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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 37 - 48 of 329


644ML - Leasehold Motel Right Out of the Top Drawer!
Exclusive

GUNNEDAHLeasehold $375,000

Motel
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Liquor Licence: -
Restaurant: -

Tourism Brokers
A Perfect Motel Opportunity Not to be Missed!! - 1P4614M
Exclusive

COLACLeasehold $650,000

Motel
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CRE Brokers
2437MF - A FREEHOLD BUSINESS AND A 25% RETURN?
Exclusive

KANIVAFreehold $745,000

Motel
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Tourism Brokers
VERY AFFORDABLE MOTEL LEASE FOR SALE IN WAGGA WAGGA.

WAGGA WAGGA$255,000

Motel
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A B Brokers
1378ML - Leasehold Motel on Tweed River
Exclusive

TWEED HEADSLeasehold - Make Me An Offer

Motel
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Tourism Brokers
1079ML - Corporate Leasehold - A Must to Inspect!
Exclusive

PARKESLeasehold $595,000

Motel
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Tourism Brokers
2519ML - Close to Brisbane Leasehold Motel with Sales on the Up

CABOOLTURELeasehold $895,000

Motel
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Tourism Brokers
Lemonade Creek Cottages - 1P0144M

LORNEFHGC $3,200,000

Motel
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CRE Brokers
Sunshine Coast Freehold Motel
Exclusive

NAMBOUR$1,750,000

Motel
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Liquor Licence: -
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A B Brokers
Suburban Motel Located In The Heart Of Aspley and Gateway to Sandstone Point, Bribie Island, Australia Zoo and the Sunshine Coast - IP4613M
Exclusive

ASPLEYLeasehold $388,000

Motel
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CRE Brokers
GREAT STARTER MOTEL LEASEHOLD IN BRISBANE SHOWING 39% RETURN!
Exclusive

ASCOT$335,000

Motel
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Liquor Licence: -
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A B Brokers
2408ML - Leasehold Opportunity in Good Motel Town
Exclusive

BUNDABERG CENTRALLeasehold $495,000

Motel
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Liquor Licence: -
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Tourism Brokers
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