The business of management rights is always a great choice is you are looking for fixed income plus a commission. Management rights are fairly easy to handle, and is very likely to provide a good return on investment. Even more enticing is the fact that it also has a good resale prospective.
Management rights are basically like having a home-based business; you are just tasked with the responsibility of managing property.
What are the Basics?
Resort Brokers say management rights holders play the role of onsite manager and have to supervise the daily operations in a residential complex or holiday resorts. You have to maintain the property and take care of common areas such as the swimming pool, gardens, lifts, foyers, pathways, and other amenities.
You also have the additional responsibility of letting units for owners who do not live on the premises. You will get a commission for this as an additional source of income. The investment here is that you need to buy the manager’s unit in the complex and reside there.
Management Rights and Caravan Parks
Similar to residential complexes, you can also buy the rights for caravan parks. The main difference here is that they are fewer in number compared to the residential complexes and holiday resorts. Whenever there is such a requirement, they will advertise and you have to respond to it.
How does it all Work?
These parks rent out spots to holiday makers and allow them to park their caravans there for specific time periods. There also permanent or static caravans which are used as holiday homes or permanent homes or rentals. When buying these rights, you have to purchase a static caravan and stay there on a permanent basis.
You are then free to run the property however you see fit. Your main goal is to stimulate growth in terms of occupancy for better business.
Thus this is similar to managing residential property and can also prove lucrative, if you negotiate the terms of sale to your benefit.