Gateway Village caravan park changes hands in $8m deal
GRAFTON'S Gateway Village Caravan and Residential Park has sold for $8 million, with new owners looking at potential expansion.
The 13ha parcel of land was bought by a syndicate of private investors, arranged and managed by a subsidiary of Laing & Simmons Wealth Management (LSWM) and the Harvest Property Group, Gateway Lifestyle Residential Parks, in an "off market" transaction.
Harvest director Todd Pepper said the buyers were attracted by the site's semi-rural setting and proximity to the Grafton town centre and transport.
"The acquisition of The Gateway Village continues Harvest's core strategy of acquiring significant parcels of land that have existing income and underlying future development or expansion potential," Mr Pepper said.
"While the park does have additional development potential, our objective right now is simply to enhance what's already there."
The holiday park and manufactured home village has operated as a family business for more then 30 years.
The park has 190 manufactured home, tourist cabin, caravan and camping sites, and a range of facilities including pools, function rooms and recreational areas, with room for further expansion.
LSWM director Bruce Porter said the investors were attracted by the site's strong income and expansion potential.
In a naming coincidence, Gateway Lifestyle Residential Parks, a joint venture between Harvest and Sydney-based director Trent Ottawa, will be appointed to manage the facility on behalf of the investors.
Mr Ottawa said the group would continue to look for similar properties in areas that need affordable housing and show future revenue generating potential.
"The manufactured home park sector, with a secondary tourist income component, have the potential to provide both long-term stable cash flows as well as affordable housing solutions to an aging demographic."
"This park, in particular, provides a high cash-flow business, underpinned by both permanent resident rentals and a consistently high occupancy rate for the short-term accommodation."