Management Rights for Sale

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Management Rights For Sale

Management rights is the industry name for a business arrangement between resident managers of strata titled properties (complexes comprised of units owned by different entities) and a property developer or body corporate made up of unit owners.

Two agreements are key to owning management rights:

A ‘caretaking agreement’ permits a manager (or managers, often a couple) to live in one unit onsite and take care of common areas within the complex, such as swimming pools, tennis courts, stairs, the car park, etc. A base salary and list of responsibilities are included in this agreement with the body corporate.

A ‘letting agreement’ with the body corporate gives a resident manager exclusive rights to let out units in the complex on a commission basis. The nature of commission is often negotiated with each unit owner.
Management rights owners always reside onsite but the nature of their accommodation fluctuates depending on the complex. Some properties offer resident managers a one-bedroom unit and office for day-to-day operations; others may offer a luxury penthouse suite and private elevator.

Each management rights agreement is as unique as its property.

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Hotels for Sale

So you want to buy a hotel?

Hotels come in many shapes and sizes from smaller boutique properties to mid-sized B&Bs, larger multi-facility operations and huge, resort-style enterprises. To become a hotel owner is to invest in real estate as well as a business. There are many things to consider when purchasing a hotel investment.

What to consider when buying a hotel property:

Location: if you build it, will they come? Proximity to tourist hotspots, business hubs, hospitals, universities, etc., will influence bookings.

Competition: how many similar properties are in the area? Point-of-difference is a massive marketing tool and as an independent accommodation provider on social media it is much easier to market something that stands out.

Local business: will your guests have things to do? With Google maps on smartphone speed dial, it is easier than ever for potential guests to research local areas. People are more likely to stay somewhere if they spot a couple of interesting cafes, shops or bars within walking distance.

Development: what’s going on in the next few years? In just five years, a whole town or area can completely change. It’s well-worth checking what planning permissions have gone through; ask the locals about development rumours or upcoming upgrades. Find out if any new shopping areas, parks, schools, restaurants, roads, etc., are on the cards. These could all have an impact on future bookings for better or worse.

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Motel for Sale

So you want to buy a motel?


Motels are uniquely designed to target motorists and have a distinctively low-rise aesthetic. To purchase a motel outright and operate it yourself, would infer a situation known within the industry as ‘Freehold Going Concern’. This method of motel purchasing was particularly popular prior to the 1980s.


Nowadays, in Australia, people can purchase a long-term lease from a motel owner or landlord in a situation referred to as a ‘split’ motel. This motel leasing idea was pioneered in the 1980s by now managing director of Resort Brokers Australia, Ian Crooks.


How long is a motel lease?


The standard length of a lease in a split motel is approximately 30 years, made up of a ten-year baseline, plus multiple five-year extensions. Similar to a management rights agreement, the leasing party usually lives onsite and takes care of daily motel operations.


Who does what?


In both motel models, the landlord owner of the property takes care of all structural lot maintenance repairs. In a split motel, the landlord owner also receives annual rent from the leasing party. The rental agreement may include a review clause but usually increases by CPI each year.


The leasing party in a split motel runs the business side of things, doing all they can to increase profit-by-occupancy. They pay all operating fees and costs, including utilities. The owner becomes a passive investor in this agreement, responsible only for structural land/property maintenance.

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Caravan Park for Sale

So you want to buy a holiday park / Caravan Park?


A holiday park is an umbrella term referring to parks or areas that house caravans, cabins, camp sites and mobile homes for short-term let, permanent use, or a mix of the two.


Holiday parks are increasingly innovating and diversifying their space; not just with powered sites, ‘glamping’ rooms and ensuites but with resort-style facilities and varied services.


What are the purchasing models?


Like motels, holiday parks can be bought outright in an agreement known as ‘Freehold Going Concerns’, or in a ‘Split’ model that involves a long-term managing lease. 

In the freehold model, an owner-operator rules the roost, covering all fees, administration and maintenance as well as marketing, making bookings and keeping all profits.


In the split arrangement, it is the leasing party’s responsibility to operate the park, doing all they can to increase profit-by-occupancy, and pay the owner an annual rent. The rental agreement may include a review clause but usually increases by CPI each year. The owner becomes a passive investor in this agreement, responsible only for structural land/property maintenance. 

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Featured Properties




Net Income: $294,000
Managers Estate: $280,000 3 Bed 2 Bath
Complex Units: 104
Letting Pool: 57
Remuneration: $173,000

Property Bridge
Noosa Boutique Resort

Noosa Boutique Resort

Net Income: $160,500
Managers Estate: $710,000 3 Bed 2 Bath
Complex Units: 12
Letting Pool: 9
Remuneration: $32,452

Australian Resort Management Sales


Price on Application
Net Income: -
Managers Estate: - - Bed - Bath
Complex Units: -
Letting Pool: -

Two Unique Twin Waters Caretaking Rights Opportunity!!

Two Unique Twin Waters Caretaking Rights...

Net Income: $164,000
Managers Estate: $750,000 3 Bed - Bath
Complex Units: 95
Letting Pool: 2
Remuneration: $164,000

RAAS Group


Net Income: $94,000
Managers Estate: $440,000 2 Bed 2 Bath
Complex Units: 33
Letting Pool: 25
Remuneration: $49,000

Property Bridge
Best Leasehold Motel Available

Best Leasehold Motel Available

Leasehold $1,450,000 - Ref ALB103
Net Income: -
Managers Estate: - - Bed - Bath
Complex Units: -
Letting Pool: -


Supplier News


New operators check in to Platinum International

20th March, 2019

The leasehold interest in Toowoomba’s 4.5-star Platinum International Motor Inn, one of the city’s premium accommodation assets, has been sold for the first time since it opened in 2008. [...]

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Bayview Shores: the epitome of grand

by Trish Riley - Editor Resort News 15th March, 2019

Positioned ‘guard-like’ on the waters’ edge of Lands End and towering over an inlet into the picturesque Broadwater, Bayview Shores is as much a part of the history of the Gold Coast as [...]

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Bedding has a limit

by Andrew Morgan 15th March, 2019

Everyone you speak to has a horror story at some time in their life about a motel bed they slept on that was the worst bed they ever had to endure. They had no sleep that night and will never forget [...]

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Property News


ARAMA Launches TOP Awards campaign to celebrate management rights industry

by Trish Riley - Editor Resort News 15th March, 2019

The Australian Resident Accommodation Managers Association (ARAMA) has this month launched its inaugural awards campaign to showcase an industry that generates $55.5 billion to the Australian economy [...]

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Kim Cox: Industry caretaker

by Trish Riley - Editor Resort News 15th March, 2019

One gets the impression when discussing management rights with Kim Cox, that he’s forgotten more than most of us will ever know. Steeped in the industry; historically and currently in his latest [...]

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Eyes wide open: What to look for in a professional RTO

by Dennis Mackenzie - Property Training Australia 15th March, 2019

The strata and property management sectors are widely acknowledged as one of the fastest growing industries in Australia with an insured value in excess of $1-trillion covering 2.6 million lots and [...]

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