Coal mine to deliver boost for Far North Queensland

People interested in property and real estate markets in Far North Queensland often ask about the present impact of jobs in the mining sector; after all, Cairns is the closest regional centre on mainland Australia to the burgeoning industry in Papua New Guinea, not to mention a seemingly ideal engineering and manufacturing hub for the booming resource sector in the Oceania-Australiasia region.

The truth of the matter is however that the overall economy in the Far North has benefited relatively very little from the mining industry; in fact, due to the high AU$ throughout recent years as a result of strong mining exports, the Far North has become a less attractive destination to it's traditionally popular international tourist markets. The news below regarding the allocation of 250 positions for tradespeople in the Far North serves more as yet another "vote of confidence" for the future of our recovering local economy.

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FLY-IN FLY-OUT mining jobs worth a combined $40 million are up for grabs for 250 Far Northern tradies as the world's biggest coal exporter spreads the wealth from its huge new projects in central Queensland.

BHP Billiton Mitsubishi Alliance wants a FIFO workforce for its newest Bowen Basin coal mines, and the resources giant has set aside a quarter of the 1000 vacancies exclusively for tradespeople from the Cairns region.

About 14,000 Brisbane- based tradies have already applied for the other 750 jobs, and BMA expects similar interest from the Far North.

The recruitment drive begins today, calling for qualified local tradespeople with or without mining experience.

In return, BMA is promising an "attractive" seven-on seven-off roster at the Daunia or Caval Ridge mines, access to latest technology and equipment, career development, and accommodation in a modern village while away at work.

Mayor Bob Manning said the plan was "visionary" and signalled growing investor confidence.

"Over the past few months there’s been times when I've felt like a rooster missing a few feathers but today I feel like a full-fledged rooster and I feel like crowing quite a bit about this," Cr Manning said.

"This announcement is a major stamp of confidence in this city.

"...It comes on the back of a number of announcements we've had in recent times and these announcements paint a somewhat brighter picture for our region..."

"It comes on the back of a number of announcements we've had in recent times and these announcements paint a somewhat brighter picture for our region.

"It sends the message that we’re back from lunch."

BMA's asset president Stephen Dumble said the successful Far Northern applicants would bring about $40 million in wages straight from the coal mine back to their home city.

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"And importantly it will create a number of other economic spin-offs that will take that total economic contribution to in excess of $60 million a year, through the services that will be required to support the jobs and the families of the employees – areas like housing and retail," Mr Dumble said. In an example of the indirect benefits of the extra jobs, BMA will have to charter about four more flights from Cairns Airport a week to ferry the staff to and from their new workplaces in central Queensland.

BMA is the state's biggest regional employer, with about 10,000 mining workers currently based in central Queensland. But a shortage of skilled workers in those traditional mining towns means the company is now looking to the far north and southeast of the state for staff.

Tropical North Queensland TAFE institute director Joann Pyne said the region was well placed to fill the vacancies, with growing numbers of students in mining-related courses.

"We've got a lot of people in the region who have spent the last few years really skilling up," Ms Pyne said.

"We find in times of unemployment, people spend a lot of time and energy making themselves very skilled so they’re in a prime position now."

TNQT will work closely with the mining giant to fashion courses around the job vacancies.

Mr Dumble said the new roles would commence midyear and applications were being taken now.

"We are looking for a combination of work- ready employees and new coal industry recruits for operator trades and processing roles," Mr Dumble said.

Article printed by the Cairns Post - 21st February 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

32 Hectare Business & Industrial Park Approved

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A SPRAWLING business and industrial park will soon rise from a cane paddock at Edmonton after a local third-generation farming family won their four-year legal battle over the plans. 

Pregno Family Investments has been tied up in the Cairns Planning and Environment Court since March 2009, appealing against the council's rejection of their proposed 32.2ha development.

But all seven development applications for the land along the southern corridor were finally given the green light by Judge Bill Everson last week and the Pregno group is now focused on the first stage of the development.

"It's a great relief," Pregno spokeswoman Meredith Gardiner said.

"It was very frustrating at times over the last four years."

“But now the council is working with us and it’s exactly what Cairns needs,” she said.

The Edmonton Busienss and Industry Park will occupy a 212ha cane farm east of the Bruce Highway at Edmonton. It is the biggest proposed Greenfield development in Queensland outside of the southeast.

Pregno expects about 4000 jobs to be created during the project and the tendering process will favour local contractors, Ms Gardiner said.

It will be built in six stages over about 20 years, eventually including a 250-bed hospital, several showrooms, business and technology parks, a homemaker centre and tavern, and district-level sporting fields.

The plans also dedicate 42ha along Blackfellow Creek to community and recreational uses such as barbeques and parklands.

Works permits for the first stage of construction could be granted as soon as June and a start by August.

Ms Gardiner said interest from prospective tenants was promising, and the project would complement other huge developments in the pipeline south of Cairns such as the Edmonton Town Centre, to be built on Mann Farm. The area’s councillor, John Schilling, believes the Edmonton Business and Industry Park will meet the growing needs of businesses in the area, which is tipped for a population boom during the coming decades.

“Edmonton is a fast-growing suburb and the demand for improved business and community facilities is increasing,” Cr Schilling said.

“It has been a long process but the end result will be beneficial for, especially the residents.”

Article printed by The Cairns Post - 4th February 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Launching some extra Magic in Cairns

Not a news item specifically relevant to property markets however I felt it important to note the general improvement in business confidence currently experienced within the tourism industry in the Far North...

AN experienced Great Barrier Reef operator today launches a new $3.5 million catamaran on the back of an imminent turnaround in tourism.

Director Tim North (front) and marketing manager Jeff
Cameron-Smith show off their new vessel.

