as full nappies in the room safe, apparently for safe keeping; while another housekeeper screamed when she found a body next to a suitcase containing $2 million.

At another hotel, a guest had left behind a pair of Alpacas, while one apparently forgot about the Aston Martin in the carpark.

The guest told the officers they found the deer a week earlier standing beside its mother, who had been hit by a car.

Travelodge staff in England come up with an extraordinary annual checklist of items that guests have left behind.

A survey by Reddit users found that among other things housekeepers found after guests checked out was a drawer full of spaghetti sauce, adult toys with a

The company’s “Lost and Found audit” includes everything from a winning Euro Lottery ticket to a bathtub full of jersey potatoes that the guest had

note asking them to be cleaned, and many prosthetic limbs.

Another guest left behind an urn containing the ashes of a beloved husband. There was a Land Deed & Title for property in the Scottish Highlands, though the housekeeping staff at Edinburgh Central Princes Street knew there was no “finders-keepers” mandate. So too at a Travelodge in London where a guest left more than $1million worth of share certificates in the room. One movie fan left behind lifesize cut-outs of Ryan Gosling and Brad Pitt, two of Hollywood's most handsome heartthrobs. It was more downmarket at the Birmingham Broadway Plaza where a guest checked out leaving 20 Bob the Builder costumes, complete with work belts and hard hats.

Other items that housekeeping staff around Britain have turned over to Lost and Found include a canoe, a mobility scooter, a gold bravery medal from World War II, and a current pilot’s licence. Most of the items were returned, but sometimes housekeeping uncovers things when the owner can’t be traced, including a hand found under a bed. It was the result of a drug deal gone wrong. As a rule, hotels don’t call guests about lost property for privacy reasons – the guest may not want others to know what they’ve been up to, so it is the responsibility of guests to pursue missing items. Advice from Queensland Police is that if you can’t find a personal property item, you should immediately contact places you have visited before reporting it as lost to police. Then if you still cannot find your property, complete a “report lost property form” online. You will receive an email within 48 hours with your police reference number.

Resort News would love to hear about the most unusual items your guests have left behind? Email editor@accomnews.com.au

MANAGEMENT

ResortNews | February 2022

high for future growth

TOURISM FNQ

North Queensland's confidence

By Mandy Clarke, Editor

0.6 percent in September 2021.

A recent economic report concludes that tourism was hit hard in 2021 but economic confidence remains positive in the Far North region.

As expected, tourism took a hard hit with an occupancy decrease of 13 percent (August 2021) and low travel confidence continues across all markets. However, with the region boasting such a diverse economy, it shows that overall business confidence is at the highest level since 2007.

Townsville Enterprise in partnership with AEC and the College of Business, Law and Governance at James Cook University released the Townsville North Queensland Economic Snapshot for November 2021. The report provides an overview of the statistical data and an economic outlook for the Townsville North Queensland region. It shows Townsville North Queensland bucked the Queensland unemployment trend, with a decline in unemployment rates. And reveals a sharp increase in appetite for property in the area, with the vacancy rate as low as

Townsville Enterprise CEO Claudia Brumme-Smith said the latest quarterly report demonstrates a developing twospeed economy with industry sectors such as mining and agriculture showing signs of continued success, while tourism and hospitality industry have continued to struggle through the uncertainty of COVID-19. “Whilst Townsville North Queensland’s local economy has not been immune to the impacts of the pandemic, the region has, for the most part, weathered the storm well,” Ms Brumme-Smith said.

“With some of the best commodity prices in history recorded in the last quarter, and huge leaps forward in the development of a hydrogen economy, these sectors of the economy are leading the way out of the pandemic and expediting recovery. “We cannot deny that the travel sector has felt the brunt of the pandemic; however, the news is not all bad as the region continues to fare better than capital city counterparts, with the general trend showing while less people visited, travellers on average, tended to stay longer and spend more. “This data demonstrates something we’ve always known - that our region’s greatest strength is in our diversified economy: and with the right enabling projects delivered by North Queenslanders, our region can lead the nation’s recovery and turbocharge future prosperity.”

TOURISM

JCU College of Business, Law and Governance Dean Professor Stephen Boyle said the report highlighted the confidence the region was enjoying despite the ongoing challenges associated with the COVID pandemic. “Even when you look at the tourism and travel sectors which are down, they are not suffering as badly as other markets. “They will continue to face challenges into the new year but provided travellers can have a level of confidence in the regulations and restrictions, there can be some optimism for the year ahead. “The resources sector has been a powerhouse throughout the pandemic and continues to drive the economic recovery in the region,” Professor Boyle said. For the full Townsville North Queensland Economic Snapshot report, visit townsvilleenterprise.com.au ResortNews | February 2022

Mixed bag in Queensland’s Christmas holiday stocking By Grantlee Kieza, Industry Reporter

restaurants were either closed or working on reduced hours.”

Christmas provided both valuable gifts and unwelcome surprises for Queensland tourism.

It was a similar story for the Gold Coast.

After the reopening of interstate borders on December 17, the Omicron variant of COVID ensured celebrations did not last for everyone, even though the Sunshine Coast was recently voted the most loved destination on the planet, and four Queensland locations figured in the world’s top 10. Daniel Gschwind, the Chief Executive of the Queensland Tourism Industry Council, told us: “At the start of this years' holiday period, Queensland’s tourism and hospitality operators enjoyed a hike in visitor numbers. Thousands of interstate holidaymakers took advantage of relaxed border restrictions and chose to holiday in our Sunshine State and reconnect with family and friends. “Queenslanders also continued to explore their own state's attractions and destinations, enjoying holidays closer to home. “Many hotels were at full capacity and diners across the state were urged to make bookings as restaurants and cafes were enjoying high demand from customers eager to enjoy themselves again.” But Mr Gschwind said the post-Christmas period was “a very different environment in Queensland and nationally.” ResortNews | February 2022

TOURISM REPORT

Glass House Mountains, Image courtesy of Visit Sunshine Coast

Destination Gold Coast CEO, Patricia O’Callaghan, said it was hoped that the summer would be the turning point for tourism and early indicators supported this.

