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Accomodation

The availability of quality, value for money accommodation is a key component in destination choice and a top three consideration in short-break travel. Investment in accommodation development is primarily through private investment, however destination managers can assist in attracting investment for a destination. Read more
The availability of quality, value for money accommodation is a key component in destination choice and a top three consideration in short-break travel. Investment in accommodation development is primarily through private investment, however destination managers can assist in attracting investment for a destination. Key learnings for tourist accommodation development in a destination include:

  • Attracting ‘private investment’ in accommodation in a destination requires a strong business case and in some cases requires incentives such as reduced time and cost to gain development approval to provide greater certainty;
  • Destination Management Tip

    Accommodation should be refurbished approximately every 5-7 years to meet changing visitor expectations and to ensure visitor satisfaction.

  • Developing an investment prospectus can provide a useful tool for highlighting development potential in a region and identifying key priorities for investment identified by the host community;
  • An investment prospectus should be based on extensive market demand research, pre-feasibility studies of potential development opportunities, assessment of expected return on investment and input from a wide range of public and private sector stakeholders;
  • Understanding a destination’s ‘visitor market’, their preferences and motivations, is important not only for planning and developing accommodation but also for developing marketing and promotion strategies;
  • Visitors preferences for accommodation are often influenced by age, gender, family structure, income and reasons for travelling;
  • Accommodation development should be aligned with the overall ‘brand’ and image of a destination to ensure it is aligned with both consumer and host community values;
  • Provide clear design guidelines in local government control plans for tourism development.

While destinations seek to attract investment in new tourism development, much of the investment in accommodation is likely to be in the refurbishment and refreshment of existing accommodation development to meet changing visitor expectations. Different types of accommodation have also been pursued in various destinations, with different ownership models and impacts. The growth in strata titled tourism accommodation complexes in Australia over the last decade, for example, has raised multi-stakeholder issues particularly in regard to the need for rejuvenation and refurbishment of these complexes, and their subsequent impact on destination lifecycles.


The Sustainable Tourism Cooperative Research Centre research on accommodation has largely focussed on the field of strata-titled tourism accommodation. The research has found that of the three basic types of strata titled tourism accommodation – independent operators, branded strata title hotels and emerging strata title organisations. The research further suggested that branded strata titled tourism accommodation is the most commercially viable, providing a more clearly defined and professional management structure, lowering potential conflict between owners and managers.

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