Tim North of Reef Magic Cruises said there was "a feel-good factor" in Cairns.

He said he planned months ago to buy and refurbish the 32m vesselbecause he knew the good times were returning.

"The Cairns economy is picking up, tourism is picking up," Mr North said. "When tourism is going right you have to be ready for it, not when it arrives."

Mr North said he had "a gut feeling" that the industry was on the rebound so refinanced and borrowed money to expand.

"I believe we now have the two best 30m cats in Cairns."

Mr North, who has 30 years' experience on the Reef and has owned Reef Magic Cruises for 16 years, said Reef Magic III would be used primarily for daily Reef trips while the existing Reef Magic II would be for charters.

He said charters provided a growth area. The boat was surveyed to travel 320km off the coast and anywhere in Australia. Charters included weddings, conferences, cruise ship transfers and film shoots.

"I've got a feeling I'll be doing four or five charters a week," Mr North said.

"We did 30 cruise ship transfers last year and we do quite bit of film shooting, such as Sea Patrol.

"...We're on the up, now's the time to move..."

"I've had an inquiry for an 18-week film shoot. We're on the up, now's the time to move."

Reef Magic III was previously Fantasea Wonder in the Whitsundays and has 350 seats split over three levels with a maximum daily loading of 200 passengers.

It is powered by two diesel engines generating 1107kW and cruises comfortably at up to 24 knots.

Direct from Cairns it will reach the company's Marine World outer Reef pontoon in under 90 minutes.

Reef Magic II was built in Brisbane in 2007 and cost $5.5m and will be completely re-powered with state of the art Caterpillar engines and the on-board layout, facilities and water access points modified to become a self-sufficient outer Reef day charter vessel.

Article printed by The Cairns Post - 30th January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

The Cairns Post: Brighter Outlook Propels Far North

THE Far North's economy has had a great start to the year, the latest CairnsWatch report says.

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Report author Rick Carr of Herron Todd White said the economic recovery "gained further momentum over the last month with most key indicators showing accelerated improvement".

"All is not yet rosy in the economy, but the progress made has been significant," he said.

Mr Carr said there had been gains in the key areas of employment, airport passenger numbers and building approvals.

He said the number of people in jobs rose by 4900 in December to a record high of 145,200.

"This continued the strong run of employment growth that took place during 2012," Mr Carr said.

Passenger numbers through Cairns Airport's domestic terminal "continues to achieve record highs" while they were also rising at the international terminal boosted by new services from China, he said.

Click to download current and past 
CairnsWatch reports

Mr Carr said average tourist accommodation occupancy continued to rise during the latest quarter to reach 66.7 per cent in September 2012 compared with 63.1 per cent in September 2011 and average room rates improved to about $125 per night, and $155 at Port Douglas.

"Building approval numbers have recovered significantly during 2012, with a 38.6 per cent increase in the number of houses approved from January to November 2012 compared to the same period of 2011," he said.

Cairns Chamber of Commerce chief executive officer Deb Hancock said Cairns was on course for a successful 2013.

"The growth of 4900 jobs since November shows that general business confidence is growing," she said. 

"Business owners should look to the future with confidence given that there are a number of positive economic indicators all aligning to support a positive trajectory for 2013."

"Business owners should look to the future with confidence given that there are a number of positive economic indicators all aligning to support a positive trajectory for 2013."

Chamber of Commerce and Industry Queensland Far Northern chairman Brett Moller said the report allowed the business community to be "cautiously optimistic".

"While recent council and State Government announcements and commitments to reboot our economy are very welcomed we need investment from the private sector to sustain our economy and the environment to encourage that investment is slowly returning."

Article printed by The Cairns Weekend Post - 2nd February 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Accommodation Occupancy Rates Best in Five Years

Throughout recent months I have had this statement affirmed to me by many local complex managers; all claiming to have had their best previous 12-month period since the GFC. I am told by most managers that since 2010 each year has shown a marked improvement in trend occupancy rates in turn positively influencing the nightly room rates achieved. This is welcomed news for many owners of holiday apartments who have been hit with a double-edged sword following the GFC with decreased returns and also increased expenses almost exclusively associated with rising strata-title insurance levies.

HOTELIERS in the Far North have had their best three months of occupancy rates in five years.

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The latest edition of the Tourism and Transport Forum-HOSTPLUS National Accommodation Barometer shows continuing strong demand for accommodation in Australia.

Forum chief executive John Lee said the industry was benefiting from the relatively strong Australian economy and popularity of short breaks.

“Demand for accommodation in our capitals, along with the Gold Coast and Cairns, is very strong at 81.3 per cent for the September quarter, on par with the same period in 2011,” he said.

“Pleasingly, Cairns saw an occupancy rate of 76.6 per cent for the quarter.

“Port Douglas saw very strong revenue per available room growth compared with the September 2011 quarter.”

Accor’s Cairns hotels finished last year with an average occupancy for its city hotels of 80.1 per cent, up more than 1 percentage point on 2011 and almost 9 percentage points ahead of the overall Cairns market.

A stand-out performed for the group was the Pullman Reef Hotel Casino, which achieved its highest occupancy on record, averaged 84 per cent for the year.

Pullman Reef Hotel Casino general manager Wayne Reynolds said the strength of occupancy last year augured well for this year.

“...We saw an increase in meetings and conferences, along with growth in domestic leisure and inbound business, particularly from China...”

“Pleasingly, we saw an increase in meetings and conferences, along with growth in domestic leisure and inbound business, particularly from China,” he said.

Article printed in The Cairns Post – 31st January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Building industry showing recovery

The construction industry is preparing for a much rosier year after the latest housing approval figures show a 25 per cent jump in the Far North.