Image courtesy of Visit Sunshine Coast

“Many holiday attractions, accommodation venues, and cafes and restaurants have been forced to limit capacity or even close their doors due to staff and supply issues,” he said. “In addition, as the infection rates climb, consumers are delaying or limiting spending and external activities, including travel”. The Sunshine Coast was recently voted the most loved destination in the world according to the Tourism Sentiment Index, which tracked travellers online across a staggering 1.8 billion conversation and content pieces. The Whitsundays came in at No. 2, Noosa at No. 5 and Cairns at No. 9. Visit Sunshine Coast CEO Matt Stoeckel said the Tourism Sentiment Index was a measure of a destination’s ability to generate positive word of mouth about its tourism offering, “and our No. 1 status reflects how well the Sunshine Coast is delivering on its visitor experience.” “With international borders

set to open, the fact that the Sunshine Coast resonates so strongly overseas highlights the potential we have to regrow our visitor numbers,” he said. But it was still a mixed summer season there. “Accommodation performed strongly,” Mr Stoeckel said, “with much of the Sunshine Coast at capacity over the Christmas/New Year fortnight, and occupancies remained resilient throughout January. “Our ability to tap into the south-east Queensland and NSW drive markets helped considerably, as did our strength in the apartment and short-stay sole-use accommodation sector, as that provided additional confidence for family travellers. “However, while the accommodation sector performed well, many of our attractions and hospitality venues operated well below capacity, often because of the lack of available staff. At some points in January, over 30

TOURISM

“Anecdotally, the pent-up demand to travel to the Gold Coast was significant and we saw this converting into flights, accommodation and tourism attraction bookings on the ground,” Ms O’Callaghan said. “Accommodation bookings in and around Christmas and New Year were promising with 75 percent occupancy on average according to STR data. “As case numbers continued to increase however, we saw disruptions to aviation carriers, tourism and hospitality operators due to staff shortages relating to COVID isolation requirements.” Ms O’Callaghan said the problem was exacerbated by a lack of access to Rapid Antigen Tests. “The removal of PCR testing requirements for interstate arrivals and revised definitions of close and casual contacts nationally aided some of these challenges,” she said. “Our industry is optimistic for what lies on the horizon as we work hard to rebuild Gold Coast’s pre-COVID $5.9 billion tourism economy whilst providing a memorable experience for visitors.”

DEVELOPMENT NEWS

The Sebel Whitsundays Airlie Beach - Two Bedroom Kitchen, Image supplied.

Accor’s The Sebel brand arrives in the Whitsundays tourism asset will operate with great success under Accor. Accor’s brands have wellestablished reach and global strength, and this translates to strong brand awareness and market penetration. Partnering The Sebel brand with this property is a natural association. We believe The Sebel brand perfectly captures the essence of this premium apartment-style resort.”

By Mandy Clarke, Editor

Accor has opened its first The Sebel branded property in the Whitsundays, heart of tropical north Queensland. The Sebel Whitsundays Airlie Beach features 54 newly refurbished apartment-style guestrooms, including a selection of one- and twobedroom apartments, threebedroom penthouses and four-bedroom presidential suites, along with a 15m resort-style swimming pool and heated outdoor spa, fitness centre, and outdoor dining area with barbeque facilities. Accor Pacific CEO, Simon McGrath, said: “We are excited to bring The Sebel brand to the Whitsundays - one of Australia’s most popular holiday hotspots. The Sebel has a long-standing

The Sebel Whitsundays Airlie Beach - Pool, Image supplied.

reputation for delivering exceptional accommodation and an outstanding service experience. It brings quality and credibility to the serviced apartments sector, which is rapidly growing in popularity. We’re seeing strong visitor numbers at our Whitsundays properties and we’re forecasting greater growth with Queensland

border restrictions now easing.” The Sebel Whitsundays Airlie Beach has joined the Accor portfolio following the signing of a franchise agreement with the Australianowned ‘at Hotel Group’. At Hotel Group Managing Director, Jeff Aquilina, said: “We’re confident this regional

DEVELOPMENTS

The tropical resort town and aquatic playground of Airlie Beach, the mainland hub of the Whitsundays, is the perfect base for holidaymakers looking to explore the Great Barrier Reef and Whitsunday Islands. The Sebel Whitsundays Airlie Beach joins a network of more than 30 The Sebel properties across Australia and New Zealand. In the Whitsundays, Accor also operates Mantra Boathouse Apartments Airlie Beach and Mantra Club Croc Airlie Beach. ResortNews | February 2022

Above and below: Render illustrating the Fairmont Port Douglas. Images supplied.

Fairmont Port Douglas fuels jobs for First Nations people It’s the first resort to be built in Port Douglas for 20 years and Port Douglas’ and First Nations people are set to receive unprecedented economic support with hundreds of jobs coming on line over the next two years as construction of the region's newest luxury resort gets set to start. Led by developer Chiodo Corporation, the $300 million Accor Fairmont Port Douglas will see close to 700 local workers employed each year over the two-year construction and a further 196 ongoing jobs supported on site once the property opens. Of these jobs, Chiodo estimates 10 percent will go towards the region’s First Nations people as part of a partnership agreement with local Indigenous communities. The partnership follows the signing of a memorandum of understanding with Kubirriwarra Yalanji Aboriginal Corporation to ensure the land and its people are treated with care and the site maintains its cultural reverence and acknowledgement, in accordance with local legislation. Chiodo Principal, Paul Chiodo, said ongoing consultation with local Indigenous groups ResortNews | February 2022

has meant the hotel is well placed to authentically and appropriately celebrate the region’s heritage, with all features from landscaping to artwork being decided in accordance with local culture and people. When complete the resort will offer a room mix across five floors, consisting of 150 standard rooms, 76 gold rooms, 11 one-bed, 11 two-bed, five presidential and one royal room. Several restaurants, bars, a day spa, a treetop walk as well

as conference and wedding facilities designed around large pools form part of the overall blueprint with Chiodo exploring plans for an art gallery to exhibit Indigenous artwork. Terry O’Shane of Kubirriwarra Yalanji Aboriginal Corporation has said he is thrilled with the partnership agreement which will see the creation and provision of jobs for the region’s First Nations people across construction and within the hotel, as a key part of Chiodo’s reconciliation plan with First Nations people.

