Investor FAQs
If you can’t find the answer to your question here, please contact us.
Who will be operating the resort? How will they divide room usage up?
The resort will be operated by a professional and experience management team overseen by Edge Resorts. This will ensure owners achieve the best possible rental returns. They will distribute guests evenly throughout all rooms ensuring a fair occupancy schedule is adhered to at all times and that all owners receive a fair remittance.
How long can I stay in my apartment if I am an owner?
Owners who participate in the management rights will be able to stay in their apartments for four weeks a year. If owners would like to stay for longer than that a discounted rate can be organised with the Edge Resort Management Team. Those who choose not to participate in the management rights are able to stay in their apartments for as long as they like in accordance with the council zoning guidelines.
During periods of owners utilizing their property they will not receive income for that period but at the same time do not need to pay to stay on the premises.
Any owner usage in the first year will be deducted from the rental guarantee for the period that they use their apartment for, i.e. 2 weeks would equate to a total guaranteed return of 6.73% return.
What is the split of income?
The Edge Resort Management Team receives 57% of the gross income for the services they perform. The remaining 43% is returned to the owner. The Edge Resort Management Team covers consumables, cleaning, staffing, repairs and maintenance, bank fees, accounting, advertising and usage of power and water.
When are payments made to the owners?
The Edge Resort Management Team must account to you within 14 days of the end of each month. Similar to a residential investment you will receive a monthly statement and a monthly payment into your nominated bank account (if applicable).
Who is responsible for the cost of large capital expenses such as replacing the roof?
The Strata Company is responsible for expense items that belong to the common property of the strata scheme. An individual owner is only responsible for capital items that belong to them and their unit. In this strata scheme the roof is part of the common property and therefore the responsibility of the Strata Company.
What happens in regards to the 4 weeks I can have as free time. Does that come out of the income pool? What if I don’t use the 4 weeks entitlements?
The 4 weeks free means you do not pay to stay, however you will not receive income during that period. If you do not use any of your 4 weeks you will be entitled to receive any available income for all weeks of the year. For the 7% first year rental guarantee, all owners have the benefit of receiving a set 7% income regardless of whether they use all 4 weeks or nothing during the first year of the rental guarantee.
How much is the remittance expected to be after the rental guarantee ends?
Much like the room rate, an owner’s remittance also differs and can vary depending upon room rates and occupancy levels. These figures are very hard to predict because the stream of income is reliant upon tourism numbers and all other types of guest. However, remittance is expected to be between 5%-6.5%.
During periods of owners utilizing their property they will not receive income for that period but at the same time do not need to pay to stay on the premises.
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