Australia Insights | Opteon

Alternate Investments Quarterly April 2026

Written by Opteon Australia | Apr 28, 2026 1:08:55 AM

Caravan & Holiday Parks – National Market 

Sector Overview

The caravan and holiday park sector has matured into a prominent alternative real estate asset class in Australia. Over 10,000 businesses operate nationally, generating approximately $5.5 billion in annual revenue. Parks in coastal and regional tourism markets continue to attract strong visitor demand, while increasing integration of manufactured housing communities (MHCs) is creating stable long-term rental income streams.


Key Market Drivers

  • Sustained domestic tourism growth, particularly in coastal and regional markets

  • Increased popularity of RV and caravan travel, including “grey nomad” retiree demographics

  • Expansion of manufactured housing communities within parks providing recurring income

  • Limited availability of prime coastal land and planning constraints limiting new supply

  • Rising operating cost pressures, particularly insurance premiums, utilities and maintenance, impacting net returns

    • “Economic constraints can increase demand for caravan and holiday parks as cost effective alternatives for permanent or semi permanent living.”

Market Participants 

  • G’Day Group – Australia’s largest operator with ~90 parks nationally; active in the past 18 months acquiring parks in Porepunkah, Lake Tinaroo, Moama, Canberra, Renmark and Narooma Beach.

  • BIG4 Holiday Parks – continues as a major franchise network with ~270 parks.

  • NRMA and Royal Automobile Club of Western Australia (RACWA) have been selectively adding premium assets.

  • Independent operators and private investors – active in sub-$10M parks, participating in competitive off-market processes. 

Transaction Activity & Pricing

  • Indicative yields for Freehold Going Concerns range from 6% to 9.5%, with lower yields for well-located, high-quality parks with diverse accommodation, consistent occupancy, and secure, professionally managed operations, and higher yields for regional areas or poorer quality aassets

  • Premium parks with cabins, tourist sites, and MHCs attract stronger pricing.

Forward Indicators

Operators are expected to continue focusing on portfolio expansion and asset repositioning, particularly upgrading accommodation offerings and integrating MHCs. Demand remains strongest for parks within established tourism regions and driving-distance proximity to major population centres.

Rent Roll Market – New South Wales 

Sector Overview

The NSW rent roll market remains a highly sought-after source of recurring income within the residential property management sector. Portfolios are valued primarily on Average Annual Management Income (AAMI). Tight rental markets across metropolitan Sydney and major regional centres continue to underpin portfolio value and investor interest. 

Key Market Drivers

    • Low residential vacancy rates supporting strong recurring fee income

    • Rising rents across metropolitan and regional markets

    • Consolidation within the real estate agency sector to achieve scale and efficiency

    • Adoption of property management technology platforms improving operations

    • Succession-driven sales by ageing agency principals

Market Participants 

  • Major franchise networks — Ray White, LJ Hooker, Belle Property, Harcourts; all have been actively acquiring portfolios over the past 12–18 months, both off-market and via brokered deals. 

  • Regional independent agencies — acquiring smaller rent rolls outside Sydney in high-growth corridors; most activity is private or off-market. 

  • Boutique property management firms — targeting portfolios with strong retention and low arrears; leveraging technology for operational efficiency. 

Transaction Activity & Pricing

  • Rent rolls continue to transact at premium multiples in metropolitan areas, with stronger pricing observed for portfolios that are tightly held or well-managed.

  • Average management income remains robust in NSW, supporting portfolio values that are generally higher in areas with strong rental demand.

  • Portfolios that demonstrate high retention, low arrears, and geographic concentration remain the most sought-after by buyers.

Forward Indicators

Activity is expected to remain focused on high-quality metropolitan and regional portfolios, with buyers prioritising retention, portfolio efficiency, and income stability. Agencies seeking scale will continue to drive consolidation across NSW.

Pub / Hotel Investment Market – Western Australia 

Sector Overview

Western Australia’s pub and hotel market represents a key component of the hospitality property sector. The industry generates significant revenue nationally (~$20B) and includes nearly 7,000 businesses. WA pubs operate under unique conditions, relying on food, beverage, and accommodation revenue rather than pokie machine gaming income like some east coast states. Approximately 270–280 pubs operate across WA, concentrated in Perth and major regional centres.

Key Market Drivers

  • Population growth in Perth supporting demand for suburban hospitality venues

  • Recovery in domestic tourism and corporate travel driving patronage

  • Diversification of revenue streams through food, accommodation and event-led offerings

  • Low unemployment and solid incomes supporting spend, offset by cost-of-living, housing and interest rate pressures on discretionary expenditure

 Market Participants

  • Endeavour Group — operates ALH Hotels; active in portfolio repositioning over past 18 months.

  • Australian Venue Co — actively acquiring and repositioning high-performing venues nationally; indirect influence on WA market sentiment.

  • Redcape Hospitality — deployed >$250M across acquisitions in 12–18 months; active in suburban and regional assets.

  • Private and family-owned investors — consistently acquiring individual pubs and multi-venue portfolios in WA; strong trading confidence persists.

 Transaction Activity & Pricing

  • ~$2.06B in national pub transactions recorded in 2025 across 179 deals, ~40% increase on 2024

  • Private investors dominate (~88% of acquisitions)

  • Assets attracting premium pricing include large suburban pubs and those with diversified income or redevelopment potential

Forward Indicators

The market is expected to remain supported by population growth and hospitality demand, with continued interest in assets offering diversified revenue streams. Redevelopment opportunities and well-located and soundly performing suburban venues are likely to remain highly sought-after.

Sources

IBISWorld – https://www.ibisworld.com
Forbes Australia – https://www.forbes.com/au
AccomNews – https://www.accomnews.com.au
GQ Finance – https://www.gq.com.au
Commercial Real Estate – https://www.commercialrealestate.com.au
Australian Hotels Association WA – https://www.ahawa.asn.au
Property Management Valuations Australia – https://www.pmva.com.au
Real Estate Dynamics – https://www.redynamics.com.au

Ryan Danaher,
Head of Alternate Investments

0457 648 002
ryan.danaher@opteonsolutions.com

Duncan Cameron,
Senior Director - Specialised & Advisory

0413 449 477
duncan.cameron@opteonsolutions.com

Greg Mason,
Director Specialised & Advisory 

0416 049 387
greg.mason@opteonsolutions.com

 

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