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Builders say the figures show their sector is recovering following a prolonged slump that led to the collapse of major developers such as the Hedley Group, CEC and Glencorp.

Master Builders regional chairman Ron Bannah said: “There’s been pockets of really good work out there.

“It can only get better. I believe we started to see a turn around two to three months ago.

“Builders appear to be busy. Many are doing estimates and quotes.

“One builder told me on December 14 that he had seven contracts in the new year while another said he was not taking the three weeks off during Christmas and the New Year, that he was working through.”

In the 11 months to November last year there were 919 housing approvals, up 181 on the 738 in the previous period. In Cairns the figures were up 38.5 per cent, a 118 increase from 306 to 424. Approvals in Cairns in November last year were up 64 per cent from 31 to 48 compared to November, 2011 and in the Far North by 6 per cent from 66 to 70.

Local builders such as Steve Slatyer say the last few years have been tough for the industry, but the increase in building approvals spells good tidings.

“It’s been a tough few years. It’s been steady, but on the quiet side of steady, just ticking over,” he said.

“More building approvals are a good sign – it means confidence is returning.”

Mr Bannah said he tried to organise a bus to take builders to Townsville to inspect a cyclone testing station at James Cook University and of the 30 he contacted none were available because they were “flat strap”.

“We haven’t seen this for the past three to four years. I hope it’s going to start to ramp up and all the indicators are that it’s going to.

“It’s never been cheaper to build because the interest rates are so low.”

Herron Todd White Cairns research director Rick Carr said there were new houses being built but still not units.

He said the growing population and low rental vacancy rates were “encouraging people to build.”

Mr Carr said investors remained quiet and it was still cheaper to buy existing homes.

“Some people are opting to build. Twelve months ago I would have said not many. It’s not back to robust conditions but the balance is gradually tipping.”

Austart Homes owner Phil Matthews said he remained optimistic.

“It’s still pretty tough. Building will grow in the next 12 months but not double. We are a long way from what it used to be.

“There won’t be any parties this year. It will be a tough year and only the switched-on builders will roll along.”

He said dropping the water tank requirements would save buyers $7,000-$8,000 which would make a difference.

Article printed in The Cairns Post – 18^th January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Palm Cove Resort Joins Exclusive Brand

PALM Cove will be the first, and possibly the only, Queensland location of the Accor hotel group’s upmarket and exclusive MGallery brand.

The Reef House and Spa Palm Cove

The Reef House Resort and Spa will be rebranded next month.

It was previous managed by or branded Rydges and Sebel.

There are only five other MGallery hotels in Australia, and fewer than 60 globally.

After undergoing a refurbishment, believed to cost about $2.7 million, the hotel will join Accor’s MGallery Collection on February 22.

Built as a family home in 1958, the 69-room resort is on the beachfront overlooking the Coral Sea.

The resort is owned by hoteliers David Horbelt and Malcolm Bean, who have other interests in Adelaide and Melbourne. They bought the property in February 2011.

Accor Pacific chief operating officer Simon McGrath said the Palm Cove hotel was joining a boutique network of “unique personalities, premier locations and highly distinctive architecture, interior design and services”.

He said Accor now had three luxury resorts in Palm Cove and more than 10 hotels in the region.

“Reef House Resort and Spa has long been one of the stand-out properties in north Queensland,” Mr McGrath said.

“It has such a great history and we’re thrilled to be taking on the management rights.

“The MGallery Collection, which is all about boutique high-end hotels with unique stories, resonates particularly well with Reef House Resort and Spa and we are excited to see the hotel flourish under its new, internationally recognised name.”

Brett Skinner, who has worked for Accor for nine years, has been appointed general manager.

The property has three swimming pools and 300-year-old melaleuca trees.

Rooms have king-size beds with light muslin netting, private balconies or patios, a kitchenette, individually controlled air-conditioning, rain showers, a swinging “love seat” and free Wi-Fi.

Mr McGrath said the resort was a world-renowned network of hotels, including The Como Melbourne, the Grand Hotel Melbourne, Hotel Lindrum (Melbourne), Harbour Rocks Hotel in Sydney and the Fairmont Resort in the Blue Mountains as well as the St Moritz in Queenstown, the Baltimore in Paris, St-Ermin’s in London, The Convient Hotel Amsterdam and Vie Hotel Bangkok.

Article printed in The Cairns Post – 26^th January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Cairns Post: China Mulls Stronger Ties

Growing optimism is certainly evident within the local tourism industry in Cairns; Far North Queensland recently became the fastest growing region in Australia for Chinese travellers as a result of several major airlines commencing direct services. With rapid growth in visitors expected to continue throughout coming years the Chinese will place serious consideration into the establishment of a consulate in Cairns, just as the Japanese government did throughout the tourist boom in the 90's.

THE Chinese Government will consider establishing a consulate in Cairns after a call from business and tourism leaders.

The move comes as a second Chinese airline, China Southern, begins trial flights bringing travellers to the region tomorrow for the start of the Chinese New Year.

About 20,000 travellers are expected on the China Southern flights from Guangzhou as well as seven charters, China Eastern’s three-a-week services from Shanghai, Cathay Pacific’s daily flights from Hong Kong and on domestic flights from southern ports.

While a Canberra embassy spokeswoman said the Government believed its Brisbane-based consulate-general was capable of providing their citizens with consular assistance, it would be willing to discuss the suggestion.

“The consulate-general has provided effective consular protection and assistance to events involving Chinese citizens since the establishment (in Brisbane) and it is willing to further strengthen co-operation with the local authorities in Cairns in the future to provide Chinese citizens with a more convenient and timely consular assistance,” she said.

