Chinese buyers get a slice of Paradise
A CHINESE consortium has swooped on a landmark Gold Coast motel business in Surfers Paradise in a $6 millionplus deal.
The investment group, based out of Guangzhou in southern China, purchased the Paradise Inn Resort at 2828 Gold Coast Hwy off the Barac family, which developed the motel more than 30 years ago.
Property records show the 1590sq m property, which contains a 37-room motel and vacant 80-seat restaurant, sold in April to Abbott International Properties Pty Ltd and settled in June.
Knight Frank’s Donald Watson-Brown, who marketed the property with colleague James Branch, said it was the second purchase in Queensland for the buyers who bought a property in Cairns last year.
“They plan to expand their portfolio targeting similar assets that are going concerns and have future development upside,” he said.
Mr Watson-Brown said the buyers are experienced hospitality operators who plan on renovating and running the Surfers Paradise motel as owner-operators.
Mr Branch said hospitality and tourism assets are less effected by the Chinese Government’s crackdown on outbound investment.
“After recent visits to key Asian markets, we are well aware of the desirability of tourism assets and sites to this market,” he said. “In particular, this asset class is less effected by the Chinese Government’s recent tightening of outward capital flows with tourism investment still broadly permitted.”
Mr Branch said the marketing campaign drew a number of inquiries from both Australian and overseas.
The motel is located in the heart of the city’s tourist strip, between Surfers Paradise and Broadbeach.
The motel comes with a three-bedroom manager’s residence and 32 basement car parks.