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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.

 

Scroll down to find our current selection of Motels for Sale in Australia.

Showing 25 - 36 of 330


Development Potential Plus! - Coach House Apartments - 1P4134M
Exclusive

LAVINGTONFHGC $1,250,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
Only Motel In Town -  1P0228M

NUMURKAHFHGC $950,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
Newell Motor Inn - 1P3931M

NARRANDERAFHGC $1,250,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
Courthouse Hotel Investment - 1P3790H

JAMIESONInvestment $1,150,000

Hotel, Motel
Net Income: -
Managers Estate: -
Complex Units: -
Letting Pool: -
Remuneration:

CRE Brokers
  • Managers Bedrooms
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2564MF - S.A FREEHOLD GOING CONCERN PRODUCING A 15% PLUS RETURN
Exclusive

MILLICENTFreehold $1,390,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

Tourism Brokers
Mount Beauty Motor Inn  - 1P0026M

MOUNT BEAUTYFHGC $735,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
2567ML - A 72% OCCUPANCY IN THE EAST GIPPSLAND
Exclusive

BAIRNSDALELeasehold $565,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

Tourism Brokers
Impressive Business & Lifestyle Opportunity - 1P4532M
Exclusive

YACKANDANDAHEOI

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
Bradman Motor Inn - 1P4054M

COOTAMUNDRAFHGC $650,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

CRE Brokers
496ML - Money Maker of the Sapphire Coast

EDENLeasehold $485,000

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

Tourism Brokers
4 Star Motel Lease For Sale Qld, new 30 year lease.

DALBYUnder offer

Motel
Restaurant Facilities: -
Liquor Licence: -
Restaurant: -

A B Brokers
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