Advance Cairns chairman
Cam Charlton 

Advance Cairns chairman Cam Charlton said he was pleased with the response.

“They have left the door open… they haven’t said yes, they haven’t said no,” he said.

Mr Charlton said the embassy appeared to be watching developments in the Far North.

“Obviously they are keeping an eye on Cairns with the significant increase in the number of Chinese visitors,” he said.

Mr Charlton said the Japanese established a consulate in 1997 after their residents started flocking to the region in the 1980s and ‘90s.

A Cairns Chinese consulate would service the needs of their citizens as well as investment and business interests, he said.

Mr Charlton said a consulate would make the visa process easier for holidaymakers and business people travelling to China from Cairns.

It would also help “build and sustain” the direct flights by China Eastern and the soon-to-start trial services by China Southern, he said.

Mr Charlton said once Advance Cairns finalised its China Business Engagement and Investment Strategy it would meet Chinese consular officials in the next few months.

The Far North is the fastest-growing region in Australia for Chinese travellers with 110,000 a year, on target to reach 200,000 by 2015.

The Far North is the fastest-growing region in Australia for Chinese travellers with 110,000 a year, on target to reach 200,000 by 2015.

The Japanese have had a consulate in Cairns for 15 years, The British, Germans, Austrians, Swedish and Italians also have consular representatives based in the city.

Article printed in The Cairns Post – 29th January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Palmer on course to set region swinging

MINING giant Clive Palmer has revealed big plans for his latest golf course at Port Douglas, including employing more staff.

The former Sea Temple golf course is to be renamed Palmer Sea Reef and becomes the fourth course in his Palmer Golf portfolio.

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The billionaire bought the 6125m, par 71 course, clubhouse, bar, pro golf shop and 44 residential lots from the troubled Juniper Group for about $7 million in November last year.

Palmer Golf managing director Angie Ison said the acquisition would "prove to be a shot in the arm for the region".

She said they hoped to retain most staff and "create more jobs" for functions, lunches, weddings and other activities at the clubhouse.

Mrs Ison said a management agreement with the Accor hotel group ended next month.

She said the company would be using its clout with the three other courses on the Sunshine and Gold Coasts to market the region.

"We are already looking at ways of strengthening the course's position in the marketplace and investigating the possibility of hosting tournaments at Palmer Sea Reef, which will be very exciting for everyone," Mrs Ison said.

She said residents would be encouraged to play golf and join the club as part of the plans to be "an integral part of the local community as well as attracting tourists".

Membership would include the other three courses and it was hoped to keep course fees about the same, Mrs Ison said.

She said marketing and selling the 44 premium residential housing allotments lining the course would start soon.

Mrs Ison said Palmer Golf needed to highlight that the course designed by Thomson, Wolveridge and Perret was the only tropical links course in the world.

Port Douglas Chamber of Commerce president Phoebe Kitto said it was encouraging to see new and private investment in the town.

"Clive Palmer doesn't do anything lightly and I do believe he does see the potential of Port Douglas," she said.

"Clive Palmer doesn't do anything lightly and I do believe he does see the potential of Port Douglas"

She said Port Douglas was ideal for people from the south to play golf during the winter.

"But we still have a lot more to do to attract more and the right investments," Ms Kitto said.

She said Mr Palmer hoped to speak at a chamber lunch in March.

Article printed in The Cairns Post - 17th January 2013

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Chinese Businessman Buys Double Island Resort

Two recent large-scale commercial purchases are the talk of local business in Cairns at present; the first was mining magnate Clive Palmer's purchase of the Sea Temple Golf and Country Club at Port Douglas, and the second purchase by Chinese businessman Benny Wu based in Hong Kong of the Double Island Resort in Palm Cove. With commercial property values so affordable and light on the horizon for the local tourism industry these are likely to be the first of many large-scale acquisitions to come. Article text follows:

Double Island, Palm Cove

HONG Kong-based multi-millionaire Chinese businessman Benny Wu has bought luxurious Double Island resort near Cairns.

The former mining magnate told The Cairns Post he planned to spend $10 million developing and upgrading the resort to host wealthy Chinese holidaymakers and businessmen.

The deal with current owner, Sydney developer Sean Howard, was signed last night and witnessed by Cairns Mayor Bob Manning at the Kewarra Beach Resort, also owned by Mr Howard.

The price was not disclosed but the island was on the market for $8 million. Mr Howard paid $4.5 million for the island in 2000.

The purchase comes just a day after The Cairns Post revealed billionaire miner Clive Palmer had bought the Sea Temple Golf and Country Club at Port Douglas for about $7 million.

Double Island has a mix of accommodation, including Polynesian-style villas, luxury apartments and eco-tents all set amongst landscaped tropical gardens. The resort includes a beachside gymnasium, reportedly built for Keanu Reeves when the actor leased the island while filming The Matrix Reloaded.

Mr Wu said he "liked the island" and decided to buy it over lunch with Mr Howard about a year ago.

He intends to target "the very top end of the market" and fly in "very rich" holidaymakers and businessmen from Hong Kong, Shanghai, Beijing, Guangzhou and other emerging cities in China using the direct Shanghai service by China Eastern, proposed direct Guangzhou flights by China Southern and Cathy Pacific's Hong Kong service.

Mr Wu said he wanted to create an exclusive "private club" and encourage corporations to hold meetings on the island.

Article printed by The Cairns Post - 8th November 2012
Writer: Nick Dalton

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

The Cairns Post: Things Are Looking Up

Rob Gaison, the chief executive officer of Tourism Tropical North Queensland, recently took the opportunity to write to the Cairns Post highlighting his confidence that the local tourism industry has finally "turned a corner". His following article provides a timely account for the past, present and future outlook for local tourism including good reason for his renewed positivity following particularly difficult recent times experienced by Cairns' most valuable industry.

