It's No Holiday for Managers; Management Rights Being Undermined

Fraser Coast Chronicle (Hervey Bay, Australia), July 31, 2010 | Go to article overview

It's No Holiday for Managers; Management Rights Being Undermined


Tracey

Joynson

tracey.joynson@frasercoastchronicle.com.au

PEOPLE who buy a unit in a holiday resort then rent it out to permanent tenants are undermining the property's management rights business, according to Andrew Crewe of Delfinos Bay Resort.

He said the industry needed government protection because when units moved from holiday to permanent rental it affected the value of the management rights.

"The more you lose the less your business is worth," Mr Crewe said.

"We're the ones who risk everything, work all the hours to run these complexes and get the people into town but there's nobody really looking after us."

He also believed it was unethical for real estate agents to approach owners offering incentives such as guaranteed six-month permanent rentals because they had not paid for the management rights and were not on-site.

"I don't think it's fair," Mr Crewe said.

He said management rights allowed the resident owner of one of the units to be caretaker of the complex and rent out other units owned by investors.

Mr Crewe said buyers knowingly bought into a holiday complex but when the holiday market was quiet, such as it had been for the past two years, owners were tempted to put in permanent tenants for greater consistency. …

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