DEVELOPMENTS

S&S Projects submits plans for a Palm Beach Tower The Urban Developer reports that S&S Projects has filed plans to build the tallest modern tower in Palm Beach, on the doorstep of a future Gold Coast Light Rail station. The 23-storey tower will be split into hotel rooms and apartments, with a café, restaurant, bar, day spa, gym and pool, at the corner of Palm Beach Avenue and 1128-1132 Gold Coast Highway, Palm Beach.

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

Anna & Eddie Cuschieri

A couple with a combined 60 years of experience in business have taken over the reins of one of Noosa’s premier resorts. ResortBrokers is proud to welcome Anna and Eddie Cuschieri to Noosa Crest Resort, which snatches a commanding location overlooking Laguna Bay and Noosa Main Beach. Eddie boasts an impressive background encompassing 30 years in the automotive and hospitality industries across New South Wales and the ACT. Anna has worked across a range of roles in the public service and small business sectors including as a registered sales agent and immigration officer.

PROPERTY

The couple’s vast experience places them in pole position to run the Noosa resort consisting of 39 stunning apartments. Facilities include 2 swimming pools, 2 spas, 1 sauna, a fullsize tennis court and private boardwalk to Hastings Street and Noosa Main Beach. The sale was negotiated by Glenn Millar from ResortBrokers throughout a demanding COVID period where the buyers couldn’t take over on the due date as they were locked out of Queensland, which resulted in a delayed settlement. Mr Millar said he expected to see continued strong results in Noosa during 2022, particularly with open borders and demand for the Sunshine Coast showing no signs of abating. ResortNews | February 2022

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ResortNews | February 2022

Your Management Rights Investing and Financing Experts Management and Letting Rights Quarterly Pulse • January 22 • Twelfth Series

Market Snapshot - January 2022

Data provided by The On-Site Manager website

STOCK LEVELS - The total dollar value of listings has continued to increase this quarter May 2019

Sept 2019

January 2020

June 2020

October 2020

January 2021

March 2021

June 2021

Sept 2021

January 2022

$914m

$1,010m

$985m

$863m

$717m

$646m

$576m

$565m

$616m

$679m

697 Properties on the market

739 Properties on the market

716 Properties on the market

641 Properties on the market

518 Properties on the market

500 Properties on the market

463 Properties on the market

444 Properties on the market

436 Properties on the market

481 Properties on the market

*SV XLI ƼVWX XMQI MR ]IEVW [I LEZI WIIR ER MRGVIEWI SJ PMWXMRK ZEPYIW SZIV X[S GSRWIGYXMZI UYEVXIVW May 2019

Sept 2019

January 2020

June 2020

October 2020

January 2021

March 2021

June 2021

Sept 2021

January 2022

,SPMHE]

330 Permanent

343 Permanent

335 Permanent

Permanent

187 Permanent

186 Permanent

Permanent

336

311

Multipliers have increased again this quarter BUSINESS MULTIPLIERS (Avg) OVER $1m Purchase Price \

8LI HE]W SR XLI QEVOIX LEZI LIPH WXIEH] XLMW UYEVXIV DAYS LISTED May 2019

DAYS LISTED Sept 2019

DAYS LISTED January 2020

DAYS LISTED June 2020

DAYS LISTED October 2020

DAYS LISTED January 2021

DAYS LISTED March 2021

DAYS LISTED June 2021

DAYS LISTED Sept 2021

DAYS LISTED January 2022

(E]W

Market Movers

The Holiday market in the Gold Coast and Sunshine Coast has supported the growth in the overall listings. The listing market appears to be growing again.

1300 886 103

ƼRI\ME GSQ EY

MRJS$ƼRI\ME GSQ EY

GSQTER] ƼRI\ME WIGYVMXMIW

Management and Letting Rights Quarterly Pulse • January 2022 • Twelfth Series

Management Rights for Sale - Market Analysis - January 22 Letting Pool Coverage – proportion of the total units to those within the Pool Agreement Coverage – refers to % of total agreement term available upon purchase. Total stock

Days listed

Average price

Multipliers

6IWSVX ,SPMHE]

4.17

Permanent

4.67

Corporate

3.80

Off The Plan

4.03

Caretaking

Retirement

$679,623,603

481

$1,412,939

4.39

23%

51%

80%

Grand Total or Average

‘On the Market Analysis’ - Market Pulse

Gross return %

Letting pool coverage

Total stock ($)

Agreement coverage

Historical Comparison of the Market Total properties on the market has hit another record low

Comparison by Agreement Type - January 22

MR 4VSTIVXMIW JSV 7EPI MR 7IT

694

716 641

650 600

529

550 500

501 463

450 400

4IVQERIRX MR 7IT ,SPMHE] MR 7IT

484 444

436

Jan 2022

Brisbane

Q MR 4VSTIVXMIW JSV 7EPI Q MR 7IT

700

739 695

Sep 2021

Standard Agreements multipliers have increased from an average 3.94x to 4.11x. Accommodation Agreements have risen slightly again this quarter from an average of 4.38x to 4.45x.

