Palm Meadows Gold Coast Trust
The Palm Meadows Gold Coast Trust is seeking to raise $22.2 million to initially acquire 168 rooms (52% ownership) of the 292 hotel rooms at the Mercure Gold Coast Resort.
Highlights:
- Impeccably maintained, 4 star Gold Coast Resort
- Carrara location, the Gold Coast’s sport stadium and golfing hub
- Scale and layout, including two pools, appeals to both guest demographics (conference and family markets)
- $18.2m turnover in calendar year 2025
- Represents great value, well under replacement costs
Project Investment Returns:
- Distributions Commencing in year 2 and projected to average 9.0% p.a. (5 years).
- Total return (IRR) target to investor of 18.0% p.a. (after fees)
Investment Strategy
- Strong existing trade under a HMA with Accor, expiring 2027. Currently, Accor reports to the body corporate manager with no hotels experience, opportunity exists for a single sophisticated owner who can streamline and re-position operations to make the hotel an iconic Gold Coast landmark
- The Trustee will undertake capital works to refurbish the rooms, common areas and install lifts to improve the occupancy and room rate, enhancing returns of the resort
- Trust targeting additional room acquisitions to reach 75% ownership in the body corporate structure