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Runaway Bay Motor Inn
After three decades of ownership a Tasmanian family is parting with the Runaway Bay Motor Inn, the only 40+ room motel on the Gold Coast.
CBRE’s Hayley Manvell, Taylor Morris and Mark Witheriff will be spearheading the Expressions of Interest process, which is set to close on October 31, 2024 at 4:00pm AEST (unless sold prior).
The Runaway Bay Motor Inn is situated near theme parks, medical facilities and other demand generators, ensuring a diverse clientele.
Situated on a 5,591sqm freehold site, the classic two-storey coastal motel comprises 41 guest rooms, a manager’s residence, reception and office space, a swimming pool, a restaurant, a bar and function area (currently not operational), a guest laundry, and parking for 55 vehicles.
CBRE Hotels’ Director Hayley Manvell said the sale earlier this year of the Bayswater Tweed Motel highlighted the strong demand for coastal motels on the Gold Coast, with that campaign generating 175 enquiries, 27 inspections and 16 offers.
Ms Manvell said, “We expect significant interest in the Runaway Bay Motor Inn from seasoned owner-operators, expanding motel groups, and buyers considering alternative uses such as health, retirement and housing, given the scarcity of freehold accommodation assets on the Gold Coast.”
“Most motels on the Gold Coast have fewer than 20 rooms, are leased out, or are not held in one line. This offering represents the region’s only freehold going concern motel with over 40 rooms.”
According to recent data from the Queensland Statisticians Office, the Gold Coast had an influx of 19,170 new residents from international and interstate locations in the year ending June 30, 2023, bringing the population to 682,490.
CBRE’s Ms Morris said, “Given this continued population growth and increasing investment in the city, Runaway Bay Motor Inn is strategically positioned to benefit from rising accommodation demand.”
“From a tourism perspective, the Gold Coast market continues to benefit from growth in international visitors, while domestic tourism is expected to maintain stable Average Daily Rates (ADR), attracting both local and international holidaymakers. Additionally, the motel is conveniently located within a 30-minute drive of all major venues for the 2032 Gold Coast Olympic & Paralympic Games.”
Ms Morris said the Gold Coast market had also recently embraced the retro-contemporary boutique motel repositioning trend, seen in establishments like Tessa’s on the Beach, The Cheshire Cat Motel, Blue Heron Boutique Motel and the Mysa Hotel.
The Runaway Bay Motor Inn offers a prime opportunity for buyers to continue this trend to refurbish the motel into a boutique hotel offering to deliver superior financial performance,” Ms Morris noted.