750

Jun 2021

Mar 2021

4.45

Jan 2021

Accommodation Agreements

800

Oct 2020

Jun 2020

4.11

Jan 2020

Standard Agreements

NUMBER ON THE MARKET

Sep 2019

Avg Purchase Price

May 2019

BUSINESS MULTIPLIERS (avg)

Jan 2019

Purchase Price

(E]W SR %ZIVEKI 0MWXIH MR 7IT %ZIVEKI 1YPXMTPMIV MR 7IT

336

343

309

335 311 328 283

250

(E]W SR %ZIVEKI 0MWXIH MR 7IT %ZIVEKI 1YPXMTPMIV MR 7IT

1300 886 103

ƼRI\ME GSQ EY

MRJS$ƼRI\ME GSQ EY

GSQTER] ƼRI\ME WIGYVMXMIW

216 187 220

186 214

234

187

4IVQERIRX

6IWSVX ,SPMHE]

Jan 2020

,SPMHE] MR 7IT

150

234

219

Sep 2019

4IVQERIRX MR 7IT

200

May 2019

MR 4VSTIVXMIW JSV 7EPI MR 7IT

238

247

Jan 2019

Sunshine Coast

Q MR 4VSTIVXMIW JSV 7EPI Q MR 7IT

244

Jan 2022

300

330

Sep 2021

%ZIVEKI 1YPXMTPMIV MR 7IT

350

Jun 2021

(E]W SR %ZIVEKI 0MWXIH MR 7IT

358

Mar 2021

,SPMHE] MR 7IT

400

Jan 2021

4IVQERIRX MR 7IT

Oct 2020

MR 4VSTIVXMIW JSV 7EPI MR 7IT

NO. OF BUILDINGS ON THE MARKET BY TYPE (Holiday & Permanent)

Jun 2020

Gold Coast

Q MR 4VSTIVXMIW JSV 7EPI Q MR 7IT

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Things are looking up in the north

Aerial view of Cairns, North Queensland

By Grantlee Kieza, Industry Reporter

Prospective buyers for management rights in Tropical North Queensland (TNQ) still have the opportunity to buy at a reasonable multiple this year before an expected rise in 2023. After the last two years of being choked by COVID - and two years prior to that being buffeted by the turbulence caused by discount overseas airfares - the management rights business in TNQ is ready to take off again. MR Sales Executive Antonio Curulli said 2022 was the year that would give potential buyers the confidence to get into a property at a reasonable price.

of tourists will start again.”

property, the Cairns City Palms.

Mr Curulli said because of COVID, property transactions in his area had been reduced to just “a handful”.

Mr Musson told Resort News he and his wife had been involved in management rights for 12 years.

“The adjusted revenue and adjusted nets have come down as well because of the lack of visitors and most of the properties are off their peak,” he said.

MR Sales Executive Antonio Curulli

season to get into management rights, but I think the prices will move up and the multipliers will strengthen in 2023.” The TNQ market is dominated by holiday letting and that has obviously had problems with fewer tourists because of COVID.

“The market for management rights in 2022 will be reasonably strong,” Mr Curulli said. “If people decide they want to get into management rights in TNQ they will have the opportunity to go and do the inspections, which because of COVID has not always been possible.

“Most of our management rights in North Queensland are bought by ‘sea-changers’ who first visit for holidays,” Mr Curulli said, “and we've had our last two seasons trashed because of lockdowns, so we haven't had that natural flow of visitors and potential buyers.

“I don't feel they will be paying any more than in the current

“We're hoping in 2022 that if open borders remain, the flow

“Most vendors are waiting at least for another year until they ‘get some cream’ on their accounts and their price justification will be no problem.” Mr Curulli has 30 properties in the north for sale, but vendors are sticking to their pre-COVID prices. Nevertheless, he recently brokered the deal which saw husband and wife team Linda Sun and Wayne Musson take over the City Plaza Apartments in Cairns. Linda and Wayne also have other management rights in the area, at the Tradewinds McLeod Holiday Apartments, the Royal Palm Villas holiday property and the Focus on Spence permanent letting complex. They also have a freehold

PROPERTY

“We started when our first child was born,” he said. “My wife Linda didn’t want to go out to work but rather stay home and look after the family. “We visited Cairns from Adelaide for a holiday. The place we stayed at was being sold and we began talking to the manager but decided it was overpriced. “A few months later out of the blue we got a call from an agent regarding another place, Tradewinds McLeod. We did some research; took the opportunity and we have been here since.” Mr Musson said the management rights lifestyle in Cairns was a winner. “We work from home, it’s great. There’s no traffic to deal with going to and from work, we just get out of bed and we’re there,” he said. “Linda has a background in finance, and I have a background in the trades, so we work perfectly as a team.” ResortNews | February 2022

Sales

Working together, working for you. Opportunities in North Queensland...

Port Douglas

ID: 8992

Airlie Beach

ID: 9009

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Price: $770,000 Nett: $107,500

Cairns City

ID: 8312

Magnetic Island

ID: 8706

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Price: $595,000 Nett: $127,741

Price: $695,000 Nett: $131,560 Contact

We’ll work for you in 2022.

Antonio Curulli 0488 030 853 tony@mrsales.com.au

www.mrsales.com.au | 1300 928 556 | info@mrsales.com.au ResortNews | February 2022

PROPERTY

Four Mile Beach, Port Douglas

Mr Musson said the business was not for everyone, though. “If people are thinking of retiring and buying a hotel to run, forget it, that’s not for you, try looking at a permanent management rights instead, not a shortterm holiday place,” he said. “I have never worked so hard in my life, but I’m a workaholic, so it suits me. This work provides a huge assortment of things

to do and I’m not bored yet. “I’m a trade orientated person with multiple trades. I am hands on in the day-to-day running of the complex from maintenance, renovations and gardening to reception work. “But you have to know what you are doing to be able to run the place and experience gives you this.”

He said while COVID had seriously impacted holiday businesses in the north, it had also presented opportunities.

though they had been strong also in the two previous years, only to be “decimated every time there was a border closure.”

“You have to start thinking out of the square to keep a place profitable or else you will go under like many places have done,” Mr Musson said.

“On the positive side we have a large number of really highquality properties that are on the market. The multipliers are around 3 to 3.5,” he said

According to Mr Curulli, most properties in his region had “very strong” bookings for 2022,

“Those multipliers are less than they are in South-east Queensland, but COVID has

Introducing Tony Curulli the MR Sales Far North Queensland Sales Specialist After a 35 year career in a variety of roles including consulting roles with Accenture, Corporate Advisory roles with Merrill Lynch (Bank of America), Privatisation of State owned Enterprises with the World Bank in Asia, Special Adviser on Tourism and Investment to the Government of Indonesia, and recently Research & Development of Oil and Gas assets with one of the world’s largest companies Saudi Aramco Oil.

