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resortnews INSIDE: RENTING VS BUYING | SECURITY ACCESS CONTROL | COMMERCIAL BBQ'S

Issue 204 | August 2013

The Monthly Magazine for Accommodation Industry Professionals

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Registered by Australia Post Print Post No. PP442298-00015

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Profiles • • • •

MR Sales Body Corporate Services Watermark Hotel and Spa Mint Apartments

management rights • hotels • motels • resorts • holiday parks • time share • hosted INDUSTRY NEWS • MANAGEMENT • TOURISM • EVENTS • APPOINTMENTS • DEVELOPMENTS PROPERTY • PROFILES • PREFERRED SUPPLIERS • RELIEF MANAGEMENT • SPECIAL FEATURES


Trust AccounƟng Global DistribuƟon Accrual AccounƟng On Line ReservaƟons ReservaƟon SoŌware Channel Management Property Management SoŌware

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7 5574 4990 sales@hirum.com.au www.hirum.com.au


front desk

EDITORIAL Lyndel Elias - Editor l.elias@resortnews.com.au

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The Monthly Magazine for Accommodation Industry Professionals

Page 52

industry 7 11 13 15 16 17 18 19 22

News In Brief Editor's Viewpoint: OTAs Special Report: Crime ARAMA Report BCCM Report SCA Report Opinion NSW Strata Report Vale - Dave Allen

ADVERTISING Russell Birrell r.birrell@resortnews.com.au

management

SUBSCRIPTIONS $165 for 12 Months/$297 for 24 Months Gavin Bill - Services & Subscriptions subscriptions@resortnews.com.au

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Resort News welcomes editorial contributions and images on relevant topics for features, new product profiles and news items. Please email copy to editorial@resortnews.com.au. Images should be in high resolution (300dpi) JPEG or TIFF format. INDEMNITY Advertisers, Editorial Contributors and their Agents (Contributors) warrant to the publisher that any advertising or editorial material placed in Resort News 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 Trades Practices Act or other laws, regulations or statutes. Moreover, Contributors 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.

The views expressed in Resort News do not necessarily reflect the views of the publisher, editor, staff or associated companies. 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. © 2013. No part of this publication may be reproduced without written permission from the publisher.

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Tourism Report Tourism International

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Events

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Industry Events Calendar

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People

developments 47 51

News The Last Resort

property guide 52 55 58 62

Latest Properties Motel Market Thinking Finance New Manager Profiles

profiles 66

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Permanent Parameters Incorporate Bodies To Market Big Small Business Keeping House Intonet Flashback Check-In Renting vs Buying Banquet Furniture & Equipment Security Access Control Swimming Pool Laws Commercial Barbeques Fire Emergencies

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PRODUCTION production@resortnews.com.au

Issue 204 | August 2013

front desk

Graham Vercoe - Managing Editor g.vercoe@resortnews.com.au

EDITORIAL CONTRIBUTORS Simon Barnard, Robert Walker, Col Myers, Bill Kempter, Doug Kennedy, Arvo Elias, Mike Butler, Paul Wood, Peter Rogers, Darryl Posgate, Gavin Krawchuck, Mike Phipps and Andrew Morgan

resortnews INSIDE: RENTING VS BUYING | SECURITY ACCESS CONTROL | COMMERCIAL BBQ'S

Watermark Hotel and Spa Mint Apartments

Registered by Australia Post Print Post No. PP442298-00015

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Inside

Profiles • MR Sales • Body Corporate Services • Watermark Hotel and Spa • Mint Apartments

management rights • hotels • motels • resorts • holiday parks • time share • hosted INDUSTRY NEWS • MANAGEMENT • TOURISM • EVENTS • APPOINTMENTS • DEVELOPMENTS PROPERTY • PROFILES • PREFERRED SUPPLIERS • RELIEF MANAGEMENT • SPECIAL FEATURES

Editor's Desk

COMMON SENSE Why is it we have short memories? We all know the saying "If it ain't broke don't fix it". Many of those who have the power to alter our daily lives do so without apparent heed to that mantra. Perhaps it is because our world increases in complexity and thereby makes it harder to clearly see the extent of a problem or the effects of a well meaning fix. Or is it that those who are the decision makers just lack the skill, understanding or desire to consider their actions before setting them in concrete. We have repeatedly pointed out the value of tourism to the state let alone the nation, but we seem to want to regulate the tiniest and most harmless thing in our endeavours to improve matters. Improve them by all means but make sure those improvements don't impact on activities that have existed for aeons and enjoyed by the partakers. Indeed such is our industry that by definition we strive to give our clients a pleasurable and memorable experience. I am speaking of our decision makers now wanting to ban the single glass of wine offered by day excursion companies offered with lunch. Remember this happens almost literally out of the back of a truck. We all understand the devastating toll abuse of alcohol and other substances have on our community. And we support the control of excess but not to the point of silliness. Fawlty had a minister for "silly walks". Do we have some who may belong to the ministry of "no thought"? Yes, and I have only picked one example there are many more just as simple. We seem to invent dozens of new words these days but forget the most fundamental of all. It's called common sense! Let us hope that a nonsensical restriction will not be imposed where there is no need for it and one that is so easily identifiable should we once more wish to legislate… and importantly, one that will heavily impact on our industry.

preferred suppliers 68 74 77

Profile: MR Sales Profile: Body Corporate Services Supplier Directory resortnews | august 2013

Lyndel Elias, Editor editor@resortnews.com.au


front desk Feedback

Check In fiasco The Accommodation Association of Australia has endeavoured to communicate on this issue [Check In back in business - News July] to members rapidly and effectively with a view to trying to inform the membership of their options and give assistance where possible. We have had numerous communications with the new management of Check-in.com.au as well as the liquidators in order to establish an accurate view of the failure of the site and it's resurrection. The results of those enquiries have been relayed to the members directly. It should be noted that it has been strongly indicated by the liquidators that outstanding debts owed by Allied Consolidated, have not been assumed by the new owners as part of the purchase. The concerns and frustration mentioned above mirror those of the association and we have taken these up directly with Check-in.com.au where appropriate. In addition to this the association is in communication with state and federal politicians including: Chris Bowen, David Bradbury, Mathias Cormann, Gray Gray, Don Farrell, Bob Baldwin and others as well as consulting with the Australian Federation of Travel Agents in regards to how they may assist in addressing the relevant issues effectively in the future. Immediately operators should be aware that we have been led to believe the product feed for checkin.com.au is coming from several wholesalers not just Expedia. Also some properties are being left with Sold Out posted against them on the site given they have removed the feed from Check-in.com.au. We see this as a very serious issue with negative effects for any businesses represented as such. Those members who are still experiencing issues such as these should definitely contact me directly at michael.georgeson@aaoa.com.au.

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Moving forward, the association along with our partner associations will be seeking to establish mechanisms which will protect our industry and our guests from this situation arising again in the future. Michael Georgeson, General manager, operations Accommodation Association of Australia

Bring in trust accounts The demise of Check-in.com and World Tourism demonstrates the need for Consumer Affairs intervention. None of the booking agents are required to operate a trust account and the travelling public (and the provider) are not protected. What happened to the $4.4 million that Check-in was holding? The only agent model that these web based booking agents should be using is the Booking.com model. They take the booking and pass all details on to the accommodation provider. The guest settles the account with the accommodation provider in full. They claim their commission by invoice after the guest leaves. All providers should remove their property from booking agents who will not use this model.

Is this legal?

World Tourism saga

Surely this cannot be legal why are the authorities and the likes of AAA not stepping in here to use their so called legal leverage. They should not be allowed to trade I for one will boycott check-in.com. The whole episode has the look of a setup to avoid $4.5 million payment.

May I respond to a explanation given by Paul Whitehead. As director of the failed World Tourism Travel Centre P/L and now the director of the New World Tourism group in your last magazine. Let’s get it clear World Tourism went out owing in access of $1 million and, I believe, still adding up.

Steve (Name and address supplied)

Can Paul Whitehead please explain as he stated only about 60 of the 3000 plus buildings he deals with were not paid. This surprisingly did not include in the owed money any large corporate properties Breakfree, Peppers, Mantra just to name a few. Can he state he did no bookings for any of these properties in December or January or perhaps he made a preferential payments to the large corporations individual properties so that he could continue with a uninterrupted bookings of guest going to these properties because I am sure and probably most if not all of us little lone operators wouldn’t entertain a World Tourism booking again. If he did then I would believe that is illegal and the money should be coming back to be shared around.

Google - scary! Great article [What does Google know about you? - Intonet July]. It's kind of scary when you think about how big Google has grown and how much information and data they have on you. Another tool that is useful for protecting your privacy and securing your internet is to use a VPN service. VPN services such as ProVPN and hotspotshield.com enables you to surf the web anonymously and encrypts all your internet traffic. Pete Nguyen (Name and address supplied)

Another story

Why is Kate Robinson - the general manager of Check-in - Facebook page Kate Isaacs? I wonder where on earth that money went?

I went to hotel school in Leysin 30 years ago [Further lessons from the road - Thinking Finance July]. In fact my hotel management diploma from Leysin was my entry point into the hospitality business. Then about 20 years ago I rode my bike from Frankfurt in Germany via Holland, Belgium back through Munich and across into Switzerland (over the Brenner Pass which was bloody hard work), then onto Leysin for a return visit and finally into Geneva. The switchback climbs up into Leysin were pretty interesting one hot afternoon from memory. So that was a 1500km 12-day tour (with bags on the bike - no bus back-up). Hotel school in the 80s, cycle touring in Europe, fit as a fiddle 20 years ago. Great memories. Did I tell you about this Swedish girl I met... That's another story.

Terry (Name and address supplied)

Michael (Name and address supplied)

Contessa (Name and address supplied)

Too many coincidences So convenient that a new company was ready to go within days of the collapse. Recently relisted on the ASX, new premises set up ready to go, most staff transferred, a director leaves company only two months before the collapse, new owner lives nearby, not enough money in the till to launch any legal action - just enough to close the business, staff unable to tell hotels of which wholesaler their rates are coming from, etc. Too many coincidences...

resortnews | august 2013

My next question to Paul Whitehead what happened to future guests money that prepaid for holidays prior to going into liquidation that they were having their holiday after January 2013 . This is money that should have stayed in the defunct company and been divided up amongst the creditors including those guests or was it transferred to the new company and is now being used to prepay the resorts as Paul Whitehead said is happening again if so questionable practices. I would be happy along with other creditors to meet with Paul Whitehead to discuss these points and a lot of other what I believe are irregularities with he’s now defunct company. I guess when I attended the creditors meeting to see how I could get our $16,000 odd money back I thought perhaps Paul Whitehead may have had the intestinal fortitude to attend to but, no, he didn’t. Please boycott this person and anyone associated with him and


surely you corporate heavy weights that read this magazine have a look what this type of company is doing and what they can do to our industry and join the stance we all need to take. Let’s get rid of him he is a hindrance to the tourism industry. John Radford (Name and address supplied)

How can it be? Three families in our group had each paid $500, $500 and $300 deposits to World Tourism Travel Centre P/L (of which Paul Whitehead was CEO) for accommodation at the Condor apartments. The bookings have been cancelled and no refunds offered. Condor bookings are now being handled by World Tourism Resorts & Hotels P/L and the CEO is Paul Whitehead.

Staff pay

Government taxes Payment of rates to staff is not

I know one of our competitors gave a room to cleaner instead of a wage. [Jobs to go following wage increase - News July] How legal is this?

Staff pay is not even close to being the real issue, this government's outrageous taxes on business and the community in general have seen the evaporation of all confidence both in the business and consumer sectors. There are many months I believe the government actually makes more money from my business than I do and that's no fault of my staff! Government policies targeting big business have seen corporate travel decimated and domestic consumer travel has been in decline for years. If you can't afford to pay your staff a decent wage then you should get out of the industry, even with penalties they are hardly what I would consider well paid.

Suzie (Name and address supplied)

Chatnoir (Name and address supplied)

Nelson

How can it be that one person can be CEO of so many companies - simply send some into liquidation and then continue operating under another name? The liquidators have pointed most of the blame for liquidation on Paul Whitehead himself. He and his wife Rebecca are dishonest and fraudulent and people should be very careful when dealing with any of their numerous companies. Charlie Everson (Name and address supplied)

Contra deals

the problem, if you are looking to find out why business is on a down turn, look at the government who continues to tax the hell out of the businesses and the general public and so people just stop travelling, what happens to businesses that reduce their staff? The staff that is left are forced to work even harder to take up the reduced number of staff and still for the same amount of pay. You must always remember that your staff are your business and if your staff are happy your business will do very well. (Name and address supplied)

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07 5574 4990 sales@hirum.com.au www.hirum.com.au resortnews | august 2013

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industry

News In Brief

HOTEL REVENUES SURGE BUT PROFIT MARGIN GROWTH LAGS

Despite historically high occupancy and room rate levels, Australian hotel profit margins have failed to grow in the past five years, according to research released this month by leading hotel consultants Horwath HTL Australia, in their annual Survey of Operations report. The findings, based on trading results in 2012 from over 60 mostly city based 5, 4 and 3 star hotels, were released at the HotelsWorld 2013 conference in Sydney. Survey wide occupancy in 2012 reached an impressive 78%, the same level as reported in the 2007 Survey of Operations, before the onset of the global financial crisis. Room rates over the five-year period grew by over 5% per annum. Yet despite the combined effect of both high occupancies and strong room rate growth, gross operating profit as a percentage of revenue declined marginally over the period, from

36% in 2007 to 34% in 2012. Both rooms department and food and beverage department profit margins failed to grow over the period despite the higher revenues. Growth in undistributed expenses (that include marketing, administration, energy and maintenance costs) also matched revenue growth. Accordingly, no operating efficiency benefits were derived from the higher revenue level. The 2013 survey revealed that Perth was the most profitable city in Australia for hotels, with the surveyed properties in that city achieving a gross operating profit of over $40,000 per room per annum, compared to less than $40,000 in Sydney and Brisbane; and less than $35,000 in Melbourne. Canberra and Adelaide achieved less than $30,000 per room. Outside the cities, gross operating profits of less than $20,000 per room were indicated in the survey, in part reflecting the challenges for resort markets that continue to

be adversely impacted by the combined effect of a high Australian dollar and the growth in low cost carriers to alternative resort destinations. Perth’s market leading result was achieved through revenues per available room in its surveyed hotels, being almost 20% higher than Sydney and Brisbane; and over 30% higher than the surveyed hotels in Melbourne. Another survey maintains the average price of a night in a Perth hotel has broken through the $200 barrier and is still the nation's highest, despite a recent decline in occupancy levels. But, according to Deloitte's half-yearly tourism and hotel market outlook, fewer corporate travellers and the cancellation of several major resources projects will restrict increases over the next three years. The outlook said Perth's average room rate was $200 a night, compared with the national average of $150 and second-placed Sydney's average of $196. It is expected to increase to

$239 by the end of 2015 - down from the $259 predicted at the end of last year. The Deloitte report said tourism operators would welcome the falling Australian dollar. But while the dollar's decline would have minimal impact on an international traveller's decision to come to Australia, it would have a big impact on the amount they spent once they arrived. "We forecast, for example, that as the dollar moderates over the next three years, expenditure by international holiday visitors will grow 8% per year in real terms," it said. The report said this growth would be led by Asian tourists, with China the largest contributor. But it said Chinese tourists did not tend to stay in Australia very long - the average being 11.1 nights, compared with 27.4 nights for all international visitors.

RENT-FREE RESTAURANT OPPORTUNITY IN PORT DOUGLAS Niramaya Villas and Spa, a 5-star Balinese pavilion-style resort set in 15ha of landscaped gardens just moments away from Port Douglas Village and Four Mile Beach, is offering its restaurant rent free for 12 months to an established restaurant operator to bring a new level of expertise to the site.

excellent vibe while there is the potential to accommodate for up to 130 people for events and functions with the use of rented furniture.

Set in the midst of lush tropical gardens and overlooking the stunning resort pool, the restaurant offers a relaxing and stylish environment for people to savor fine cuisine. The restaurant radiates luxury with themes of Bali throughout its architecture and design.

There is also a separate bar area situated alongside the pool.

The regular capacity of 80 people (a combination of indoor and outdoor seating) makes for an

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in-house guests as well as the wider public. •

Niramaya Villas and Spa is looking for somebody to really engage with the local community and encourage them to eat at the restaurant, as we are the closest premises to Port Douglas Village and must capitalise on the local market.

Market and promote the business jointly and independently of the resort.

Provide food and beverage wedding/conference packages to the resort.

Run the bar and provide poolside drink service.

Create and provide a menu for room service – hours will be negotiable.

All cutlery, crockery, glasses, plates are included with the kitchen and it is fully stocked. It is a full commercial kitchen, which is newly certified and was recently refurbished at great expense.

The conditions: •

Rent-free for the first 12 months and commercial terms thereafter. Open seven days per week in the peak season (June to November) and hours outside of peak season will be negotiable. Provide food and beverage to

resortnews | august 2013

Niramaya Villas and Spa

Ensure the kitchen is available for special events, like celebrity chef nights, however these will be infrequent.

Niramaya Villas and Spa is seeking a long-term tenant to grow with the resort. An operator who is already well established with successful restaurants elsewhere could be the ideal candidate.


industry

News In Brief

INCREASED AIRPORT TAX BENEFITS TOURISM SAYS GRAY

RESPITE AHEAD OF ENERGY PRICE HIKE A body corp management company is helping unit owners save anywhere from 10% to 40% per annum on their electricity bills by enlisting an independent consulting company to audit customers’ accounts in the lead up to energy price hikes in Queensland.

Tourism minister Gary Gray said 20% of the additional revenue raised by the passenger movement charge was given back to the industry through grants. This includes the four-year $48.5 million Asian Marketing Fund and the $48.5 million Tourism Industry Development Fund, which help to stimulate tourism demand by funding increased marketing activity in Asia and by increasing the quality of Australia’s tourism product. “The charge of $55 also funds a range of border protection and transport security measures that helps provide consumers with the confidence to fly,” Mr Gray said. “It needs to be considered in the context of an Australian tourism industry being worth $107 billion - it is the eighth largest tourism industry in the world and the largest by visitor spend, with average international visitor spending $4096 in Australia. “The increase in the charge in July 2012, from $47 to $55, has not impacted on visitor numbers. In fact, since then international visitor numbers have grown by 5% over the previous period. The charge accounts for less than 1% of an average international visitor’s spend.” However, Australia’s justifiably much-maligned departure tax has copped another serve – this time from IATA’s director general and chief executive, Tony Tyler, at the National Aviation Press Club in Sydney. Mr Tyler called on the Australian government to reconsider the economic damage being done by the tax, known

Tony Tyler

officially as the passenger movement charge. The departure tax was originally designed to fund Australia’s border agencies, including customs and border protection, quarantine and immigration. Last year, it was increased to $55 per passenger which exceeds the cost of funding these agencies. It is estimated that about $800 million will be collected in the 2012-2013 fiscal year. “The PMC is effectively a tax that adds about 3.5% to the cost of travel from Australia,” Mr Tyler declared. “If it were removed we would expect a 2.5% boost to traffic. That would add $1.7 billion to the Australian economy and generate some 17,000 jobs."

Energy Options Australia has already begun auditing complexes in Brisbane and the Gold Coast and providing tailored recommendations and referrals to combat the looming 22.6% hike in fees. Grant Mifsud, sustainability project manager at Archers Body Corporate Management, said the audit recommendations, that ranged from reviewing a customer’s existing tariff to referrals to different retailers or electricity arrangements, would lessen the impact of the power price rises for their customers. Andrew McNair, principal consultant at EOA, said the account audits they undertake are simple and in most cases don’t require an upfront expense. “Most schemes are not required to pay any audit fees until they begin to see their savings,” Mr McNair said. The Docks is a 148-lot residential high rise in Kangaroo Point which provides a home for both long- and short-term tenants. The complex consists of two towers containing a combination of studio units and one and two bedroom apartments. Originally, each apartment and the body corporate common area had its own separate electricity arrangements. The body corporate had previously initiated some savings for owners in the common area under a market

contract arrangement with the retailer and it was determined to explore options for saving more money throughout the rest of the complex. In 2011, the body corporate engaged EOA to investigate the potential savings that bulk electricity supply could provide for its residents. Under this arrangement, the entire complex’s usage would need to be combined to deliver the lowest possible costs. EOA liaised with the body corporate to manage the bulk conversion process and no unit owner was required to pay a fee to terminate an existing contract. It quickly identified potential savings of up to 35% per annum for all residents compared to the standard regulated tariff charges. After establishing all costs for the project the body corporate sought approval at an annual general meeting and voted to proceed. Project costs will vary depending on complex size and most costs can be recovered over a defined period of time. The only upfront cost incurred by unit owners was the cost to modify the building’s meter to capture the total consumption. The building conversion was carried out successfully in July 2012. Initial reviews after the bulk conversion showed savings of around 34%. Because The Docks’ body corporate has chosen to recover the conversion costs over a period of three years some of the savings will be held back until project costs are paid. For this period of time, savings of approximately 26% are passed on to all residents. This is well above any discount available from an energy retailer for an individual resident.

DAUNTING REGULATIONS PROPOSED FOR KIDS' CLUBS Australian child protection agency Child Wise is calling on the federal government to introduce a national child protection safety standard that would apply to all sectors that work with children, including accommodation providers who offer kids' clubs and child minding crèches.

Gary Gray

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Child Wise's Scott Jacobs said the lack of national standards for accommodation childcare services resortnews | august 2013

makes it hard for parents to be sure a club is safe for children as legal requirements vary from state to state. Child Wise's standard would cover recruitment and screening of childcare workers. Child Care minister Kate Ellis said the Rudd government had no plans to expand the national childcare regulations to cover children's services by accommodation providers.


industry Editor's Viewpoint - OTAs

Consumer/provider protection is long overdue Online travel agencies spring up like mushrooms in autumn. Unfortunately many also die off just as quickly. British-based on-line travel agency Travel Click Holidays ceased trading in late July. The company had become the subject of numerous complaints on the consumer forum holidaywatchdog. com during recent weeks, with customers complaining that they had paid for holidays but received no confirmation of their trip. When they complained, staff allegedly responded in a rude manner. This pretty much mirrored the demise of Australian-based Check-In.com on 21 May. The cost to accommodation providers (including their reputations) and travellers is generally not massive but any loss

“...the unilateral dictates by OTAs as to rate settings, commissions and payment issues have caused them to loose favour among accommodation providers...�

(especially to a guest that has parted with money in good faith) is unacceptable. OTAs, seen as a blessing to accommodation providers a decade ago when times were grim, are no longer the preferred means of selling one's rooms. In part, this is due to the unilateral dictates by OTAs as to rate settings, commissions and

payment issues that have caused them to loose favour among accommodation providers. The financial collapse of some OTAs, like the recent Check-In.com fiasco, hasn't helped the cause. For many accommodation providers it is the dictatorial policies of OTAs that are the big worry. Preferred inventory, no rates more competitive on the

resortnews | august 2013

accommodation provider's own website, payment conditions and upwardly variable commission rates are the most prominent complaints received by Resort News. As an example, Wotif is now moving to a virtual credit card system so properties can process net payments themselves, rather than invoice Wotif at month's end. A good move, one would think (at least it guarantees payment) although it does shift the cost of credit card merchant fees from Wotif to individual providers. Wotif still collects its $5.50 payment handling charge from each booking yet at the same time has cunningly shifted their merchant expense over to the accommodation provider. Don't forget that Wotif is about to increase its commission by 1% to 12% in 2014.

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industry Editor's Viewpoint - OTAs

Some accommodation industry associations have taken up the cudgel on behalf of their members as regards to aggressive contracting terms by OTAs. At the forefront is the Backpackers Operators Association New South Wales, concerned for its members about Hostelworld.com’s proposed introduction of new clauses into existing contracts. Hostelworld. com is one of the leading OTAs for backpackers. The new Hostelworld contract clauses – which have been unanimously rejected by BOA affiliated hostel operators – allegedly included articles requesting access to all online hostel inventory and rates including a hostel's own website, a change in definition of service fee in regards to GST and the consent for use of propriety owned trademarks and brands. The recent Check-In.com financial collapse, of course, is also a great worry for accommodation providers. The ease with which a company can go into receivership owing clients and service providers millions is quite frightening especially when the name can be revitalised by a change of ownership (but not the debts) and carry on as if nothing untoward had ever happened. Trust accounts, well known in the strata title management sector, is surely the way of protecting funds paid by guests due to accommodation providers. Because of the international structure of OTAs, regulatory authorities have been loathe to explore such possible safeguards. But if such a

12

regulation, Australia-wide, was imposed, OTAs would have to abide by it. The other alternative would be a fidelity fund. The Australian Federation of Travel Agents has recently been awarded a grant of $2.8 million by Consumer Affairs minister for the development and implementation of a new accreditation scheme to replace the one that worked successfully for decades. Why should this not apply to online booking agents as well? Travel Click Holidays was an Association of British Travel Agents member with an ATOL licence but those who had purchased flights or accommodation only through the OTA may face difficulty obtaining a refund, as the ATOL scheme only covers package holidays. Check-In's accommodation providers and guests had no protection at all. With all the problems associated with dealing with OTAs, it is small wonder one of the key issues for accommodation managers is to implement strategies to reduce OTA dependency. Roomkey was set up in 2012 by Marriott, Hilton, Hyatt, InterContinental and Wyndham to do just that. Many providers are bucking the "system" by holding fast with competitive rates. A consistency in pricing conveys an affinity between service offering, quality and value. They are leaving flash sales to needs based campaigns rather than having year round sales. Rate parity is the crux of any strong rates based strategy, so

accommodation providers must ensure that the rates they feature directly are as good, if not better, than those featured through OTAs. One of the keys is to reward advance direct bookings. A number of providers are becoming known as the accommodation business that offers the best rates (or add ons) on advance purchase bookings rather than being the cheapest last minute accommodation, highlighting the urgency and benefits of booking today. It doesn't mean a provider has to abandon last minute top ups but they need to be cautious as to how these are marketed. Commissions charged by OTAs would appear to be almost "pluck a figure out of the air" strategies ranging from as low as 8% to an over-the-top 25% in cases reported to Resort News. No accommodation business can sustain commissions of 25% unless their guests are being overcharged. Expedia stock dropped 25% a day after it said its second-quarter 2013 profit fell by a third. This doesn’t bode well for the online travel market. Analysts are expressing concern that the landmark players in the space are faltering. “The online travel world is not looking altogether robust; Expedia wasn’t able to transition well last quarter,” said Art Hogan, market strategist at Lazard Capital Markets, in a note to MarketWatch. "To make matters worse, much of the online growth stems from consumers booking hotels

resortnews | august 2013

and airlines directly rather than through online travel hubs like Expedia, Travelocity and Priceline." Richard Lewis, chief executive at Best Western, says it’s not just the size of OTAs that is a concern but their attitude. “It’s their selective willingness to work in real partnership with the hotel industry,” he says. “After all, the room inventory is held by the supplier – the hotel – not the OTA. From a hotel industry perspective, without our rooms what would they have to sell? But they still keep coming. One of Europe`s leading online accommodation wholesalers, Bookabed, is now up and running Down Under in the Australian and New Zealand travel wholesale markets, providing great rates and great service to the regions wholesale travel agents and accommodation suppliers. According to head of sales for Australia and New Zealand, Roy McCullagh, "Since our soft launch on 4 July, the response from the industry has been fantastic, and we are well on course to smash our target of partnering with 100 agents within our first 30 days of having a team on the ground, with bookings already made by agents for trips to Europe, US, Asia and of course, domestically here in Australia." With the sophisticated, technologically advanced mobility of today's travellers are you not better to invest more heavily into a superbly performing website and SEO prominence than to continually submit to the constantly changing terms and conditions of the OTAs?


special report

industry

Crime

Guests at risk - reputations destroyed I can prove anything by statistics except the truth. – George Canning, British statesman and politician who served as foreign secretary and, briey, prime minister

Crime, according to police statistics, is in decline or at least being contained. The public perception is quite the reverse. Tourists, in particular, are very sensitive to reports of criminal activity and areas become "branded" as unsafe because of the ensuing publicity. The on-going effects can hinder a tourist area for many years. One such area, the Gold Coast, is considering a new marketing campaign to try to overcome the crime-impacted reputation it is saddled with. In the wake of a crime wave at the start of the last school holidays, including three brutal stabbings, Gold Coast mayor Tom Tate says a campaign might be needed to reassure tourists and locals that the area is safe. While the Queensland Police Union has described the Gold Coast as Australia's 'crime capital', Cr Tate insists police figures showed longterm crime trends on the Glitter Strip were down and it was media reporting that was damaging the coast's image. "The spotlight is here and we don't have any more crime than anywhere else in Australia,'' he said. "The statistics that have been given to me by the police prove that and the crime rate's very low. But any incident that's newsworthy, yes it will be highlighted, so what we've got to do is be proactive.'' Police commissioner Ian Stewart said crime on the Gold Coast was down in many categories. Latest Queensland police figures show an 11% jump in overall crime in the south eastern police region (that includes the Gold Coast) against a statewide increase of 6%. However, the Gold Coast police district itself which includes the tourist precincts of Surfers Paradise, Broadbeach and Coolangatta - recorded only a 1% rise in overall crime. The severity of many of the crimes - like murder - however, will obviously become a major focus of

media attention. It is most unfortunate that many incidences of crime are also linked to an accommodation complex. Just last month, a woman allegedly stabbed a man in the chest at a holiday resort in Maroochydore. Two men were charged with a raft of alleged drug and firearms offences after a police raid on a Burleigh Heads motel earlier in the year. Police allege a .45 calibre semi-automatic pistol, a modified .22 calibre semi-automatic rifle, 40 rounds of ammunition, a significant amount of cannabis, about 100 grams of amphetamines and 1000 ecstasy tablets were found along with $11,330 cash in the motel room. One of the men was already on bail when the raid took place. A housekeeper at a Noosa resort pleaded guilty in the Maroochydore Magistrates Court to 40 charges, including stealing as a servant, fraud, and forging and uttering. Her thefts left resort guests more than $21,000 out of pocket. The manager of a Gold Coast hotel was suspended over allegations he entered a female guest's room uninvited and propositioned her for sex. The woman filed a formal complaint with police and says she is now too frightened to stay alone in a hotel and wants the manager charged with trespass. These incidents all happened on the Gold and Sunshine coasts over a relatively short period of time and the concentration of publicity undoubtedly damaged the accommodation industry in these areas, especially when the region is already receiving relentless media exposure for general crime. As, in each case, the accommodation business was named in the media, it would have done nothing for its reputation either. Just last month charged a chef at Green Island resort island off Cairns allegedly with an M4 rifle ordered over the Internet. Detectives raided the 52-year-old's Green Island Resort room and uncovered the banned M4 rifle, a gun barrel extension and laser pointer. In isolation, the crimes themselves pale by comparison to the events in a Melbourne accommodation complex in the final weeks of 2012. resortnews | august 2013

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industry

special report

A young Dutch tourist alleges she was tortured for seven weeks by a couple who kept her prisoner in an apartment at a Bell City complex in Preston - part of a major international hotel brand. The couple were charged in February with more than 100 offences, including rape and assault with a knife, abduction and theft. It's alleged the pair kidnapped the woman with the intention of raping her and then repeatedly physically and sexually assaulted her. Her ordeal reportedly ended only when she managed to break free on Christmas Eve. The apartment complex where the crimes are said to have occurred has a notorious history. In 2011, two women were caught filming a pornographic movie on a balcony in broad daylight while residents also complained of offensive behaviour including a stripper entertaining men on a balcony, fireworks being set off from hotel rooms and used condoms being thrown from balconies. The reputational damage to the hotel brand in question must be substantial. One of the more frightening and potentially dangerous crimes that can occur to a guest is a room invasion robbery. A room invasion occurs when robbers force their way into an occupied hotel or motel room to commit a robbery or other crimes. It is frightening because it violates the guest's private space and the one place that acts as our temporary

VICTIMS(a), Selected offences by outcome of investigation at 30 days Murder Attempted murder Sexual assault(b)

Legend

Kidnapping/Abduction(c)

Crimes committed Crimes solved

Robbery Blackmail/extortion Unlawful entry with intent Motor vehicle theft Other theft(d)

0

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sanctuary while away from home. Some travellers never recover from the experience of being assaulted while in a hotel room in a strange city. A young woman was subjected to such an incident when four men stormed a hotel on the Great Western Highway near Sydney, armed with a shotgun, and demanding cash. Police say the four intruders threatened staff at the hotel but left empty-handed. Without the ability to track the specific crime of hotel room invasion in police statistics, little can be done to alert the public as to the frequency of occurrence or devise a law enforcement plan of action to prevent it. Accommodation complex

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60

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burglars work mostly during the day and when a room is more likely to be unoccupied. Most burglars work alone and tend to probe a hotel looking for the right room and the right opportunity. Access control systems, good building design, strong locks and doors, and alert hotel staff can often deter burglars. Also, burglars don’t want to be confronted and will usually flee when approached. Most burglaries do not result in violence unless the criminal is cornered and uses force to escape. Hotel room invasion robbers, in contrast, work more often at night when rooms are more likely to be occupied and less staff is on duty. The hotel room invaders usually target the occupant and room location and not necessarily

the hotel. The selection process may include women travelling alone, senior citizens or wealthy travellers. It is not unusual for a robber to follow the victim to their hotel room based on the value of the car they were driving or the jewellery or clothes they were wearing. The weakest hotel security link is the room guest who fails to lock doors or windows or who will open the door without question at the sound of a knock. Accommodation providers are faced with being increasingly vigilant and arm their complexes with the most up-to-date security systems available. Staff must be trained to scrutinise and report any suspicious activities and people.