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The total solar eclipse crossing Far North Queensland today is the icing on the cake for our region.

We have has the best tourism season since the global financial crisis decimated the number of travellers worldwide and, happily, the strong visitor figures are continuing into our shoulder season.

With an estimated 60,000 visitors in tropical North Queensland for the once-in-a-lifetime experience of the moon blacking out the sun, more than 20 million people logging onto live broadcasts of the event and the surrounding publicity, we are centre stage before a whole new audience.

Never before have so many eyes been upon us, so we have grasped this opportunity that nature has presented us to remind both old friends and new travellers that centre stage is where we should be.

Far North Queensland offers many once-in-a-lifetime experiences. We have the world’s largest reef and oldest tropical rainforest.

We are the only place where two World Heritage areas are side by side and there are more than 650 daily touring options to explore these natural wonders.

Higher visitor numbers will bring a renewed interest in redeveloping attractions and building new infrastructure. Just last week Double Island and the Sea Temple Golf and Country Club at Port Douglas sold.

"It is no coincidence that this investment comes on the back of renewed optimism in tourism."

It is no coincidence that this investment comes on the back of renewed optimism in tourism.

Tourism is the economic driver of this region, generating seven million export dollars a day, employing 32,000 people and, importantly, introducing business and lifestyle opportunities to a new audience.

Tourism Tropical North Queensland has set bold goals, but our strategy to increase the value of tourism to our region by $1 billion to $3.2 billion in 2015 is on track.

Our marketing push has been enhanced by the State Government’s new direction of destinational funding and acknowledgement of regional tourism organisations.

We have been buoyed by the start of direct flights from China last month which are poised to take us towards our goal of 200,000 Chinese visitors by 2015.

The October CairnsWatch report further justifies the positive outlook for our economy.

Domestic airport arrivals increased by 7.7 per cent in the year to September and accommodation occupancy rose during the last quarter to 65.3 per cent.

Our strategy to diversify tourism into areas such as sporting events is paying dividends with the success of the Cairns Ironman boosting visitor numbers and 22 more events, including the Inaugural Great Barrier Reef Masters Games, poised to inject millions of dollars into the region.

The good times will not be fleeting. We are counting down to Chinese New Year, another peak period of demand.

In between, and beyond, our 2015 goals are firmly in mind with co-ordinated campaigns in key markets such as Japan where we are seeing growth.

Events such as Corroboree in May next year, which brings 300 Australian specialists to Cairns from Europe and the UK, will supercharge awareness of our region into the future.

A determined focus, hard work and nature’s helping hand have brought out the best in Tropical North Queensland.

Article published by The Cairns Post - 14th November 2012

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

Clive Palmer Buys Port Douglas Resort & Golf Course

BILLIONAIRE miner Clive Palmer has bought the Sea Temple Golf and Country Club at Port Douglas for about $7 million.

Clive Palmer - Australian Mining Magnate

He told The Cairns Post he made the "unconditional" deal last Friday after making an aerial inspection by helicopter on Thursday.

It is his first investment in the Far North and at Port Douglas.

Sea Temple golf was owned by the Juniper Group and has been on the market for a year. Mr Palmer said at this stage he was unlikely to buy any more properties in the Far North.

The deal includes the award-winning 18-hole golf course, of 6125m, par 71 and designed by Thomson, Wolveridge and Perret, a housing estate development with 45 premium home sites fronting the golf course, averaging 820sq m and existing development approval for an additional 10 fairway lots, averaging 1333sqm.

Aerial view of Port Douglas

"I like golf courses but I am not a very good golfer," Mr Palmer said.

He said he had no immediate plans for the golf course and the surrounding residential land.

"I haven't decided but I am happy for it to continue as a golf course."

Mr Palmer said he had personally bought the course, not his company which owns three other courses on the Sunshine and Gold coasts Port Douglas Chamber of Commerce president Phoebe Kitto said it was the best news for the seaside resort town.

"It's the sign of greater things to come," she said.

"It comes after a good season and the eclipse is looking good. There's a real good positive feel and businesses are feverishly working together."

Ms Kitto said it was now up to the Cairns Regional Council to back up private investment in town with the Port Douglas waterfront plan as soon as possible.

CBRE Hotels Queensland director Wayne Bunz, who negotiated the deal, said the contract was unconditional with settlement in 30 days.

He said it was an "astute investment" by Mr Palmer.

"Clive Palmer does not overpay for anything. He has seen the incredible value in the future," Mr Bunz said.
"It's proved to be a very smart investment," he said.

"He's paid substantially below replacement value. Clive Palmer has always had a good eye for good assets," he said.

Mr Bunz said golf courses usually cost $1 million a hole plus the cost of land.

"This is a huge boost for Port Douglas," he said.

Mr Bunz said Mr Palmer had recognised the value of tourism properties in north Queensland which boded well for the region's future.

"In the next 12 to 18 months I see an increase in transactions in north Queensland," he said.
Mr Bunz said he believed the region's economy had reached the bottom.

Tourism pioneer John Morris, who developed the course in the late 1990s, said he was "delighted" that Mr Palmer was the new owner.

"It is a great result and as I understand he has no plans to develop the golf range," he said.
Mr Morris said Mr Palmer was buying a course that was in "great shape".

"It's an excellent buy it's forward thinking," he said.

Mr Morris said it would be impossible to buy the land and build an 18-hole course for the money Mr Palmer paid.

Chamber of Commerce and Industry Queensland's Far Northern chairman Brett Moller said it was "a positive sign for our future".