Tony now owns his own Management Rights complex in FNQ and is very familiar with Far North Queensland Tourism. He can assist with practical, current and reliable information that can add value to any Management Rights. Tony considers his strengths to be hard work, tenacity, good listening and quick to understand, strategic, strong communicator and being street wise. He now lives in Clifton Beach, on the Cairns Northern Beaches and enjoys the idyllic lifestyle of the area and is passionate in ensuring that the region continues to grow and prosper.

PROPERTY

Tony Curulli

ResortNews | February 2022

Tradewinds McLeod

had less of an effect there and traditionally there has always been a difference of about 1 in the multipliers. It has now probably stretched to 1.5 times. “On our books now, we have properties selling for between 2.8 and 4, and they're still offering a good 30 percent return underpinned by the body corporate salary. “The approach of the banks up here has been a little bit problematic when it comes to holiday rentals but that outlook going into 2022 should change, and more of the banks now will strongly consider the bounce back in this sector.” Mr Curulli said most vendors were shy of doing a deal at the moment because their adjusted revenues and profits were not at their peak. “But a lot of these assets are held with not much debt in them,” he said, “so we don't have a great deal of stressed assets. Most of the people up here are lifestyle owners. So, they only carry a small amount of debt compared with syndicates who are buying up properties in the south. ResortNews | February 2022

“They can afford to bide their time and achieve their asking price.

renewed interest in short term rental business opportunities. “Over the last two years, sales have been essentially limited to permanent letting properties and, in some cases, mixed letting. It's only in the last few months we've seen movement in short-term holiday properties and corporate rentals.”

“For most vendors here having to wait a couple of years to sell is no great hardship because they are living and working in such a beautiful area.” Calvin Bailey, of Calvin Bailey Management Rights (CBMR) remains optimistic about the future of the sector in the north. He has 25 years’ experience in the Tropical North Queensland industry, specialising in unit sales and the MR business. He told us: “Cairns has always been able to reinvent itself and will continue to do so, even after COVID it will emerge and evolve. Before the pandemic TNQ was a vibrant tourism hub, known as the gateway to Asia and I am hopeful it will bounce back. “In the meantime, TNQ tourism and the short-term accommodation sector is fraught with frustration due to COVID. Although we got away lightly with minimum COVID cases, our visitor numbers were massively impacted by border restrictions and the whole tourism industry has been severely affected,

Calvin Bailey of Calvin Bailey Management Rights

especially in Cairns, The Beaches and Port Douglas areas. I am hopeful numbers will quickly return now interstate borders are open because domestic visitors have confidence in our region.” Indeed, accommodation occupancy levels improved over the Christmas period in Cairns. He confirmed: “Recently many properties here, experienced an increase in bookings and I am optimistic that the prospects for those in the holiday letting industry will continue to improve. Understandably this means there has only recently been a

PROPERTY

Mr Bailey revealed we are now seeing early signs of renewed interest with inquiry levels for properties in TNQ rising. “The recent level of buyer interest is very encouraging,” he said. Presently, CBMR has more than 25 properties for sale in the north. “However, the short term and corporate accommodation market is still very slow, and many vendors have elected to sit tight and wait for 12 months of good figures to show prospective buyers. They hope to achieve a better multiplier,” he explained. A most recent market update reveals some very good news, that in the last several weeks CBMR has experienced an upward trend.

Currently Mr Bailey said: “CBMR has quite a few unit sales, along with five MR properties that are under offer, at contract or have just settled.” He added that he has been impressed by the level of “quality new buyers who recognise the value of obtaining a MR business at a reasonable price in the area”. Although most of the sales in the last two years have been smaller permanent properties, he also confirmed that he is now seeing some movement with medium and larger sized properties. On values in FNQ he said: “Multipliers can range from 3.5 to 4.7 and you will notice that these are a much better deal than the multipliers being asked in South-east Queensland. You are getting far ‘more resort for your dollar’ and the prospect of a much better yield.

“Getting value for money is perhaps our region’s biggest advantage over South-east Queensland, where prices, especially on The Sunshine Coast, have gone up dramatically. “Here, I believe we will see further stabilisation of the multiples within the year, and as international visitors return it will mark the beginning of a whole new and exciting cycle for TNQ. “Remember TNQ and the Great Barrier Reef is a unique environment that normally attracts three million plus visitors from around the world each year.” Mr Bailey recently brokered a deal that saw a “lovely family” who “will do well in the industry” purchase an MR business at a good price. Thomas and Kim Taylor settled on their property, The Trinity Beach Club, in August 2021.

Thomas Taylor, manager Trinity Beach Club near Cairns

Meet the Calvin Bailey Management Rights Team Tropical North Queensland for every aspect of selling management rights. Alex was responsible for selling tens of millions worth of rights and associated property.

and Cairns, buying their first management rights business in 1995. As a fully licensed real estate agent, Calvin fully supports the industry and recognises the professional support of REIQ and ARAMA. He uses his industry experience to assist newcomers and offers his clients pre and post purchase support. His many clients value his professional, mature, industry judgement.

Introducing… Calvin Bailey With almost 28 years industry experience, Calvin has enjoyed exceptional success in sales and establishing client loyalty, since entering this vibrant industry in 2003. Previous to this, he and his partner Helen operated management rights businesses in Port Douglas, Palm Cove

Introducing... Alex Barker-Re

Calvin Bailey Management Rights builds professional business relationships with enthusiasm and friendship to deliver an unrivalled comprehensive approach to the management rights sale and purchase process.

Alex provides a breath of fresh air into our business in Far North Queensland.

We are proud of the standards we uphold and very much value our motto of: “We look forward to being your partner in success.”

From 2001 to date Alex has also managed and owned ten different management rights properties, from the Gold Coast to Port Douglas and Cairns.

His approachable manner and industry experience make him a highly desirable contact for all buyers considering entering the industry and for those sellers looking at a possible sale. For 10 years Alex represented a large Resort Sales Company as their North Queensland Sales Director. Working with one of the largest management rights brokers at that time, Alex was responsible

PROPERTY

His knowledge of the industry is second to none - having hands on experience of permanent and holiday letting plus off the plan projects. Now a resident of our great area for over twenty years, Alex has a strong belief in this beautiful region, its resilience, and its added value for the resort and tourism operator. “What you are buying is not just a home and a business but a lifestyle that is second to none." Added to this, a purchase in this fantastic destination gives you so much more resort for your dollar. Everyone loves the very real bang for your buck we repeatedly deliver here.

