by Catherine Langdon - Resort Brokers
20th December, 2018
Jack & Newell sale caps $25m year for RESORTBROKERS FNQ
MANAGEMENT rights to the Jack & Newell Apartments on the Cairns Esplanade have been sold, capping a $25 million year of accommodation property sales in Far North Queensland for specialist agency RESORTBROKERS.
Local brokers Kirsten Lowis and Chenoa Daniel confirmed the Jack & Newell had been sold to Brisbane couple Jodie Lee and Michael Maguire, have relocated to Cairns to operate the prestige apartment resort.
The sale, for an undisclosed price, includes the holiday letting business with 15 apartments in the letting pool, and a two-bedroom, two-bathroom manager’s apartment on the second floor.
“Cairns is really thriving as a tourism powerhouse and these buyers were attracted to the opportunity for business growth that goes hand in hand with a visitor economy that lifted by more than 20 per cent in the 2018 financial year,” Ms Lowis said.
“Occupancy and room rates have strengthened as a result, making it a great time for exiting owners to sell on improved trading figures, while there is still good upside for buyers given the outlook for continued growth.”
Departing Jack & Newell operators Mark and Rata Purdy, who owned the business for three years, are understood to be returning to their home country, New Zealand.
It was the second inner city management rights sold in Cairns by RESORTBROKERS in the past month, with the Reef Gateway holiday apartments in Lake Street recently taken over by local business couple Michael and Vy Forester.
“The Foresters already owned two other hospitality-related inner city businesses, so their purchase of Reef Gateway was a strong indication of the confidence also being shown by locals,” Ms Lowis said.
These latest sales bring RESORTBROKERS’ FNQ 2018 sales tally to 20 accommodation and hospitality property and business sales worth close to $25 million.
“Jack & Newell buyers, Jodie an accountant and Michael a former media executive, had been working with me since August, looking for a business in the tropical north,” she said.
“Within just five days of being alerted about our listing of the Jack & Newell, they flew up and made an offer, excited by the opportunity to own the rights to one of the most prestigious landmark buildings in Cairns.”
Jack & Newell Apartments, built in 2004 by high profile developer Tom Hedley, features luxury one, two and three-bedroom apartments all with stunning views across Trinity Inlet.
Facilities include a well-equipped gymnasium, podium-level resort pool, barbecue area, tour desk and secure onsite parking.
The National Visitor Survey for the year ended Jun 2018 showed Tropical North Queensland welcomed 2.0 million domestic visitors, 13 per cent more than the previous year, who spent $2.3 billion, which was a massive 25.1% increase in annual expenditure.
RESORTBROKERS’ 2018 sales of tourism properties in the region have also included Blue Lagoon Resort, Trinity Beach, Saltwater Luxury Apartments, Port Douglas, Clifton Waters, Clifton Beach and Villas Palm Cove.