23 Nov 2020
Words Chris Herde The Courier Mail
Accommodation operators target regional Queensland’s infrastructure hot spots
The Western Downs and Central Highlands regions of Queensland have emerged as high demand locations for motels and caravan parks with infrastructure and resources investment underpinning confidence.
ResortBrokers has settled or agreed to deals totalling more than $10m over the past two months in Chinchilla and Blackwater.
Managing Director Trudy Crooks said western Queensland remained largely unaffected by COVID-19.
"There are savvy investors looking for accommodation assets that are cash flow positive now, with the added bonus of having the potential to increase revenue in the future because of the infrastructure and resources investment," she said.
"Major infrastructure and resource projects also delivered government and corporate workers who all need somewhere to stay and often their accommodation is needed on a long-term basis which is where the motels and caravan parks come in."
Recent sales include:
- Chinchilla Tourist Park freehold sold for $3.35m;
- Chinchilla Motor Inn freehold sold for $2.6m and leasehold for $465,000;
- Chinchilla Storage Shed freehold sold for $1.4m and;
- Blackwater Central Motel freehold for $2.395m.
According to recent research in the Western Downs region, infrastructure projects worth $7bn have been approved or are underway, generating an estimated 3000 new jobs in construction phases while the Central Highlands is adding gas and renewable energy as major growth industries.
Brett Myers, director of operations or Brisbane-based hotel management company Maico Group, which bought the leasehold to the Chinchilla Motor Inn, said he believed that the Western Downs was "going from strength to strength".
"We were confident that if we found the right motel product, there would be an opportunity to provide a form of accommodation for people," he said.