Riverside holiday park sale set to make a splash
A holiday park nestled on the banks of the Murray River and touted as one of the best in Australia, is attracting strong interest after hitting the market.
The freehold and business of the 20-hectare Moama Waters Holiday Park , on the New South Wales side of the Victorian/NSW border at Echuca/Moama is for sale. It is being sold via an expression of interest campaign.
CRE Brokers’ director Kevin Connolly, who is handling the sale, described Moama Waters as one of the best holiday parks in Australia but wouldn’t reveal price expectations.
”While it’s only new – being completed in November last year after work across nearly 10 years – it has been growing consistently year-on-year, so has a strong track record,” he said.
The information memorandum being provided to potential buyers states the park’s estimated annual gross income is just over $3 million.
”It’s quite simply one of the best holiday parks I’ve ever set foot in; new and huge, a tremendous facility,” Mr Connolly said.
”There’s three man-made lakes, two resort-style pools, ‘camp kitchens’, a boat ramp, substantial manager’s residence and reception, playgrounds, a flying fox, tennis courts, bike paths and a leased-out licensed riverside restaurant. It’s got absolutely everything you’d want for a family holiday.”
‘Terrific interest’ from investors, families
The sprawling park features a total of 245 sites; 149 powered and ensuite sites for caravans and camping, 26 ‘as-new’ park-owned villas, 70 villas owned by others who pay annual fees and 67 self-storage sheds. The independently owned villas have a current passing rent of $6450 per year each, with annual CPI increases built in.
”Unusually, it’s fully connected to both the town sewer and natural gas too,” Mr Connolly added.
It also has concrete and asphalt internal roads, bore water, river water rights and back-up generators.
Mr Connolly said the property was attracting ”terrific” interest, mainly from ”corporates who will put someone in to manage it and large family groups who will look to manage it themselves”.
Park a key attraction according to expert
The park, which first opened to the public in 2012, gets a steady pipeline of visitors from Echuca/Moama’s reputation as a family holiday destination.
Pre-Covid in 2019, the region had 797,000 domestic overnight visitors a year.
Moama Waters has 26 park-owned villas and 70 owned by others who pay annual fees. Picture: realcommercial.com.au/for-sale
According to the Echuca/Moama and District Tourism Development Association’s 2019/20 annual report, domestic overnight expenditure by visitors was then $388 million while domestic day trip expenditure was $94 million. Total expenditure for the period was $482 million or an average of $1.3 million spent per day.
Tourism industry expert and former Echuca/Moama Tourism chief executive Kathryn Mackenzie described Moama Waters as a key attraction for the region.
“It’s a much-loved holiday park on the banks of the Murray River, with amazing water parks, playgrounds and quality holiday cabins and caravan facilities,” she said.
“It’s a firm favourite and visitors return year after year, enjoying the park facilities, the natural surrounds and the on-site restaurant. It plays a key role in attracting families, couples and events to Echuca/Moama.”
Regional tourism boom key to appeal
Scott O’Neill, founder of buyer’s agent firm Rethink Investing, said the park will likely attract interest from high net-worth and institutional-level investors, generally with a background in tourism-style investments.
“Since Covid has pushed up the prices of airfares, local tourism has been booming. This should give the investor confidence in the holiday park business model for some time,” he said.
“Covid has also given a lot of strength to regional areas in general, as more people have left the city for sea or tree change lifestyles. Although some of this trend has now reversed, there has still been a net benefit for the regional area,” Mr O’Neill said.
Expanses of grass and artificial lakes are natural features of the property, which was only completed in November last year. Picture: realcommercial.com.au/for-sale
He said potential investors would be drawn to the fact the park is new.
“It’s more desirable due to large depreciation benefits and less maintenance to deal with.”
Expressions of interest close on September 22.
DISCLAIMER: The information in this article does not take into account your individual objectives, financial situation or needs. We recommend that you obtain financial, legal and taxation advice before making any decision.