I really feel for the couple in this article who had their wedding plans cancelled by the hotel, but from a property investing point of view it is incredible....
It seems that all of the major hotels in Gladstone are now booked for the next 12 months, with extensions available to companies like Bechtel for a further 4 years!!
If any locals wanted to open a B&B, they should be able to get around $250 per night and be close to permanently booked... not a bad money spinner.
Short-term rentals could also be a great money maker if hotels are fully booked.
http://www.gladstoneobserver.com.au/story/2011/07/20/no-room-visitors-only-industry/#commentsList
An excerpt....
This was Shirley Maddin’s attitude after she discovered the hotel reservations she had made for her son’s wedding, booked two months in advance, had been cancelled only two weeks prior to his big day. When demanding a reason as to why her reservations were given the boot at the last minute, Mrs Maddin was told
Bechtel had booked out the entire establishment for a one-year minimum at an offer the hotel couldn’t refuse.
“My son has multiple sclerosis and is confined to a wheelchair so (he and his fiancee) had to look long and hard to find a venue for their reception which had good wheelchair access,” she said. “They finally found the Club Hotel who could cater to all their needs, and we decided to book two rooms the night of the wedding so in the morning it would be no problem getting the relatives to the airport in time.”
It wasn’t until July 4, 12 days before the couple were due to be wed, that Mrs Maddin received a phone call telling her that her rooms were cancelled.
“I started ringing around immediately to find another room only to find that
other hotels had been made the same offer,” she said.
“Thank goodness Gladstone is not trying to promote itself as a welcoming tourist stop as people would not be able to find any accommodation.”
Ian Witt, manager of the Club Hotel, said
Bechtel had indeed booked out all of the rooms for a period of 12 months, with an option to continue their agreement for a further four years.