 HiRUM Hospitality Software Leading the way in Accommodation Business Management

Reservation Software. Property Management Software. Global Inventory Distribution. 07 5574 4990 sales@hirum.com.au www.hirum.com.au

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100

%

Source: Australian Bureau of Statistics

resortnews | august 2013


industry ARAMA Report

Working on the economics of cost cutting The ongoing battle to successfully curb the continuing rise of costs for essential commodities continues to be the major challenge for businesses large and small throughout Australia and internationally as the world continues to recover from the GFC. The challenge for business managers is to control costs, maintain services and demonstrate value for money to all clients and customers. Recent announcements of the threat that essential services such as the retail electricity supply rising by 21% has resulted in governments intervening to cap any cost rises and to reorganise the industry to control costs. Daily we are learning that a number of key industries are re-assessing their viability and this includes the high profile domestic car manufacturing industry as a headline example. The regular release of statistics indicates that while the mining boom may have peaked because of global pricing falls, there were still a significant number of major projects underway and unemployment figures have remained reasonably steady. Importantly Australian governments are continuing to address the fiscal issues of the domestic economy and are investing in key historic growth sectors including the need for modern planning for Australia’s growing population and also supporting flagship industries such as domestic tourism. The revitalisation of historic suburbs in cities and regional centres

Bill Kemter President ARAMA

contributor in cost control and enhancing the long term asset management of equipment. As the company points out, using the technology equipment, it is self funding from day one with the electricity cost savings.

“...the retail electricity supply rising by 21% has resulted in governments intervening to cap any cost rises...”

to make better use of existing infrastructure has resulted in a revival of the construction industry as new density living complexes are established with a rejuvenation of local economies. Australians continue to take regular holiday breaks and, while there has been an increase in the number of off shore holidays, the latest figures continue to show a growth in domestic holidaymakers and a significant increase in international tourists coming from Asia and Europe. The events market that has seen huge holiday migration for the Lions football tour and the Manchester United visits are further indicators that these initiatives, along with the wonderful natural attractions that Australia boasts is a significant catalyst. In our education programs, we at ARAMA hold regular meetings through our regional networks to back up our support network for our members to ensure that they are up to date with all initiatives that affect the resident management industry. Like many associations, ARAMA is

supported by industry partners and when it comes to cost control, we are always very interested in ensuring our members maximise the opportunities to control costs on behalf of owners and investors. In today’s high rise and density living complexes, air conditioning is an essential element but it can be the most expensive appliance in an accommodation situation, usually accounting for 50% of all power use. The air-conditioning units are often left running when accommodation is left empty. An ARAMA corporate partner is one of the new state of the art organisations whose products offer direct cost control savings. The sensor device attached to the indoor unit, automatically turns off air conditioning in rooms left empty. The devices are specifically designed to reduce split system air-conditioner power consumption, lessen equipment breakdown and maintenance costs, and extend the longevity of the capital asset. In the competitive market place the use of technology is a major

As an industry organisation, ARAMA provides an advocacy service for the industry with government and other industry stakeholders along with the practical advice and assistance to all members. This year we have proactively visited all branches to update members on the latest technology opportunities available to the accommodation industry and to high density permanent living complexes. Importantly there is a two-way exchange, with members sharing their experiences in cost management and practical solutions to day-to-day issues that impact on the operations of complexes. We are all aware from the headlines that the cost of energy is continuing to rise, despite changes in ownership and the administration of public generators and distributors. Innovation can always provide opportunities for resident managers and there continue to be new solutions emerging to enhance the day to day operations of complexes and ARAMA will actively work to deliver practical solutions to our industry. We will continue to generate forums that provide practical and economic solutions to the day to day management of properties under our 24/7 watch.

HiRUM would like to congratulate Beachfront Apartments Trinity Beach for ranking second in Australia in the Annual Expedia Insiders List of Accommodation Houses “Guests are our number one priority. We are hands on and do most things ourselves when it comes to them. We use HiRUM Property Management Software and HiSITE Channel Manager, which has a two way interface which updates our availability across all online booking sites. This prevents the risk of overbooking and cuts down our admin time dramatically, leaving us free to concentrate on providing our guests with a quality holiday experience that they will never forget” – Eddie and Julie Harrop, Beachfront Apartments Trinity Beach sales@hirum.com.au www.hirum.com.au resortnews | august 2013

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industry BCCM Report

Can an owner rent out their exclusive use car space? A recent decision in the Queensland Civil and Administrative Tribunal has offered some clarity regarding the capacity for owners in community titles schemes to derive an income from an exclusive use parking space attached to their lot. Sections 170 through 177 of the Body Corporate and Community Management Act 1997 provide for exclusive use by-laws. Under the act a body corporate is entitled to grant exclusive use of (or other special rights about) common property to a lot owner through an exclusive use by-law recorded in the community management statement. Exclusive use involves the right for an owner to use an allocated area of common property to the exclusion of all other owners and occupiers. One of the most common examples of exclusive use areas is that of a parking space. If a grant of exclusive use is properly approved in a general meeting there is no restriction on how and to whom a body corporate can choose to allocate common property for exclusive use. However, pursuant to the regulation module applying to the scheme, an exclusive use by-law can impose conditions, including conditions regarding payments to the body corporate or lot owners. Following the introduction of the act it was initially held that an exclusive use parking space could not be rented out by an owner to a third party by virtue of then-section 37 (now re-numbered as section 35) of the act. That provision states that an owner’s interest in a lot is inseparable from the owner’s interest in the common property, citing the example that an owner cannot separately deal with or dispose of the owner’s interest in the common property. In L'Colonial Court [2002] QBCCMCmr 355 (3 June 2002) the adjudicator ruled, on the basis of section 37, that “a person to whom the common spaces are allocated has no right to rent these spaces for personal gain unless this was also coupled with the right to rent the owner’s interest in the lot as

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“...if an owner of a lot with an exclusive use car space wishes to rent that space the owner must have regard to any specific limitations or conditions imposed...”

well. One of the essential features of section 37(3) is that it authorises the exclusive use in respect of specified common property only in conjunction with the use of the relevant lot.” However, the adjudicator in the subsequent decision of The West Quarter [2003] QBCCMCmr 289 (12 December 2003), without any reference to section 37, proposed that in order to resolve a shortage of available parking spaces “… commercial lot owners will need to find alternative car spaces either by: renting an exclusive use car space from a willing residential occupier; parking in the street; or parking at a nearby parking station or other premises where the owner is willing to rent space for parking.” The relevance of renumbered section 35 to exclusive use parking spaces was last year considered by an adjudicator in North Point Brisbane [2012] QBCCMCmr 355 (7 August 2012). In that matter, the applicant disputed another owner’s entitlement to collect rent on common property parking spaces transferred to it under an exclusive use by-law, on the basis that no specific permission existed within the by-law to rent out the spaces. The applicant also sought an order requiring the owner to account to the body corporate for money received from renting parking spaces. The adjudicator in North Point Brisbane found, contrary to the decision in L'Colonial Court, that section 35 refers to an owner’s interest in the entire common property of the scheme as a tenant in common, rather than the rights granted under an exclusive use by-law. The adjudicator applied the

findings of the Court of Appeal in the matter of Independent Finance Group P/L v Mytan P/L & Anor [2001] QCA 306 (particularly paragraphs 86 and 87) which ruled that an exclusive use by-law grants a statutory right rather than a common law interest in land. As such, the rights under an exclusive use by-law attach to the lot and benefit the occupier of the lot for the time being. The adjudicator noted that under section 180(4) of the act an owner cannot be prevented from leasing or otherwise dealing with their lot and that arguably this extends to the exclusive use rights that attach to the lot. While an exclusive use by-law could potentially include a restriction on the leasing of the exclusive use areas (provided there was reasonable justification for those restrictions per section 94 of the act) there were no such conditions in the by-law before the adjudicator. Moreover in that instance the by-law specifically provided that the exclusive use car park area was for the use of the lot owner and occupier “for themselves and their licensees”. The adjudicator was therefore of the view that the by-law specifically permitted the use of the car spaces by third parties under a lease or licence. In the adjudicator’s view, the owner was therefore free to use and enjoy its allocated areas of common property for its benefit, subject only to any limitations in the legislation (for example, in making improvements). Additionally, the adjudicator found that there are no legislative provisions that automatically oblige a lot owner or occupier to give the

resortnews | august 2013

Robert Walker Commissioner for Body Corporate and Community Management

body corporate any income generated from their exclusive use area. While such an obligation could be included as a condition in the by-law, there was no such condition in the relevant by-law for the dispute. The adjudicator’s decision in North Point Brisbane was subsequently appealed to the Queensland Civil and Administrative Tribunal. In the appeal decision delivered on 19 June 2013 the tribunal member, James Thomas AM QC, upheld the adjudicator’s decision and stated that: “In my view a party who has the exclusive right to use and possess property prima facie has the right to its fruits and profits. Unless particular types of dealing are prohibited with respect to the subject spaces, or some special limitation is imposed, persons with the right of exclusive use are entitled to retain such profits as they can make from lawful use of the property, provided of course they do not create a nuisance or permit it to be used for some purpose other than car parking. It is significant that (the by-law for the dispute) contemplates the exclusive use and enjoyment not only of lot owners, but also “their licensees”. “Licensees” is not limited in any way such as to bare licensees and would include licensees who pay for the privilege. It is likely that many lot owners who do not personally need to use their exclusive use car places make arrangements for reward with third parties to use those spaces. It would be surprising if any lot owner holding the benefit of an exclusive use car space were obliged to account to the body corporate for any benefits received in respect of it… "In the absence of some special limitation in an exclusive use by-law, I consider that the grant of the exclusive use of a car parking space permits the grantee to grant a license to others and to retain the profits of lawful use of the space, There is no obligation to account to the body corporate for any such profits, at least under an exclusive use by-law such as (the by-law for the dispute).”


special report

industry

SCA Report

Advancing professionalism and industry recognition In the accommodation business as in life, we must always reach for higher goals, lest we become complacent and satisfied with what we have already achieved. The decision regulation impact statement describes on more than 260 pages how the states will be impacted by a positive licensing scheme. For us at SCA (QLD) some form of licensing or registration has been on the agenda for 30 years and it is positive to note that the key qualification recommended by NOLA is the current Certificate IV Property Services (Operations). The SCA registered training organisation has been offering the certificate for two years and in Queensland more than 80 members have finished it so far. While this is good news at this stage, the next step is a final round of state-based consultation and it is unclear whether the Queensland government will agree to the scheme. In supporting a system that promotes professionalism SCA (QLD) is proactively implementing an accreditation pathway by 30 June 2014. The foundations have been laid in the past three months, moving members to a new database and introducing a clearer membership terminology. Members will be able to apply for accreditation if they meet the relevant criteria, providing consumer confidence in the strata manager’s qualifications. The accreditation pathway includes a commitment to ongoing education through continuing professional development. Our goal as the peak industry body is to raise awareness that it is a critical decision whether a professional strata manager administers a strata scheme or someone who is unqualified.

Simon Barnard President, Strata Community Australia (Qld)

of our partners and sponsors and wouldn’t be able to deliver many services without them.

“...As the Newman government’s goal is to reduce red tape legislation, SCA (QLD)’s Legislation Committee has been heavily supporting this ambition...”

This decision should not be made lightly as it will have impact on the value of owner assets in the long-term. In addition, the compliance requirements for strata community owners are captured on 600 pages in the BCCM Act alone which requires a specialist to understand and manage. In raising awareness for our profession the board has been actively releasing information on consumer issues and legislative changes to the public that has generated in excess of 60 media articles. Representing strata community issues in the public arena supports the recognition of our membership as professionals and our industry as supporting residents in strata communities. Essentially, much of our advocacy work is done with a view to improve the administrative requirements for strata schemes which improves living in strata. As the Newman government’s goal is to reduce red tape legislation, SCA (QLD)’s Legislation Committee has been heavily supporting this ambition by putting in seven submissions to various government departments, for example in relation to the QCAT Review, lot entitlements and disclosure requirements and the registration of community management statements. Our advocacy work in

the past year included quarterly stakeholder meetings with the attorney-general, commissioner and industry groups as well as an invitation to the Queensland government’s response to independent commission of audit and the Queensland treasurer’s budget lockdown. SCA (QLD) set out 18 months ago to revert to a structure and culture that focuses on member service that was to be achieved at several levels. At the end of the 2012/13 financial year we can look back on an impressive account of changes that have brought us closer to our members. Our total membership has grown by 3.3% over the last year, a positive indicator that the changes at SCA (QLD) are returning the desired positive impacts for members. Members now manage an estimated 270,000 lots in Queensland and strata services members come from various industries including legal, finance, insurance and associated trades. The support of the strata services membership is critical to SCA (QLD) as it supports the operations and enables us to deliver more services. Hence it is a positive sign that as of 1 July there are three new sponsors on board and a few have increased their support level significantly. We are very grateful for the generosity

An owner should also be mindful that the space may not be used in a way that creates a nuisance or that prevents other persons from enjoying or using lots or common property. Any improvement to the car space

which the owner wishes to make to enable it to be rented would require the approval of the committee, or the body corporate at a general meeting, dependent on the value of the proposed improvement.

The major incentive for our members in 2012-13 was to decrease both membership and education seminar fees by 15% while increasing education and networking opportunities. Our annual symposium in March 2013 was a huge success that we were able to offer at 40% lower prices that, in turn, attracted 25% more members to attend. Over the two days we had more than 210 delegates listening in on two dozen sessions. Not only the symposium success but a few other IT, administration and management cost reductions have resulted in a substantial end of year profit that will be used to support our 30th anniversary celebrations in October as well as some much needed advocacy support. As a not for profit body we mostly rely on volunteers that drive our committees and are supported by SCA (QLD) staff. We realise that one of the core functions as an industry body that many of our members benefit from is uniting the industry to voice concerns to the relevant stakeholders. In particular the connections to the government and regulator are important to members and we see some opportunities to proactively drive various key issues. The board has made a decision to use some funds to undertake a specific legislation review as the attorneygeneral has announced a comprehensive consultation in relation to the BCCM Act. Our involvement in legislative reviews is crucial and thus far has been impacting positively.

BCCM Report If an owner of a lot with an exclusive use car space wishes to rent that space the owner must have regard to any specific limitations or conditions imposed under the by-law which granted exclusive use.

resortnews | august 2013

An owner who intends to rent out their parking space may first wish to consult with the body corporate committee for the scheme and, if necessary, seek legal advice.

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industry Opinion

The key to revenue optimisation

Doug Kennedy Kennedy Training Network

With an increasing focus on encouraging direct bookings over third party channels, more and more revenue and distribution managers are realising that the reservations agents and front desk staff, who have often been thought of as operational employees, play a key role in hotel revenue optimisation. Many accommodation providers have implemented reservations and front desk sales training and mystery shopping or call monitoring programs. While these essential components, it is also important to implement a properly structured incentive program to help further motivate the associates. The most commonly stated objection to incentives for those who take reservations calls is that “Taking reservations is their job. Why should we have to pay them anything extra?” At first glance this seems logical. However, when their actions translate directly into additional business, there is no reason not to reward them, especially when the reward itself can motivate them to raise their performance to even higher levels. Put simply, when properly structured, transient sales incentive always generate an ROI. When you think about it the “That’s their job...” argument could be made about all hotel industry salespeople. Yet we rarely hear anyone argue this perspective when it comes to the hotel sales staff, despite that the majority of hotel sales associates are on compensation plans that include commissions and/or incentives. If the accommodation industry wants its reservations and front desk agents to think like salespeople, act like salespeople and to perform like salespeople, then we as an industry need to also compensate them as salespeople. Depending on what type of property or call centre you are operating, there are a number of key results areas that your property should be measuring anyway. Although any of these could potentially become the basis for an

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short of budget.

“...when their actions translate directly into additional business, there is no reason not to reward them...”

incentive program, it is important to tie your main incentive(s) to the indicators that have the greatest impact on profitability for your particular operation. Also, before tying any of these to incentives, make sure that you are getting reasonably accurate data. -

Monthly transient revenue versus goal

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Call conversion ratios

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Upsells to higher-priced accommodations

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Average revenue per booking

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Total revenue sold by agent

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Reservations sales mystery shopping scores

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Sales of ancillary hotel services and outlets.

Regardless of what type of incentive program you implement, here are some guidelines to make sure it is as effective as possible. Directly tied to extra revenue. Since it doesn’t make sense to reward employees for doing what they were hired to do, effective incentives reward associates for generating revenues that are above and beyond the forecasted/ expected levels. Generally, executive management and ownership will support such incentives because they are only paid-out when revenues exceed the goals. Of course it is important to set goals that are challenging, yet attainable. Many of the key revenue targets set forth in the budgeting process can be established as transient sales goals. For example, on-site reservations and front desk agents who are directly selling their own hotel, the budgeted transient revenue can become the goal each

month, provided that it is adjusted to accommodate any YTD trends. In other words, if the transient revenue has been regularly falling short of budget each month YTD, the transient revenue goal needs to be adjusted downward. Otherwise, with essentially no chance to achieve the incentive, the staff will quickly lose interest. Similarly, if monthly transient revenues have been regularly exceeding budget as the year progresses, then the monthly goal needs to be adjusted upward. Otherwise, the incentive will come to be perceived to be an entitlement program and will be expected regardless of performance. Most call centres, too, can structure incentives around metrics that reflect additional revenue for the call centre itself and simultaneously for the properties being represented by the call centre. Agent call conversion is in general an excellent basis for an incentive program at call centres, since they tend to have technologybased systems for measuring it. Incentives for call conversion are generally not a good idea for individual hotels, as a very manual process is typically required for collecting the data. If management wants to tie in an incentive into a key result area that does not directly impact profitability, such as mystery shopping scores, it should be positioned as a secondary incentive with a smaller payout or simply presented as a contest for a fun prize. Otherwise, the organisation could find itself in the unfortunate position of having to pay out an incentive when the revenues fell

resortnews | august 2013

Another option is to have mystery shopping and/or call monitoring results factored-in to the overall agent incentive. In other words, agents must maintain a minimum average score in order to receive all of their monthly incentive. If they fall short, they lose a percentage of their incentive. Alternatively, if they excel according to mystery shopping and/or call monitoring, they are then eligible to receive more than their original incentive. Can reward individual or team performance. So long as they are structured correctly, incentive programs can successfully reward individual performance, team performance, or both. The main challenge with individual incentives is that if they are set-up so that employees compete with each other for the top three or so positions, over time the same employees will tend to win. While this is no doubt motivating for the superstar performers, the mid-level talent is shut out and has no reason to at least try to be the best it can be. To work around this, just make sure that individual incentive programs are structured so that employees compete against themselves, rather than one another. So for example rather than rewarding the top three revenue producers for the month, reward every agent who improves their performance over the previous reporting period. Generally, team incentives work better than individual incentives where: -

The reservations team is relatively small and where agents share a significant amount of side-work that sometimes keeps them from handling general reservations sales calls.

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The technology does not provide reservations sales data by agent, such as call conversion ratios, total revenue sold, nor average revenue per booking.

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More than one call is typically required for a guest to confirm


industry

!

and finalise a reservation. (Typically destination resorts that sell packages including extensive recreational activities and similar options.) Easy to understand and monitor. In an effort to factor in all aspects of job performance that are desirable, organisations often end up with an incentive program that is confusing even to managers and that makes it difficult for agents to determine how they are performing. Better to have several incentives running simultaneously than to try to tie them all in to one program based on a number of metrics. Start and end on a short time basis. Quarterly or annual programs don’t attract the staff’s attention until the quarter or year is about to close. By that time the outcome has already been determined and agents will consider themselves to be lucky or unlucky depending on the outcome. Although weekly or bi-weekly incentives would be preferred, monthly incentives are the most practical, especially where the staff is kept informed on a daily basis as to how they’re progressing. Also, especially when a new incentive program is being introduced, the program should have an expiration date. Not only does this allow the management team to close any loopholes that might be allowing some unscrupulous agents to beat the system, but also reminds the agents that the incentive program is essentially a bonus and is not to be taken for granted. Results are posted. Many organisations hesitate to post the results of employee incentives. The concern is usually that one employee might become envious of another’s success. While this is certainly possible, it also shows under-performers that with a little extra effort and some ingenuity, they payout can be there for anyone. Under-performing agents might be encouraged to learn from and emulate the superstars. Differentiated from base pay. Incentives should be paid-out on a separate check from base

salary, and distributed on a day other than the regular payday. (Ideally at the monthly transient sales meeting.) This helps reinforce the idea that incentives are a reward for producing results and are not part of normal compensation. Employees can walk away with a sense of accomplishment knowing that their efforts lead to some additional cash that can be used for something besides their regular monthly bills. Paid-out exactly at the listed amount. While many incentive programs are paid-out at an amount that varies according to revenues, others are paid out at pre-determined amounts. In this case it is important to ensure that employees actually receive the dollar amount that they were expecting. There is nothing more disheartening for a reservations salesperson than to achieve a $100 incentive and get a check for $76.50. Management has two choices. One option is to simply call the incentive a “$76 incentive.” A second option is to “gross-up” which is to add the employee’s portion of the taxes into the program costs. With this option the $100 incentive might actually cost the organisation $130 but agents will feel much more positive about their rewards.

ARE YOU PAYING TOO MUCH FOR ELECTRICITY ? ENERGY AUDITS ENERGY TRAINING COURSES NEW MARKET CONTRACTS CONTRACT RENEWALS TARIFF REVIEWS CONTESTABILITY ANALYSIS COMMUNICATION AUDITS

When structured correctly, and when tied to additional revenue, a reservation and front desk sales incentive can be the final tool your organisation needs maximise sales effectiveness. If your incentive program is in line with the guidelines here, your management team should be thrilled everything they hand out an incentive check.

UTILITIES

DOUG KENNEDY is president of the Kennedy Training Network, and has been a fixture on the hospitality and tourism industry conference circuit since 1989, having presented over 1000 conference keynote sessions, educational break-out seminar s, or customised, on-premise training workshops for diverse audiences representing every segment of the lodging industry.

Watt Utilities Management Team Ph. 1300 734 088 Fax. 07 5520 0469 email. info@wattutilities.com.au

www.wattutilities.com.au

resortnews | august 2013

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industry NSW Strata Report

Insurance – how do we stop the spiralling costs?

Col Myers Small Myers Hughes

In NSW, all strata schemes are required to be insured for the full replacement value, as well as public liability cover of at least $10 million. Similar laws are in place in other jurisdictions around Australia. To assist this process, the law requires schemes to be valued every five years by a registered valuer or quantity surveyor. It is fair to suggest that many schemes are underinsured, particularly in the period between valuations. For example, a scheme may be insured for $2 million based on a valuation. However, three or four years later the value of the scheme may have risen to $3 million or $4 million but the insured value may not have changed. As a result, there will be inadequate funds available to reinstate or replace the property in the event of a major disaster. It has been suggested that one option could be to increase the requirement for a valuation to every two or three years. However, this would add extra costs for schemes. Another option could be for the insured amount to be indexed annually by some formula that may reduce the likelihood of schemes becoming underinsured. The five-year valuation requirement can mean that owners become complacent about their insurance needs. A number of other jurisdictions (for example, New Zealand) do not require periodic valuations. Some argue that common sense and the fear of a lawsuit for underinsurance should be

Exemptions from compulsory insurance

“...It is fair to suggest that many schemes are underinsured, particularly in the period between valuations...”

incentive enough for regular valuations, without the law needing to dictate to schemes how often they should be done. Another approach is that taken in Queensland where schemes are required to disclose details about the insurance in notices for each AGM, including details about the most recent valuation. This may help to focus the attention of owners on insurance and the value of their shared assets on a regular basis. What needs to be insured? The National Disaster Insurance Review earlier last year looked at the issue of strata insurance in the wake of Cyclone Yasi in Northern Queensland. A number of submissions to that review suggested that strata insurance risks becoming unaffordable for many schemes. One element that affects the cost of premiums is what is covered by the policy. The law in NSW currently requires policies to cover most owner improvements and fixtures (such as kitchen cupboards, toilets etc). However, some other jurisdictions take a different approach. For instance, South Australia excludes owners’ fixtures and fittings. It has been suggested

that adopting similar measures in NSW may help to lower the premiums for schemes. It would also address the issue of ‘double insurance’ as such items are already covered by owners who have home and contents insurance policies. Tenant fixtures are currently excluded by the law from being covered by the scheme’s insurance. The law in NSW sets out a number of incidental matters that must be covered by all policies (like the cost of removing debris and employing architects). These would be standard features of most policies and the need for the legislation is unclear. Other incidental matters, such as temporary accommodation expenses for owners and tenants, are not required by law. A large impact on the cost of insurance is the excess payable in the majority of policies. In NSW most policies would have an excess in the hundreds of dollars. Most claims are for amounts less than $1000. Encouraging or requiring schemes to have a higher excess payable could reduce the number of claims and, in turn, the overall cost of insurance.

Under the current law only two lot schemes can agree not to be insured and then only if the buildings are physically detached. There is an anomaly in that schemes of more than two lots may be also be physically detached but are still required to be insured under one policy.