"Port Douglas as a destination certainly needs investment like this and Clive Palmer is a significant property and development investor,'' he said.

It is understood other interest in the golf course included Sheraton Mirage owner David Marriner, who considered buying the course to amalgamate with the resort's links, a Far North syndicate and Chinese investors.

Article printed by The Cairns Post - November 7th 2012

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

China Boom Good for Far North's Economy

Just a quick post to update on a "hot topic" in the Far North at present - the recent introduction of direct flights from China. As someone on the ground speaking with buyers each day this topic comes up in every conversation involving the outlook for the local economy and property markets. And for good reason; the largest industry in Cairns is tourism with agriculture worth only half that in total gross domestic product. Needless to say when international conditions deteriorated post-GFC the economy in Cairns suffered - for better or worse, tourism is our life-blood.

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With further direct flights from China now confirmed by Cathay Pacific Airlines the extent to which Cairns is able to take advantage of this emerging international market is of increasing speculation. Without doubt there will be further news to come!

China boom is good fortune for Far North's tourism industry
Article printed by The Cairns Post 6th September 2012

THE number of Chinese travelling to the Far North is expected to double to nearly 190,000 a year within 12 months of three new services coming on stream from next month.

That’s the prediction of Cairns Airport chief executive officer Kevin Brown after Cathay Pacific Airlines yesterday announced changes to its arrival and departure times from Hong Kong to link to its flights from mainland China.

It comes as Chinese visitor numbers to the Far North continue to soar with the latest figures showing a 27 per cent jump on 2011 figures to 94,000 in the year ended June 30.

China Eastern flights arrive from Shanghai in October, China Southern flights from Guangzhou in December and the changes in Cathay’s daily schedule to connect with flights from Shanghai, Beijing, Guangzhou and other cities are from November.

Mr Brown said he expected the 3500 seats a week to be full.

"Passenger numbers could double within a 12-month period."

"Passenger numbers could double within a 12-month period," he said.

Mr Brown said the airport would be working with key organisations such as Advance Cairns, the chamber of commerce, Tourism Tropical North Queensland, James Cook University and the convention centre to ensure the success of the trial flights, to make them permanent, increase the frequency and to enhance the Cathay services.

"It’s not just tourism, but business, corporate, education and academia travel as well," he said.

Cathay’s Queensland business development manager Howard Field said the airline’s changes were to ensure smooth connection to flights between Hong Kong and eight cities in China and to prevent overnight stays in Hong Kong.

"We expect Chinese numbers to grow by 25 per cent," he said.

Tourism Tropical North Queensland chief executive officer Rob Giason said the flights meant the Far North was on target to reach 200,000 Chinese holidaymakers visiting the region by 2015. "But that could very well accelerate," he said.

Mr Giason said as well as the direct flights the industry expected to maintain the high numbers coming to Cairns from other cities such as Brisbane and Sydney.

According to Tourism Research Australia’s international visitor survey overall international visitors were down 6 per cent to 616,000 while spending was up $35 million to $800 million.

Cairns is the third most popular destination in Queensland for the Chinese after the Gold Coast (412,000, up 18 per cent) and Brisbane (109,000, up 35 per cent).

The survey also found the number of Japanese visitors was 87,000 (down 11 per cent), the UK 76,000 (18 per cent), the US 75,000 (down 1 per cent), NZ 44,000 (up 19 per cent) and Germany 41,000 (down 13 per cent).

Mr Brown said he treated the IVS figures, particularly Japan and Europe, with "a degree of caution".

"I don’t think they are as bad as that. I deal with actual passenger numbers not sample survey sizes," he said.

Mr Brown said he believed the Japanese figures were far better.

"I’ve been speaking to many tourism operators who have said they haven’t seen so many Japanese in a long time. It’s still a very strong market."

Peter Musso licensed real estate agent at Ray White Smithfield selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica, Kamerunga and surrounds.

China Eastern Airlines to start direct flights to Cairns

Earlier this year I posted an article published by The Age which highlighted the expectation of local tourism business leaders toward China providing the next boost to Far North Queensland's economy. The biggest hurdle to this was cited as the introduction of direct flights from the People's Republic... Now it's official!

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THE number of Chinese tourists travelling to the Far North is expected to soar with the first direct flights from the world's most populated country starting in less than three months.

More than 36,000 Chinese travellers will be able to fly non-stop from Shanghai to Cairns each year on the China Eastern Airlines flights three times a week with services beginning in October.

The flights, which The Cairns Post revealed last week, will inject an estimated $35 million a year into the economy.

Queensland Treasurer Tim Nicholls and Tourism Minister Jann Stuckey will meet China Eastern executives in Shanghai today.

Ms Stuckey will sign a co-operative letter of intent with the carrier’s marketing officer Dong Bo.

Mr Nicholls welcomed the announcement, saying the flights would bring more than 700 Chinese visitors to Cairns each week.

"The number of Chinese visitors to Queensland increased by 16 per cent in the 12 months to March this year, injecting $403 million into the Queensland economy," he said.

"Tourism is one of the four pillars of the Queensland economy and aviation access is vital to helping us achieve our target of doubling overnight visitor expenditure to $30 billion by 2020."

Ms Stuckey said the deal was struck using the Newman Government’s $8 million Attracting Aviation Investment Fund.

"Today’s announcement is great news, not only for our north Queensland tourism operators who did it tough after cyclone Yasi, but also for the whole state," she said.

"These flights will reduce the time Chinese tourists have to spend in transit, enabling them to spend more time and money visiting the world-renowned Great Barrier Reef."

"China Eastern is one of China’s largest and most valued airlines and we welcome them to Queensland with open arms."

Mr Dong said the new route offered mainland Chinese new access to Australia.

