Cairns motel fetches $10m
Sydney based Quay Wholesale Fund Services has snapped up the freehold going concern of a modern hotel – outlaying just over $10 million.
Cairns Queens Court traded off-market.
ResortBrokers was the agent – the leasehold and freehold were held separately.
KBC Group acted for the buyer.
The 81-room mid-rise hotel will now be operated by QWFS which holds other Queensland assets including in Cairns, the 55-key Motel Nomads, and in Brisbane.
A revamp is planned as is a rebrand – to its K2 marque.
“Ownership of the freehold going concern provides far more certainty and flexibility for ongoing upgrades and future development of the asset which is a hedge against seasonal fluctuations typical of tourism-drive properties,” KBC executive Kurt Braune said.
“The motel’s solid historical revenue provides a strong base income from which operational savings can be achieved with this property joining our larger network of hotel, making this an appealing investment opportunity for our client,” he added.
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