Increased premiums based on lot usage Under the current law where the use of a particular lot (like a café) causes the insurance premium for the scheme to be greater than it would otherwise be, the extra cost can be passed onto the owners concerned (with their consent or by an adjudicator’s order). A similar provision exists in the Queensland legislation. However, it can be difficult to determine exactly how much of the premium is attributable to the use by the lot owner or their tenant.

Public liability cover Some stakeholders believe that the current $10 million minimum level of public liability insurance is too low. There have been calls to increase the minimum level of cover to $20 million. Others suggest the minimum amount should be $30 million. Increasing the level of coverage would increase costs for schemes. No jurisdiction in Australia currently has a requirement for more than $10 million in public liability coverage.

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WELCOME


industry Vale - Dave Allen

Vale Dave Allen - one of the pioneering fathers of management rights - passed away in July. Dave was involved in management rights as early as 1977 and his contribution, dedication and passion for the industry was enormous. Victoria-born, Dave entered the Royal Military College at Duntroon in 1948 and emerged four years later with a Bachelor of Economics. So-armed he was immediately dispatched to Korea as an infantry platoon commander. During the war he was badly injured by a communist concussion grenade explosion. It was the beginning of a distinguished military career that included service in the Malaya Emergency and the war in Vietnam. He also served with distinction in two secondments in Papua-New Guinea. For the latter he was on loan to the newly-independent PNG Defence Force as chief of staff from 1973 to 1977, during which time he was to become good friends with the then PM Sir Michael Somare. In the year he went to Malaya, Dave met an army nursing sister who became his wife Shirley. In 1977 he resigned from the army with the rank of lieutenantcolonel. This was due, in part, to the reaction of the Australian public to the forces returning from Vietnam – a situation that left him disillusioned and angry. Around that time, Dave ran across an old friend he had served with in Korea who was selling real estate in Surfers Paradise. He also introduced him to a radical new concept - management rights. He acquired his first management rights that same year, taking on the River Park Towers in Surfers Paradise. This was followed by Kings Row Centre at Paradise Waters (1979), Carrington Court at Main Beach (1982) and, later, The Regent. In 1979 Dave established Dave Allen Real Estate at Chevron Island that became a specialist agency for management rights selling contracts for above 3000 buildings during the 23 years he owned it before selling out to public listed

22

Dave Allen 1948-2013

company S8 Ltd in 2002. His passion for the management rights industry saw him serve on the REIQ at local and state level including a period as state president. He also served as the REIQ representative to the state government for 20 years with considerable input into the drafting of real estate and management rights legislation, such as the Body Corporate & Community Management Act. He also set up the REIQ Resident Unit Manager chapter in 1983. He was responsible for setting up the Resident Unit Managers’ Training Course in 1983. Dave was prominent in many other organisations like the Auctioneers & Agents Committee of the Department of Justice, the Home Unit Owners’ Association of Queensland and Accommodation Owners’ Association. His services to the REIQ saw him appointed as a fellow of the Australian body in 1990 followed by life membership in 2001. He is also a fellow of the Australian Institute of Company Directors.

Dave was, for many years, a contributor to Resort News with a succinct, often controversial column called Viewpoint. His services, especially in PNG, were recognised by Queen Elizabeth II bestowing on him the title Officer of the Order of the British Empire in 1997. In 1994 Dave met and married New Zealand-born Faye, a widow for more than 25 years, and a vibrant business woman in her own right. Dave's other love was the Brisbane Lions. No conversation with Dave exclude reference to, argument for or anecdote from the Brisbane Lions. Dave Allen will always be remembered for his contribution to the accommodation industry of Queensland.

Resort News On the 22 July David Allen OBE passed from this world having made a massive contribution to the lives of many people. He did this personally to the benefit of many people of who were personally

resortnews | august 2013

involved and close with him as well as particularly to all Australians through his involvement in the Australian army and later in commerce. I first met and got to know Dave when he was moving from his first career in the army to his second career in real estate management and sales in 1977. His character, camaraderie and ability to think and act quickly shone through. I understand that Dave’s distinguished career in the army before he retired as a lieutenant colonel saw him take up military training in Duntroon as a young man after the Second World War. His training quickly led to him becoming an officer in the Australian army in the Korean War at the age of 21 where he applied his strengths and personal abilities to command and care for the troops under his control. Following this he quickly moved on to having an important role in Malaya, where again he commanded forces to assist in the defeat of the guerrilla warfare being applied by the insurgents. His efforts contributed to the defeat of the communist forces enabling Malaysia to be the nation that it is today. His role in the Australian army also involved him in the Vietnam conflict and finally took him to New Guinea as military commander. Dave played a major role in producing a modern and capable army for the emerging nation of Papua New Guinea. He had great responsibilities as the commanding officer in charge of preparing the nation for its independence from Australia, which placed him in a close association with Michael Somare as the first prime minister of the new nation. Again, without the foundations Dave Allen laid and the personal involvement he had, that country would not have had the strength of the reserve powers of its army to forge ahead in to the modern world. When I met Dave Allen he was “full tilt” into understanding how management rights could become a major component of Gold Coast and Queensland real estate and tourism industries, through properly organised onsite property management.


industry

He purchased his first management rights on the Gold Coast on leaving the army and, with his typical quick and certain style, won a very respected place in ensuring the success of the management of this building. Quickly he moved the industry forward by marshalling the REIQ, leaders in the development industry and the various government people, to lay the foundations for a strong and capable real estate, management rights industry. Dave always knew how to work within the confines of government and political boundaries to maximise all the resources for a positive result. He worked tirelessly with myself and others to have management rights recognised as a responsible area of commerce. Through the REIQ he set about public promotion of knowledge, training courses and responsible

dealings with developers. He involved TAFE colleges to work with knowledgeable industry persons to cover responsible licensing and training while, at the same time, ensuring that the politicians and bureaucrats knew of the ingredients and path for a successful responsible industry. Certainly Queensland has led the way through foundations laid by Dave Allen. His real estate agency established on Chevron Island became a centralised command for his introducing of people to the industry, marshalling bankers (initially the National Australia Bank through Brian Thomas) and sales agents, to commence selling and running management rights, as well as accountants to form up a central core of applied knowledge for the industry. Many of the people Dave introduced to management rights became both successful operators

and active building managers, following the practical paths and ideas he espoused. On the political front, Dave became recognised as an intelligent authoritative leader, particularly as REIQ president who could be trusted and listened to with his thorough and persistent but simple and truthful messages. He was instrumental in ensuring that the review of the body corporate property laws over a period of 10 years in the 1990’s culminated in a workable and balanced piece of legislation out of the Queensland government's Green Paper. He quickly determined who and what was “the enemy” and knew how to marshal key people to produce the right result. From his “biggest little real estate agency” on Chevron Island, Dave trained an immense number of people to become building managers, real estate agents,

experts and entrepreneurs where he was never phased by the ideas and potential of the industry. Although he retired from the industry some years ago, the leadership and lessons he provided to the industry certainly continued on strongly and all who knew Dave Allen, or knew of him, will be very saddened by his passing.

John Punch, Short Punch & Greatorix We met Dave Allen at our resident managers' training course back in 1997 when we were purchasing our holiday complex in Coolum. He was an integral part of our journey in this industry. We are still in management rights in Brisbane and we acknowledge that his knowledge and input has been a major reason that this industry is here today. God bless his family in their loss. TERESA BALL

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23


management Permanent Parameters

Will no one rid me of this troublesome priest?

Mike Butler Director, RAAS Rights

You may be wondering what King Henry II's supposed words about Thomas Becket, Archbishop of Canterbury, would have to do with management rights and bodies corporate. I encounter some parallels to the Henry and Thomas story almost every day when I speak to on-site managers. For those of you who have forgotten your English history - in the 12th century, Thomas Becket was a good mate of King Henry II of England. They hunted together, they boozed together and they pursued the fair sex together. When the position of Archbishop of Canterbury became vacant Henry thought it would be a very good idea to put his mate into this extremely powerful position as the Pope’s No 1 man in England. Unfortunately for Henry, his good mate had an attack of the “Napoleon Bonaparte’s” and ran wild with power! Henry had released a monster in archbishop’s robes and a hair shirt beneath. Back in 1170, if you made a mistake in choosing someone for the top job, there were avenues available to solve your problem

that are not available to us today. Thus on 29 December 1170, four chainmail-clad knights with swords solved Henry’s problem by kick-starting pious Thomas on his road to sainthood in front of the altar in Canterbury Cathedral! Which of course brings me in a natural progression to the subject of the chairperson of your body corporate! Now I am not saying that every body corporate chairman becomes drunk with power and I am not saying that every on-site manager is blameless but, in the past month, I have taken four phone calls from on-site managers who are being “monstered” by the chairman of their respective bodies corporate. This is a slightly higher rate than normal but then again not every manager with this problem phones me and the true problem may be even greater. In every case, an analysis of the facts indicated a chairman who was in the wrong; a chairman with abysmal knowledge of the BCCM Act and a chairman with an attack of the “Napoleon Bonaparte’s”. But what to do? Rule number one is bite your tongue and don’t initiate World

War 3 because as we found in WW1 and WW2, you will just end up with piles of dead bodies and lots of recrimination! First, ask yourself is it just possible that your personal “Bonaparte” is right? Have you been doing your job properly? When was the last time you read your caretaking agreement to see what your job was? I am constantly amazed at how many managers think that their caretaking agreement was something their lawyer read during legal due diligence but after that it could be put in the cupboard and ignored. It is not! It is your job description - and it is enforceable! If you are truly convinced that you are fulfilling your contract, then don’t just ignore the enemy action. Take it head on. Approach the designated liaison person on your body corporate committee (there has to be one) and request a meeting. Have a copy of your caretaking agreement with you and make sure you understand every word. Ask your liaison person to go through where the committee feels the problems are. Quite often, the liaison person (who is usually that Napoleonic chairman) will not have really discussed the “problems” with the

committee at all. Insist that minutes of this meeting are kept or a recording of the meeting made. Agree on a course of action that will ease the tension. If, of course, the chairman has no understanding at all of what tasks you are obliged to carry out under your contract and simply thinks you are a serf to be ordered about at will, it is time for you to get some qualified legal advice. Experienced management rights lawyers deal with these sorts of issues all the time and often a well-timed lawyer’s letter will bury the issue very quickly. Bullies usually back down in the face of a bit of light artillery! If all else fails, put on your politician’s hat. Successful politicians have just two skills. They know which egos to stroke and they know how to count the numbers. Make sure that at your next AGM you have an alternative chairman nominated, and make sure you have the numbers organized to put him/her in the chair.

Incorporate Bodies

Project management – relieving the building manager of sole responsibility

Paul Wood Director, SSKB

When you invest in a strata scheme, it’s inevitable that at one point or another, significant aspects of common property will need to be repaired or replaced - be it external painting, refurbishment of the main entrance foyer, replacing the roof membrane, the resurfacing of a pool and its immediate surrounds, major landscaping works, resurfacing of car parks and driveways and so on.

24

So how should a building manager go about organising the repairs? I must, first, point out that in strata overseeing major projects is not an easy process as it is collectively dealing with people’s homes and investments along with some sensitive decisions. Body corporate committees often appoint this responsibility to the building manager as it can be done under many agreements. If this is the case, it is essential for building managers to ensure they go about the process correctly to both negate major

disruptions and ensure expenditure results in value for money for all members of the body corporate. Whilst many building managers set out with the best intentions in regards to overseeing major works, they simply may not carry the appropriate experience and qualifications to oversee all aspects of the project. Without professional guidance, there can be cost blow outs, liability claims, prolonged unavailability of popular assets (like pools), restricted areas for owners (foyers, car parking and driveways)

resortnews | august 2013

and unknown completion dates. Additionally, building managers can find themselves under siege by owners and the apportioning of whom is to blame can divide a previously well working, harmonious community. The building manager of a large Gold Coast property recently, with all good intention, tried to manage the resurfacing of a large outdoor pool - including removing and replacing the membrane and relaying a pebble crete finish. After being told what was required by


management To Market

Time to catch up It is time to do something about our airports. This especially applies to Brisbane. Travelling overseas used to be a happy, exciting experience. At Brisbane airport it is anything but. Even before you join the queue without end to check in at the airline counter, a uniformed neanderthal with a stopwatch belligerently enforces one to disembark from one's vehicle, unload one's luggage onto a cart strategically placed some distance from the unloading point and give a farewell hug and kiss to one's spouse in Guinness Book record time. The ensuing check in queue is only the next wonderful encounter. Phase III is getting through security and then immigration. There is no doubt security is an issue - we all want to feel safe. But is it not possible to streamline the process? After all it is possible to scan a shipping container and truck at Dover as it passes by a check point. That's a steel container. But a passenger going through an airport needs to place any metal objects into a plastic tray, remove half of their clothing, separate any laptops and the like

separate various contractors – several providing no guarantee or warranty for their work, and without a project manager to oversee and co-ordinate the numerous trades involved – what was budgeted as a $45,000 dollar project ended up costing $110,000. By engaging a professional project manager from the outset of the project, the committee would have saved approximately $40,000 by utilising preferred trades, negotiating down what were high labour rates and clarifying and eliminating unnecessary works by identifying and defining a clear scope of works. Additionally, it should be mentioned that a body corporate sinking fund should be evaluated before any major works are even considered. This will assist in the prevention of financial woes later

for a separate X-ray, before they, themselves, get scanned. But even then it is not over. After repacking one's on board bag, another official will randomly select the already harassed and frisk them with some explosives/ drug detection radar. Is it any wonder passengers have to be at the airport 90 minutes before take off time? How is it that at Auckland airport, for example, at least the check-in queue has been eliminated - passengers simply get their boarding pass and check in their luggage themselves. It seems that such a process is "on the way" for Brisbane. A few years after more progressive terminals. Changing the way passengers are processed at our borders has been finally recognised as a key reform by Australian home affairs minister Jason Clare and the move has been applauded by the Tourism and Transport Forum. TTF chief executive Ken Morrison said the five-year Blueprint for Reform of the Australian Customs and Border Protection Service recognises the need to work smarter to process the record number of international travellers expected in years to come.

Wow! Only five years to catch up with the rest of the world! “Our airports and seaports create the first impression of the country for tourists and Australia can do better. We need a border processing system that can deal with growing travel demand into the future,” Mr Morrison said. “Customs currently does an excellent job by international standards but maintaining this has been made harder by funding cuts coming at the same time as increasing passenger numbers. “It is estimated that by 2015 the federal government will collect over $1 billion from the tax established to fund the border agencies, the Passenger Movement Charge (airport tax) but in the same year will allocate only $239 million on passenger processing. Other countries, particularly those in Asia and Europe, are making better use of technology to process ordinary passengers. Our border agencies must embark on similar programs," Mr Morrison says. Then, thinking like a politician, Mr Morrison adds, “SmartGate, the self-service passport kiosk, is a good start. But for every SmartGate terminal installed, personnel funding gets cut further, despite many new

tourists from Asia requiring more detailed processing by humans. Just as SmartGate has freed frontline officers from the task of stamping passports, a wider reform to the whole passenger facilitation process is needed to ensure that our borders remain secure while travellers’ lives are made easier. “Similarly, outbound border checks could be replaced with police interception at boarding gates for those on no-fly lists. This would allow better use of officers on priority tasks." “We welcome the partnership with the Australian Federal Police but note that there is also work to be done to ensure there is no duplication between Customs and the other border agencies, chiefly biosecurity. “Nowhere is this more evident than at regional airports unable to offer flights to New Zealand because of the onerous costs associated with multiple border agencies,” Mr Morrison said. In the end it is just more talk. Other airports have already employed traveller friendly methods - it is long overdue that Brisbane joined them.

“...strata overseeing major projects is not an easy process as it is collectively dealing with people’s homes and investments along with some sensitive decisions...”

down the track. A good sinking fund forecast can give a body corporate confidence to plan its capital expenditure over time, knowing the funds will be there when items need to be repaired or replaced. Your strata manager can offer support in this area and general advice and guidance in finding an

appropriate project management team for your scheme. Engaging professional assistance will support building managers, helping them fulfill their duties and possibly negate any personal action against them as well as ensure money is well spent and value is added to lot owner’s most important asset - their property.

resortnews | august 2013

25


management Big Small Business

How the tourism world has changed in 14 years

Peter Rogers Eyrie Escape

It has been 14 happy and exciting years for my partner June and I running a B&B in the Sunshine Coast Hinterland. It is now time for a change. As with two close friends in the industry here who have recently sold their accommodation businesses, “the time has come” the walrus said. All of us came into the tourism business from big business, bringing expertise variously from oil, retail and the media. There was much to learn and much that we could bring to the industry from our business and travel experiences around the world. This article looks at the changes, good and bad. The final article will seek to plot a road ahead. Productivity. Politicians, economists and business consultants globally rave on about the importance of greater productivity. That makes sense in this age of fast changing technology but this must be taken in context. There has been a dramatic change in the way our business works - 14 years ago about 25% of the Queensland B&Bs did not have computers – we had to send faxes of QBBA meetings to these modern dinosaurs. Then we could not operate away from our accommodation and office; now a mate was able to keep tabs on his business from the banks of the Mekong. In those dark days one of his KPIs was how many brochures he mailed out each day; today he has to be able to use all the digital tools available, pay and receive monies electronically, diarise vacancies on channel managers who send realtime information by SMS and email, the wotifs, quickbeds, booking.com, stayz (who provide business albeit at a substantial discount to the rack rate); post stories on Facebook, Twitter and blogs (a second mate whose computer knowledge used to be rudimentary, then created a highly amusing blog). And if as often happens guests leave mobile chargers, clothes and valuables behind we can send SMS

26

“...There has been a dramatic change in the way our business works - 14 years ago about 25% of the Queensland B&Bs did not have computers...”

and verbal messages that are mostly picked up even before they leave the Hinterland. That’s good. Now to the downside of productivity. Let’s start with GST that came into being in the last 14 years. It takes me 12 hours a year to fill in my BAS including diagnosing all my invoices – pretty much a total waste of time. When introduced, the ATO refused to allow an average percentage for food and beverage invoices to be used for GST (I had estimated between 29-33% on our supermarket bills). The supermarket chains deigned not to reprogram their accounts software to allow for a monthly GST total. Plain stupid. My accountant told me that I have the most complicated GST of all his clients. Yes the technology has moved forward but haphazardly from the production angle. Voice recognition is still in its infancy. Telstra’s Leave a message is a joke, as exampled by one left for my wife to say there were no croissants in our IGA. The message she received ran like this "Jeremy we can’t find cross overs”. The same holds true in the car industry where my BMW has a separate brochure just to explain how it all works – or not. Automatic software updates across our computer/tablet/smart phone cause all sorts of problems, as witnessed last week on my gmail, when suddenly the send button disappeared. Half an hour of my time plus 10 mins of my IT techo’s eventually solved the problem. Constantly upgrading soft and hardware is expensive and time consuming. Although costs of

new websites have plummeted - it cost us $5000 for our first website 14 years ago - there is still much that the IT industry can do to improve business productivity. Yes the social media has helped immensely in the marketing area. The TripAdvisors of this world arrived with a mixed blessing when everyone could go live without understanding the contingent liability attached to this, and an un-American aversion for taking legal responsibility as the medium provider. The need to be accredited has diminished and AAA Tourism’s imprimatur has suffered due to its continuing emphasis on infrastructure rather than service as well. However one of the great advantages of the accreditation system, as with those of awards, is that it places an onus on the accommodation industry to measure, maintain, modernise and refurbish. On the employment side, we took a decision right at the start that we would not grow the business to five suites as that would entail using outside staff. With a 24x7 business, the thought of having to adhere to stringent government regulations that now include the dreaded holiday and weekend payloading, mitigates against rebuilding the tourism industry from its dive during this last 14 years from 120,000 to 90,000 in Queensland. Whilst I admire the present state government’s efforts and considerable support with marketing, with working closely with the industry, with promoting infrastructure assets such as park trails and access, much of this is dwarfed by the inability to provide

resortnews | august 2013

the transportation infrastructure critical to build this up. In the many years I have been reporting on the Australian infrastructure scene (initially as a publisher), I just do not understand how we have got to a stage where nationally we need $600 billion to upgrade it. It can still take three hours to traverse 85km from our accommodation to the major Brisbane market on a holiday weekend and sometimes on a workday. However one of the greatest benefits I have seen in the 14 years here is that despite some horrendous politics, professional incompetence and much ego preening and bashing, we have an RTO that supports our small Hinterland Sunshine Coast with a professional permanent staffer and a structure that allows for us to work closely with them and with our state tourism body. It was not ever thus; tourism bureaucrats often appeared suspicious of newcomers to the tourism industry and vice versa. My own experience is that we have some highly professional operators in both camps and some that just should not be there – a microcosm of the political arena today. What is a truism is that everything changes and nothing will change. The rivers of gold from Fairfax’s classifieds in the newspapers have dried up; the enormous telephone directories producing $52 million from the Sydney region annually alone in 1983 are long gone. Thank God I am out of all that business. My news every morning is on my tablet, we and other accommodation providers can download the latest news from São Paulo for their breakfast tray, guests questions can be Googled here and in the local information centre. There still will be weddings, events, time out, travel experiences and just plain overnight havens for sleep but how will the accommodation industry go forward?


management Keeping House

The view from the loo Ever sat on a loo seat in a hotel with nothing meaningful to look at other than that standout cracked tile on the floor? Or try and catch some shut-eye with the shower head dripping at 2am? Or turn on your bedside light only to find the bulb has blown? What about something really simple and delightful - like sneaking into your room at 11.55pm and turning on the TV to catch the midnight news only to find the clown that had used the room prior to you had turned the sound up to its maximum level? It's amazing how long it takes to get the decibels back down to a respectable level, isn't it? But by then the damage to your neighboring guests on both sides has already been done. The glares next morning as you emerge would turn anyone to stone… As an accommodation provider, it is important to maintain your

largest asset: the guest room. You will, of course, have a preventive maintenance program. You will, of course, have a checklist for the entire guest room but does it consider the room from the guest’s perspective: sitting on the toilet, standing in the shower, laying on the bed, relaxing on the furniture? Act like a guest and you’ll see what they see, hear or feel. The door is the first place to start. Is the door so hard to push open (with your hands full of luggage, shopping etc) that you feel like you're in a rugby scrum? Does it slam shut with a bang that resounds up the hallway forever (great at 11.55pm as well)? Even before that, does the key card actually open the lock or is there some trick to it like holding your tongue to the left instead of the right with your wrist at an exact 85° angle? It's in the bathroom that Murphy's Law really comes into its own. Does the toilet flush properly

or does it keep running long after? Tiles are wonderful things when you have plenty of inspection time sitting on the toilet… mouldy grout, cracks, holes, stains - the possibilities are never ending. And that's before the eyes turn to the mirror, taps, walls, amenity dispensers… All this and we haven't touched the room itself. Isn't it fun when the guest before you had an early morning flight and set the alarm clock to go off at 4.30am and it had not been turned off? Serves you right for turning on the TV at midnight. And then your wife tries to blow her hair but the dryer gadget doesn't work. While none of the above are actually life threatening problems, there is a serious side. Taking in the recent fiasco in Queensland hospitals' fatal encounter with legionnaire's disease, the inspection and testing of air conditioners and

RELIEF MANAGEMENT & VACANCIES

hot water systems/pipes is one serious duty-of-care concern. Health issues in a guest room should be paramount. Preventive maintenance and deep-cleaning programs should be done in two phases. Maintenance first, with repairs and replacements completed, followed by a housekeeper’s deep cleaning. Housekeeping should wash the ceiling and walls, clean behind furniture and under beds, wash drapes and bedspreads and steam clean the carpet at a minimum. These programs should be customised to each property. Consistency is always the best approach. Set your list to conform with guest rooms, then fine tune them but don’t ever forget them. You’ll not only save future maintenance dollars and protect your hard-earned reputation but have much happier returning guests. And avoid potential litigation.

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RAAS has been serving the real estate needs of the Management Rights Industry since 2002 and was the first agency in Australia that was set up specifically to assist on site managers to protect the capital value of their businesses. Our first priority was to provide support so that managers could compete against outside agents.

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EXPERIENCED PERMANENT MANAGERS: Whether you’re an experienced RUM looking for a permanent position, or a Management Rights owner looking for that experienced management team we can help. Tim Svenson: service@resortpublishing.com.au The Relief Management Directory is provided by Resort News to provide CONTACT details only of individuals and organisations promoting services in temporary and permanent management positions. Parties should satisfy themselves as to the competency and suitability of advertisers prior to ordering any services. We accept no responsibility for the standards of service. © Copyright 2013 - Resort Publishing

Many managers focus on maintaining or increasing their profitability but may forget to protect the source that generates that profit – the pool of owners who employ you to manage their investment property. Losing units from the pool decreases your profit and the value of your business. Maintaining the numbers in your pool ensures this does not occur and increasing the pool builds both net profit and capital value of the business.

Assist your owners Undeniably the best way to ensure the rental pool is maintained and grown is to be involved with units selling in your complex and to be in a position of influence to whom they are sold.

Earn commission on sales On site managers who have become involved in the RAAS model since its inception have not only protected their cash flows and saved themselves millions in capital value, but in the process have also earned themselves many more million in legally earned commission income. Interested and want more information?

Contact Pamela on 07 3299 1744 / Pamela@raas.com.au

resortnews | august 2013

www.raasrights.com.au

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management Intonet

The Ps for Profit Arvo Elias Cybercons

One of the often asked questions is: “How do I know if my web site sells?” This time the story starts with an acquaintance when we met outside a main carriers phone shop. My friend explained he was interested in purchasing a new smart phone and was here to be convinced to buy the latest, newly released model. He had also just recently renewed his web site and hence that question. The art of selling has been and continues to be defined by the five Ps. Actually that number can be fluid depending on how far one chooses to define the steps of that process. This basic model was defined as "Product Pushing through Personality, Persistence and Price". This was the land of the "born salesman". These people had an engaging personality and tenacious persistence. With a low price and playing a simple numbers game, they could make sales. Even

today, people wake up in the morning and decide to go into selling with few or no skills. Today the game is a tad harder since we have to reproduce this as a web site for our business. However, before I could really answer him an eager young man approached and offered to assist my friend. As it turned out his experience with that sales assistant was a brilliant and serendipitous example of the answers he was seeking from me. My friend asked the sales assistant about a particular feature he had heard of and wanted it demonstrated. The salesman immediately retorted that this particular feature did not exist and indeed was technically impossible. My friend then asked about three other features he was particularly interested in but only had two of these demonstrated as our sales friend could not locate the third. Well, what about price was the next question? The price quoted was much higher than those readily

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available on other local web sites and to make matters worse the particular colour desired was not in stock and its availability was uncertain. Was the owner of the shop available as he may know the answers being sought? We were then informed that our salesman was actually the owner of the business. Clearly my friend was disappointed but thanked the salesman for his assistance and left the store. So where do the five Ps come in and how did our experience in the shop provide an answer for me? Its simple in his case; product, presentation, price and persistence! The product was certainly available but the presentation failed miserably. Our salesperson was not only wrong with his answers he also failed to present the product in a way that would excite and reinforce interest in it. His price was way out of court which implied he was a rip-off merchant or he just plain did not know his market or competition. He also failed in the persistence department. He could have tried to sell a different colour or made a serious attempt to confirm when delivery became available. As you can see there are many more options he could have availed himself of to keep and finalise the sale. As luck would have it I had an earlier model to the one being sought but which was operating with upgraded software and could demonstrate all the features my friend was interested in. He also grasped the significance of his experience. Since he was in the accommodation business, as most of you probably are, I would modify the number and meanings of the Ps used in selling and thereby design concepts for a web site. I would substitute the P words with the following: people, place, peace, pace, and price. One does not have to be a genius to start filling in the answers to each heading. The heading people just means your target market. Is your offer suited to all ages or groups? If it is for a specific genre then that may indeed help your ranking. Just spell it out clearly and the use of subheadings/categories would be helpful to both the human and our search engine robot. Peace should describe whether

resortnews | august 2013

the place is quiet and relaxing or does it jump like a disco? Pace allows you to promote options. The surrounds maybe peaceful but if taking a stroll down the road produces frenetic activities you have something of contrast to sell. Another acronymic prompter is FACE. If you are a musician you will recognise this as the descriptor of a note sequence on the treble clef. In our industry it is intended to provide further headings of food, alcohol, culture and extras. I don’t think it is necessary to belabour this itemisation as their intent is obvious. What is important is that you recognise the sequence and content that should be provided. Obviously your content writer must be experienced and also understand keyword selection and placing within the text. You, as the client, should however test those efforts with these rules in mind. Remember that these anchors also impose page layouts and design formats for the coder of your site. After all they too are the underlying selling features and provide the visual lever in selling and have to work hand in glove with the text and the descriptor sequences. Simply put: packaging! Since we were equipped with our latest technological gizmos it took no time at all to visit his site for a quick evaluation. The first thing that immediately jumped out at us was the fact that the design was not “mobile ready”. It did not take my friend very long to apply the P rules and decide that some modifications had to be made. As for me I had the satisfaction of knowing that what I was taught many years ago in the sales classes I had attended was still fresh today. I cannot recall the source but today, there are 204 identified skilled competencies in 31 categories in the five major segments of the sales process. That gives you plenty of scope to build your business. As Thomas Edison once said: "Make it a point to keep on the lookout for novel and interesting ideas that others have used successfully. Your idea has to be original only in its adaptation to the problem you are currently working on.”