"Cairns as a major city in north Queensland serves as a gateway to numerous tourist sites throughout the country," he said.

Cairns Airport chief executive officer Kevin Brown said the services would have an "enormous impact" on tourism.

"After several years of successfully operating Chinese New Year charter flights to Cairns from Shanghai, it’s very exciting that China Eastern is now introducing a scheduled service," he said.

"It will help strengthen Cairns’ position as the Asian gateway to Australia."

China is the region’s fastest growing source of holidaymakers, overtaking Japan in the year to March 31.

Article printed by The Cairns Post - 20th July 2012
Writer: Nick Dalton

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.

Cairns Post - Rental Squeeze Hits the Pocket

SECURING a rental property in Cairns is becoming even more competitive, the latest real estate industry figures say.

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The Real Estate Institute of Queensland released the June quarter residential rental vacancy yesterday showing Cairns rentals are still in high demand.

The vacancy rate is 1.9 percent, dropping from 2.5 percent in the March quarter, the report found.

REIQ chief executive Anton Kardash said property managers were reporting tighter rental conditions because of low investor activity.

He said rental stock was also depleted because of investors selling their properties and landlords choosing to live in their own investment properties.

"The first three months of the year are generally the busiest in the Queensland rental cycle so we see vacancy rates particularly low during this period of time," he said.

Local real estate agent Debbie Aldred said rental prices would continue to rise because of increased demand.

"The unit vacancy rate is dropping quite rapidly," she said.

"The problem is there has been no building in the last five years and there are still plenty of people coming into town."

"It's quite a problem, we desperately need more houses to rent," she said.

Ms Aldred said rental arrears has also increased with some tenants unable to afford the increases.

Article printed by The Cairns Post - 21st July 2012
Writer: Bianca Keegan

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.

Building Approvals Continue to Rise

The Cairns Post - 'Signs our recovery on target'
CAIRNS building approvals have taken another giant leap this month, but a local industry figure warned it was not quite time to pop the champagne cork.

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Figures released yesterday showed the number of residential building approvals in the Far North had sky-rocketed almost 75 percent in the past month, the third highest figure around the state.

But Dixon Homes managing director Andrew Thomas said the results were more indicative of the market three months ago, not the present climate.

"I was excited three months ago, I'm not so excited now," he said.

"(But) I'm optimistic. With the low vacancy rates, overall the economy seems to be growing, there are reasonable tourism levels and there's been a change of government - people have a lot more confidence in the new government."

However, Master Builders regional manager Ron Bannah said he hoped the figures were a sign of the continuing recovery of the industry in the Far North.

"I think it's fair to say there's more and more confidence coming back," he said.

"I think we're starting to get some confidence in the banks."

"The banks have taken a flogging in the past 12 months, they've made it very difficult for people to borrow money.

They've come under a fair bit of criticism... but they've started to bend a little now."

Article printed by The Cairns Post - 12th July 2012
Writer: Grace Uhr

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.

Federal Gov Supports Probe into Strata Insurance

A HIGH-LEVEL investigation into the massive hike in body corporate insurance premiums and a moratorium of the State Government's stamp duty on the insurances have been recommended by the Federal Government.

The recommendations have been agreed to by the Federal Government in its response to an investigation into increases in residential strata title insurance premiums in Far North and north Queensland.

Cairns One Apartments

Two key recommendations are:

1. Calling on the Australian Government Actuary to undertake a rigorous investigation of the causes of the recent premium increases.
2. Supporting the committee's recommendation that the State Government introduce a 12-month moratorium on stamp duty charged on strata title insurance in north Queensland.

But for one northern beaches apartment owner, who asked not to be named, it has come too late.

Her latest body corporate fees for the quarter are $2172.25, a $736.27 hike to pay for the mandatory insurance premium for their complex of $37,000, up from $9800 in 2009.

"The bill is unbelievable. This is just out of control," she said.

"The last one was $1435.98 with discount if paid before the due date of $1292.38 which I managed to scrape together and pay. But not this time, it's just not possible I'm feeling totally devastated."

A House of Representatives committee investigated the insurance industry during disaster events and held public hearings in Cairns and Port Douglas earlier this year.

The inquiry included an examination of the affordability and availability of residential strata title insurance in the region after concerns were raised about the rising body corporate insurance costs.

Cairns-based Senator Jan McLucas said the strata insurance market was failing and unit owners, body corporate managers and real estate agents had faced a difficult predicament in recent years.

"Our goal is to encourage insurers back into this market and as a result increase competition."

"Our goal is to encourage insurers back into this market and as a result increase competition."

Senator McLucas said the insurance industry had agreed to provide the Australian Government Actuary with the data it needed to undertake the analysis and would report to the Government by September 30.

But member for Leichhardt Warren Entsch says the Government's recommendations regarding hike in residential strata title insurance is tokenism and have let down the region.

"There is clear evidence of gouging, the insurance companies are using relatively minor events in North Queensland as an excuse to walk away and cherrypick profitable markets,'' he said.

Article printed by The Cairns Post - Friday 29th June 2012

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.

Cairns Region Market Analysis Provided by the REIQ

Here it is! An analysis of the Cairns marketplace for the January-March period of 2012 provided by the Real Estate Institute of Queensland (REIQ). News which is far and beyond what we could have hoped for; we were the second best performer for house price growth in the state!

House and unit markets
The second best performer for house price growth over the March quarter was Cairns, which recorded median growth of 4.5 per cent to $350,000. Local agents say the region now represents excellent value with demand increasing, especially in the upper end of the market.

Local agents say the market was finally starting to see the re-emergence of confident buyers – however over the March quarter, it was the up-graders at the prestige end of the market that were the most dominant, with sales in the $500,000-plus bracket up.