ResortNews | February 2022

YOUR PARTNERS IN SUCCESS MANAGEMENT RIGHTS OPPORTUNITIES IN NORTH QUEENSLAND Consider the advantages - better multipliers, better yields & better choices

CAIRNS – ON THE ESPLANADE

•

Rare opportunity, modern holiday property Total Units/Pool: Agreements: Waterfront views Salary: Low maintenance grounds Net Income: Little COVID impact on business Real Estate (2 brm): Improving profit

•

Manager can reside offsite

• • • •

PERFECT PERMANENT - CAIRNS BEACHES

23/20 25/19 Years $75,276 + GST $320,154 $350,000

Total Price:

$1,595,000

•

Classy low rise permanent in the Cairns Northern Beaches

•

111 apartments with 95 in the pool

•

Excellent business in a quality complex

Total Units/Pool: Agreements: Salary: Net Income: Real Estate (3 brm):

•

Managers 3 brm villa with double garage and large off ice

Total Price:

111/95 25/20 Years $148,688 + GST $358,000 $495,000

$2,200,000

CONTACT CALVIN - 0414 889 593

CONTACT ALEX - 0414 835 128

TRINITY BEACH – MIXED LETTING

PORT DOUGLAS RESORT– WALK TO BEACH

•

Exclusive resort property. Close to beach

•

Excellent facilities

•

Tropical gardens and two pools

•

Good mix of quality 2 & 3 brm apartments

•

Well priced to meet the market. Flexible letting

Total Units/Pool: Agreements: Salary: Net Income: Real Estate (2 brm): Total Price:

98/43 25/18 Years $214,761 incl. GST $276,384 $650,000

$1,755,000

•

Permanent Letting

•

Spacious Two & Three bedroom apartments

•

Great salary $107,285

•

Manager not required to live onsite

•

Huge 4 bedroom manager’s villa with stunning reception

CONTACT CALVIN - 0414 889 593

Contact: Mobile: Email:

Calvin Bailey LREA 0414 889 593 calvin@cbmr.com.au

Total Units/Pool: Agreements: Salary: Net Income: Real Estate (4 brm): Total Price:

CONTACT ALEX - 0414 835 128

Postal Address: PO Box 266 Palm Cove, QLD, 4879

Contact: Mobile: Email:

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

Australian Resident Accommodation Managers’ Association Member

www.calvinbaileymanagementrights.com.au All information/figures are supplied by the seller and are subject to check by intending purchasers

53/34 25/16 Years $107,285 $225,000 $400,000

$1,395,000

Whitehaven Beach, Whitsundays

There are 98 units in the complex, with 34 in the letting pool, 10 of them permanent and 24 holiday apartments. Mr Taylor said he had been working in hotels for a number of years, yet for most of them didn't even know that management rights existed. “I was chatting to a friend who had just bought into a management rights business in Noosa,” Mr Taylor said. “It was the first I'd heard of management rights but the more I explored it the numbers all made sense. “The Trinity Beach Club is a cracker of a property and I think that you get more business value in Tropical North Queensland than you do in the south. There are more opportunities here because the real estate component isn't so highly priced.” The Taylors were originally looking at buying into a

property in Noosa and consulted Paul Grant, from Mike Phipps Finance, to start the ball rolling, getting advice regarding bankers, lawyers and accountants. Thomas then met with Tony Rossiter from Holmans Accounting in Noosa and Trent Pevy at Pevy Lawyers. “I found definitely the best thing was to have a broker helping you out with the bank side of things, and I had the team built up so that once we found the right deal the process went fairly smoothly from there,” Mr Taylor said. It has been a tough six months in the business so far because of COVID, though. “Sydney went into lockdown in late July and then Melbourne shortly after,” he said, “and it really destroyed a lot of business in Cairns from August, when we settled, until December. But the opening of the domestic borders on December 17 meant we had a really strong Christmas. “North Queensland has traditionally had a lot of international tourists and I'm 100 percent optimistic about the future.”

The property is a 4-star resort located 30 minutes north of the Cairns Central Business District and tucked between two lush green headlands.

Hamilton Island

PROPERTY

ResortNews | February 2022

The FNQ market update $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

Craig Smith, Australian Valuers

Sales of management rights businesses in Far North Queensland and North Queensland are experiencing mixed interest from buyers. Recently, it appears that interest is building for businesses which are suitable for the traditional ‘two-person management team’ in Cairns and Port Douglas regions, with these areas recording a steady flow of sales. The Whitsundays region is considered to be a secondary resort investment market compared to Sunshine Coast and Gold Coast. Airlie Beach has not recorded any sale of management rights businesses since circa 2016, however, there are several properties which are now subject to a contract of sale or have been sold recently, which is a result of increasing tourism to the area, higher tariffs and occupancy. We are aware there were several properties which were subject to a contract of sale through

Source: Australian Valuers

* Standard Module **Large NRAS ^Not Settled

one purchasing entity during 2018 in Airlie Beach, Palm Cove, Cairns, Townsville and Port Douglas but none of these progressed to settlement. Airlie Beach market has been less affected by a resource boom as compared to Mackay, as it relied more heavily on the tourism market and holiday visitors.

by weather events in early 2019

Coast and Gold Coast there

(damaging winds and rainfall

has been increasing demand

from ex-tropical cyclone Penny).

from buyers with some MLR

In the stronger and larger

businesses sold without going

markets of Brisbane, Sunshine

to the open market.

The market was affected by extreme weather events in early 2017. In March of 2017 a category 4 cyclone made its way the east coast of Queensland, blowing through the Whitsunday Islands and surrounding towns.