Flashback

management

Little guys are important too Being an accommodation journal it is usual for big brands and larger businesses to dominate the news. But Resort News has endeavoured to always report on the smaller operators, especially in its profiles and Development News. Looking back at the August 2003 issue of Resort News, the town of Stonehenge in Outback Queensland was reported to be in turmoil. The smallest town in Queensland’s Barcoo shire, located about 120kms from Longreach, Stonehenge had a population of around 30 and with the decision of local hoteliers Jeff and Judy Baldry to move on, about half the town was up for grabs.

“...with the decision of local hoteliers Jeff and Judy Baldry to move on, about half the town was up for grabs...”

Margaret Tregilgas pictured with Liz Lavender of Management Rights Brokers who handled the Swan Lane management rights sale.

town on the banks of the Thomson River has more than 100 inhabitants!

Attack on drugs Goodwill was not in question as the hotel was the only place in town to buy literally anything from a pint to stamps. Along with the hotel, the couple’s entire assets went under the hammer including the local RACQ outlet, two blocks of land and a house for removal. That’s about half the town that otherwise boasted about 10 residential homes. So how did a hamlet in the back of beyond get a name like Stonehenge? A stone hut used by the bullock drivers to overnight in eventually fell into disuse and the stone remains were named after its more famous (and more substantial) English ruins. The hotel is now owned and managed by Ash Beaton and Bridgette Cutler. And now the

A series of incidents including explosions and fires, plus police raids had focussed attention of drug manufacture in accommodation properties. Boxed lab operators favour motels. These amphetamine laboratories are highly mobile and are dangerous for both the cook and all persons in the nearby vicinity. Amphetamine labs are highly volatile and explosions and flash burns are common. Cooking is usually identified by pungent chemical odours. A decade ago it was less understood than it is today and police set up Operation XXX to counter the growing problem urging motel and hotel owners and staff to help in the detection and enforcement of drug

offenders that use their services. Just as today, offenders traditionally use motel rooms to sell a variety of drugs like heroin, amphetamine, ecstasy and cannabis. Health and safety concerns regarding drug offenders in motels range from syringes dumped both inside the rooms and in car parks to the behaviour of offenders and customers in the hotel grounds. Drug offenders do not give a good impression for visitors.

The future of tourism The second Tourism Futures Conference was held on the Sunshine Coast in 2003 attracting around 400 delegates and lots of suggestions, demands and complaints - all of which had been aired previously and subsequently, mostly without any changes actually occurring. Access Economics’ Geoff Carmody hammered the point that there was “no really unified,

resortnews | august 2013

effective industry advocacy”. He was also critical of the “mediocre political representation” that displayed “limited awareness of the significance of tourism and have delivered policy outcomes to match”. The lack of unity in the industry had allowed this to happen. “Divide and conquer – governments love it,” he stressed. Mr Carmody attacked the governments and their taxation philosophies as “corruptions of user pays”. He slammed GST being applied to tourism and not treating it as an export industry. “There should be GST relief for tourism exports.” This was a major point of Sir Frank Moore’s platform. The Tourism Forecasting Council member described GST on tourism as “economic depredation”. “It’s like standing outside David Jones waiting to pay a fee for going inside to shop!” Sir Frank likened tourism industry representations to a “gang of chihuahuas” when what’s needed is “one rottweiler”. Has anything changed?

Ladies at tee The accommodation industry and golf are a match made in heaven. But not always in the finest of weather. The inaugural Venzsponsored Ladies Golf Day was to have take place in June but inclement conditions forced its postponement. In the second attempt organisers were not going to let a little hurricane weather affect the event and, donned with umbrellas and jumpers, the die hard adventurers teed off for a round of nine. For the record, Trish Gregory and Renata Bentwick made up the winning team. Speaking of ladies, at the annual REIQ Gold Coast awards held at the Marriott Hotel, Margaret Tregilgas won Property Manager of the Year. Margaret, who formerly managed Mayfair on the Park in Brisbane, was nominated by her tenants in the Swan Lane Apartments.

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management

Check-In

Pool overdose If you are a swim lover and about to retire, here is the right place for you. Its called the Bandra Ohm in Mumbai. Shaped like the Greek letter ohm, the proposed 140m Bandra Ohm residential tower is designed to evoke the ripple effect generated by water droplets. According to designers James Law Cybertecture, the outline of the tower demonstrates the fluidity and dynamic nature of the ripple. The key to all of this is the glass-walled swimming pools on every balcony. Each unit features a narrow vertigoinducing infinity pool with no railing! The gorgeous design seems less inviting when you imagine how easy it would be to trip a wee bit tipsy on the balcony and fall completely across the narrowest part of the pool and over the glass edge and down the 30 storeys or so.

Little competition The Borroloola Hotel is up for sale. The owner reckons it is not that isolated. There is another hotel just a bit over 100km away - pub on every corner style of things. Borroloola is on the gulf 1000km drive from Darwin. It had a reputation as a 1880s a base for rum smuggling from Thursday Island. Owner Paul Donald says he is selling up because he wants to buy something more pastoral. He commutes now from Papunya Station about 1000km away. Isolation is not the only drawback though, the Borroloola Hotel 's license says it cannot sell regular beer. It had been shut between September 2006 and late 2010 because it lost its liquor license. Selling agent David Loveridge reckons the pub is about

35 years old "but is has been largely upgraded over the years to what it was. I think is suits someone who likes a rustic and rural lifestyle and remote but at the same time having a good, captive audience".

Hotel unpacking At an innovative hotel in China space is simply moved around when it's needed from compartments hidden underfoot. Located near China's Great Wall, the Suitcase House Hotel has unique rooms that open up similar to the way you would open a suitcase, unpacking compartments as you needed them, hiding them away when you don’t. One convertible piece opens up a sink and bathroom. Another reveals a sleeping area. Still another shows a study and library. Instead of moving from room to room, the room comes to you. Architect Gary Chang was inspired to design the space after growing up in cramped quarters in Hong Kong, where space is a luxury. He started with his house — using movable walls that can create at least 20 different rooms in 32.5m² – which has to be seen to be believed. That idea eventually developed into the Suitcase House Hotel, commissioned by a commune near the Great Wall. Space is converted from pneumatic compartments in the floor. The mechanical walls conceal or open the space for anything from accommodation to events.

Saving on energy A special anti-theft squad in Faislabad detected a gas theft worth millions of rupees by the management of a local hotel. The hotel had been using stolen gas for some years by installing two meters.

Suitcase House Hotel

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Bandra Ohm

The first meter was installed in the front of the hotel while the other was installed in the rear side room adjoining it. The anti-theft squad started digging various places in and around the hotel and succeeded in tracing a pipe attached to the main pipe directly. The squad removed both the meters but the gas was still being supplied to 24 big cooking burners and three big generators in the hotel. Keeping in view the consumption, the gas bill was around Rs600,000 per month but the price of the gas being consumed was 20-times greater. The team arrested the head cook, while the hotel owner managed to escape.

A hotel too far A budget hotel room has been built at the highest point in Britain. The room with a view was constructed by a 36-strong team led by Paul Harvey, Travelodge managing director for property & international. The team climbed the 1344m peak carrying the contents and furnishing of Travelodge's new room. This included room walls, the Travelodge Dreamer bed, a duvet, a sheet with four pillows, a chair and a picture. It took them fours hours to ascend Ben Nevis, two hours to construct the room and two hours and 30 minutes to descend. The unique quest was undertaken in a bid to raise £50,000

resortnews | august 2013

for the company's nominated charity Macmillan Cancer Support. This is only the second time in recorded history that a hotel room has been built on the summit of Ben Nevis. During 1894 to 1916 the Temperance hotel provided accommodation for climbers during the summer months. Mr Harvey said, "Travelodge is renowned for building innovative hotels and we certainly love a good challenge. So as part of our fundraising program, we thought it would be a good idea to take our new Travelodge room to new heights and you don't get any higher in the UK than the summit of Bed Nevis." Coincidentally, Travelodge celebrated their 60th hotel opening by hosting an event to set a brand new Guinness World Record – for the Fastest Bed Making By An Individual. Andrea Warner set a brand new world record by making a king size bed in an incredible 74 seconds – which comes after years of practise (Andrea makes a staggering 120,000 beds a year!) To fulfil the strict guidelines set by Guinness World Record officials, Andrea undertook the challenge with an audience of 200 people, including three official timekeepers from the Amateur Football Alliance and four independent witnesses and stewards.


Renting vs Buying

management

Renting versus buying The current economic climate is proving to be tough for many businesses and isn’t limited to those in the hospitality industry. Lower levels of spending on travel and accommodation in the corporate sector and a focus on value from all segments of the community generally means margins get squeezed in the effort to remain competitive. With great consistency our clients tell us that it’s getting harder to remain relevant in a crowded market, particularly when cash flows are at some of their lowest levels. Furthermore, they tell us that traditional bank funding is harder to access, particularly for what banks deem ‘tertiary assets’. Many clients are first time renters and, up until recently, had not considered renting or leasing their assets for one reason or

another. It doesn’t take long though before clients really start to reap the many benefits renting can offer. For many clients the ability to refurbish their business without the capital expenditure (rental is an operating expense!) means they can improve their position in the market and, in turn, provides them with greater

levels of cash flow through increased patronage. The fact that they have a fixed monthly payment for the life of their rental agreement means they can budget with confidence and retain their cash for other purposes. Clients are afforded the ability of being able to upgrade their

assets without cost or penalty at the end of their initial lease term which enables them to retain their competitive position in their market without having to continually find the capital to do so. As part of this process, we also allow the client to upgrade their assets room-by-room, floor-byfloor or by one particular asset type at a time. Possibly more than any other feature of our offering this has been praised by our clients, specifically for the flexibility it enables them and for our understanding that the client needs to continue to be ‘open for trade’ during refurbishment. When we talk to our clients we don’t hide the fact that we believe "cash is king”, what we know however is that more often than not cash can be used for much better purposes than the acquisition of assets with a short useful lifespan.

ASK THE DIGITAL EXPERTS! L&M carries a complete range of rental & sale digital appliances including beds and cots. All products have been quality tested for use in the accommodation industry. Go to our website at L-and-M.com.au or buy direct online at LMDirect.com.au

GOLDCOAST P: (07) 5592 0266 NOOSA P: (07) 5447 1210

AUSTRALIA WIDE: 1800 074 236

resortnews | august 2013

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management

Banquet Furniture & Equipment

There is no future in going backwards Times really have changed. What was once considered to be acceptable function centre chairs and tables to offer potential clients is now simply unacceptable. It’s a highly competitive world out there and there’s money to be made if you can get your offering right and capture your share of the lucrative events market. If you’re considering refurbishing your venues function centre, there’s a lot more to it than you may realise and it doesn’t start with just choosing chairs. I’ve put together a short checklist of some really important things to consider to ensure that you invest your money in a furniture solution that will work for you and your clientele, as well as be an investment in the future of your business.

1. Know your target market: Are you looking to attract the corporate crowd or the wedding crowd or perhaps it’s a combination of both? This will play a big part in not only what type of chair you need to choose but also how your room will be designed and what services you need to have on offer.

2. Consider the future: As the title of the article explains, ‘there’s no future in going backwards’. This means that you’re investing in the future success of you operation. Buy wisely and invest in not just good quality furniture but in a company that will be there with you as you grow.

“...Insist on reference checking your potential suppliers to ensure that what you’re being promised is what you will actually get’ that one...”

Ask your supplier to bring down some samples and explain the different features on offer. Really press them on the technical details to ensure that they know their product.

6. Product certification:

need to add to your banquet chairs in a year's time and the company you bought them from is not around anymore then chances are you will not get be able to get the same chairs. With so many start-ups these days, you need to look for a company that has been established in

business for at least as long as the product warranty they’re offering no explanation required on that one.

5. Quoting and selection process: Once you have satisfied your concerns with the above criteria, it’s

3. Be considerate of lead times: If you want something custom made for your venue, there is always a lead time involved. Typically imported banquet furniture will take 8-10 weeks from the time you place your order. Anyone who tells you anything less than that – buyer beware.

Any supplier offering products for function seating that is considered a high frequency, heavy use environment, should have some Australian certification that they can show you to back up what they are telling you.

7. Environmental policy: Every choice that you make today will impact on the environmental future of our environment and the future that we’ll leave in place for our kids. Make sure the company that you deal with has a published environmental policy for their business as well as any relevant environmental certification for their function centre furniture. BY GAVIN KRAWCHUK, NUFURN

4. Reference checking: Insist on reference checking your potential suppliers to ensure that what you’re being promised is what you will actually get. You’re investing in your supplier as much as you’re investing in the furniture itself. If you

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time to start selecting some chairs and asking the supplier for some quotes based on your final finishes and numbers.

GAVIN KRAWCHUK is the

managing director of Nufurn commercial furniture, specialist manufacturers of function centre furniture and equipment for hotels and function venues.

resortnews | august 2013


management

supplier profile NUFURN

Rendezvous Hotel Perth Shines in 2013

R

endezvous Hotel Perth is set to shine in 2013 and beyond. Having already completed a vast number of refurbishment phases, the iconic hotel will capitalise on its stellar position on Scarborough Beach Promenade while providing world class conference and event facilities with incredible accommodation to match. The hotel now offers brand new conferencing and event facilities to accommodate more than 1,300 guests in up to 26 event spaces, many featuring stunning ocean views as their backdrop.

In January 2013, 1,300 brand new aluminium banquet chairs were delivered to the hotel along with 110 banquet tables with a further 180 seminar tables scheduled for delivery in May. All products come with a 12 year commercial warranty.

Rendezvous Hotel Perth is an integral property for the Rendezvous Hospitality Group and now distinguishes itself as one of the largest and most distinctive venues within the Perth event and conference market as well as in the state. With such large capital expenditure in play, it was crucial for the hotel to select the right suppliers for fit out who have extensive experience in their respective areas. Nufurn Commercial Furniture worked directly with Rendezvous Hotel Perth over a 9 month period, developing several prototype conference chairs and tables along the way, until the hotel were confident that their needs were met 100%. Mr. Brad Thomas, Assistant General Manager of the hotel, was highly involved throughout the design and approval process, providing specific and prompt feedback to ensure the product was made exactly to specification.

Mr Brad Thomas noted, ‘Aside from the overall investment in the hotel refurbishment, investing carefully in our conference and event facilities has been critically important to us, especially when those facilities are a major driver of ROI for the hotel. This means we needed to choose a company that not only had extensive experience in this area and proven, accredited product to match, but also one that could provide 5 star service on demand. Nufurn ticked all those boxes for us’. Nufurn are a 100% Australian owned specialist manufacturer of hospitality furniture with a core focus on event furniture. Established since 1996, Nufurn offer the most comprehensive range of event seating and tables in Australia, all backed up with commercial warranties of up to 12 years and AFRDI certification on their most successful products. If you’re considering upgrading your existing conference or event furniture, be sure to talk with Nufurn first. Freecall 1800 650 019 or www.nufurn.com.au.

HAVING AN UNEXPECTED GUEST DROP IN? We have a chair for that! Nufurn offer the most comprehensive range of Banquet Seating available in Australia. So rest assured, no matter who your clientele are, we have a seating solution for your venue. And if you can’t find something in our standard range, we’ll make it for you! Call us

CALL FOR OUR NEW CATALOGUES TODAY

m 1800 650 019 resortnews | august 2013

www.nufurn.com.au 33


management Security Access Control

The importance of managing egress to your building

Brett Northam Digismart

Like most technology based systems, it can be difficult to sort through the many options and decide which are practical for your guests and residents. Building entry access is gained in several ways that include having an occupant “buzz you in” via the intercom network, PIN keypad, radio frequency identification key-ring fobs and SIM cards are the same as the new pay-wave ATM cards and old technology magnetic cards are like your old ATM card. There are many more James Bond type technologies, developed for government and smart-home residential applications like biometric thumb print, hand print readers and eye and face laser scanners just to name a few that have been declassified for civilian use.

“...It is highly advisable that all occupants have access to visual verification if granting entry from an intercom system....”

It is highly advisable that all occupants have access to visual verification if granting entry from an intercom system. If the intercom system is not video capable then a smart option is to have a digital security camera installed and focused on the foyer intercom panel, your local MATV specialist can mix this into the digital

television system to reduce the open risk of fraudulent entry. Whether you physically swipe a card, enter a PIN number or waive an RFID card or key fob in close proximity of the reader, the result is the same, it opens the automatic door/garage or activates an electric door latch for a momentary time (typically 3-5 seconds) before

relocking itself. Meanwhile while the entry event information is logged by the system for secure, user ID verification. With smart programming and scripting, strategically located electronic door latches and readers your able to time manage check out expiry of the key fob/card, call elevators, restrict elevator access to floors, timed lighting and you can automatically time lock communal areas like pools and sauna, gym, games and theatre rooms or restrict access to conference areas, staff zones and gardens for events. Programming and recycling of used key cards and fob’s back into the system is achieved simply using a laptop, USB connected key reader/ writer, and account management software. More complicated systems may require additional hardware to meet high volume and multiple

Swimming Pool Laws

You are being targeted Darryl Posgate Mypoolinspection

In December 2010 new swimming pool fencing laws were introduced by the Queensland state government. Swimming pools (including spas) require compliant fencing and need to be registered with the state government. Inspections of swimming pool barriers (including barriers around spas) are required every 12 months for shared pools, and a pool safety certificate must exist before entering into an accommodation agreement. Following a six-month grace period that expired in May 2011, any hotel, motel, caravan park, hostel or B&B trading without a pool safety certificate is in breach of the legislation. The penalty for entering into an accommodation agreement without a pool safety certificate for a shared

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“...The penalty for entering into an accommodation agreement without a pool safety certificate for a shared pool is up to $18,150...”

compliance rates for class 3 buildings in four targeted local government areas and PSC staff are progressing the audit across Queensland, sending reminder letters and taking enforcement action where noncompliance exists.” This message is a timely reminder for all hotel/motel/ hostel/park operators who may have fallen through the cracks. The first step toward achieving compliance is to register your pool. Secondly, check your fence. You can access a simple checklist with your PC/smart phone/tablet.

pool is up to $18,150 under the Building Act 1975, section 246ATI.

Common reasons why pool fences and safety barriers fail are:

The Pool Safety Council announced in it’s July 2013 Newsplash that it would be targeting class 3 buildings (hotel, motel, caravan park, hostel etc).

the gates are not self-closing and self-latching

the height of the pool safety barrier is less than 1200mm because ground levels and/or garden beds have increased over time

“The Pool Safety Council announced that it has [already] lifted

resortnews | august 2013

the adjoining boundary fences have climbable rails

there are climbable objects near the pool safety barrier

There are also balcony spa's (including single use/refillable spa's) that have no safety barriers at all. Finally, if you do not have a pool safety certificate, contact a licensed pool fence inspector without delay. Once obtained, your pool safety certificate must be displayed near the entrance to the pool/property. DARRYL POSGATE is part owner of mypoolinspection, Queensland’s only dedicated state wide pool fence inspection business and services hotel groups like Mantra (Peppers, Breakfree), Rydges, QT, Pullman, Sheraton and many others. With over 10,000 inspections completed to date in Queensland.


management

access point demands. Elevator key card docks, RFID and SIM card reader installations will require a small amount of cooperation between you access control contractors and your lift maintenance company to respect warranties and safety protocols. Automatic doors are easily modified to be triggered by an access control system while swinging doors require an electronic door latch with memory delay to be retrofit in replacement of the door latch striker plate located in the door frame itself. These memory latches are available in numerous configurations including gate post and pool fence models and multi point locking plus an option to replace the door handle with a stand-alone battery operated (PIN-pad or card) lock that can record event details that are

downloadable via a USB port on the handle . The first generation of logged card entry/exit systems used magnetic card and swipe readers and these systems commonly operate in large resort and hotel complexes as a cost effective alternative where room card loss is a factor. These cards have a limited swipe lifespan due to the physical contact wear the card swipe readers traditionally cause. Both SIM card and older magnetic cards are often used to activate the power in a holiday apartment by placing them into a card dock located on the wall just inside the apartment door. Radio frequency identification access control keys use ultra short range wireless technology that requires no physical contact with the reader, this eliminates wear and vastly reduces maintenance costs.

Deciding to issue either RFID key-fob or RFID card is entirely based on the type of application as accommodation complexes commonly often share a mix of permanent residents and holiday rental apartments and require the flexibility of choice. The sensible and economical approach is to issue the cheaper SIM cards to holiday guests and restricting the more expensive key-fobs for permanent residents only. Their durability, convenience of size and dual technology options make this the practical option. Key-fobs can possess the ability incorporate automatic close proximity triggering or radio remote buttons that can be programmed to open a buildings garage doors without having to roll down the car window. Making the upgrade to a sophisticated intercom system is

resortnews | august 2013

easy now with recent evolutions in digital and IP (cat5) based systems. These new microprocessor-based systems aren’t limited to modern cat5 type of cabling because the manufacturers have already foreseen potential restrictions and developed digital systems that will fit and work perfectly on older existing two or four-wire system designs. Late self check-in is commonly achieved by installing impact proof outdoor safes with PIN keypad entry. Upon arrival guests obtain instructions from an after-hours service operator. Some hotels will forward these instructions and PIN number to the guest in advance via email or text message. The intercom panel may be programmed to divert calls to this operator.

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management

Commercial Barbeques

Keeping up with the outdoor cooking phenomenon No resort would be without the outdoor BBQ in Australia – it just would be so un-Australian to do so! But the humble BBQ, that ultimate icon of Aussie outdoor living, is undergoing a radical evolution. It snuck up on us, too, without us realising it. Some one put a work bench beside the BBQ. Some one else put a roof over the area and tables and seats and other luxuries. Then another put an outside fridge to make it easier. And so it went on until we had the al fresco kitchen. It’s a phenomenon that caught on so unexpectedly quickly that accommodation managers were left gasping. So were many designers. The reason for the growth in outdoor kitchens has been driven as much by overseas visitors as it has by Aussies enjoying their own lifestyle and by a seemingly unsatiable demand for TV cooking programs. Our climate encourages outdoor living and dining is just part of it but ‘roughing it’ is not part of the scenario any longer. More and more guests are demanding the ultimate self-help dining experience – but outside.

“...Our climate encourages outdoor living and dining is just part of it but ‘roughing it’ is not part of the scenario any longer...”

These form the basic cooking component. Now there is also an almost mandatory wood-fired pizza oven to go with all of the cooking components already mentioned. Then you need a refrigerator and probably a wine cooler as well. A dishwasher and wash sink is compulsory while the rest of the area is given over to bench work areas. After that, all you need is a covered area to put it all in and furnishings appropriate to outdoor

dining in style. Of course, an entertainment system is always welcome. If all of this sounds a bit daunting, it need not be. You can always engage a designer to concept the perfect arrangement for you, fully costed, detailed and installed. Or all you need to do is measure your available area and decide what features you would like in an outdoor kitchen and contact a modular outdoor kitchen supplier.

So what constitutes an al fresco kitchen. First, obviously, the barbeque itself. Not the customary half-a-40-gallon-drum type affair but more sophisticated modular arrangements that permit a range of accessories such as rotisseries, charcoal burners, wok heaters, stir-fry areas, smokers, grillers, warming racks and so on. These come in two to six burner configurations and a host of special features like hoods, quartz-start ignitions, porcelain coated cooking surfaces, antiflare grids and nonstick everything.

CCQ cooktops are designed specifically for the resort situation

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resortnews | august 2013

Architects have long wanted a commercial outdoor BBQ that could be installed in an open bench that floats free without an enclosure underneath. Obviously, safety and fat removal have always been the obstacles but now, the new Christie Parksafe CCQ cooktops make it possible. This modular series offers complete BBQ packages in a choice of sizes, colours and configurations and for gas or electric. Designed specifically for the resort situation, they are totally sealed for safety and can be easily cleaned each day. The company has developed an enclosure for open bench installations. The open-bench kit ensures the under-side of the barbeque, which is too hot to touch safely, is not exposed. It also has a built-in fat tray. The kits are ideal for replacing old barbeques with state-of-the-art cooktops. For many parts of Australia, the great outdoors means October to March but outdoor heating can increase that to a year round activity. The real problem with al fresco dining is that it is great in hot weather but when the climate cools down or gets a bit windy, eating outside becomes a little less appealing. When you have invested a few thousand dollars on an al fresco dining area for just six months of the year, you feel just a bit cheated. Outdoor heating need not be that expensive, though. There is a wide range of devices that can keep diners happy in colder weather and there are new breakthroughs happening all the time. Al fresco kitchens not only add a new draw card dimension to a resort’s feature facilities but it does provide a very marketable product that sure looks great on a website. And al fresco kitchens prove irresistible to guests.


Fire Emergencies

management

Tips for dealing with fire emergencies The devastating fire which ripped through Cathedral Place in June has highlighted the need for unit owners to be prepared in case of an emergency. The body corporate managers of Cathedral Place, Archers Body Corporate Management, has revealed how they kept unit owners informed throughout the incident and give their top tips on how to deal with a strata emergency. The company was one of the first on the scene after fire ripped

through Brisbane’s Cathedral Place on 9 June rendering the top floor of the building unliveable and lower floors badly water damaged. Grant Mifsud, senior body corporate manager at Archers said, “We were on site as soon as it was safe to acquire the information needed to keep occupants up to date - we then ensured consistent and clear communications with unit owners in the days following.”

Contact your body corporate – they will be on site after the event and have a full understanding of the damage and what next steps need to be taken. Ensure your details are up-to-date with your body corporate – the Cathedral Place fire occurred on a long weekend when many owners were away. It’s important that your body corporate can contact you at any time. Act quickly – contact your insurance company and repairers without delay to

Block, which were the worst affected, will need to relocate for a minimum of six months while the rebuild takes place.”

www.fvs.com.au

Is it REALLY worth the RISK?

He said Cathedral Place was completely up-to-date with all aspects of fire safety compliance

Grant Mifsud gave his top tips for unit owners for dealing with emergency situations: •

and the rebuild costs would be covered by insurance. “The contract for rebuild received at an estimated cost of $8.8 million. Residents of H

get repairs underway as soon as possible. If the building is evacuated, determine an effective means to remain in contact with owners and occupiers. In the case of Cathedral Place the caretaker’s website was updated constantly. Communicate with owners and occupiers in the complex, clarify the extent of the damage and what actions are underway, provide updates regularly and encourage owners to seek guidance and advice from the body corporate.

I design I supply I installation I certification I testing I maintenance I risk analysis I reporting I fire training I fire safety advisor

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resortnews | august 2013

www.fvs.com.au

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tourism Tourism Report

HERITAGE CHANGES OPENS WAY FOR HOTELS A proposed change to the NSW Heritage Act for all state listed assets could bring new hotel capacity to the Sydney CBD, says the executive officer of the Tourism Industry Council NSW, Andrew Jefferies. The New South Wales government last month listed for sale the Ausgrid building on George St, opposite the Sydney Town Hall and the Department of Lands Building on Bridge St and flagged their potential use for new hotel redevelopments. “The Department of Lands Building, an original sandstone property on Bridge St is ideally suited for a new hotel redevelopment in a similar vein to the former Gowings building on Market St (QT Hotel Sydney) and the old post office at Pitt St and Martin Place (The Westin Sydney),” said Mr Jefferies. The proposed changes to Heritage Act would ensure that existing protections for heritage listed assets would remain in place, however the NSW Heritage Council would no longer have the final, binding decision on redevelopments proposals. “The Sydney hotel market has had limited new capacity come online over the past decade and the approval of future new developments for will assist New South Wales to reach its target of doubling overnight visitor expenditure by 2020, as outlined in the Visitor Economy Industry Action Plan.”

Department of Lands Building, Sydney

seamless connectivity into Asia joining the dots of the other Jetstar airlines in Japan, Singapore, Vietnam to provide a strong feed for the Queensland tourism industry,” Mr Evans added. Qantas has also confirmed the agreement of a $7 million marketing deal with the Northern Territory. NT tourism minister Matt Conlan said that the new deal will help promote the Northern Territory to key demographics around the world. “The three-year agreement will target key markets including Australia, US, Japan, United Kingdom and Canada, and other international regions using a range of advertising and marketing strategies.”

WIDGET TO CHANGE INTEREST INTO BOOKINGS Federal tourism minister Gary Gray has launched a new online booking tool to improve the capability of Australian tourism businesses to service customers online.

