Sydney, NSW (PRWEB) March 21, 2009
Landmark Pacific Holdings ("Landmark Pacific") is currently in the process of refurbishing the ex MGM Movie Studio Head Office located at 28 Chalmers Street, Surry Hills into a five star budget accommodation facility predominantly servicing the needs of the international backpacker market.
- The Backpacker segment is one of the few segments in the tourism industry that continues to show strong growth despite of the economic cycle
- Sydney remains as one of the top global backpacker destinations
- Central is the gateway location for backpackers arriving in Sydney, with the demand for quality accommodation exceeding the supply
- There is a general under supply of backpacker hotel accommodation in the Sydney market
- 28 Chalmers Street is ideally situated in the hub, with great access of transportation
- Very strong international trend, with backpackers arriving from new markets such as Korea and New Zealand.
- Highly experienced management team
The Hub for Backpackers
Central is the gateway location for backpackers arriving in Sydney with demand for quality accommodation exceeding supply. There are currently two 500+ bed backpacker hostels located at Central both of which are operating at or near capacity. Our research has confirmed that one of these operations is turning away an estimated $1.5 million dollars of business per annum.
- 28 Chalmers Street is located directly across the road from the Central Station(approx 200 metres walk), the largest train station in Sydney
- Chalmers Street is the primary bus route from the airport. With a bus stop directly outside our doors, 28 Chalmers Street is now the first CBD drop off for backpackers who have not yet booked accommodation (Research shows that up to 59% of backpackers arriving in Sydney have not yet booked somewhere to stay),
- 28 Chalmers Street is walking distance to Circular Quay, Sydney Opera House, The Rocks, Sydney CBD, Chinatown, Kings Cross, Oxford Street, Darling Harbour, parks, pools and theatres.
The Backpacker Industry in Australia
The Backpacker Segment and working holiday makers (who are primarily backpackers) continue to show very strong growth in Australia.
Recent weakness in Australian dollar and lower petrol cost, lower airfares are also helping the Australian backpacker industry.
Nearly half (47.1%) of all backpackers are aged under 24. By their very nature this demographic is less affected by the financial turmoil currently being experienced. Feedback from industry players and recent survey's back up the claim that the Australian backpacker market will continue to flourish in the foreseeable future.
Furthermore, a recent international survey of backpackers by international internet service provider Global Gossip, revealed that in the face of the global economic turmoil, 87% of backpackers surveyed advised they were either planning to increase their travel plans or maintain their existing travels plans. The survey was conducted via internet kiosks in the United Kingdom, New Zealand, Australia, Spain and Fiji.
Backpacker Investment Opportunity
A great research has been undertaken to investigate into the potential of the backpacker hotel as an investment opportunity
- The backpacker industry in Australia is valued in excess of $3.1 billion dollars per annum,
- International backpackers alone spent nearly 12.6 million nights in New South Wales - up 9.5% on the previous period,
- Sydney is by far the most popular destination attracting 74% of all visitors,
- Since 2000, International backpacker visitation has continued to increase by approximately 3% per annum,
- On average, international backpackers spend $5400 per person per trip; more than double that of other international visitors ($2300),
- International backpackers spend on average 71 nights compared to only 25 for other travellers,
- There has been continued and sustained growth from European nations like France, Ireland and Germany and demand from the United States and India is also increasing,
- Visitors from Europe comprise over half of the international backpacker market to Australia. The UK and Germany were the most significant markets accounting for 23% and 10% respectively,
- Sydney is still the most popular destination for international backpackers with 9.8 million nights (nearest rival = Melbourne with 5.4 million),
- Domestic backpackers are likely to spend all of their nights in backpacker accommodation,
Despite of the consistent growth reported, there have been very limited number of backpacker accommodations established over the past few years in Sydney, this has created an unique opportunity in the backpacker industry in Australia, particularly in Sydney.
The Management Team
Collectively the Directors of Landmark Pacific have over 100 years experience in direct property investment. Of particular relevance to this project is the experience of Executive Director Dr. Dolf de Roos who as Chairman of the public investment company Property Ventures (NZ) has launched two independent hotel brands that incorporate student and backpacker accommodation facilities in the New Zealand market.
Nicholas Caldwell is regarded within the industry as an expert manager of backpacker facilities. He was awarded the position after a series of interviews and was personally referred and recommended by the President of the NSW Backpacker Association.
Nicholas has been involved at a senior level with a number of the largest backpacker accommodation facilities in Australia including winners of the 'International Backpacker of the Year Award'. He has individually managed the launch of two of Sydney's largest backpacker operations as well as numerous tourism based consultancy projects.
For more information about Landmark Pacific Holdings and the project, please visit our website on http://www.landmarkpacific.com.au or contact us for more details.
For further information contact:
Landmark Pacific Holdings Pty Ltd
Phone: +61 (02)8905 9195