2022-11-14 GC Agenda - Item 4 - Attachment 2 - Appendix 13 to Attachment 1

NOOSA SHORT STAY ACCOMMODATION ECONOMIC & SOCIAL ASSESSMENT



APPENDIX C: ECONOMIC IMPACT MODELLING
ASSUMPTIONS
SHORT STAY DWELLING ASSUMPTIONS
The following assumptions were used in estimating the annual economic contribution from a short stay dwelling
across the four dwelling types examined.

Table C. 1. Assumptions Used for Short Stay Dwellings
 Indicator                                                     1 Bed                   2 Bed                  3 Bed                  4 Bed
 Occupancy                                               Note: based on AirDNA August 2021 to July 2022 occupancy rates
 Days Available                                                  365                    365                    365                    365
 Occupancy Rate                                                 65%                    60%                     55%                    54%
 Nights Occupied                                                 239                    217                    202                    197
 Revenue                                                 Note: based on AirDNA August 2021 to July 2022 ADR
 ADR ($)                                                      $229.59                $366.52                $562.14                $955.26
 Annual Revenue ($)                                           $54,871                $79,677               $113,331               $188,052
 Owner Costs
 Property Management Fee                                 Note: based on desktop research of short stay management fees
    % of Revenue                                                20%                    20%                     20%                    20%
    $                                                         $10,974                $15,935                $22,666                $37,610
 Cleaning                                                Note: based on desktop research of typical cleaning fees
    $/ Night                                                     $30                    $35                    $43                    $50
    % of Revenue                                                13%                    10%                      8%                    5%
    $                                                          $7,170                 $7,609                 $8,568                 $9,843
 Maintenance                                             Note: based on desktop research of short stay maintenance costs
    % of Revenue (a)                                            2.5%                   2.5%                   2.5%                   2.5%
    $ (b)                                                      $6,184                 $9,179                $11,896                $15,326
 Other Incidental Costs                                  Note: AEC assumption
    % of Revenue                                                 5%                     5%                      5%                    5%
    $                                                          $2,744                 $3,984                 $5,667                 $9,403
 Total Owner Costs
    $                                                         $27,072                $36,707                $48,797                $72,182
 Number of Visitors                                      Note: AEC assumptions
 Beds                                                             1                       2                      3                      4
 Average Persons per Bed                                         1.5                    1.5                     1.5                   1.5
 Persons per Night Occupied                                      1.5                      3                     4.5                     6
 Visitor Nights per Annum                                        358                    652                    907                   1,181
 Visitor Spend (Excl. Accommodation)                     Note: Based on TRA visitor spend data
 Spend per person per night ($/night)                         $112.37                $112.37                $112.37                $112.37
 Leakage outside Noosa                                          10%                    10%                     10%                    10%
 Spend in Noosa ($/annum)                                     $36,255                $65,953                $91,748               $119,451
Notes: (a) This represents the assumed additional maintenance costs for short stay dwellings over and above standard maintenance costs for
rental dwellings. (b) This is inclusive of both the standard maintenance costs for long-term dwellings (see Table C. 2 below) and the additional
maintenance for short stay dwellings.
Sources: AirDNA (2022), TRA (2022a), TRA (2022b), AEC.




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