The Management Rights Market

Buying Management Rights, Selling Management Rights, market outlook, etc

Contributed By: Mike Phipps Finance on

Rules are interesting. Some think the more rules the better while others subscribe to the school of discretionary decision making. I am a fan of some common sense latitude in most decision making processes, particularly those involving the individual merits of a finance application. It is true that many cry out for absolute certainty in all things finance. Problem is, hard and fast rules will inevitably gravitate to a lowest common denominator environment where we will all be compelled to walk as slow as our slowest borrower. Have a look at some of the people giving evidence at the banking commission and I would proposeRead More →

Contributed By: Short Punch & Greatorix on

Some time ago I published an article on what I thought was reasonable for a Body Corporate to request from a buyer of management rights, in considering whether or not a Body Corporate committee should consent to the transfer of management rights agreements to the buyer. This is an important issue, because under the Body Corporate and Community Management legislation, a Body Corporate committee must not unreasonably withhold approval to a transfer. Under the legislation, one of the matters which a Body Corporate committee may have regard to is the financial standing of the proposed transferee.  My opinion as expressed in my previous article wasRead More →

Contributed By: Chris Rowe of Accommodation Business Brokers on

Travel-based accommodation venues like Caravan Parks, Backpackers, Motels, Hotels and Holiday Resorts are in high demand across Australia. To ensure you receive the best price when selling your accommodation business and have a smooth experience from beginning to end, follow our recommended steps. PHASE 1: PLAN Step 1. Understand the value of your accommodation business Researching similar properties in your area will give you a rough indication of what your accommodation business is worth. But engaging an accommodation business broker early will help identify any strategic improvements that could have a significant uplift to your sales price. Step 2. Decide who will represent your saleRead More →

Contributed By: Wesley Venz. Principle of Venz Management Rights Buyers Agency on

In today’s world, we all want instant access to information, especially when you’re looking to buy. So why do some agents advertise management rights businesses with as little detail as possible? In some cases, even with no photos or generic images of a beach and a café. We all know what the beach and a café looks like! What about the actual location? You all want to know at least the name of the suburb, such as the awfully specific and informative ‘Greater Gold Coast’ or ‘Central Sunshine Coast’. Have you ever heard of these? Because I certainly haven’t! The Cambridge English Dictionary definition ofRead More →

Contributed By: Resort Brokers on

TWO landmark oceanfront resorts on the Sunshine Coast and Fraser Coast changed hands today (August 1, 2018) with the settlement of separate blue chip management rights sales for a total of close to $15 million. Specialist agency Resort Brokers confirmed the multi-million dollar sales of Oceans Resort and Spa Hervey Bay and Rumba Resort Caloundra, both handled by Sunshine Coast broker Glenn Millar. Global hotel group Minor Hotels has bought the rights to the Hervey Bay resort from Oceans Queensland, a leading private operator associated with the former managing director of channels Nine, Seven and Ten, Gary Rice. The sale price was not disclosed. TheRead More →

Contributed By: Resort Brokers on

ACCOMMODATION business and property owners in Far North Queensland are taking advantage of buoyant market conditions to sell or trade up, say industry experts. The Cairns office of specialist commercial agency Resort Brokers Australia has settled 18 FNQ accommodation and hospitality property and business sales in the past year, said national sales manager Trudy Crooks. “Robust tourism growth is fuelling opportunities across the region, resulting in high levels of activity and strong demand for accommodation operations,” she said. “Our local office has transacted more than $22.5 million worth of property in 12 months.” In response, Resort Brokers Australia has recruited North Queensland business consultant andRead More →

Contributed By: Resort Brokers on

Another popular and informative ‘Management Rights Made Easy’ seminar will be presented by Resort Brokers Australia on the Gold Coast in early August, to assist newcomers to the industry. The event will be latest in a long-running program of presentation conducted by Resort Brokers in the coastal tourism and lifestyle hotspot, highlighting the ongoing appetite for information on management rights. Hosted by accommodation software specialist Hirum at their Arundel training facility, the seminar gathers a panel of industry experts to share their extensive experience and answer questions from guests including new and intending building managers. Industry insights will be presented by management rights finance expert,Read More →

I frequently speak with managers who are frustrated by the standard of service offered up by so-called specialists in Management Rights, who in reality, have limited experience and knowledge of this industry and result in unnecessary professional fees and cost blowouts. Existing “industry accreditation programs” appear to me as little more than pay-for-play operations that exist purely to sell magazine advertising, where anyone can be ‘accredited’ if they simply open their chequebook. This doesn’t help our industry, in my opinion, as such we have set out to develop a program that has complete financial independence and is entirely merit based, as measured by the managementRead More →

Contributed By: FNX Finance Group Pty Ltd on

The general tightening of the market we reported upon from June 2017 to January 2018 appears to be have ended and the listings’ for the businesses are now growing again and the time on the market has gone up 10 days to 86 days on average.  In the May18 quarter 73 more businesses came onto the market than the previous quarters.  The multipliers also reduced slightly which have been a result of the market conditions.  Data provided by TheOnSiteManager.com.au ‘On the Market Analysis’ – Market Pulse · The difference in Purchase Price because of the agreement type is; · 92% of all Stock is for sale inRead More →

Contributed By: Calvin Bailey Management Rights on

Calvin Bailey is proud to welcome Alex Barker-Ré on board. Alex joins Calvin Bailey Management Rights with a wealth of management rights experience. Selling Management Rights From 2001 to 2011 Alex represented Venz Management Rights Specialists as their North Queensland Sales Director. Working with one of the largest management rights brokers at the time, Alex was responsible for every aspect of selling management rights. Alex was responsible for selling tens of millions worth of MLR businesses and associated property. An experienced Management Rights Operator From 2001 to date Alex has managed and owned eight different management rights properties, from the Gold Coast to Port Douglas and Cairns. His knowledge of the industry is second to none – having hands on experience of permanent and holiday lettingRead More →