Access to finance from banks is behind the shift, with banks appearing to prefer clients with greater equity and serviceability, while loan applications at the affordable end are falling over on bank valuations.

As a result, first home buyers are struggling to get their foot in the door. And while investors are only just re-emerging, it is a marked improvement from 12 months ago when there was none at all.

Agents expect property prices to remain stable for the foreseeable future, while sales activity should gradually return to healthier levels.

A more favourable Australian dollar is also providing further stimulus for the Cairns tourism industry and, in turn, the economy and property markets.

Although a strong result for the house market was recorded over the quarter, Cairns’ unit market continues to struggle, with sales down 30 per cent. Its median unit and townhouse price decreased 1.2 per cent to $212,500 over the period.

Comments from various regional zone chairs, Cairns included, say that units are proving difficult to sell, as buyers are put off by the increased costs associated with owning a unit, such as body corporate fees, insurance levies and council rates. As such, buyers end up seeing more value in buying a house, with the ongoing servicing costs equalling that of a unit.

Vacant land market
Over the quarter, the Cairns vacant land market recorded a slight slowdown in sales activity, with fewer land listings coming onto the market.

Whilst there are few listings available, local agents report reasonable buyer enquiry levels, however affordable stock is becoming scarcer. As a result, the overall median for the region increased 6.7 per cent to $160,000 as sales numbers dropped off at Edmonton as well as a slight increase at comparatively more expensive Craiglie.

Rental market
The Cairns rental market has also improved markedly with it recording a vacancy rate of 2.5 per cent as at the end of March compared to 3.8 per cent at the same period last year. Agents from REIQ accredited agencies report a recovery in the tourism industry which is improving employment opportunities and therefore demand for rental property.

“With low investor activity combined with first home buyers struggling to enter into home ownership, the Cairns rental market continues to tighten.”

With low investor activity combined with first home buyers struggling to enter into home ownership, the Cairns rental market continues to tighten. Demand for houses is strong, while less investor activity in the unit market is making supply levels tighter.

Median rent for a three-bedroom house increased $10 per week to $320 between March last year and March this year. The median rent for a two-bedroom unit was steady at $250 over the same period.

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.

Queensland Tourism Centres Post Healthy Growth

The RIEQ (Real Estate Institute of Queensland) has reported that Cairns was the second best performing region in Queensland for the March quarter behind the Fraser Coast noting a 4.5% increase in median house price.

REIQ Cairns zone chair Greg Clyde-Smith said the market was finally starting to see the re-emergence of confident buyers with up-graders at the prestige end of the market showing dominance.

The REIQ Market Monitor report for the March quarter will be published in early June to reflect such positive figures… speaking with buyers on the ground there is a certain improvement in market sentiment though it will be interesting to see whether the Tourism centres such as Cairns and the Fraser Coast will be able to maintain positive figures over other major centres throughout the remainder of 2012... stay tuned!

Tourism centres post healthy growth

REIQ Insider Blog – May 21^st 2012

The REIQ March quarter median house price report has found the top performer of all major regions across the State to be Fraser Coast, which posted median house price growth of 7.8 per cent to $290,000 over the March quarter. The numbers of preliminary house sales were also up an impressive 42 per cent. Local REIQ agents say the region had benefited from a busy Christmas period as well as an increase in buyers prepared to buy due to the affordability of property in the area.

REIQ Fraser Coast zone chair Linda Bland said the March quarter has been characterised by a slight increase of sales in the $500,000-plus bracket.

“We have experienced additional demand in the upgrader market, which is predominantly coming from owner-occupiers,” she said.

“This can mainly be attributed to the softening of prices that has occurred at the upper-end of the market over recent years which is attracting buyers looking for excellent value for money.”

Buyers were generally still looking for the best opportunities available, she said, which many remaining price conscious.

“We are also starting to experience some increasing levels of confidence with many people starting to believe that the worst of the economic conditions could be behind us,” she said.

Maryborough performed well over the March quarter with its median house price increasing 3.4 per cent to $212,000 over the period.

A solid performer over the year ending March was Scarness which posted median price growth of 5 per cent to $308,750.

The second best performer over the March quarter was Cairns, which recorded median house price growth of 4.5 per cent to $350,000. Local agents say the region now represented excellent value with demand increasing, especially in the upper end of the market.

REIQ Cairns zone chair Greg Clyde-Smith said the market was finally starting to see the re-emergence of confident buyers – however over the March quarter, it was the up-graders at the prestige end of the market that were the most dominant.

“Sales in the $500,000-plus bracket were up compared to the previous quarter, while the affordable end languished somewhat,” he said.

“Access to finance from banks is behind the shift, with banks appearing to prefer clients with greater equity and serviceability, while loan applications at the affordable end are falling over on bank valuations.

“As a result, first home buyers are struggling to get their foot in the door. And while investors are only just re-emerging, it is a marked improvement from 12 months ago when there was none at all.”

Mr Clyde-Smith said he expected property prices to remain stable for the foreseeable future, while sales activity should gradually return to healthier levels.

“All of this does however hang on the need for further interest rate cuts – without which the wind will be taken out of property market sails once again,” he said.

“A more favourable Australian dollar will also provide further stimulus for the Cairns tourism industry and, in turn, the economy and property markets.”

View article source HERE

Peter Musso licensed real estate agent at Ray White Cairns Beaches selling property in Cairns' beautiful northern beach suburbs including Trinity Beach, Kewarra Beach, Clifton Beach, Palm Cove, Trinity Park, Smithfield, Yorkeys Knob, Holloways Beach, Machans Beach, Caravonica and surrounds.