QUEENSLAND AND QANTAS IN MARKETING AGREEMENT The personal feud between Qantas boss Alan Joyce and Tourism Australia's Geoff Dixon has resulted in the state marketing organisations sharing $49 million, more than would have gone to TA ($44 million) under its former agreement. The Queensland government and Qantas signed a $12 million cooperative marketing agreement to promote the state. Minister for tourism Jann Stuckey said the new three-year agreement more than doubled the value of current joint marketing activities undertaken by Qantas and Tourism and Events Queensland. “The global partnership will deliver great dividends for Queensland, particularly in attracting more visitors from the state’s key international markets including New Zealand, United States, Asia, the Middle East and the United Kingdom.” China and India could be weak links in the arrangement because of Qantas' present flight patterns. Qantas chief financial officer Gareth Evans said, “Qantas will be working hand in hand with the Queensland government, towards a simple goal - to increase visitor numbers.” “This $12 million deal will build on the benefits from Qantas’ new global partnership with Emirates, which makes it much easier for travellers from the United Kingdom, Europe, the Middle East and North Africa to fly to places like the Gold Andrew McEvoy and Jann Stuckey celebrate the Qantas Coast and Cairns. marketing agreement Jetstar also provides

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The Australian Tourism Booking Widget is a government initiative for all sectors of the tourism Federal tourism minister Gary Gray industry to help them capitalise on visits to their websites by providing an easily accessible booking and payment facility. The widget will provide tourism operators with a basic system providing a real time booking and payment solution through the operators' own websites and Facebook pages, as well as helpdesk services. Mr Gray launched the widget while attending the Cradle Coast Regional Tourism Forum. "The challenge for the Australian tourism sector is converting potential visitor interest into a booking," Mr Gray said. "This widget aims to fix this by getting more of our tourism operators online for bookings and payments – and help them grow their businesses, particularly in regional areas where online facilities may be the only channel for operators to directly engage with their customers. "The Australian government provided $500,000 to the Australian Tourism Data Warehouse to fund the project. The initiative is part of the Tourism 2020 strategy to increase tourism expenditure from $70 billion to $140 billion by the end of the decade." Globally more than 50% of consumers use digital channels to research, plan and book holidays and this is expected to grow in the next decade. While 84% of Australia's tourism operators are online, only a third of these have 'real-time' online booking and payment facilities. This is a first step in helping tourism operators transition to online services by providing a basic framework that is easy to install and use." Mr Gray said the initiative will set operators on the way to exploring more sophisticated booking and payment solutions for their businesses in the future.

resortnews | august 2013


tourism

TEN POINT TOURISM PLAN FOR FEDERAL ELECTION The Tourism & Transport Forum has launched a ten point plan for tourism ahead of the federal election The plan is contained in a new document Australian Tourism: Backing Our Strengths, A National Agenda for the Australian Government that has been sent to MPs and candidates in all 150 federal electorates along with copies of TTF’s recently released National Tourism Business Count & Employment Atlas and an individual electorate profile. TTF chief executive Ken Morrison said the tourism industry makes a massive nationwide contribution and can help to deliver prosperity for Australia as the mining investment boom subsides. “Tourism is an economic development strategy for Australia and needs to be central to the policy platforms of all parties.” TTF's 10 points are: 1. Increase funding for Tourism Australia so we can better sell Australia to the world 2. Focus government resources to capitalise on Asian Century opportunities 3. Freeze and review the passenger movement charge (departure tax) 4. Commit to a secondary Sydney airport site at Badgerys Creek 5. Review penalty rates to recognise the needs of tourism and hospitality

6. Expand the working holiday maker scheme 7. Establish a $10 million per annum support fund to help secure more international business events and a $5 million fund to attract international sporting events 8. Reform the tax system to encourage investment in tourism infrastructure 9. Streamline trans-Tasman border processing and reduce the passenger movement charge to $25 for trans-Tasman travel to encourage more New Zealanders to visit 10. Increase funding for federal national parks which are some of our major drawcards “Tourism already generates more than $100 billion a year in economic activity in every part of Australia and directly employs more than 500,000 Australians – twice as many as the mining sector. In fact, there are between 2400 and 8500 direct tourism jobs in every federal electorate and 283,000 tourism businesses across the country – a breadth of activity few if any other sectors can match. “The Asian Century provides us with an enormous opportunity and tourism can play an even bigger role in diversifying our economy. By backing this ten-point tourism plan, political leaders would be backing one of Australia’s great strengths, helping to deliver jobs and business opportunities around the country.”

Tourism International

Adults chill out at new Fiji pool complex Outrigger on the Lagoon in Fiji has broadened its appeal to couples with the opening of a purpose built adults only pool and bistro, the Vahavu (meaning 'to relax' or 'chill out'). The $2.2 million Vahavu complex features a 20m lap pool, a 35m lagoon pool and a swim-up bar and was recently recognised as the Best Deluxe Accommodation in Fiji at the 2012 AON Excellence in Tourism awards, as well as the Best Fine Dining Restaurant. Resort general manager Peter Hopgood said Vahavu was a direct result of listening and reacting to the feedback from couples who had expressed a desire for a quieter environment than that offered by the main pool. “Our adults only pool and bistro is a game changer for the resort and will offer our guests a greater choice of services. It allows us to cater to a wider cross section

on a calm beachfront on the Coral Coast of Viti Levu island, this Fiji resort getaway embraces the design and hospitality of a traditional Fijian village. Modern air-conditioned hotel rooms and bures (bungalows) are furnished with a full complement of guest amenities. The thatched bures feature vaulted ceilings lined with exquisite hand-painted masi bark cloth. of guests from families to couples who want some quiet time in an adults only environment,” Mr. Hopgood said. The bistro will offer a contemporary menu featuring shared tapas plates, casual meals with a selection of sides, dessert and coffee with full pool side service in addition to indoor or lounge seating. Vahavu's selection of tropical cocktails include the Bula Bula, Lost Bikini, Bilibili and Coconut Bliss.

The venue also features a banquets centre that can cater for up to 100 guests for private evening receptions, weddings or celebrations. Vahavu joins the resort’s existing adult-only venues, Bebe Spa Sanctuary, Ivi a la carte finedining restaurant and the Sundowner Bar and Grill for daily a la carte breakfast. Outrigger on the Lagoon is one of the most enchanting resorts in the South Pacific. Occupying 18ha

resortnews | august 2013

This Fiji hotel’s signature Talai service - traditional butler service with a South Pacific twist - is available to guests in Deluxe Ocean View rooms, suites and bures. Talai service includes complimentary arrival drinks and Champagne with canapés delivered to your room every afternoon. Talai butlers are available to unpack and press your clothing, recommend tours and activities, and schedule restaurant reservations.

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events & appointments

Events

An organisation for housekeepers The South East Queensland Professional Housekeepers Association, otherwise known as SEQPHA, was founded in 1998 following an overwhelming demand from housekeepers and supervisors to be given opportunities to network and exchange information with their professional peers. They also wanted more opportunities for social interaction and professional support. SEQPHA, is a non-profitable organisation that aims to provide this and more. The goals of SEQPHA are to provide seminars, education and social events at various members' hotels to assist housekeepers and supervisors to stay abreast of current trends and technologies specific to the hospitality industry. In turn the supplier members are given a prime opportunity to

present information and showcase products to the industry professionals that are their target user/buyers. The opportunity for housekeepers to network at social events was a crucial motivator behind the organisation. In addition it was felt that this gave the organisation the opportunity to “give back” therefore all the social events organised by SEQPHA are also fundraisers for cancer organisations and Save the Koalas. In order for SEQPHA to achieve their objectives and goals, however, they do require the support and input of an enthusiastic and diverse membership. All housekeepers and suppliers are asked to consider the benefits of a yearly membership to SEQPHA. The opportunity SEQPHA offers for industry networking is diverse: from attending information and educational seminars and breakfasts to fun social functions.

SEQPHA is holding their 4th Trade Show on 28 August from 1pm to 5pm and a cocktail party after from 5.30pm to 6.30pm at the Intercontinental Sanctuary Cove Resort. With free admission to this event, an invitation is extended to all property managers, housekeepers, managers and purchasing staff. Building on the great success of previous years events SEQPHA has gathered together all the latest products and services from Australia’s leading hotel suppliers to be displayed, under one roof. Over 20 industry suppliers have already committed to attend and exhibit their products with many more to come. This is an incredible opportunity to see and compare these products conveniently and to have an enjoyable day with raffles, prizes and a free sample bag. All those who wish to attend this event are encouraged to RSVP Melissa Bent (MelissaB@scuttle.com.au).

supplier profile H POLESY & CO P/L

Leading the industry

H

Polesy & Co P/L is a third-generation Australian owned and operated business. Established in 1950 by the Polesy family, current Managing Director, Greg Polesy, assumed control of the business in 1985. The company is 100% owned by Greg Polesy with the current senior management of the company being in place for over 20 years. Its staff includes experts in many fields, particularly commercial linen and bedding supply along with in-house interior designs and project management. The company operates from office/warehouse complexes throughout Australia (Brisbane, Sydney, Melbourne and Perth) and it has its own distribution centre in China with another under construction in Pakistan. The company has strategic partnerships with its overseas manufacturers in order to guarantee continuity of product quality and supply. As an industry leader Polesy Commercial has begun to work very closely with AAA Tourism to ensure all of our products meet or exceed the requirements of the quality level guidelines set by them, thus making it easier for our customers to attain the rating standard they wish when being star rated by AAA Tourism or when self rating. Polesy Commercial provides a complete package for all bedding and bath room linen. It has recently completed renovations to its Loganholme Showroom now allowing clients to view all products and create their own unique design/style for their establishment. While utilising its in-house interior design consultants and local mill production, Polesy Commercial will assist you in furbishing your rooms with the very best quality at the very best price. For further information please visit our website www.polesy.com.au or visit our showroom (by appointment) at 13 Josephine Street Loganholme.

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SEQPHA Trade Show 2013

The cost of membership is minimal compared to the considerable benefits, the housekeeper membership is only $50 annually and $25 for each addition member whilst the supplier membership is $75 with $25.00 for each additional member. It seems as though whatever your motivation, membership to the South East Queensland Professional Housekeepers Association will surely benefit you and your company. So far SEQPHA has held three trade shows in 2009, 2010, and 2011 consecutively. The shows have proven to be very successful and have raised a significant amount of money for charity by providing an information sharing and supportive networking event. This is an incredible achievement considering SEQPHA is still a relatively small group that only meets monthly. According to SEQPHA treasurer Melissa Bent, the feedback received from past

resortnews | august 2013

events, “was fabulous from both sides, to have 30 + suppliers in one room, to catch up with housekeepers, purchasing managers, procurement”. Melissa explained that most of the members traditionally stick to using their own preferred suppliers so it proved to be an eye opener to the other companies who provide new and different products or services. The day was also lots of fun with raffles and prizes that were donated by the suppliers and of course the day ended with drinks and nibbles and the opportunity for people to socialise. Melissa says: “As we are all volunteers I feel this was a fantastic achievement to create a lovely atmosphere and showcase our goods. Positive feedback also made it a pleasure to put many hours into. Everyone left with a show bag that had contact details for each supplier that enabled them to get in touch with them when needed.” BY ROSIE CLARKE, INDUSTRY REPORTER


Visit our stand at

er pillow sample.

ur FREE microfib A trade show for yo

the SEQPH

At Polesy Commercial we see our mission as assisting accommodation businesses in increasing guest satisfaction. We achieve this by getting to know your business and your guests and offering a range of tailored solutions that suit you best.

POLESY COMMERCIAL www.polesy.com.au

Talk to Wendy or Davina at the Loganholme office/warehouse

Visit our stand to view whats new in the world of bed linen, pillows, towels, toppers and refurbishing product. Polesy Commercial covering all your TOP OF BED needs.

1300 POLESY (1300 765 379)

Ph: 07 3806 4100 wendy@polesy.com.au davina@polesy.com.au

Market Leaders in Product Quality and Service Excellence


events & appointments

Events

SURFERS RESORT TOP HOTEL IN AUSTRALIA It has been open for just under two years, but already the Sea Temple Surfers Paradise has been named the best hotel in Australia. The achievement, revealed in Expedia's 2013 Insiders' Select rankings, was the result of more than a million guest reviews worldwide. The five-star Sea Temple took out the title from 650 hotels selected from more than 150,000 hotels and resorts available on Expedia around the world. The 77-level tower Sea Temple Surfers Paradise beat other luxury hotels on the Select List, including The Langham in Sydney and the Pullman Port Douglas Sea Temple Resort in North Queensland.

PEHN Mini Trade Show at the Crown Promenade Hotel

HOUSEKEEPERS' TRADE SHOW EXCITES The PEHN Mini Trade Show held on the 16 July at the Crown Promenade Hotel was a great night attended by a mix of people from executive housekeepers, general managers, purchasers and suppliers. The night kicked off with a welcome from the president Marian Stratford, thanking everyone for their continuing support of PEHN and the events each year. This year the attendance numbers has increased again! Some suppliers had to be turned away due to lack of space. This event just get’s bigger each year. To encourage membership, new members names are put in a hat and a mini Ipad was drawn, this added to the fun and excitement of the night, Sealy and Interior Images had prizes for people that are able to answer some trivia questions, and all of the suppliers had product giveaways for everybody. Marian also mentioned that the next event is a tour of South Pacific Laundry – August, the International Housekeeper’s Week is in September one of the activities in this event will be a Mini Olympics, with representatives from different hotels competing at different games such as, toilet paper throwing. In October we have the annual general meeting and then the much awaited Christmas party in December.

Sea Temple Surfers Paradise general manager Ash Turner said he was overjoyed at the hotel's incredible success, as voted by guests. "It's an incredible achievement in such a short amount of time and recognises the outstanding service that we provide," he said. “We think Sea Temple Surfers Paradise, a recent addition to the Accor Hotels portfolio, sets a new benchmark for luxury accommodation not only for Surfers Paradise but for the Gold Coast as a destination, as we are blessed with stunning accommodation, facilities and an unrivalled beachfront location. “This accolade is really recognition of the attention to detail and luxury experience my dedicated team strive to deliver every day. Sea Temple’s great team of customer-focussed evidently make a huge impact with guests, as evidenced by so many heading online to review us."

WYNDHAM SCOOPS THE POOL IN ATHOC AWARDS Wyndham Vacation Resorts Asia Pacific swept the pool at last night’s 22nd annual Australian Timeshare and Holiday Ownership Council Awards by scooping no less than eight of the 15 coveted awards on offer. Winning accolades ranging from Corporate Performer of the Year and Marketing Manager of the Year to Industry Innovation and Excellence in Service, Wyndham Vacation Resorts Asia Pacific’s impressive haul helps solidify the company’s position as industry leader.

Sea Temple Surfers Paradise

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resortnews | august 2013


Events

events & appointments

Winners at the Choice Franchisee of the Year awards

Wyndham were honoured with the following eight awards:

• Comfort Hotel Perth City, Perth, WA

• Corporate Performer of the Year – Kaleena De Voigt, operational excellence leader, Consumer Finance

• Quality Hotel Platinum International, Toowoomba, QLD

• Marketing Manager of the Year – Paula O’Gorman, Holidays by Wyndham manager

Trent Fraser, CHA chief executive officer, said the much anticipated awards night was the pinnacle for franchisees, and of equal significance to the wider business.

• Marketing Team of the Year – Holidays by Wyndham

"There are more than 270 properties in the CHA network and each business was required to meet strict criteria relating to property development and growth, participation in CHA training, conference, sales and marketing activities as well as receiving consistently high guest feedback."

• Resort Manager of the Year – Nola Daniel, resort manager, WorldMark Resort Ballarat • Sales Manager of the Year – Melissa Chester, sales manager, Owner Enhancements • Sales Performer of the Year – Tullika Deswal, sales representative, Owner Enhancements • Excellence in Service Award – Candice Dittmann, office administration manager, Wyndham Vacation Resorts Coff Harbour • Industry Innovation Award – WorldMark South Pacific Club’s online tool, My Assistant

CHOICE AWARDS THE BEST Choice Hotels Australasia has announced its Franchisee of the Year awards at the annual Night of White awards evening at SkyCity, Darwin. The awards recognise the exceptional properties across each of the CHA brands: Econo Lodge, Comfort, Quality and Clarion, over the past 12 months. The winners were from locations as far stretched as Western Australia to Tasmania, including: • Econo Lodge Moree Spa Motor Inn, Moree, NSW

• Clarion Hotel City Park Grand, Launceston, TAS

Delegates also had the opportunity to hear from Celebrity Apprentice host and executive chairman Yellow Brick Road, Mark Bouris, Tourism Australia’s Craig Davidson and Australia's trusted Gadget Guy, Peter Blasina. CHA also presented 30 individual properties with gold awards which were presented to franchisees who have embraced the partnership and opportunities with Australia’s largest hotel franchise group whilst upholding exemplary customer service standards.

TIMESHARE OWNER LANDS DREAM REPORTER ROLE An Australian timeshare owner will soon touch down in sunny Fiji, after winning the opportunity of a lifetime to become a Resort Reporter for Australian-based timeshare company Wyndham Vacation Resorts Asia Pacific. Over 46,000 vacation owners in the WorldMark South Pacific Club by Wyndham were invited to submit photo and blog entries detailing previous holidays, for the chance to win one of two coveted Resort Reporter positions in Fiji and Port Douglas.

resortnews | august 2013

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events & appointments

Events

INDUSTRY EVENTS CALENDAR AUGUST

Lucky timeshare couple - the Drapers

Meagan Draper, who hails from Ayr in North Queensland, won the dream job in Fiji after sending in a blog post, five photos and an entertaining video, detailing her experiences as a relatively new vacation owner in the WorldMark South Pacific Club. “I couldn't believe my ears when I was told I had won the WorldMark Resort Reporter competition by doing something as easy as writing about the amazing times I've had on holidays. My husband and I are still ‘newbies’ to holidays. Before joining the WorldMark South Pacific Club we had hardly been out of the state, let alone the country, and now we're heading to Fiji! It's unbelievable," said winner Meagan Draper. Meagan and her husband Brett will be flown to Wyndham Resort Denarau Island in October for five days, where they will document their Fijian adventures through blog and video posts, which will be published on WorldMark South Pacific Club’s My Club blog. The couple’s visit will coincide with the official unveiling of extensive refurbishments at Wyndham Resort Denarau Island. The $30 million makeover includes luxurious Deluxe Apartments, Grand and Presidential Suites and an adults only swimming pool.

MGALLERY CELEBRATED On 31 July, general managers from eight of Accor’s MGallery Collection of hotels around Australia and New Zealand gathered at Sydney’s famous Harbour Rocks Hotel as part of a dedicated showcase of the countries’ newest upscale brand to 30 top PCO, corporate and leisure clients. Hosted by Simon McGrath, Accor Pacific’s chief operating officer, the evening incorporated visits from Harbour Rocks Hotel’s resident ghosts, Eric and Scarlett, a classical harpist, while the spoils were provided by top French Champagne house, Taittinger. Cool tunes and clever cocktails were enjoyed by guests in the final stages of the event, all atop the city in the Harbour View penthouse suite overlooking the Sydney Opera House. The MGallery universe was brought to life during the evening and the three brand categories – Heritage, Serenity and Signature – were showcased with the serving of each hotel’s signature drinks and dishes. Commencing in Eric’s Bar, Heritage hotels dished up smoked duck, immaculate pork belly and sexy martinis. MGallery Heritage hotels include hotels which have a rich history and “where walls recount the past” and include The Grand Hotel in Melbourne and Mount Lofty House in the beautiful Adelaide Hills. Moving on to Harbour Rocks’ spectacular Garden Terrace, the group then sampled the delights of the Serenity collection of hotels which include Hotel St Moritz in Queenstown, Fairmont Resort Blue Mountains and Reef House Resort & Spa Palm Cove. Serenity hotels in the MGallery Collection are often found in idyllic, natural landscapes where relaxation is paramount. The party then proceeded up to the Harbour View penthouse suite where Signature Hotels showed-off their trademark epicurean cool in picture perfect Sydney surrounds. The rain was kept at bay while rum & beetroot cocktails were enjoyed and banana brittle brûlee was devoured. Signature MGallery hotels include Harbour Rocks Hotel, Hotel Lindrum Melbourne and The Como Melbourne, and all reflect a style and design which gives the hotel a unique and desirable atmosphere.

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2-4 Queensland Outdoor Adventure and Motoring Expo.............Toowoomba sally@sqct.com.au 14-15 Australian Business Events Expo Sydney Conventionand Exhibition Centre.............Karen Krieger 02 9556 7969 14-15 Sydney's Event Showcase............Sydney Convention and Exhibition Centre Karen Krieger 02 9556 7969 15 RAAS Golf Day............................................ The Colonial Golf Course, Robina jodi@raas.com.au 20 Ladies in Management lunch..................................................................TBA rclements@holmans.com.au 27 DestinationQ Forum....................................... Gold Coast Convention Centre tourism@ministerial.qld.gov.au 28 SE Qld Professional Housekeepers Assn Trade Show InterContinental Sanctuary Cove........................melissab@mbdesigns.com.au

SEPTEMBER 1-4 Luxexperience 2013............................. Overseas Passenger Terminal, Sydney helen.logas@luxexperience.com.au 5 Accommodation Industry Golf Series...................Arundel Hills, Gold Coast taylor77@bigpond.net.au 9-12 Queensland on Tour Japan Osaka, Nagoya, Tokyo.................................................emma.dixon@tq.com.au 12-13 TravelTech: Reboot.............................................................................. Sydney martin.kelly@traveltrends.biz 17 Ladies in Management lunch..................................................................TBA rclements@holmans.com.au

OCTOBER 9 Design Inn.................................................Dolton House, Elizabeth St, Sydney melanie@intermedia.com.au 16-18 SEGRA 2013.............................................................................. Coffs Harbour executive@segra.com.au 18-19 Tourism Brokers Seminar............................Red Bridge Motor Inn, Wombye donnaphilpott@tourismbrokers.com.au 21-25 Australian Regional Tourism Network Conference.............Margaret River coordinator@artn.com.au 22 Ladies in Management lunch..................................................................TBA rclements@holmans.com.au

NOVEMBER 1-3 Regional Events Conference.......................... Rydges Southbank, Townsville regionalevents@eventsqld.com.au 10 TNT Trade Show............................................... Coogee Beach Palace, Coogee justin@tntdownunder.com 16 Brolga Awards............................................................................Alice Springs BrolgaAwards@nt.gov.au 18-20 Global Eco Australia Pacific Conference........................................... Noosa www.globaleco.com.au 19 Ladies in Management lunch..................................................................TBA rclements@holmans.com.au 19 Australian Event Awards........................................... Doltone House, Sydney eventsawards.com.au 22 Queensland Tourism Awards............................................................Brisbane alyce.holding@qtic.com.au 28 NSW Tourism Awards Gala Dinner..............Randwick Racecourse Ballroom awards@ticnsw.com.au 29 Accommodation Industry Golf Series........................Lakelands, Gold Coast taylor77@bigpond.net.au

FEBRUARY 18-19 AIME 2013................................... Melbourne Convention & Exhibition Centre www.aime.com.au

MARCH 6-9 Australia Marketplace...................................... Terranea Resort, Los Angeles kathryn.damiano@queensland.com

MAY 1 AHICE Conference.....................................................Grand Hyatt Melbourne www.ahice.com.au

Send details of your event to: events@resortnews.com.au

resortnews | august 2013


People

SUNSHINE COAST GOES AFTER EVENTS Business Events Sunshine Coast has announced a new team to promote the Sunshine Coast for conferences, meetings and incentive programs. Lauran Hofman has been appointed business events manager, replacing Pippa McCreery, during her maternity leave. Lauran has worked in the role of business events executive for more than two years and has extensive experience managing marketing campaigns, familiarisation programs and trade shows. Tiffany Beal also joins the team at BESC as business events executive. Formerly at Unique Travel Group, Tiffany has worked in both Australia and New Zealand in business events, incentive travel, corporate travel and communications. Also supporting the unit is business events assistant, Cascel Rasmussen.

HOLIDAY INN SYDNEY APPOINTMENT Glen Cotterill has been appointed to the position of senior guest experience manager at Holiday Inn Old Sydney. Glen has worked in a number of roles and hotels within IHG in New South Wales, Victoria and the Northern Territory throughout his 10 year journey with the company. In the last couple of years, Glen has held the role of senior guest experience manager at Holiday Inn Sydney Airport and then Holiday Inn Melbourne Airport.

Glenn Bourke, Hamilton Island Enterprises’ CEO, said, “Matthew is a veteran hotelier with an undeniable wealth of experience across multiple facets of travel, tourism and hospitality. He is the ideal candidate and the qualia and wider Hamilton Island teams, both on Island and in Sydney, are all very much looking forward to welcoming Matthew to his new role as general manager.”

GFG NAMES ACCOMMODATION SPECIALIST

CONCIERGE FOR SANCTUARY COVE InterContinental Sanctuary Cove Resort has announced the appointment of Gary Lee to the position of chief concierge.

Rob Giason

DOS FOR OAKS IN VICTORIA Oaks Hotels & Resorts has announced the appointment of a new senior role within its dynamic sales team. Loralee Fernandez will assume the role of area director of sales in Victoria.

Terri’s career in finance spans more than a decade and has seen her rise through the ranks of some of Australia’s leading banks, including CBA, BankWest and Westpac, to manage a commercial lending portfolio in excess of $100 million. She joins the Brisbane-based Green Finance team direct from Westpac Business Banking where she has spent the last four years working as a relationship manager providing lending, transaction and cashflow assistance along with personal banking for business owners and directors from a diverse range of industries.

Hamilton Island has named Matthew Taverner as the new general manager of qualia as of August 1.

Terri Dillon

director in Korea and Taiwan for Tourism Australia and CEO of Tourism Tasmania before moving to Cairns.

Gary was accepted into Les Clefs d’Or in 2009 and is only one of four concierges in Queensland and 38 concierges in Australia inducted into this elite group which recognises concierge professionals. Gary is already loving the location and embracing his new role at InterContinental Sanctuary Cove Resort.

Green Finance Group has expanded its award-winning business finance team with the appointment of management rights, motel and accommodation finance specialist Terri Dillon.

NEW BOSS AT QUALIA

Matthew has previously held positions in Australia, Fiji, Seychelles Islands, Zambia, Bali, Indonesia and most recently, Hong Kong.

events & appointments

Gary Lee

GIASON TO LEAVE TTNQ AT YEAR'S END Tourism Tropical North Queensland chief executive officer Rob Giason will step down from his role on 20 December after a 39-year career in tourism marketing and management roles. Rob said he would have a decent break before pursuing interesting project management roles nationally and abroad. Rob started his love affair with tourism in Griffith in New South Wales in 1975 rising to the position of general manager. He then became GM with Tourism Blue Mountains and Albury Wodonga, director of marketing with Tourism NSW, project

resortnews | august 2013

Loralee was area director of sales for Park Hyatt Melbourne and most recently, global sales manager of Marriot International, Inc.

SWISSÔTEL PROMOTES BUCHANAN Swissôtel Sydney is pleased to announce the appointment of Ross Buchanan as executive assistant manager. Commencing in 2011 as Swissôtel Sydney’s director of sales and marketing, Ross had worked for internationally established brands including Marriott, Mirvac, Parkroyal, InterContinental and Crowne Plaza hotels. During the absence of a general manager, Ross will provide strategic direction and support to the executive team members and Department heads of all departments of the Sydney CBD based hotel.

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events & appointments

Swissôtel Sydney has also announced Martin Yeo as the newly appointed director of food and beverage. Martin’s managerial experiences include his roles as conference and events operations manager at Novotel Manly Pacific and most recently as food and beverage manager at Sofitel Wentworth Sydney.

CAIRNS HOTEL HAS NEW GENERAL MANAGER In addition to his general manager responsibilities at Mercure Cairns Harbourside, Paul Morton will also become the Accor Hotel Group’s indigenous champion in Queensland, helping guide, direct and promote sustainable relationships and Accor’s ongoing commitment to improving indigenous employment and relations in the region through its pioneering ‘Indigenous Employment Program’ and Reconciliation Action Plan'. Since arriving in Australia in 2005 from the UK (where he had a six-year career with the Whitbread hotel company), Paul has worked with Accor in many roles and locations, and across its portfolio of brands. In 2007 he joined Accor at the Sofitel Sydney Wentworth as assistant manager and later became the hotel’s reservations sales manager and then front office manager. In 2010 he was promoted to general manager of the Ibis Styles at Karratha, and in 2011 moved to Tasmania to take on the role of general manager at the Mercure Launceston.

Paul Morton

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People

PAN PACIFIC NAMES SALES TEAM Pan Pacific Hotels Group announced a new Australian area sales team providing customers with one single point of contact for all their hospitality needs. The Australian area sales team will handle Australian outbound and domestic travel to Pan Pacific Hotels Group’s entire portfolio of Pan Pacific and Parkroyal hotels in Australia, Asia and North America. Continuing to head up the Australian area sales team is Keren Southgate, area director of sales. She will be supported by: Belinda Morris, who has been promoted from business development manager to senior business development manager, industry partnerships; Rhona Stewart, director of business development, leisure; Jeremy Baker, who has been newly appointed as director of business development, meetings & events who joins from Atlantic Group.