MANAGEMENT & LETTING RIGHTS VALUATION SPECIALISTS

Airlie Beach saw some significant damage following cyclone Debbie. The market was also affected

1800 664 094

quotes@australianvaluers.com.au www.australianvaluers.com.au

QLD - NSW - VIC - WA

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

ResortNews | February 2022

PROPERTY

PROUD MEMBERS OF

Kings Way Apartments

is Cathy’s latest adventure By Grantlee Kieza, Industry Reporter

Not that long ago, Cathy Maguire was roaring through the jungles of East Timor just above the treetops in military helicopters. Life in management rights at her Kings Way apartment complex on Queensland’s Sunshine Coast is much more relaxing.

Grantlee Kieza caught up with Cathy for Resort News to hear about her extraordinary career before management rights. She told him: “I joined the Commonwealth Bank when I was 21 and worked there for a number of years, mostly whilst living in Western Australia. When I moved back to Queensland, I met some friends who were in the Army Reserve. Their experiences sounded fun, so I decided to sign up for the Army Reserves too. Due to my banking

experience, I worked in the army’s financial services and payroll department, and I loved it. Then in 1998 I transferred to the ARA, the Australian Regular Army.”

You enjoyed army life? “Yes. It was awesome. I loved army life and that is where I met my husband Mick. I left full-time service at the end of 2006 but was officially discharged in 2019 after many years working part time. I guess what I loved most about my army career were

PROFILE

the many friendships I made and the sense of pride I felt at everything I achieved. I am happy with the level of soldier skills I acquired, and I still love ‘going bush’. I did a couple of overseas deployments and experienced a lot of adventurous activities that I never would have participated in, if not for the army.”

What was the most extreme adventure? “I worked in the army’s cash office when I was deployed to

ResortNews | February 2022

Cathy Maguire

East Timor. We looked after the troops, so we would fly to wherever they were, to take care of their pay needs. “Because it was an international task force, I flew to destinations in many different types of helicopters. For most people that would have been very exciting, however I was afraid of heights and didn't like flying at all! “In one exceptionally terrifying flight, I recall being in a small helicopter with a pilot from Chile. I had a military police escort because I was carrying so much cash, and I was travelling with a corporal and a female sergeant. They loved adventure. I didn't… “The pilot would fly the helicopter at high speed just above the water level and tip us sideways to go between the tall trees. Then we would speed along a river where huge buffalo were bathing, flying so low we

ResortNews | February 2022

could almost grab them by their horns! Then he took us up this very steep hill, flying very close to the ground all the way. At this point I thought okay, I can handle this, until we reached the top and it turned out to be a massive cliff. This is where the pilot suddenly dropped the helicopter’s nose and we free fell down the other side. I was so scared. “Meanwhile because it was such great fun for everyone else, the sergeant continued to egg the pilot on. “I was white as a ghost! “It was only when we landed that they realised I was terrified and proceeded to make me a cup of tea. I'll never forget that. “I also flew in Chinook helicopters, but it was a bit disconcerting when I realised one had bullet holes in the floor. And I got to fly in Caribous, which are small cargo planes.”

PROFILE

Wow so how did you go from such exhilarating adventures to management rights? “After I left the full-time army at the end of 2006, I completed a real estate course. I stayed in the service part-time for 13 years because I had two little kids and I was able to work around my commitments to them. “We moved up from Samford Valley, west of Brisbane to Golden Beach near Caloundra about nine years ago. I was doing project work for the Army Reserve’s Caboolture depot, and I went on to work as a professional organiser. While doing this I helped a lady organise her tax files and she managed a permanent complex that had 86 villas at Peregian Springs. She asked me if I wanted to learn about management rights.”

So, you decided on a change of direction? “Yes. I’d always had an interest in management rights and after working for her for another year, I thought hang on a minute, I want to manage my own building. Now we’ve been at the Kings Way Apartments for three years.”

How did you decide on the Kings Way Apartments? “We started looking around 18 months before we found it. We didn’t want a really big property, just one that I could run myself because Mick works full time.

When we found Kings Way Apartments it just ticked all the boxes. I felt it was meant for us.”

It’s very beautiful where you are. A great location? “Yes. It’s so close to the beach, just one block back. They call this area the golden triangle because we’re a stone throw from the main street, we’re straight down to Kings Beach, and we’re near the start of the boardwalk that goes to the Happy Valley playground. People can park their car for their

whole stay here and it’s a short walk to everything. There are 14 apartments in the building and three of them are permanent residents, we let out the other 11. They’re all 2-bedroom, 2-bathroom self-contained units but we rent some out as one-bedroom when required. “I absolutely love the business. It has its ups and downs, but I love it. I’m a people person and I like meeting new people. When we first started, I did everything myself but now we have a small but fantastic team around us with excellent

PROFILE

cleaners, and a great young guy who does the mowing.”

What’s your recommendation to people wanting to enter the management rights business? “Go for it! Then give it everything you’ve got. “I’ve learnt a lot about people from working in this complex, most people are great, and they want to do the right thing. If you like meeting people and giving good, honest service to your guests you will do well.”

ResortNews | February 2022

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

MANAGEMENT RIGHTS SPECIALISTS Due Diligence Auditing Business Advice Taxation

Specialist Business Advisors to the Management and Letting Industry • Due Diligence Reports • Trust Account Audits • Structure Advice & Tax Compliance

Look for the sign of an Industry Specialist...

Level 3, 345 Ann Street, Brisbane QLD 4000

Whatever, Wherever, Whenever!

Smiljan Jankovic 0423 595 910 SmiljanJ@agredshaw.com.au

- GOLD COAST -

www.accomnews.com.au/business-directory

www.agredshaw.com.au

erika thomas & associates MANAGEMENT ACCOUNTANTS

management rights income verifica�on management rights trust account audi�ng prepara�on of bank review/re-finance figures

Verification Reports Structure & Taxation Advice Trust Account Auditing Risk & Superannuation Tax & Accounting

ACCOUNTANTS & AUDITORS Contact Michael Beddoes Partner & Management Rights expert mbeddoes@mbapartnership.com.au

phone 07 5575 9649 | mobile 0411 841 868 erikathomas@bigpond.com

Paul Shannon

www.managementrightsauditor.com.au

Management Rights Specialist

07 5538 0999

info@crestaccountants.com.au

www.crestaccountants.com.au

- SUNSHINE COAST “YOUR GUIDING LIGHT ON MANAGEMENT RIGHTS”

Your Sunshine Coast

Management Rights Specialists FOR OVER 20 YEARS

Verification Reports - Due Diligences Tax Planning & Structures For Sale Figures - Auditing Tax & Accounting

Specialist Management Rights Accountants

Contact : PETER MEYERS

holmans. Accountants to the accommodation industry.

