by Rusty Lush
04th May, 2018
A message from the RAAS Group CEO
Turmoil is enveloping Canberra: the banks are under investigation and the next interest rate movement is likely to be upwards.
Yes, things change. Change is inevitable… and so it is with the RAAS Group.
My partner, Mike Butler, and I have finally come to the conclusion that we want to change our lifestyle and slow down a bit in our remaining years. Between the two of us we have given 70 years to the real estate industry and the last 20 years (each) to the management rights industry. After years in all other manner of real estate, we did our MR apprenticeship with Ross Venz, where we gained excellent training and knowledge.
In 2002/2003, the RAAS Group started its growth curve, commencing with just a simple but innovative idea from the first of the Three Amigos, Geoff Glanville! What a ride it has been!
Sixteen years of unbelievable growth, including expansion interstate to WA, VIC, and NSW. Our business model, growing from Geoff’s original idea, was a game-changer in the MR industry! In those 16 years, RAAS has paid millions of dollars’ worth of commissions to on-site managers and more importantly, has assisted them in maintaining their rent roll.
However, time catches up with everyone, and now it is time for both of us to take a seat further back on the bus.
The RAAS Group is in the process of aligning itself with an international company and the new CEO of this joint venture will be Christopher Jones. Chris is currently the managing partner of Savills Gold Coast — one of the largest names in the world of international property. Savills offer global services in residential project marketing, residential brokerage, commercial sales, commercial and residential property management, industrial sales and property advisory services.
This alignment will bring huge benefits to our company, our staff and our clients/customers. This step will give RAAS an international reach and flavour, and RAAS Rights will launch our new partner into the management rights field. A win-win situation all round!
Mike and I are not riding off into the sunset like two worn out old cowboys, but remaining as directors of the joint venture entity, we will always be in the background. However, this time it will be more of an advisory role and the day to day running of the new company will be undertaken by Chris.
It is an exciting time.
Chris has immense experience in all facets of the real estate industry and the continuation of the successful RAAS Management Rights brokerage arm under his control will mean that RAAS will maintain its position as one of the market leaders in this field. He has some great ideas and the future looks good.
Thank you to all those managers that we have worked so closely with over the years and for the many lifelong friends that we have made. It has been a wonderful Journey.
Mike and I would like to wish Chris and his team all the best for the future… all those trusted and familiar faces will still be there, so our well-known attention to service will not change. With the plans and fresh ideas that Chris intends to implement, Mike and I are confident that the RAAS Group - now branded the RAAS Property Group - will surge to even bigger and brighter things in our fascinating industry!
Here’s to the future! Warmest regards and best wishes Rusty Lush
RAAS appoints new CEO and partner
2018 will be an exciting gamechanger for industry preferred supplier RAAS, with the appointment of a new CEO and partner, Christopher Jones.
Starting out in 2002 as a small tight knit group of industry professionals, RAAS is now a major force in the sales of management rights businesses; employing almost 300 sales consultants across Australia. A top promoter of professionalism in management rights industry, RAAS advises and assists onsite managers to buy and sell their businesses.
Despite its growth and success, RAAS has managed to protect its good old fashioned ‘family ethos’ and recently introduced a new family member, Christopher Jones. It should be an exciting ride ahead with Christopher anticipated to implement innovative ideas and new services to RAAS’s client base.
Currently, Christopher is the director and partner of Savills Gold Coast and has delivered more than 25 years’ extensive, international management and marketing experience to his position at Savills and now the RAAS property Group.
He said: “My aim is to implement world-class operational and marketing standards and enhance the customer service offering to the RAAS client base. I thank the founding directors Rusty Lush and Mike Butler for their trust and compliment them for building a remarkable business model.”
Rusty Lush stated: “It is an exciting time. Chris has immense experience in all facets of the real estate industry and the continuation of the RAAS management rights brokerage arm under his control will mean that RAAS will remain in its position as one of the market leaders in its field. He has some great ideas and the future looks good.”
Get to know Christopher:
Are you passionate about the management rights industry? “Yes. I know it is recognised as a preferred property asset by the banks, and it is one of the safest and most rewarding business investments around.”
What makes MR a good investment? “High returns, and relatively safe as the investment is based on the indexed managers salary.”
How does the future of the industry look? “There are a substantial number of new projects under construction and in the pipeline, and the MR model is rapidly expanding interstate.”
From your experience, what makes a good resort manager? “Good communication, high level of customer service, access to experienced support (RAAS Care) strong business acumen and willingness to learn and tolerate the views of multiple personality types.”
What makes a good MR real estate agent? “Intimate Knowledge of the market, a willingness to assist both vendors and buyers, an understanding of body corporate functions , great negotiation skills , perseverance and working in a supportive team.”
What makes your job worthwhile? “I enjoy assisting my colleagues attain a high level of competency that transfers to higher service and capability to our RAAS members.”
Christopher’s top tips for potential new purchasers…
- - Identify a reputable and experienced broker
- - Conduct robust Due diligence
- - Willingness to seek legal and accounting advice
- - Understand your responsibilities to the committee
- - Seek advice only from experienced MR professionals
What are the main pitfalls purchasers should look out for? “Using non-industry advisers.”
When preparing to sell a MR business what should sellers think about? “Employ a reputable and experienced broker, understand the prevailing market and ensure multiples are relevant. Also ensure figures are accurate and up to day (selling P& L)”
What makes a great starter MR business? “Purchase a business suitable to your expected lifestyle, budget, ensure buyer understands the expected lifestyle.”
“Only engage experienced brokers and join organisations with proven track record (e.g. ARAMA) that support your industry and offer strong after purchase service (RAAS CARE).”
Author - Mandy Clarke