INTERCONTINENTAL APPOINTMENTS InterContinental Sydney has announced the appointment of Sophie Ham to the position of business development executive, meetings & events. Sophie started her hospitality career at Palazzo Versace in banquets operations. Following her passion for sales, she took on a role as sales coordinator at Hyatt Regency Sanctuary Cove [now InterContinental Sanctuary Cove], where she developed her skills across various market segments and built strong relationships with key clients. Sophie has most recently been with 8Hotels where she was employed as sales executive since 2012. Crowne Plaza Adelaide has announced the appointment of Jennifer Dullens to the position of business development director. Jennifer returns to her home town of Adelaide from the Gold Coast, where she has most recently been working with Gold Coast TAFE

as the business development officer for the past two years. Prior to that, Jennifer was with IHG based on the Gold Coast and in Brisbane as business development manager. Having being in the hotel industry since 2005, Jennifer has also worked for Palazzo Versace and Hotel Watermark in the Conference and Events Department. Jacqueline Cohen has been appointed to the position of business development manager at the Crowne Plaza Canberra. Jacqueline joins the IHG team from Hilton Sydney and Hilton Worldwide, where she has worked on the sales team for just under three years. During this time Jacqueline has developed a strong knowledge of corporate, meeting and event sales, different market segments, and new business activities. Annabel Mendelson has been appointed to the position of senior business development manager MICE for InterContinental Sydney and InterContinental Sanctuary Cove Resort. Annabel comes from the National Convention Centre, Canberra where she was employed as the business development manager. Annabel’s previous roles include; associate director of sales conference & incentives for Hyatt Hotels & Resorts.

director of sales & marketing – special projects. Jenifer Dwyer-Slee has joined the Sofitel Sydney Wentworth to take on the role of director of sales – MICE. A highly experienced executive who has worked for Accor for more than eight years Jenifer will be responsible for the meetings, incentives, conferences & events segments, as well as the conference & events sales team for the Sofitel in Sydney. Most recently she was director of sales - business events Australia, based at Accor’s Corporate Office. Joining Jenifer in the MICE team in the role of business development manager is Stephanie Humphries. Stephanie was most recently working as business development manager - events, at Luna Park Sydney. Prior to this, Stephanie spent 12 years working at The Star across multiple roles.

Geoffrey Webb

SYDNEY WENTWORTH APPOINTMENTS Following the recent appointment of its new general manager Erkin Aytekin in May, the Sofitel Sydney Wentworth welcomes three new senior executives to the hotel. Geoffrey Webb joins the hotel as director of sales & marketing, responsible for both the business and leisure sectors, as well as the marketing and the reservations teams. Geoffrey has more than twenty-five years’ experience working in Australia, Canada and the United States. He spent almost 10 years working for the InterContinental Hotels group and most recently worked for Accor as

resortnews | august 2013

Jenifer Dwyer-Slee

Stephanie Humphries


News

developments

The arrival of prince George as the newest member of the royal family this week has provided us with the perfect excuse to bestow it with a fresh new title on our favourite suite to commemorate this special occasion in royal style.” The name George - chosen for the duke and duchess of Cambridge's baby son - is synonymous with British kings including the new prince’s great, great grandfather, King George VI and King George V.

LED light experience is a stunning combination of synchronised water jets, music and lights combined in a theatrical show - just part of the Sea World experience.

CONFERENCE CENTRE WITH A DIFFERENCE Sea World Resort and Water Park on the Gold Coast's general manager Bikash Randhawa has announced a multi-million-dollar conference centre with a difference. Mr Randhawa said the new centre will be a game-changer for the corporate sector, thanks to the tie-in with resort owner, Village Roadshow Theme Parks. "Thanks to our sister properties, we will be able to offer partners and families of delegates some amazing experiences and package events at Warner Bros Movie World, Sea World, Wet 'n' Wild, Paradise Country and Australian Outback Spectacular as part of their conference at the resort," he said. "This will be where serious business meets serious fun and there will be nothing else like it on the Gold Coast. "You can stay here, conference here, then have dinner or breakfast with the dolphins at Dolphin Cove, or we could organise a special dinner for you at Shark Bay, or cocktails with the polar bears. We will bring it all together to offer something unique in a one-stop shop." The new centre, to be built on the northern side of the 402-room resort and due for completion in 2015, will be capable of catering to 1000 people, will feature 750m² of space able to be divided into three sections.

PRESIDENTIAL SUITE RECEIVES ROYAL NAME REVAMP Brisbane’s appropriately named Pullman Brisbane King George Square has renamed its best room in the house, formerly known as the Presidential Suite, to the Prince George Suite, in honour of the royal birth. Pullman’s general manager Grant Parnell said, “Our top-suite’s presidential title seemed a little disconnected to the hotel’s name which already has a monarchical connection to king George V.

“Following the death of King George V in 1936, Brisbane’s King George Square was widened to include the area which had been Albert St and renamed in honour of the king. So we are just keeping with the renaming tradition,” added Mr Parnell.

HOLIDAY INN FOR WARWICK FARM InterContinental Hotels Group and Oscars Hotels signed a franchise agreement for a 146-room Holiday Inn hotel at Warwick Farm in Sydney’s south west. Oscars Hotels purchased the Sunnybrook Hotel in April 2011 and with this agreement will undertake a multimillion-dollar refurbishment of the guestrooms and restaurant, after which the hotel will reopen as Holiday Inn Warwick Farm on 10 September. The hotel facilities include an all-day dining restaurant, a tavern adjacent to the hotel with gaming facilities, gymnasium, a meetings and events center, heated outdoor swimming pool and onsite parking. Following the refurbishment of all guestrooms and the hotel restaurant, the gymnasium and swimming pool will be fully upgraded, as will the adjoining Oscars Tavern and the meeting and events center (both due for completion in early 2014).

PIG TO BUILD 15 HOLIDAY INNS InterContinental Hotels has entered into an agreement with Pro Invest Group to build 15 Holiday Inn Express hotels in Australia. The first will open at Macquarie Park in North Ryde, Sydney mid next year, offering 190 rooms. Pro Invest principal Ronald Barrott said a group of offshore investors have contributed to the $150 million fund to build the hotels. The “efficient, modular design and no frills approach” enabled a faster build time than upscale or luxury hotels, he said.

ROYAL HOTELS-IHG LINK FOR FORMER RITZ CARLTON The former Ritz Carlton hotel in Sydney's Double Bay is to undergo a $20 million upgrade to become the InterContinental Sydney Double Bay. Singaporean-based Royal Hotels last month signed a management agreement with IHG and the new entity will open in January. Royal Hotels bought the hotel from Scarborough Pacific Group for around $58 million for the 140-room hotel that was built in 1991. The Ritz Carlton had long history of celebrity stays (Bob Hawke married Blanche D'Alpuget there in 1995) and became infamous as the hotel where INXS-frontman Michael Hutchence hanged himself in 1997. The hotel became the Stamford in 2001 and closed in 2009 for a refurbishment that never happened.

Grant Parnell celebrates the Prince George Suite

Australian architects Bates Smart have been appointed by Royal Hotels to refurbish the hotel that will include a 300-guest ballroom, all-day restaurant, Club InterContinental, café, lounge and bar, day spa, rooftop pool and bar and underground parking. resortnews | august 2013

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News

MOTEL TO BENEFIT FROM PALM ISLAND FUNDING Strife-torn Palm Island (Bwgcolman to the indigenous people), near Townsville in north Queensland, has become a focus of tourism industry attention since Queensland premier Campbell Newman ordered cabinet to help make the infamous riot township into a popular tourist destination. The decision was prompted following Mr Newman's five-hour tour of the island in February. Palm Island Motel, owned and operated by the Palm Island Council, will more than double in size from 13 rooms to 23.

BYRON CLUB MED SITE TO BE DEVELOPED The former Club Med site near Belongil Beach in northern NSW is to be developed into an eco-resort. Owners Peggy and Brian Flannery have lodged an application with Byron Shire Council to revamp and extend the North Byron Beach Resort with an extra 75 cabins and, later, a 300-seat conference centre, pool, day spa, restaurant and bar, gym and multi-purpose studio. The developers already have approval to construct the Sun Bistro on Bayshore Drive and have plans to develop an environmental centre onsite with possibly a light rail service to Byron Bay. The project is expected to cost $101.2 million.

The Palm Island council will put forward around $300,000 for the project. The Queensland government recently approved $1.2 million in funding for a new ferry landing and earmarked for another $1.7 million to build a retail precinct, cultural zone, foreshore upgrade and eco-tourism development.

LION'S DEN IS FOR SALE One of Tropical North Queensland’s best known and most historic hotels, the 125 year old The Lion’s Den, is on the market. Situated on the Bloomfield Track, The Lion’s Den is 65km north of Cape Tribulation and 28km south of Cooktown. The Lion’s Den

First licensed in 1888, it is being offered for sale by Resort Brokers Australia for $2.45 million plus stock at value.

Built at the junction of the intersection of Mungumby Creek and the Little Annan River to service the booming tin and gold mining trade of the time, The Lion’s Den is one of the oldest registered, continuously operating hotels in Queensland still in its original building. It features a bar, commercial kitchen, accommodation for 48 guests and a 2ha camping ground with an overnight capacity of 200. Resort Brokers Australia’s Shane Mullins said The Lion's Den Hotel was a “must see” icon of Far North Queensland that provided a relaxed, family friendly environment with consistently high standards of food and beverage service. The hotel gets its name from a nearby tin mine after a stowaway named Daniel was seen standing in the mouth of the tunnel by the mine owner who christened him Daniel in the Lions Den. The name took and both the mine and the hotel became known as The Lion’s Den.

TRI-TOWER PLANS FOR COORPAROO SITE Plans are to be submitted by Townsville-based Honeycombes Property Group to the Brisbane City Council for three residential towers of up to 18 levels, a retail plaza and offices, on the former Myer building site at Coorparoo. The state government has awarded Honeycombes the right to develop a $150 million mixed use development to be known as Coorparoo Junction. Honeycombes managing director Peter Honeycombe said that Coorparoo Junction will be constructed over three stages. The first stage is set to start late next year while construction of the final stage will be completed by December 2019.

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North Byron Beach Resort

IBIS ADDS FIFTH CANBERRA HOTEL Accor has grown its hotel network in Canberra to five hotels with the addition of Ibis Styles, following a managerial takeover of the Rydges Canberra Eagle Hawk Resort. Located just 10 minutes from Canberra CBD and 11km from Canberra Airport, the former Rydges property has been rebranded to Ibis Styles Eagle Hawk. The 151 room hotel is set amongst 30 acres of natural landscaped native gardens, and provides a number of excellent facilities for both business and leisure travellers, including three food and beverage options, eight meeting rooms, and an outdoor swimming pool. The unique resort offers a convenient alternative to Canberra CBD hotels for those looking to escape the hustle and bustle of the city.

BEST WESTERN PLANNED FOR MACKAY A plan to build a two-storey, 4½ star budget motel is planned for Mackay's Harrup Park Country Club football oval. It will make Harrup Park be the first sporting club in North Queensland to also offer accommodation, according to general manager Michael Jones. The motel will be built on one of the club's oval Construction of the yet to be named new motel is expected to start by early next year. Mr Jones said Harrup Park Country Club would not own or operate the 80-room motel but lease the land to developer Bruce McDiarmid of McDiarmid Investments, who would employ the Best Western Hotel Group to operate it. Mr Jones said, "The main reason for the motel, apart from the added trade we will get out of it, is more about local sport - having accommodation that's in the area on site. It also would be the closest accommodation to Mackay Airport." Stage two will have a sporting centre of excellence, which will include a recovery pool.

resortnews | august 2013


News

UPGRADE FOR PORT MACQUARIE MOTEL Port Macquarie's Mid Pacific Motel is undergoing a $1.5 million refurbishment. The upgrade of the family-owned motel is already underway and will bring the building up to the current building standards and will also be significantly upgraded and transformed with a modern exterior look. at the same time. The motel, built in 1965, has 39 rooms over three floors, will feature perforated balustrades, sliding glass panel windows and Juliet balconies. Dean Oberin from the owners, Oberin Group, said, “It’s the best location in Port Macquarie so it should have a fitting building sitting on it.” Dean’s parents Don and the late Corale Oberin bought the motel in the 1980s.

developments

CHURCH LOBBY PROPOSED FOR TOOWOOMBA HOTEL A historic church in Toowoomba, Australia's largest inland city, could be converted into a high-rise hotel. F K Gardner & Sons has lodged an application to build an eight storey, 74-room hotel in the Toowoomba CBD with the proposal including restoring the century-old former Church of Christ and turning it into a lobby for the high rise development. FKG plans to retain ownership of the hotel and enter a long-term lease with a tenant, believed to be Quest Apartments. The church was built by James Renwick to a design by Eaton and Bates Architects and Civil Engineers and opened in April 1904.

LANDMARK MELBOURNE HOTEL BECOMES IBIS One of Melbourne’s historic landmark hotels, The Victoria Hotel, has been re-badged under Accor’s Ibis Styles economy brand and will become the 41st Ibis Styles hotel in the Asia-Pacific region. With a rich history and personality, The Victoria Hotel combines the grandeur of the late 1800s with all the comforts and conveniences of today situated in Melbourne’s bustling city centre. Originally known as the Victoria Coffee Palace and a dry hotel (no alcohol), it was an alternative to the rowdy pub accommodation on offer during the late 19th Century.

W HOTEL PLANNED FOR MELBOURNE

The new Quest Toowoomba?

Melbourne’s The Palace Theatre is set to be pulled down and replaced with a $180 million, 30-storey, five-star hotel and apartment complex. The development, understood to be managed as a W hotel, is being proposed to the Victorian government by Xian Xu, owner of Melbourne's Jinshan Investments. It would have 205 hotel rooms plus 145 apartments. Development manager Tim Price, from Sinclair Brook, said a W Hotel in Melbourne would be a tourism destination in itself, attracting big spenders who splash over $1000 in the city for every night they stay. Subject to approvals, construction on the W Melbourne could start as early as next year and be completed in late 2016. Jinshan Investments acquired The Palace last year after owner Jerry Pilarinos’ company Kefi Nominees was forced into administration in February.

BUDGET KEPPEL RESORT FOR MAJOR REFURB Keppel Haven on Queensland's Great Keppel Island was officially handed over to businessmen Sean Appleton, Grantley Jack, Matthew Bredhauer and Peter Lowe who acquired the 300-bed property from Brian Canty. The re-opening of the large resort is still conditional on financial backing but the new owners are planning a major refurbishment and it will be about two years before it opens. Keppel Haven is the only property on the island offering a restaurant and bar for visitors. The property, originally known as Wattarabulla, has 22 cabins, a bunkhouse for groups of up to 50, and several permanent tents for budget travellers. Great Keppel Holiday Village still operates and the Tower Group is ready to renovate the Great Keppel Island Resort. Leon Wetzel (formerly Beaches Bistro and Capricorn Tavern) will manage the property.

CAIRNS HOTEL COMPLETES $20M REFURB The the Pacific International Cairns, the first international standard property in the city, has just completed a $20 million upgrade that started in 2008. Paul Kamsler, executive director of the Pacific International Cairns, said the changes were more in tune with today’s modern traveller. “We are now approaching the end of our refurbishment and enhancement program, which has seen an investment in the hotel of around $20 million dollars over the last five years, with three quarters of that spent in the last 18 months.” The refurbishment has been undertaken in six stages and included state-ofthe-art conference and events facilities and the hotel’s 176 guest rooms have been completely enhanced, with new mini bar centres, bathrooms, as well as new carpet, curtains and lighting. Interior designer Suzanne Dawson of Stone Edge was in charge of the refurbishment design.

ROCKY HOTEL SOLD TO SYDNEY BUYER Rockhampton's Saleyards Hotel will come under new ownership this week after being sold to a private Sydney-based investor. Glenn Price, of CBRE Hotels, marketed the freehold sale of the hotel through an expressions of interest campaign which he said had generated good buyer interest, predominantly from Queensland investors. The Gladstone Rd venue features a single bar with multiple service points, a recently renovated restaurant, a gaming room with 15 gaming machine authorities, a commercial kitchen, manager's accommodation on the first floor and six rooms adjacent to the main hotel providing bed-sit style accommodation and bathroom facilities. It will all remain open and under the current management. The hotel is leased to an established lessee on a 14-year term including an option and will remain open with no changes to the bar, accommodation or attached Crooked Cactus family restaurant.

resortnews | august 2013

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News

The costs of these Stage 1 and 2 renovations completed in April approached $650 000. Further renovations are planned in late 2013 into 2014 for new solar hot water systems, solar power for the laundry and pool pumps and a remake of the tropical gardens surrounding the unusual slate tiled pools.

AERONAUTICAL HOTEL FOR PILOTS TO OPEN AT MUDGEE The first of its kind in Australia, a luxury hotel located just 120m from the runway with a taxiway connection direct to its door is scheduled to open at Mudgee Airport next month. Hanger House Hotel, designed for the hotel's owner Observe Air as a multi purpose resort for pilots, it caters for groups of up to 14 guests and has facilities for functions as well as workshops, flight training and aircraft storage. It has five hotel suites, conference rooms, a pilot’s lounge, pilot’s residence, swimming pool and a commercial kitchen. Maurice Patten of Patten Designs was commissioned by the company to design the hotel and it was built by local Mudgee builder Peter Barlow. Chief pilot at Observe Air Brad Welch, is passionate about flying and is now living at the complex himself. The process began in 2009, with six months of planning before building commenced in 2010. The project was completed last year and the hotel will be officially opened next month.

LAUNCESTON HOTEL REMAINS WITH STAYWELL StayWell Hospitality Group, the owner and operator of the Park Regis and Leisure Inn brands, has confirmed that Leisure Inn Penny Royal Hotel and Apartments will continue to trade under the Leisure Inn brand and as part of StayWell’s growing portfolio. Sanbano Southport

555-UNIT TOWER FOR SOUTHPORT A proposal to build a 51-storey apartment tower in the heart of Southport was approved last month by the Gold Coast City Council. The planned development, to be known as Sanbano Southport, will offer 555 units as well as 480 car parks, offices, a medical centre, cafe, restaurant, commercial services and shops. It is being developed by Gold Coast Development No 2 P/L. Eastview Australia, headed by Graham Goldman, is the representative for Gold Coast Development No 2 P/L. Eastview was building and managing a 25-level highrise at Coolangatta called Sanbano Coolangatta for the same group. Construction on Sanbano Southport is expected to begin in the first half of 2014.

Following the purchase of the property by JAC Group, owned by Tasmanian property developer and winemaker Joseph Chromy, StayWell Hospitality Group has entered into a long term lease agreement effective 28 June. Leisure Inn Penny Royal Hotel & Apartments P/L, a wholly owned subsidiary of StayWell Hospitality Group, will continue trading without any disruption to existing guests, clients or suppliers. Both StayWell and the property owner have committed a sizable investment to continue to enhance the hotel’s facilities in order to meet Leisure Inn’s brand standards over the next few months. CEO of StayWell Hospitality Group, Simon Wan, confirmed that StayWell is keen to continue managing the property in Launceston and improving guest experience through various initiatives. Leisure Inn Penny Royal Hotel and Apartments is a 72 room property located a five minute walk to Launceston’s city centre and is adjacent to Cataract Gorge and the Tamar River. Facilities include an onsite restaurant/tavern and Gourlay’s Lolly Shop.

AIRLIE BEACH MOTOR INN REFURB COMPLETE The 27-year old Colonial Palms Motor Inn at Airlie Beach in the Whitsundays was recently purchased by a family group involving John Carey, Bridget Brookes, Jeffery Barnard and operated with the help of Bridget’s daughter and husband, as on site managers. All 30 rooms have be completely refurnished with quality chattels featuring a Raffles Colonial theme. The bathrooms have had a makeover with all modern fittings and particularly aimed at the seniors coach tour market. Easy access and grab rails are a feature in the showers. For 2013 year, 26 coaches are booked to stay at the motor inn.

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resortnews | august 2013

Leisure Inn Penny Royal Hotel and Apartments


The Last Resort

developments

A space odyssey The Euro Space Center is an educational tourist attraction located in Transinne, Belgium, near Redu where the European Space Agency opened a satellite tracking centre in 1968. The centre includes simulators of space flight and micro-gravity. It is the home of the only full-scale mock-up of the US Space Shuttle existing in Europe. It allows families to live as real astronauts and to experiment astronaut training for a number of residential programs. Space camps are suitable for youngsters from the age of eight within the scope of a school project or just on holidays. Programs include various workshops, simulation exercises, observations and lectures on space and its exploration - all while living on site.

The Euro Space Center was created by IDElux (Intercommunale d’Equipement Economique de la Province de Luxembourg), a cooperative company including the 44 municipalities of the province plus the province itself. The Euro Space Center is a

place meant to enable people to discover space, its exploration and its consequences on our everyday life. Since the day it opened in June 1991, the Euro Space Center has obtained a certain fame in the space and socio-educational fields. For young people, the general public, the press and the specialised circles (educational or industrial), it has become a reference as far as the divulgation of space technologies and sciences in Belgium are concerned. From the moment they come into the centre, the guests enter another universe. The reception area has been changed into a spatioport with blue lighting effects, music and the countdown to the beginning of

resortnews | august 2013

the visit. Provided with infrared headphones, they enter a second area where they will get an outline of what they are going to learn. The voice of a hostess announces the next departure for an interplanetary journey through time and space. An optional addition to the indoor visit is the access to the Moonwalk chair. A few steps during which guests only weigh 1/6th of their actual weight! The answer, maybe, to the world's obesity problems? The odysseys last from two to six days and the accommodation itself seems almost secondary to the actual experience! More than 50,000 visitors a year enjoy the adventure.

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PARADISE LINKS RESORT PORT DOUGLAS Luxury Holiday Resort With Spectacular Golf Course Views

www.paradiselinks.com.au 

  

66 lots with 43 in the holiday letting pool, a mixture of one and two bedroom dual key apartments and spacious two, three and four bedroom villas Located only 500 metres from Four Mile Beach, set amongst 10 acres of lush tropical gardens with spectacular golf course views Excellent facilities include two heated lagoon swimming pools, bbq areas, tennis court, bike hire, tour desk and Wi-fi Generous office and storage together with substantial guest reception/lounge area

This business is arguably the best management rights resort business available in north Queensland. Great profitability and lifestyle on offer. Motivated Vendors

Nett Profit: $450,000 Total Asking Price: $2,200,000

(inclusive of managers office and reception)

The opportunity exists for this resort to be managed by a family or business partnership and the incoming managers have a choice of residence - either a 2 bedroom apartment or 3 bedroom villa - either or both will be offered for sale separately. Both provide excellent residential accommodation with 2 bathrooms, full kitchen, air conditioning and ceiling fans, private balcony area and views – either of the lush tropical gardens and green fairways or lagoon pool

For further information on this management rights business opportunity, contact: Exclusive Agent Geoff Ellis 0432 790 959

sales@mrsales.com.au

Head Office: Suite 1 Ground Floor Equinox Sun Resort, 3458 Main Beach Parade, Surfers Paradise Qld 4217 Ph: 07 5555 8200 | Fax: 07 5570 4693 | Email: info@mrsales.com.au


Property management rights • hotels • motels • resorts • holiday parks • time share • hosted Guide motel market

Target markets What market are we trying to attract? Are we targeting the right market for this property? Is the motel aiming for the high tariff traveller, the middle of the road traveller or the budget conscience, cheapest room available guest? Due to the never ending offers of marketing opportunities available, incorporation of a clear strategy can help ensure sure that a motel business gets the best value for money from its marketing budget. The operator is often the best person to determine which market the property is suited to and how it is going to get to that market. Marketing generally either goes one of two ways, success or failure! Rarely do you hear it said that a marketing initiative had an “average” result. It is either a raving success or a failure in the eyes of the person who spent the marketing dollars.

Determining the target market - What services does the property offer? If the motel room has a separate desk with executive chair, Internet access, and the property includes a licenced restaurant and meeting/ conference facilities, it is more than likely suited to the business or corporate market. A large pool with playground facilities, larger or separate bedroom units with numerous beds and cooking facilities will be most suited to the family, sporting group or tourist traveller. For example, a corporate traveller is more than likely not interested in the size of the pool but more so the ability to put a laptop on a separate desk with a comfortable chair. In many cases a motel will offer various room types and be able to attract different market segments for the different facilities available. What standard is the property? If the property is a high standard with a quality fit out, the higher end and corporate traveller is the more likely target

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Marketing generally either goes one of two ways, success or failure!

Andrew Morgan Motel Broker/Director, Qld Tourism & Hospitality Brokers

market. The budget conscience traveller will be dictated by the room rate as to where they stay, rather than the facilities available being their buying motive. In saying this guest expectations for their dollar (no matter what the level) are forever growing. What are the room rates being charged? Higher room rates will attract the higher end market with the expectation of a higher standard of presentation and high level of ancillary services available that suit that particular traveller and satisfy their individual requirements. Answering the questions can assist in determining the target market and a marketing strategy can be focused on getting directly to who is most likely to stay at the motel, and thereby state a case for why a potential guest will be satisfied staying at that particular motel. In other words, offering the particular products and services that will satisfy guest needs.

Getting to the target market - What are the best media available to get to the target market? A few options depending on the particular target market are: •

Internet – What websites will suit best? A motel’s own website offers the opportunity to sell the property directly to the market with extensive information selling the features and benefits of what the motel offers to the guest. Online room inventory and rate management are terms that are often heard in regards to sites/programs that offer access to numerous booking sites in order to maximise a motel’s online exposure.

Social media – Directly accessing the target market via social media such as Facebook, Twitter and others is a cost effective method of directly communicating with the target market. Many may already be familiar with the property’s products and services however it offers good opportunity to promote the features and benefits and any new services or specials available to attract future stays. Print publications – There are many options available as far as print media goes. Publications to the industry offer direct access to those potential guests within the industry (who can help to sell your product to travellers via a mutually beneficial referral basis) and to potential guests who access the publication from other accommodation properties during a stay or from other sources. Street and highway signage – The use of highway and street signage has been in use for a very long time and is still a popular medium for accommodation providers to access the travelling market. If the target market is the drive market and not the fly in market it does go direct to the drive market yet to book accommodation or that require it in the future. Chain affiliation – The assistance provided by chain affiliation in regards to marketing is often out of the individual operator’s control apart from being a member. Brand awareness is important and this is an area where chain affiliation can be

resortnews | august 2013

effective. Brand awareness can provide immediate acceptance by a target market of a certain level of accommodation and services without it needing to be further sold to a potential guest. •

Local tourism bodies/industry memberships/referrers – Accommodation industry memberships can be very effective from a customer referral point of view and provides a cost effective method of marketing directly to the traveller. Membership to particular bodies will suit some motels better than others, so again choosing the ones that will be of most benefit is important.

Local business/industries – Local rotary organisations and other community groups who may attend meetings or conferences at the property and who will recommend the complex to family, friends and business associates for accommodation and a night out for dinner perhaps. The income derived directly from these meetings may not be the most profitable but their constant referrals can result in a very profitable long term outcome.

It is very easy to spend a lot of money on marketing for little result. This is why target marketing is so important, especially from a small/medium business point of view. Many motels are still family owner operation and throwing money at every marketing opportunity presented (rather than the most effective) can result in a very bad investment at the end of the financial year.


Permanent Management Rights 4 Bedroom Managers Residence

Villa Style Complex in Great Rental Area Central Gold Coast Suburbs ■ ■ ■ ■ ■ ■ ■ ■ ■ ■

Great rental location handy to major shopping centre, schools, Burleigh Beach, train station and M1 motorway 77 unit complex with 49 units in the letting pool, average rents $360 per week Facilities include lagoon style pool, sauna, gym, full size tennis court, bbq area, security gated complex Office on title attached to managers residence with no set hours 25 year agreements with 19 years remaining Excellent Body Corporate salary of $120,000 Large 4 bedroom managers residence with 3 ½ bathrooms and terrace off the main bedroom upstairs Private rear yard and patio area Double lock up garage Pet permitted with Body Corporate approval

Nett Profit: $231,000 Total Asking Price: $1,625,000 (inclusive of managers real estate)

For further information on this management rights business opportunity, contact: Exclusive Agent David Rotheram 0414 706 600

sales@mrsales.com.au

Head Office: Suite 1 Ground Floor Equinox Sun Resort, 3458 Main Beach Parade, Surfers Paradise Qld 4217 Ph: 07 5555 8200 | Fax: 07 5570 4693 | Email: info@mrsales.com.au


OF IN TE RE ST

EX PR ES SI ON S

The Original and still No. 1

RECEIVERS & MANAGERS SALE

Rare inner city large netting permanent complex Resort Brokers Australia are delighted to present for sale the management rights to Cloudlands unit complex. This inner city complex overlooks the edgy and always popular Teneriffe, Newstead, Fortitude Valley and Brisbane CBD.

With resort style facilities including a lap pool, a lagoon pool, tennis court, city viewing deck and two BBQ areas, this complex offers owners and tenants alike every amenity they desire at their fingertips.

The spacious manager’s townhouse boasts three bedrooms and two bathrooms.

Currently there are 59 units in the letting pool consisting mainly of two and three bedroom units and townhouses. Additionally there are three penthouses and one sub-penthouse in the rental pool. The complex has a total of 156 units presenting a potential opportunity to grow the letting pool.

This business consists of five bodies corporate, all with good rapport and over half the income is derived from the very secure caretaker’s remuneration. In addition to the body corporate salary there is $10,000 supplied by the bodies corporate to assist with the gardening.

œCaretaker’s remuneration $147,680 +GST increasing by CPI œ?Yl]\[geemfalqoal`;;LN œO]ddhj]k]fl]\_Yj\]fk œOYdcaf_\aklYf[]lgBYe]kKlj]]lEYjc]lk$ Emporium cafes and the brand new Gas Works development

The community (made up of five buildings) is in an elevated position in Bowen Hills which provides spectacular river and city views in a great central location. These elements create strong rental demand all year round.

resortbrokers.com.au | 07 3878 3999

Closing date for expressions of interest 5th September 2013

Tim Crooks Mobile: 0422 208 450 Brisbane office: (07) 3878 3999 Email: timcrooks@resortbrokers.com.au Under instructions from Ann Fordyce & Nigel Markey of Pilot Partners as Receivers and Managers.