155 Varsity Pde, Varsity Lakes, Qld 4227 t : (07) 5630 6559 m : 0402 943 549 e : peter@pmag.com.au

FIRST INTERVIEW FREE! Greg Kamp FCPA FTI

07 5443 7789

“Holbrook House” 48-50 Sugar Road Maroochydore

www.pmag.com.au

info@kampba.com.au

www.kampba.com.au

Call 07 5430 7600 Structuring  Income Verification  Audit Accounting/Taxation  SMSF  Estate Planning Email: jhanaghan@jonathangrant.com.au

P: 5456 4018

Phone 07 5534 4333

Eagle_Dad_Print.pdf 1 31/03/ E: renee@rcbaccounting.com.au W: rcbaccounting.com.au

holmans.com.au

- NORTH QUEENSLAND When your Business Needs a Tune or a Service

• Bookkeeping

• Marketing

Specialist Advisers to the Accommodation & Hospitality Industry

• Business Management

info@hostrata.com.au www.hostrata.com.au

Y • Human Resources

Where Value & Service are No.1!

www.businessmechanic.com.au (02) 6583 8386

Accounting – Audits – Taxation Due Diligence Reports

07 5631 6900

Accounting & Taxation Trust Account Audits Tax Planning & Structures

Chartered Accountants & Business Advisors

CMY

T: 07 5449 9992

Specialist Advisors to the Accommodation Industry

info@pbbconsult.com.au | www.pbbconsult.com.au

PREFERRED SUPPLIER DIRECTORY

ResortNews | February 2022

AIR CONDITIONING

BEDS & BEDDING

BEDSPREADS & BEDCOVERING PRODUCTS

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

A H A P PY GUEST

BROCHURE DISPLAY

STARTS WITH

A GOOD N I G H T 'S R E S T

Sunshine Coast Brochure Display The regions’ original and leading brochure service and provider of information displays

0412 587 288

1300 654 000 ahbeardcommercial.com

info@suncbd.com.au

Supplying the Gold Coast, Southern Brisbane and Northern New South Wales regions with quality air conditioning services since 1977.

www.SunshineCoastBrochureDisplay.com.au

Call 07 5522 1044

enquiries@climatecontrol.net.au

MANUFACTURERS OF QUALITY BEDDING QUALITY WITHOUT COMPROMISE FACTORY DIRECT PRICES

www.climatecontrol.net.au

- SUNSHINE COAST -

DON’T LOSE YOUR COOL PROFESSIONAL AIR CONDITIONING CLEANING & MAINTENANCE CONTACT US RESORTS - HOTELS - RESIDENTIAL - COMMERCIAL

TODAY FOR AN OBLIGATION FREE QUOTE

• 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 | February August 2021 2022

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 | February 2022

We get results. Pure & simple.

GYMNASIUM EQUIPMENT

Look for the sign of an Industry Specialist

Management Rights, Motel, Hotel and Caravan Park sales.

1300 665 966

MAIL BOXES

We’ve got you covered 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

Quality Aust Products to meet All Building & Government Standards

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

MANAGEMENT RIGHTS AGENTS Calvin Bailey LREA

Property Bridge

AFSLN 246986 ABN 31 009 179 640

YOUR PARTNERS IN SUCCESS

DELIVERIES QLD WIDE – INSTALLATION & SERVICE IN SE QLD

MANAGEMENT RIGHTS

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

“Always passionate, committed and professional, you can trust the team at Property Bridge.”

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

www.rcabusinessbrokers.com.au INTERNET SERVICES

info@propertybridge.com.au propertybridge.com.au 1800 888 518

The Management Rights Specialists

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 | February August 2021 2022

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 | February 2022

Look for the sign of an Industry Specialist

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

TV & VIDEO HIRE/REPAIRS

Appliance Rental Specialists

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

TRAINING & DEVELOPMENT

Classes from Coolangatta to Cairns REAL ESTATE LICENSING COURSES

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 VALUERS - REAL ESTATE

SPECIALIST EXPERIENCE IN MANAGEMENT RIGHTS Short Punch & Greatorix

MANAGEMENT RIGHTS VALUATION SPECIALISTS

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

SWIMMING POOL SUPPLIES/REPAIRS

or Anywhere via Zoom

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

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)

Valuations for all purposes - National Coverage Major Lenders - Consultancy - COVID-19 Advice WHEN EXPERIENCE MATTERS Alex McCowan 0417 405 115 or Alison Sun 0416 181 285

Conducted LIVE by Friendly, Experienced Industry Trainers

admin@accomvaluers.com.au

ENROL Today (07) 3878 8513

www.accomvaluers.com.au

Bonus FREE CPD Workshops & Ongoing Support for Graduates

Valued up to $2000 per annum (conditions apply)

Buying or Selling Renewing or Reviewing Negotiation & Dispute Resolution

Heat Pumps

Proudly installed and serviced

We are recognised experts in our field, always outcome focused.

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

RTO Number 31303

Look for the sign of an Industry Specialist Noosa 5449 7855 | Maroochydore 5443 2111 Caloundra 5438 1588

Leading Sunshine Coast Law Firm

Need advice regarding: • Buying / Selling • Legal due diligence reports • Variations including top up of term • Renewals/Extensions • Management & Letting Agreements • Body Corporate Issues • Off Plan Developments Get it right the first time…call

Griffiths Parry Lawyers

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

ResortNews | February August 2021 2022

Save time... Do it Online! Whatever, Wherever, Whenever!

www.accomnews.com.au/business-directory PREFERRED SUPPLIER DIRECTORY

OVER 1,000

LISTINGS FROM ALL THE LEADING BROKERS ON THE ONE WEBSITE

Ward Commercial

Resort News, February 2022

Articles inside

SCA Report

Motel Market

ARAMA Report

Legal Ease