Y NC AG E EX CL US IV E

Broome’s newest & most exclusive boutique resort FREEHOLD GOING CONCERN Resort Brokers Australia have been œL`] Zmkaf]kk ak af alk af^Yf[q$ `go]n]j it is already showing excellent growth appointed as exclusive marketing agents patterns and upward trends particularly for the freehold resort complex “The Billi with lucrative group bookings and the Resort”. The property is located at Cable wedding market Beach Broome WA which has been voted one of the top 10 beaches in the world œ)*o]\\af_kYf\]n]flkZggc]\Ydj]Y\q (at top rack rate) for 2014 through word and is also the gateway to the renown of mouth alone Kimberly Region. œ <9 af hdY[] ^gj Yfgl`]j . ][g l]flk % The facility consists of 8 x two bedroom Additional 1500sqm of land cleared and villas and 4 x eco tents and a studio ready for improvement apartment. The first stage of the complex was opened in October 2011 and œL`] Zmkaf]kk ak Y _gaf_ [gf[]jf oal` excellent management systems in place the second stage (the eco tents) was af[dm\af_ j]k]jnYlagfk kqkl]ek$ `gmk]% completed in June 2012. c]]haf_ \]hYjle]fl$ o]Zkal]$ [gjhgjYl] Being Broome’s newest and most a\]flalq Yf\ hjgÇd]$ ]klYZdak`]\ unique boutique accommodation “The marketing and 3rd party relationships Billi Resort” has been featured in many and a solid business plan in place articles in high end travel publications œ?jgoaf_ j]h]Yl nakalYlagf ^jge j]_agfYd and is highly rated on Trip Advisor. people particularly in the low season Wedding parties or corporate clients can œ>al gml Yf\ af^jYkljm[lmj] af hdY[] lg klYjlY[gee]j[aYddYmf\jq^Y[adalq%`m_] book out the whole complex which can income potential from this additional then be themed to suit. source of business

resortbrokers.com.au | 07 3878 3999

?d]ffEaddYj SENIOR BROKER E2(,)**//0(,

=2_d]ffeaddYj8j]kgjlZjgc]jk&[ge&Ym

Detailed Information Memorandum available NET INCOME HJGB=;L=< >GJ*(),!2$430,000 (under full management)

PRICE2$5,200,000

The Original and still No. 1


Property management rights • hotels • motels • resorts • holiday parks • time share • hosted Guide motel market thinking finance

Tony, Kevin, interest rates and other mysteries A coup d'état, also known as a coup, a putsch or an overthrow, is the sudden deposition of a government, usually by a small group of the existing state establishment — typically the military — to depose the extant government and replace it with another body, civil or military. A coup d'état is considered successful when the usurpers establish their dominance. When the coup neither fails completely nor succeeds, a civil war is a likely consequence. [Courtesy of Wikipedia.] As some of you will know I recently travelled overseas on a bit of a bucket list cycling odyssey. I had no sooner left these fair shores than a political coup was afoot and Kevin rose phoenix like from the ashes of his previous prime ministership. Needless to say no one in Switzerland gave a bugger what was happening in Australia and so we following the unfolding events via the web and texts from friends at home. It was only when we got to major cities and airports that English print newspapers were available and we got some sense of the level of international coverage events at home were getting. I was particularly taken with one journalist’s comparisons of the Australian political landscape and stability with that of post-war Italy. Says it all really! What came across was a general perception internationally

A coup d'état is considered successful when the usurpers establish their dominance.

Mike Phipps Mike Phipps Finance

that Oz has pretty much dodged the GFC bullet and is in a better position than most despite the political upheavals of the past three years or so. Anyway, it now looks like a resurgent Rudd is going to give the Abbott led opposition a run for their money and frankly that’s bit of a problem. While Julia was in the chair it seemed pretty clear that our next prime minister would be named Tony. Turns out our next prime minister was named Kevin albeit maybe for only a very short second stint. Are you still with me? The general feeling that I was picking up on was that the Gillard government was on the nose and had lost considerable consumer and business confidence. As we have learned over time a lack of positive sentiment tends to lead to declines in consumer spending that leads to falls in demand and business investment. With little upward demand pressure on prices or wages, inflation remains under control and the RBA has no good reason to lift the cash rate. In fact, as we have seen of late, the RBA has dropped the cash rate to a record low in a bid to kick

start consumer confidence and demand. All that seems to have happened is that consumers have left their home loan repayments as is while rates have fallen. That’s led to the biggest build-up of advance payments on home loans that this country has ever experienced. There’s also a stack of dough sloshing around in bank savings and investment accounts and superannuation funds. With such uncertainty out there no one seems willing to spend the nest egg. If you happen to work for Ford in Geelong it turns out with good reason. So what does all this mean for interest rates you ask? Buggered if I know but here’s a wild guess. I suspect that had Julia lost the election to Tony there would have been a consequent spike in consumer confidence, demand and business investment. The resultant upward pressure on prices and wages may well have caused the RBA to lift the official cash rate to counter inflation. Put simply it seemed to me that there was a real pent up desire for a political change and

until that change occurred the punters were not going to spend. Thus, a win for Tony was, in my mind, a possible driver of an increase in interest rates. If you think about it that’s not necessarily a bad thing. Central banks drop official cash rates to try and kick start ailing economies. The lower the cash rate the greater the challenges facing that economy. Obviously very high rates also suggest out of control inflation so all things in moderation. Of course, now that the polls are saying that Kevin is a chance of winning the soon to be rescheduled federal election my entire thesis is under threat. Will a re-elected Rudd government continue on the path of debacledriven incompetence witnessed the last time around or has Kevin really changed? If you are punting on Tony it might be a good time to have a look at fixed rates. If it’s Kevin you favour stay variable. And remember, it’s not the rate you borrow at that’s important, it’s what you did with the money.

Sandcastles on the Broadwater Congratulations to Martin and Tracey Hobbs who have recently purchased their second management rights complex, Sandcastles on the Broadwater. Their first complex, which they purchased through Venz, was a permanent in Brisbane and, after several years' ownership, sold it and purchased this holiday complex, again through Venz Management Rights Specialists principal Wesley Venz. They are enjoying their new role and looking forward to the years ahead.

58

resortnews | august 2013


DEAL WITH THE TEAM WHO KNOW THE MANAGEMENT RIGHTS INDUSTRY FROM THE INSIDE!!

TRINITY LINKS RESORT

Net Profit Unit Price

$485,000 $700,000

Business Price Total Price

$2,160,000 $2,860,000

What a Fabulous Complex! Set in ideal location just minutes from the heart of Cairns City, beautiful tropical gardens, resort pools, 2 tennis courts, Gym, and adjoins the Cairns Golf Club. This Management Rights Business offers: Four bedroom Managers residence, large office on a separate title and 192 apartments in the two adjoining buildings. VIDEIEO This is one of the largest available here in the North. PREV W The vendor will look at trading Real Estate with Income. tinyurl.com/ This complex is perfect for a partnership or an investor lzs4jg6 as staff are already in place. Only 10 mins from city centre. Grant Skinner 0408 996 188

BEAUTIFUL TWEED HEADS

Net Profit Unit Price

$900,000 Business Price $1,300,000 Total Price

$4,000,000 $5,300,000

Complexes such as this are rare and very seldom come on the market. It is AAA rated and is 4.5 star. The Conference Centre income has lots of upside and a modern large commercial kitchen plus furniture is included in the price. Three very strong agreements locks in the owner to annual CPI adjusted salaries. A third tower is to be constructed alongside in the near future and all indications are that this will be added to the present Management Rights. Managers unit price includes Conference Centre at $800k. Rusty Lush 0416 161 831

www.raasrights.com.au â&#x20AC;˘ Phone 07 3299 1744


Why Choose Joy Management Rights Specialist? 1. 13 years of experience in onsite management and MR Brokerage. 2. Low commission - we charge a flat rate of 2.0% for both Unit & Business sale. 3. No charges for advertising fees - we cover all marketing expenses for you. 4. Free for-rent & for-sale advertising on over 20+ websites for on-site managers. (* Conditions Apply)

Area Inner City Inner City Inner City Inner City Inner City Inner City Eastside Eastside Eastside Eastside Eastside Westside Westside Westside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Southside Northside

Distance to CBD 0-5 0-5 0-5 0-5 0-5 0-5 10-15 15-20 15-20 15-20 25-30 5-10 10-15 10-15 5-10 10-15 10-15 10-15 10-15 10-15 15-20 15-20 15-20 20-25 20-25 25-30 25-30 25-30 25-30 25-30 5-10

Nett Income $245,000 $175,000 $127,838 $200,000 $149,371 $110,000 $383,000 $150,000 $150,000 $163,000 $115,000 $147,000 $133,000 $38,000 $60,000 $116,000 $97,000 $51,000 $27,000 $422,000 $245,000 $215,000 $130,000 $70,500 $86,000 $180,000 $220,000 $91,000 $142,000 $335,000 $164,800

Business Price $1,230,000 $750,000 $524,000 $1,060,000 $500,000 $495,000 $1,854,000 $567,000 $645,000 $621,000 $450,000 $661,000 $610,000 $136,000 $238,000 $462,000 $302,000 $163,000 $158,000 $2,245,000 $1,261,000 $990,000 $585,000 $280,000 $343,000 $840,000 $820,000 $440,000 $495,000 $1,675,000 $792,000

Manager Total Price Unit $650,000 Motel $570,000 $0 Motel $705,000 $425,000 $449,900 $330,000 $459,000 $300,000 $485,000 $510,000 $499,000 $389,000 $401,000 $650,000 $420,000 $399,000 $455,000 $385,000 $340,000 $375,000 $375,000 $395,000 $250,000 $330,000 $360,000 $375,000 $450,000 $448,000

$1,880,000 $750,000 $1,094,000 $1,060,000 $500,000 $1,200,000 $2,279,000 $1,016,900 $989,000 $1,081,000 $750,000 $1,146,000 $1,120,000 $635,000 $627,000 $863,000 $952,000 $583,000 $557,000 $2,700,000 $1,646,000 $1,330,000 $960,000 $655,000 $738,000 $1,090,000 $1,150,000 $800,000 $870,000 $2,125,000 $1,240,000

Status

Under Contract

Under Contract

Under Contract Under Contract

Under Contract New

Area Northside Northside Northside Northside Northside Northside Northside Northside Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Gold Coast Sunshine Coast Sunshine Coast Sunshine Coast Cairns Mackay

Distance to CBD

Nett Income

Business Price

5-10 5-10 15-20 15-20 25-30 25-30 25-30 25-30 Coolangatta Coombabah Broadbeach Broadbeach Broadbeach Waters Commera Central BurleighWaters Burleigh Head Runaway Bay Runaway Bay Southport Southport Surfers Paradise Surfers Paradise Surfers Paradise Surfers Paradise Labrador Beerwah Maroochydore Mooloolaba CBD City

$350,000 $130,000 $220,000 $46,800 $105,000 $145,000 $98,000 $385,000 $253,000 $83,336 $162,000 $90,000 $130,000 $257,000 $820,000 $165,000 $119,000 $200,000 $188,000 $40,000 $139,000 $170,000 $272,000 $33,000 $106,000 $163,000 $160,000 $170,000 $600,000 $183,000 $516,500

$1,850,000 Motel $1,850,000 $455,000 $350,000 $805,000 $1,069,000 $330,000 $1,399,000 $155,000 $319,000 $474,000 $440,000 $400,000 $840,000 $550,000 $398,000 $948,000 $430,000 $220,000 $650,000 $1,860,000 $415,000 $2,275,000 $1,150,000 $545,000 $1,695,000 $369,000 $342,000 $711,000 $800,000 $400,000 $1,200,000 $280,000 $420,000 $700,000 $580,000 $345,000 $925,000 $978,250 $399,900 $1,378,150 $4,500,000 $1,100,000 $5,600,000 $742,000 $395,000 $1,137,000 $488,000 $470,000 $958,000 $932,000 $820,000 $1,752,000 $695,000 $550,000 $1,245,000 $110,000 $440,000 $550,000 $620,000 $375,000 $995,000 $635,000 $315,000 $950,000 $1,255,000 $425,000 $1,680,000 $100,000 $210,000 $310,000 $350,000 $340,000 $690,000 $720,000 $275,000 $995,000 Freehold Motel $1,250,000 $800,000 $595,000 $1,395,000 $2,850,000 $600,000 $3,450,000 $695,000 $290,000 $985,000 $2,582,000 $1,318,000 $3,900,000

Belmont, QLD

Coomera, QLD

$2,700,000

$2,579,300

Net Income: $422,400 Remuneration: $167,000 Manager Unit Value: $455,000 Agreement Remaining: 20 Manager Unit: 3 bedrooms, 2 bathrooms air conditioned townhome with double garage.

Net Income: $469,000 (projected) Remuneration: $166,000 (projected) Letting Pool: 166 (projected) Manager Unit Value: $794,800 Agreement Remaining: 25 Manager Unit: Two 3 bedroom 2 bathroom brand new townhomes.

High income, great location! Minutes drive to Carindale Shopping Centre & Gateway Motorway this popular villa complex is fully gated and offers pool, gym & tennis Court. 102 units in letting pool, units renting between $415 and $450 per week, well established business with easy care living.

Status

New

New

New

Two projects, one sale, located adjacent to each other, why not buy both? Complex one comes with 91 townhouses plus managers unit featuring an office. Construction is underway, soon to be released! NRAS Pending. Complex two comes with 75 townhouses plus managers unit featuring an office. Construction expected to commence Dec 2013. NRAS Pending. Great off-the-plan opportunity not to be missed!

Deception Bay, QLD $2,279,000

Gold Coast, QLD $5,588,000

Net Income: $383,000 Remuneration: $171,666 Manager Unit Value: $425,000 Managerâ&#x20AC;&#x2122;s Unit: Low set villa with double lock-up garage and office.

Net Income: $830,000 Remuneration: $340,000 Manager Unit Value: $1,105,000 Agreement Remaining: 21 years Managerâ&#x20AC;&#x2122;s Unit: modern stand-alone house with two offices, a reception area, meeting room, function rooms and storage space.

Rare opportunity of managing 3 adjoining complexes. Close to North Lakes shopping precinct, bus routes and schools, all complexes are quiet and well maintained with swimming pool and gardens. Strong letting business providing a high and stable income.

Manager Total Price Unit

Large complex in a great location within walking distance to shopping centre and close to all other amenities. 80 units in letting pool, half of which are for short term leasing and the other half long term.

Contact: Robert Lin (Principal, MREIQ) Mobile: 0433 000 888 Office: (07) 3344 5858 Email: robert@joyrealty.com.au

www.joyrealty.com.au


1300 512 566 sales@tourismbrokers.com.au

www.tourismbrokers.com.au Too many to list here go to our website 380+ Listings

Fraser Coast Hot Properties

HIDDEN OASIS – POTENTIAL PLUS Net Profit: Price:

$140,000 $697,000

• Peaceful 10 acres of landscaped grounds surrounding a natural lake abundant with wildlife and all only 5 mins walk to the beach • 34 bungalows in holiday/corporate rental pool • Comfortable 1 bedroom manager’s bungalow • Potential to live offsite or build new manager’s residence – plans ready • Close to all local amenities

Permanent ......................................... Net Profit $74,000 ..............Price $499,000

Permanent/Holiday ............................. Net Profit $179,000 ............Price $1,050,000

Holiday ............................................... Net Profit $170,000 ............Price $1,080,000

Holiday (make offer) ........................... Net Profit $140,000 ............Price $1,150,000

CALL TONY ON 0433 335 679 TO ARRANGE YOUR PRIVATE INSPECTION

GREAT PRICE, GREAT LOCATION, GREAT AREA

Off the plan ................................................. permanent - $910,650, net (estimated) $105,000

Net Profit: $139,470 Price: $750,000 (incl residence) • Ideal for first timers to the industry • 19% return, multiple only 3.1 • Motivated vendors keen to retire after 12 yrs • Short stroll to beach and restaurants • Lot of repeat business • Caters mainly to families • Business is climbing upwards again

Off the plan .................................................permanent - $1,378,150, net (estimated) $260,000

Off the plan .................................................permanent - $1,201,150, net (estimated) $215,000

Holiday letting in Broadbeach ......................$2,680,000, net $397,000

Fantastic Main Beach .................................$2,455,000, net $323,388

CALL GERARD DIXON ON 0433 617 515 TO ARRANGE YOUR PRIVATE INSPECTION

PERMANENT - MANAGEMENT RIGHTS - BOONDALL QLD Net Profit: $132,000 Price: $1,081,800 (incl residence) • 36 Permanent 2 story townhouses with 35 in the letting pool • Set amongst parklands in quiet cul-de-sac • Only minutes from Gateway and major shopping centre • Low maintenance landscaped gardens and lawns • Modern 3 bedroom Managers unit with office attached with no set office hours

Iconic Sunshine Coast Holiday Management Rights ........................Nett $500,000 Price: POA Golden Beach Management Rights .................................................Nett $290,000 Price: $2,100,000 (incl unit) Taringa Permanent Management Rights .........................................Nett $144,873 Price: $1,135,000 (incl unit) Taigum Permanent Management Rights .........................................Nett $104,622 Price: $735,000 (incl unit) Chermside Permanent Management Rights ....................................Nett $50,000 Price: $585,000 (incl unit)

CALL JIM BEARD ON 0425 168 244 TO ARRANGE YOUR PRIVATE INSPECTION

National Coverage and Expertise in the Sale, Leasehold & Freehold of Motels, Caravan Parks, Hotels and Management Rights

Call Us Nationwide On 1300

512 566 sales@tourismbrokers.com.au


Property management rights • hotels • motels • resorts • holiday parks • time share • hosted Guide motelmanager new market profiles SALES REPORT

Platinum Auchenflower Richard and Megan Bennetts are the proud new managers of Platinum Auchenflower. Several years ago they were introduced to management rights through a friend, and after researching for a long period and selling their family home, they were finally ready to take the plunge. Richard has an extensive business background and specialised as a mortgage broker in recent times, while Megan worked as a midwife and nurse at the Brisbane Mater Hospital for several years. Seeking to move to another stage of life, Richard and Megan wanted to tackle a new challenge where they could use their combined developed skills and energy while still maintaining their focus and life purpose. The Think Management Rights team were tasked with the job of finding an MR business that suit their requirements and they were delighted when Platinum became available. Narelle, Wayne and Linda will continue to provide ongoing support and assistance through the transition period and into the future.

MANAGEMENT RIGHTS

Gold Coast Sandcastles on the Broadwater Chev-Elle Reflections by the Sea Santa Anne by the Sea The Apartments @ Broadwater Chancellor Varsity Lakes Runaway Vista Beenleigh Village

REP Accommodation P/L Barry Hunter & Patrick Moore David & Bronwyn Wicks Manjot Meghla & Nelloe Celeste Advanced Infotech P/L Michael Chen Janice & Steven Ravenscroft Name Supplied

Labrador VENZ Chevron Island VENZ Coolangatta VENZ Broadbeach VENZ Biggera Waters VENZ Varsity Lakes TMR/RNR Runaway Bay PPRE Beenleigh TB

Brisbane Element 88 Platinum on Auchenflower Manly Park Jacaranda Park Enoggera Manors Wynnum Waters Redland on the Bay

Don & Judy Brady Megan & Richard Bennetts Deborah & Neil McDougall Sandy & Raymond Dhi Mei-Chu Wang Chuan Hung Ross & Debra Stewart Yigong Shi

Kallangur Auchenflower Manly West Eight Mile Plains Enoggera Wynnum West Redland Bay

VENZ TMR PPRE RAAS RAAS RAAS RAAS

Sandra & Craig Peut Warren & Julie Hosnell

Bundaberg Cairns

RBA MRS

Oz Property Group P/L

Melbourne

RBA

Ella & Eduard Weiss

Wynnum West

RAAS

Carol Gill & Roger Rickerby Name Supplied

Nanango Injune

RBA TB

Singing Chihuahua Joy Forest P/L Gate Family P/L Name Supplied Name Supplied Name Supplied Name Supplied

Bathurst Woy Woy Yass Yass Tumut Marulan Cessnock

TB TB TB TB TB TB

Name Supplied Name Supplied

Halls Gap Hamilton

TB TB

North Queensland Skyring Terraces Eclipse Apartments

Victoria Sky Lounge

Chancellor Varsity Lakes

MOTELS & OTHER

Persistence and determination are the key for Michael Chen. Michael and his team have hit the ground running since taking over operations of The Chancellor Varsity Lakes from Dreamtime Resorts. This was an acquisition Michael wanted from the outset and, after a number of bumps in the road and a protracted process, he finally got there. Michael has achieved great success in business both in China and Australia, but he always knew management rights was going to be a challenge. In the end, persistence and determination paid off and Michael achieved what he set out to achieve. Narelle Filmer and the Think Management Rights team kept in constant communication with Michael and their expert advice and guidance helped make his dream a reality. The Think Management Rights team look forward to working with Michael on future acquisitions and wish him all the success in his new business venture.

Brisbane Palm Springs Retirement Village

Central Queensland Nanango Fitzroy Motel Injune Motor Inn

New South Wales Country Lodge Motor Inn Watersedge Motel Sundowner Swaggers Motor Inn Yass Motel Tumut Motor Inn Ali’s Motel Comfort Inn Cumberland

Victoria Halls Haven Comfort Inn Grange Burn

Note: Agent/Broker involved in the sale is listed last. Agent - KEY:  ARMS - Australian Resort Management Sales; CBRE - CB Richard Ellis; CPDR - Cairns & Port Douglas Resort Sales; LIZ - Liz Lavender Management Rights; MRS - MR Sales; PPRE - Property Pacific Real Estate; PRB - Platinum Resort Brokerage; QTH Queensland Tourism & Hospitality Brokers; RAAS - RAAS Rights; RBA - Resort Brokers Australia; TB - Tourism Brokers; TMR - Think Management Rights; VENZ - Venz Management Rights Specialists

Send your sales and new managers information to editor@resortnews.com.au

Sea Change Barry Hunter and Patrick Moore decided it was time for a change of location and a new business venture. They contacted Wesley Venz, principal of Venz Management Rights Specialists to find a suitable complex. Chev – Elle fitted their requirements for position, size and manager's residence. It will allow them to work and enjoy the Gold Coast lifestyle.

62

resortnews | august 2013


Watermark Hotel and Spa

profiles

New levels of style and comfort The Watermark Hotel and Spa is situated on the Gold Coast and has just completed an incredible $1.2 million major room refurbishment that saw all guest rooms stylishly refurbished.

double Gold Series Collection beds, Italian designed Europa sofa beds (which allow for up to three adults in each room) and digital LCD TVs. The bathrooms feature designer Peter Morrisey Amenita products. In addition to the work completed by Resort Interiors, it took a team of excellent contractors to complete this remarkable refurbishment and Max Takamizawa recommends them all highly.

Watermark is a 4½-star hotel located in the heart of the vibrant, sun-drenched Surfers Paradise, just five minutes from white sandy beaches and popular shopping, dining and glittering nightlife. This hotel and spa is perfection for a Gold Coast beach holiday or a romantic weekend away. Watermark, now more than ever, offers a stylish, contemporary retreat that provides guests with access to a variety of hotel facilities including a luxury day spa, two specialty restaurants, sports bar, six conference venues, two pools and a gymnasium. Each of the 20 levels and 388 rooms of Watermark were built in 1996 and the hotel has a solid reputation as a popular Gold Coast hotel. It has consistently gained great reviews for its location, facilities, value and fantastic service. Recently (although still a fantastic vacation choice for guests) it was felt that a refurbishment of the standard guest rooms was needed. Max Takamizawa, CEO of the Watermark Hotel Group spoke of key reasons for the decision. “We needed to enhance the current design and keep up to date with modern interior design trends. The hotel constantly seeks to offer an experience that is new and fresh to its guests.”

“We needed to enhance the current design and keep up to date with modern interior design trends. The hotel constantly seeks to offer an experience that is new and fresh to its guests.”

Global design firm, Resort Interiors International was assigned to design the stunning new look rooms. They offered full refurbishment and fit out from the initial concept planning to the interior design, procurement and

manufacture through to delivery and installation. They used their 20 years of experience and talents to create the delightful room interiors drawing inspiration from the arousing Surfers Paradise location. The rooms feature two plush new

Garvic Electrical Services was in charge of all electrical and lighting requirements during the completion of this refurbishment. Colin Meyer, the owner of Garvic Electrical services has over 20 years experience and a trusted history with the Watermark Hotel Group and it seems was the natural choice for this project. Garvic Electrical has not only provided maintenance work for the Watermark Hotel & Spa Gold Coast over the last two years, they have also completed all lighting installations on the recent renovation of the Brisbane foyer. Its work is obviously second to none as it is now in the process of completing electrical work for the second round of refurbishment occurring at The Watermark Hotel. The company, Hole Gone Plasterer, was successfully used for the entire plastering project. And 1300 Clearout was used for all the removal and storage tasks. Mr Takamizawa says that the “project aimed to reflect the hotel’s surroundings, hence the ‘city meets ocean’ theme”. And the project has succeeded above 

Hotel Furniture Specialists

Resort Interiors International

P 1300 500 815 E admin@resortinteriors.com.au

partnering with Watermark Hotel & Spa Gold Coast resortnews | august 2013

63


profiles

Watermark Hotel and Spa

Design partnership that worked brilliantly The Watermark Hotel & Spa chose Resort Interiors International to partner with in this major refurbishment. "The initial approach from the hotel was to put forward a design that was fresh, contemporary and worked in well with the new corporate colours and branding that the hotel group was developing, as well creating space and the sense of comfort for all their guests," according to Dave Weatherall, director of RII. The hotel is uniquely positioned on the Gold Coast and enjoys clients both from Asia and the Australian markets. Getting the design brief right was an interesting opportunity for RII, as the decision making process was all encompassing with representations from each

64

department within the hotel. One of the final design consultations included 20 people in lively communication, expressing their opinions, likes and dislikes from their perspective of what was required for the hotel.

furniture design minimal, it allows the artwork to be a feature statement in the room.

The design itself is a natural palate of colours that enhanced the spacious feel within the room and the addition of mustard yellow as a feature in the artwork and the bed throw cushions reflects the golden sand at the beaches close by.

Practical materials like faux leather have been used on the dining chairs and sofa bed to enable easy cleaning. The beds give a fresh crispness to the rooms along with the soft texture of the bed heads. A TV wall panel was also included in the design that allows all the cords to be hidden away from guests and works well with the rest of the furniture in the room.

People are in search for a variety of touchable textures, which inspire warmth and comfort as a way to engage and experience a home away from home feel. Elements such as glass and polished stainless steel fittings were introduced to give the room a modern feel. By keeping the

The carpet design was a very vital selection to ensure a welcoming and inviting feel. The overall ambience is light and airy with lots of natural light flooding into the room. The window coverings, incorporate block out curtains and sheers which give the room a soft earthy feel.

resortnews | august 2013

The installation that included the removal of all the existing furniture, painting, electrical, carpet and building works all before the placement of the new furniture and fittings, turned out to be a seamless delivery of activation and implementation, which was completed three weeks ahead of the program schedule. This allowed the hotel not only to return the rooms back into operation but also to generate revenue over this period of time, that was unbudgeted for. The final result, is a refurbishment that retains a sense of elegance while bolstering an entirely fresh contemporary style. The feed back from both guests and staff is overwhelming. ROSIE CLARKE Industry Reporter


Watermark Hotel and Spa

 and beyond all expectations. He admits that the response from guests, so far, has been phenomenal, “We have already received extremely positive comments from leisure guests who have stayed in the rooms and are certain group guests will be impressed too”. Recent TripAdvisor reviews have gushed in reiteration of just how impressed guests are with this hotel and its new look. One reviewer from June 2013 said: “Never fails to impress us. The hotel has a lovely fresh, vacation feeling when you walk in and even the different levels and corridors have a pleasant scent! The refurbished rooms are great! Modern, spacious and a pop of colour.” Max Takamizawa is not alone in his enthusiasm. Che Bianca Black, the Queensland marketing communications manager, explains that the whole team at Watermark Hotel and Spa are extremely excited to work in this newly invigorating environment and has been overjoyed with the end

profiles

result. “The quality, finish and fittings of the rooms have exceeded everyone’s expectations,” she says. Indeed, so impressed were they with the refurbishment of their 110 standard rooms (now having been upgraded to superior rooms) that they have decided replicate the refurbishment in all 108 of their older superior rooms. It was felt that the superior rooms now needed to be improved to match the new high quality and design standard that had been achieved. This refurbishment, as before, is expected to go very smoothly with minimum disruption to the smooth running of the hotel and will not affect the guest experience. By November 2013 two thirds of all the hotel’s rooms will be refurbished. All at Watermark Hotel and Spa who speak of this refurbishment are proud to say that the rooms are vibrant, unique and fully represent the hotel’s vision for the future.

“Recent TripAdvisor reviews have gushed in reiteration of just how impressed guests are with this hotel and its new look”

ROSIE CLARKE - Industry Reporter

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Mint Apartments

A mint fresh approach One of the most delectably presented accommodations in Brisbane is Mint Apartments, a 46-storey delight that is situated in the River City. The self-rated 4½-star accommodation provider boasts remarkable living spaces spread across the property with only five apartments per floor. Each guest room is both large and private. Scoring the best views of the river, guests are also able to partake in short but stunning walks along the boardwalk. This is thanks to Mint being situated on a convenient street that boasts the heart of Brisbane as its home, central to the financial, government, university, entertainment and shopping precincts. Its locale could not be more perfect! The property consists of selfcontained studios, one-, two- and three-bedroom apartments and sub penthouse apartments all of which are spaciously designed with modern appliances and superior furnishings. Each apartment presents all that guests would expect of a modern apartment hotel including a large living area that opens onto a balcony (except for the studios) with plenty of rooms offering panoramic city and river views. Mint Brisbane is a uniquely modern inner city hotel that provides a number of leisure facilities including a swimming pool and spa, steam room, gymnasium and even a full size tennis court, not to mention a convenience store placed adjacent to the hotel.

Angus Dunbar is the manager of Mint Brisbane and he considers its best feature the astonishing views that have to be seen to be believed and also the size of each special apartment. Mint Brisbane is only six years old and therefore is still very new, mint and modern, stylish and immaculately fitted out. It has all the most up-to-date conveniences that are commonly required for a comfortable stay whether businessrelated or leisure. These apartments are indeed very livable, especially for considerably longer stays. The reviews on Trip Adviser say it all, with one reviewer reminiscing over their large family gathering at Mint Brisbane over Christmas in 2012. â&#x20AC;&#x153;The apartment was very spacious and well equipped for us to prepare our Christmas dinner and cater for ourselves the rest of the time we were there. The en suite for the main bedroom was massive. Christmas lunch on a balcony high up with a view down the river watching the passing parade of boats and paddle steamers - what more could you ask for?â&#x20AC;?

Although Angus Dunbar is new to Mint Brisbane, he has been in the industry for 14 years. Angus began his career when travelling through London, aged 19, as a bellman. He returned to Australia and completed a management traineeship before going on to work in locations such as Broome, Adelaide and Melbourne as well as a stint overseas. He reflects upon his biggest career achievement so far, If the stunning having received the apartments and Excellence in Service fabulous proximity to Award for AHA NSW, a the river and the city Angus Dunbar fantastic achievement. do not win their guests He proudly admits that over, its small team of his team offer, capable staff who do their utmost in â&#x20AC;&#x153;excellent guest service levelsâ&#x20AC;?. dedicating time and energy to providing the best possible service to Angus clearly enjoys his team. the guests who chose Mint Brisbane, They are a small bunch of dedicated will. individuals about whom Angus comments that, â&#x20AC;&#x153;although we are small we are very capable and believe we deliver excellence in service by being personable and tailoring our service approach to our guest rather than scripting itâ&#x20AC;?.

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66

The reviews on TripAdviser, again, more than back up his claims, one reviewer in May 2012 described their impression of the staff, â&#x20AC;&#x153;the reception staff are outstanding, some of the best I have experienced in quite a whileâ&#x20AC;?. Another impressed reviewer said of the team, â&#x20AC;&#x153;nothing was too hard for themâ&#x20AC;?. Angus says it was an easy decision to choose this manager position at Mint Brisbane due to the resortnews | august 2013

â&#x20AC;&#x153;great mix of high quality residential apartment accommodation, which creates a very rewarding and diverse working environmentâ&#x20AC;?. He clearly thrives on this opportunity and is grateful to be managing his team: â&#x20AC;&#x153;the opportunity to join a young, talented and innovative group who set their sights on improving guest experience is incredibleâ&#x20AC;?. Angus strongly believes that investing in your staff is crucial to managing a successful hotel. His advice to other managers is to, â&#x20AC;&#x153;invest in your staff and spend time with the ones that are career focused and want to work in the hotel industry long termâ&#x20AC;?. It is obvious that Angus is very proud of Mint Brisbane and he sees each day in his job as an exciting challenge, an example of which came when 2000 American sailors docked in Brisbane and flooded the cityâ&#x20AC;&#x2122;s hotels, restaurants, pubs and bars. This was exciting and a huge challenge for any accommodation manager at the time but he acknowledges that meeting such a variety of people from all walks of life is one of the biggest perks of his job and he has always found that most people are polite, interesting and generally delightful, including those 2000 sailors that he encountered! Mint Brisbane is as fresh and appealing as its name implies. It stands tall and proud, taking in the city and river views. With its spacious, stylish apartments, its new talented manager and its enthusiastic team it is certainly a unique hotel that speaks for itself. ROSIE CLARKE - Industry Reporter


profiles

Mint Apartments

If you’re not reading then you’re losing the advantage.

The Mint brand Mint Fresh has a refreshingly different way to do business: they claim “experience provides the winning edge”. StayMint P/L is a wholly owned subsidiary of the publicly listed company, Ariadne Australia Ltd. Trading as Mint Hotels and Apartments, the Brisbane based company markets and manages hotels and apartments in key destinations across Australia. Their particular market niche is the provision of marketing, letting and administration services for corporate accommodation in the 4 to 4½ star self-rated categories. These services can be provided within a flexible operating framework including: lease, management agreements and marketing services agreements. They are currently managing a portfolio of four properties in Melbourne, Brisbane and on the Gold Coast, Mint Hotels & Apartments is committed to expanding their property portfolio from its traditional Queensland base to include new properties in regional Australia. Mint Hotels and Apartments acknowledges that the senior management team consists of an internal structure that delivers expertise in the areas of finance, information technology, interior design, human resources, marketing and operations, in combination they provide a compelling point of difference for business partners and stakeholders. “This proven business model allows Mint Hotels and Apartments to engage with property developers on an end to end basis transitioning from building design and construction to opening and beyond”. Mint Condition indicates the desire for properties to reach the highest standard of appearance. It is true that “first impressions are lasting impressions,” and Mint Hotels and Apartment properties are maintained to the highest standards and meet all mandated health and safety standards. On-site managers ensure that daily, weekly, monthly, quarterly and annual cleaning and maintenance works are scheduled and implemented both internally and externally. Mint Hotels and Apartments maintains fully documented policies and procedures in compliance with the necessary state and federal legislation supplementing internal and external training to ensure their delivery at an operational level. Senior management conduct regular site compliance inspections. Mint Stamped indicates a strong brand that supports strong business performance, meaning “our brand is our greatest asset”. While every property is very different, all have their own distinct appeal but the Mint brand promise is always the same. Superior locations, stylish accommodation and professional but friendly service that meets the most discerning travelers needs are the hallmarks of the Mint brand. Maintaining and promoting the brand standards generates consumer demand and repeat visitation and in turn delivers a consistent, sustainable return for the owners. To reiterate the mission statement for Mint Hotels and Apartments: “To provide corporate and leisure travellers with 4 to 4½ star accommodation and facilities in Australia’s leading city and resort locations. Customers will seek out, recommend and value Mint branded properties for their location, comfort, refreshing sense of luxury and easy sophistication, high standards of cleanliness, maintenance and personalised service.” And for the stakeholders: “To deliver maximum, ongoing returns to stakeholders – developers, investors and body corporate/owners corporation, who leverage the expertise of an experienced and dynamic management team that values integrity, honesty and transparency. This experience can facilitate the transition of an accommodation development project from construction to operation.”

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MR Sales:

A cut above the rest AS ONE OF AUSTRALIAâ&#x20AC;&#x2122;S LEADING MANAGEMENT RIGHTS BROKER AND AS A PREFERRED SUPPLIER TO THE RESORT INDUSTRY, MR SALES IS WIDELY RECOGNISED AS AN EXPERIENCED, ENTHUSIASTIC AND SUCCESSFUL MANAGEMENT RIGHTS COMPANY. MR Sales specialises in management rights, motel and resort sales covering the areas from Sydney in New South Wales to Cape Tribulation in Northern Queensland. Collectively the MR Sales team has in excess of 80 years industry experience and they possess the knowledge and skills to liaise with a variety of industry professionals from bankers and accountants to lawyers and valuers. They also have local brokers that are based on the Gold Coast and Brisbane

as well as the Sunshine Coast, North Queensland and New South Wales. This not only gives MR Sales a particular expert knowhow but also a local wisdom that enables them to best assist their clients and determine what sells and why. MR Sales offers vendors and purchasers the opportunity to deal one-on-one with experienced licensed brokers, all of whom have a full time commitment to the management rights industry. This is what gives MR Sales its competitive edge, â&#x20AC;&#x153;Having a strong team of full time expert brokers is what makes MR Sales a cut above the restâ&#x20AC;?, according to Warren Oliver. It also allows for a high level of consistency and expertise, which is what all clients demand. MR Salesâ&#x20AC;&#x2122; head office is located on the ground floor of the

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Equinox Sun Resort, Surfers Paradise. MR Sales has recently sold a long list of management rights from Sydney to Cairns including the Phoenician Resort, Bel Air on Broadbeach, Maldives Resort, Ocean Plaza Resort, Xanadu, Headland Beach Resort, Rothbury on Ann, Abbey Apartments, River Place Apartments, Akama Resort, Napoleon on Kent and Palladium Apartments. MR Sales was also extremely proud to be the brokers chosen to market and sell three of the largest and most prestigious management rights in Australia. These rights include the Q1 Resort & Spa, reportedly the worldâ&#x20AC;&#x2122;s third tallest residential tower, The Towers of Chevron Renaissance - 700 strata units in one scheme - reportedly the biggest single strata scheme in the southern hemisphere, and the 410-room Holiday Inn Surfers Paradise, which is now badged Outrigger Surfers Paradise. With an incredible range of sales from the very top shelf of resorts to the average two-person operation, MR Sales has gained the knowledge required to actively satisfy both the vendor and the purchaser. The secret of its success is how well it works with both to ensure that the very best decisions are made. A purchaser needs to be satisfied with what they get, their purchase needs to suit their needs so that ultimately they will be successful in the industry; this will create longevity and therefore

repeat sales when they come back to purchase their next management rights. All the brokers at MR Sales hold full real estate licences, are highly qualified and experienced individuals and are all active members of ARAMA and REIQ, meaning that the MR Sales team is always up-to-date and well informed of industry progress and is perpetually aware of the market value of the day. MR Salesâ&#x20AC;&#x2122; strength is in its incredible ability to work as a team, Warren Oliver explained the unusual team dynamics, â&#x20AC;&#x153;unlike other industry agents we work as a team â&#x20AC;&#x201C; everybody shares in the successâ&#x20AC;?. This is a dedicated hardworking team who work together to ensure that they do the right thing by the purchaser and vendor alike. Judging by the incredible sales and the amount of enquiries that are continuously coming through the door, it may be an understatement to say that this team is doing remarkably well. As the senior sales negotiator, Jake Clarke, assuredly explains how management rights are his passion. Jake is recognised as Australiaâ&#x20AC;&#x2122;s leading management rights industry expert having had 18 years experience, resulting in many hundreds of settled sales. Jakeâ&#x20AC;&#x2122;s knowledge of the NSW management rights industry has also resulted in record sales especially in the Byron Bay, Port Macquarie and south to Sydney areas.

Management Rights Experts TM

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Left to Right: Jake Clarke, Warren Oliver, David Rotheram and Wal Karlo.

Having previously owned management rights himself, Jake’s experience covers all facets of management rights both existing and off-the-plan servicing Queensland and New South Wales. Lyn Clarke is principal at MR Sales and her expertise is recognised throughout the industry. Having previously operated as Jake’s PA for 18 years she now aids managers to establish better business practices and consults to the industry through Gold Coast Management Rights. “Many a manager has slept better thanks to Lyn’s no nonsense approach to the industry.” Having been involved in selling and training, along with managing both permanent and holiday buildings, the “hidden” worries are soon discussed, dismissed and inevitably resolved. The other highly qualified brokers in the MR Sales team include: Warren Oliver – following a successful career in media sales and advertising he moved into motel brokerage in 1996. In 2002 management rights became another of Warren’s new industry challenges and having previously

worked with Jake Clarke and David Rotheram, the ongoing desire to be part of the MR Sales team was a natural progression. Warren lists and sells management rights and motels on a regular basis, resulting in excellent sales on the Gold Coast, Tweed Coast, Byron Bay, Port Macquarie and Brisbane. The ability to match a buyer with the desired result is Warren’s special power. David Rotheram is a broker for management rights, resorts and motel sales in Queensland. Having spent over a decade listing and selling management rights, David is recognised in the industry for his ability to match people and their requirements. David’s prior experience in owning management rights and motels, has given him the outstanding ability to sell to partnerships and syndicates. Having previously worked with Jake Clarke and Warren Oliver, the team spirit of past continues to thrive. Known as the ‘quiet achiever’, David continues to sell and settle year in, year out. The recent sale of Xanadu Apartments on Main Beach is among some of David’s recent top shelf achievements.

management rights and resorts sales NSW Central Coast to Sydney. He has a sound knowledge of general real estate, both as a partner and sales manager in a thriving Sydney real estate office, along with his valuable hands-on experience in holiday and permanent management rights, it was an easy move on Wal’s behalf to join the MR Sales team four years ago. His ability to be a motivated lister has resulted in continuous sales and instant recognition as an industry achiever. Wal’s relocation from the Gold Coast to Newcastle area

gives him the ability to service from Port Macquarie to Sydney and surrounding areas. Geoff Ellis is a broker for management rights, resorts and motel sales in North Queensland. Geoff brings to his role, years of experience in property and tourism. Residing in Cairns, Geoff enjoys the challenges and opportunities within the industry and draws on extensive experience in sales, marketing, property and tourism, having already been involved in management rights sales and having an excellent client  understanding.

Mike Phipps Finance ACL (364 314)

Congratulations to Jake, Lyn and the team at MR Sales – delighted to be of service to our mutual clients.

Wal Karlo is a broker for

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MR Sales:

Left to Right: Barry Davies, Graham Lillyman, Geoff Ellis & Alan McCoy

“North Queensland has enormous growth potential and obvious lifestyle attractions so it really presents an opportunity too good to miss,” Geoff said. He is very positive about his representation of MR Sales in the north Queensland region; in Cairns Geoff continues to assist past and present clients in the sale and purchase of accommodation property from Mackay north. Barry Davies is a broker for

management rights, resorts and motel sales in Queensland. Barry obtained his full real estate licence in 1981 in South Africa and from 1981 until 2000 was involved with business broking, general real estate and building project management. Barry emigrated to Australia and has been based on the Sunshine Coast for the past 13 years. During this time he has been selling management rights on the Sunshine Coast up to the Whitsundays, along with a

number of motels in Queensland, and his sales record has just gone over the 200 mark. Having owned and been involved with two management rights businesses and a motel, Barry’s expertise is second to none. Some 80% of his deals have been through repeat clients or referrals, which is a great testament to his ability as an industry professional. Graham Lillyman is a broker for management rights and resort sales in Queensland. Graham

brings to MR Sales the experience of some 28 years plus in management rights and resort sales. Over the years, Graham has gained invaluable sales and negotiation experience since his first position in the industry in 1983. He has been actively involved in the acquisition process of many large buildings including for S8 and other large corporations and has become known for his ability to manage the interests of all stakeholders in large syndication sales.

Trent Pevy and the team at Pevy Lawyers are proud of their long standing association with Jake, Lyn and all the agents at MR Sales. We share their complete commitment to the Management Rights and Motel industries.

Holmans are extremely proud of our long-standing association with MR Sales and congratulate them on their many years of success and exemplary service to the industry.

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His successful facilitation of past sales including Crown Towers and the Phoenician management rights achieved record sale prices at that time. Graham’s services are highly regarded by his many contacts in the industry; he draws on his extensive knowledge of the Gold Coast and takes pride in his reputation for finding the ‘right’ business for all his clients. MR Sales is pleased to have Graham join the team and his vast experience will further enhance the growth of MR Sales as the market leader. Alan McCoy is MR Sales’ latest edition to the team. Having experience brokering management rights in Brisbane, Alan’s transition to his new environment all goes well for a continuing and successful career with MR Sales. Alan is actively seeking new listings in Brisbane

and the surrounding suburbs. Alan is contactable at all times having now sold his Brisbane management rights. Alan is working full time representing MR Sales giving him a decided advantage in the Brisbane area.

Behind the scenes: The MR Sales team is supported by a dedicated administration: Amy O’Meara – team co-ordinator and PA to Jake Clarke. Amy’s ability to coordinate a successful listing and selling team as well as being the liaison contact between MR Sales’ vendors, accountants, lawyers, bankers and valuers, has helped result in the industry recognition of MR Sales as a progressive industry leader. The ever expanding team at MR Sales’ success is partially due to Amy’s professional approach

to her sometimes difficult position as vendor-purchaser liaison. The role as PA to Jake Clarke has resulted in many large management rights sales being sold and settled. Katrina O’Sullivan – reception and team administration. Katrina comes to MR Sales from country NSW bringing with her extensive experience in residential real estate, administration and property management. Katrina is an integral part of the team offering administration assistance to the sales team and is the first point of contact for MR Sales. MR Sales also acknowledges the support of all industry contacts, lawyers, accountants, bankers, financiers and valuers who help the process of sales and listings that result in the oftensaid company line of Listed Sold and Settled.

Testimonials Moving to Australia and entering an entirely new industry it was vital that we find the right person to guide and advise us in the process of obtaining our first management rights complex. We were very fortunate to find Warren Oliver from MRSales as the agent for a property we were interested in. We immediately felt like we were being listened to and due to his professionalism, understanding and knowledge of the industry, we used Warren exclusively to view other properties before finding the right one. Six months on and we are very happy with our decision and grateful to Warren for his advice, guidance and ongoing support. Lee & Gary - resident managers, Bay Lodge Apartments

Proud to be associated with Jake and his team at MR Sales

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The most experienced team in the industry Established & trusted for 18 years

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MR Sales:

ď ´ Dealing with MR Sales has been a pleasure. Jake is an outstanding operator and has a great team behind him. I have been in the business since 1991 and have known and dealt with Jake for most of this time. MR Sales is a great advocate for our industry. Mike Oâ&#x20AC;&#x2122;Farrell - AHR Group During the search for a business in 2006, I spoke to many brokers who tried to inďŹ&#x201A;uence my decision using the tried and true methods those in the industry are renowned for. One correspondent however did stand out because it used a simple statement that caught my eye, â&#x20AC;&#x153;What are you looking for?â&#x20AC;? Warren was asking me what I was looking for from the business and what my priorities were, and wasnâ&#x20AC;&#x2122;t telling me what he had and what he could sell me. We met soon after, with my list, and spoke at length about the industry and

the type and location of the business that would most likely suit our lifestyle. After studying figures on many businesses and visiting those that seemed right, Warren phoned asking if we had time to visit a business that he thought fitted our needs and the rest, as they say, is history. We now own two management rights, both purchased with Warrenâ&#x20AC;&#x2122;s help and one day when the time is right Warren will help when we decide to move on. Professionally he continues to inform us of industry trends and changes in laws that affect us but is still interested in hearing our opinions of what we see in our little corner. I thank Warren for his help and friendship over the years and look forward to an association long into the future. John & Amanda Harvey â&#x20AC;&#x201D; Carrara Park Townhouses

As a newcomer to management rights I depended on an agent who had access to a wide range of listings and could match my requirements to what was available. David Rotheram at MR Sales surpassed my expectations as he listened to what I expected and gave expert advice when reviewing what was available.

Davidâ&#x20AC;&#x2122;s extensive experience in the management rights industry proved invaluable and resulted in a purchase that was exactly what I was looking for. Thereâ&#x20AC;&#x2122;s only one person I will be using in the future! Alan Kennedy â&#x20AC;&#x201C; manager, Aruba Beach Resort

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the sellers extremely comfortable. And when we did finally settle on ‘the one’, he was again the perfect partner for all dealings. If I had to sum Barry up, I would say he is the ‘calm in the storm that we all need when making these hard decisions’. I would highly recommend Barry to any buyer or seller.

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    

Structuring Income Verification Accounting/Taxation Superannuation Audit Congratulations to the MR Sales team and we wish them all the very best for the future.

P: 07 5534 4333

E: jhanaghan@jonathangrant.com.au RN196 Aust Valuers MPF_16th - PS Aw

Jody & Neil Liesegang - resident managers, San Marino by the Sea

Barry assisted us in the purchase of our first management rights business on the Sunshine Coast. He was referred to us by our broker. I am usually hesitant when it comes to referrals, however I contacted Barry and he was very welcoming and offered lots of advice to help in our journey. This type of business is a tricky and hard one to choose.

Lots of questions race through your mind, especially when you have no idea like we did. I am extremely fussy, impatient and detailed but Barry was fantastic. He answered all our questions, no matter how big or small. If he didn’t know, he found out. He is professional and casual, extremely approachable and very helpful. This made our dealing with

We purchased our first management rights business through Wal Karlo at MR Sales and found his assistance and support throughout the process helped us to reach a settlement to our full satisfaction. The communication and advice given makes us feel comfortable in recommending Wal and MR Sales to anyone wishing to deal with them. Paul & Catherine & Mark Cannon

resortnews | august 2013

MANAGEMENT RIGHTS

VALUATION SPECIALISTS Proud to be associated with .34BMFT (07) 3221 2449 F : (07) 3221 2497 PO Box 10468, Brisbane QLD 4001 E : admin@australianvaluers.com.au P:

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BCS – Body Corporate Services:

A community centered approach BCS STRATA MANAGEMENT IS A MARKET LEADER IN THE AUSTRALIAN STRATA, BODY CORPORATE, OWNERS' CORPORATION AND COMMUNITY TITLE MANAGEMENT INDUSTRY, WITH 24 REGIONAL OFFICES SPANNING THE EASTERN SEABOARD. Forty years of operation in Australia, BCS has provided owners' corporations and bodies corporate with secure management services and expert advice on the establishment and maintenance of strata and community title schemes. This approachable team is ready and able to assist with secretariat, administration, insurance, compliance, maintenance, by-laws, issue resolution and development consultancy services. BCS manages a broad spectrum of properties and gives expert support

to a portfolio of clients ranging from two to over 1000 lots. From resorts to commercial, industrial, residential, mixed use and community title developments, it tailor its services to meet the individual needs of their clients. Customer service is key to its success and it works very closely with resort managers, building

dedicated team of professional strata managers and support staff at BCS, a position he has held for close to 10 years. Greg’s passion is firmly embedded in customer service or “relationship management” and he has recruited managers from outside the industry to bring a “new flavour” to BCS. One of their most recent tasks was to research what clients most wanted from BCS and to identify the company purpose. After 12 months of research a new brand purpose was conceived; to “enhance community living” seemed to perfectly encapsulate both the BCS philosophy and indeed Greg Haywood’s personal philosophy, which is firmly positioned to focus on the customer. Greg explained: “We specialise in relationship management, we ensure that multiple people in multiple roles are harmonised and we aim to take the complexity out of strata.”

managers and residents but also with developers to ensure that buildings are completed with future residents in mind. This is a very clever and proactive strategy, preventing common problems that they have encountered through their many years of experience, even before the building is complete. BCS CEO Greg Haywood, leads the

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"BCS manages a broad spectrum of properties and gives expert support to a portfolio of clients ranging from two to over 1000 lots"

BCS, being positioned at the forefront of the strata industry, gave me the opportunity to ask Greg Haywood what it is that continues to drive BCS forward? “Professionalism” was his clear-cut answer. "BCS continues to drive innovation forward in the industry due to their unbridled professionalism and years of experience; it understands what is required to meet the needs of the strata communities and it is constantly changing and enhancing its systems and processes this is essential in this changeable climate. The BCS team offers an unsurpassed breadth of knowledge and longevity in the industry and the team is able," according to Greg, “to use solutions across boundaries to ensure their best practice.” The professionalism and wisdom of the staff at BCS is a common theme through the array of fabulous testimonies that are featured on

their website. Phil James, Grand Central states, “I have found Body Corporate Services to be very professional in their conduct and approach to the management of the Grand Central apartments building. Their extensive knowledge understanding and experience ensures that all matters are dealt with correctly and with a minimum of fuss. I have found them very easy to deal with and provide valuable assistance when required.” and Shane and Sandra Croghan from Whitfield Waters say, “From the senior management to portfolio managers, administration staff and reception, they have provided us with sound advice in a timely and professional manner at all times when required. I would have no hesitation in recommending the services of BCS and feel extremely confident that they would provide sound advice and a practical and effective approach to all matters

relevant to the scheme, just as they have done for us.” It is obvious that BSC aims to make life much easier for their clients by ensuring that a close working relationship exists between staff, resort managers and residents. Effective communication and partnership is fundamental to effective customer service and as Greg maintains, “most people just want to live, work and play - at BCS Strata Management we allow them to do just that”. According to Greg, research has shown that 50% of this population will be residing in strata and body corporate buildings in the future. He is thrilled at this prospect, a prospect that offers incredible opportunities for growth in strata and he promises that BCS will continue to be at the forefront of this industry. “The only way to stay ahead of the

pack is to offer the highest standards of customer service, to have professional and knowledgeable staff and to be at the forefront of technology.” With such huge growth and thrilling prospects predicted for the future it is important to Greg that he and BCS stay well ahead of the game. “To continually learn, grow and develop is personally my finest achievement.” And Greg is determined that BCS will continually be able to boast of this achievement too. It seems that stratospheric success is a very real prospect but very dependent on keeping abreast of the rapidly changing technological advances in the industry. Customers will demand more and more when they do BCS will need to meet these challenges head on. This is the focus and intention of Greg and the BCS team and I tend to believe that they will succeed.

Insurance Replacement Valuations Sinking Fund Forecasts Workplace Health & Safety Reports Fire Safety Audit Reports Fire Evacuation Plans & Diagrams Fire Safety Training Pool Barrier Inspection & Certification Engineering Reports Quantity Surveying & Cost Planning Cost Management Reports Bank Finance Reports

For more information contact: Richard Chapman 0423 782 304 or email richard.chapman@dulux.com.au

Asbestos Auditing

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Profile

BCS – Body Corporate Services:

Some of the team… John Georgas is the general manager of business development and marketing at BCS. John was recruited to BCS five years ago; he came from a background in finance, having previously worked for St George and Suncorp in Sydney. John was recruited from outside the industry to bring a “new flavour” to BCS. He is proud that one of his first tasks was to research what clients most wanted from BCS and to identify the brand purpose. Playing an instrumental part in defining the company’s new philosophy, “enhance community living” seemed to perfectly sum up his own belief system and strong connection to customer service. John has an infectious enthusiasm for his job and loves to make a difference to his clients; he concludes that the main driving force for him, professionally, is to, “make our clients lives easier”. Jason Triplett is a portfolio manager at BCS, he leads a team of nine staff in his role as a body corporate and strata manager for Queensland and New South Wales. His job involves the day-today management of a strata portfolio in Queensland and New South Wales

(taking into account the differing legislation) his team manages everything aside from what a building manager does. He explains that they handle everything from finances, correspondence, levy notices, qualifying accounts and insurance. He says that his team, “work hard behind the scenes to ensure everything is managed and everyone is happy”. Jason has a very varied professional background in hairdressing, hospitality and as an operations manager of a landscaping company before he was employed by BCS seven years ago. He also has a solid background in customer service and a passion for his clients. His motivation is to meet their needs head on, to communicate effectively and to fix their problems. Jason says, “there is nothing better in this job, than finding a resolution to an issue that has caused stress to our clients”. At BCS, Jason insists there is a palatable passion for the clients that reverberates through the whole team. According to Jason, BCS always strives for the best for its clients and everyone works tirelessly behind the scenes, to ensure they give the best possible service. He says “it’s the little things that BCS does that make it such a great employer”. Jason’s biggest reward is to take a strata complex that has been struggling with problems and turn it around, so that all the issues are resolved, it is running smoothly and everyone is happy and communicating effectively. He

faced his biggest challenge this past year; completing a diploma in business whilst managing a full strata portfolio and renovating his Gold Coast home – quite an achievement! Working for such a “customer focused” business is so very rewarding to Jason and he definitely sees his future continuing at BSC. He has a long-term ambition to move into senior management at BCS but for the short term he would love to mentor and teach new employees in strata management. And like he says, “if you do a good job, you are always rewarded”. Peter Crogan is the South East Queensland regional manager for BCS. Peter brings over 20 years of industry experience to the table having changed career path in 1993, prior to which he operated as regional manager for Telstra. During his first ten years working in the industry he completed due diligence for purchasers of strata titles and then in 2002 he became strata manager for BCS. This proceeded a very interesting period in Peter’s career where he moved to Dubai as CEO for a joint venture between BCS and the United Arab Emirates; he spent four years in the Middle East setting up strata management titles. Strata Law was conceived by a Queensland based lawyer and

BCS was perceived as the knowledge leader in strata titles, so a joint venture using BCS and Peter’s expertise was sought by the UAE who had established a similar law. Peter set up a consultancy division, this in his opinion has been his finest career achievement, and provided services to large UAE companies throughout the Middle East and he personally trained 2500 UAE real estate agents on jointly owned property law. This was an exciting period in Peter’s career, about which he asserts: “This gave me exposure to consultation in the larger mixed use developments, the largest being 2650 apartments.” In 2011 Peter returned to Australia as the regional manager for Southeast Queensland; now responsible for five busy branches. This exceptionally experienced professional is very motivated in providing exceptional service and sharing his wisdom and knowledge. He is motivated most by “solving difficult problems in body corp and assisting staff with their professional development, providing them with training”. He says that there is nothing better than “helping clients to understand their roles, responsibilities and obligations to others in strata titled communities”. Peter looks forward to an exciting future in his role at BCS where he is free to continue promoting the company purpose, to Enhance Community Living, and explore new levels of professionalism within the exciting industry.

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PROPERTY MANAGEMENT • SALES • CRM • TRUST ACCOUNTING

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Issue 204

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