and
The Springhill Rural Retreat is part of the original “Springhill Farm” that is situated where Spencers Brook joins the Avon River. Springhill was a huge property of 10,000 acres, and it was regarded as a model farm and icon of the Avon Valley. The Springhill homestead was a large colonial building with full verandahs and large rooms, eminently suitable for entertaining for which it became famous. From Springhill has emerged many persons of considerable status, for apart from being of the ‘Landed Gentry', members of the Legislative Council and the Legislative Assembly. Mr Brian Loton recently resigned as the Chairman of Directors of B.H.P and Mr WT Loton was elected as mayor of Perth on Oct 3, 1901, and was knighted in 1923.
In 1942, and as a consequence of the requirements of war, approximately 501 acres was acquired by the Commonwealth Government, and used as the Commonwealth Ammunition Depot and for the use of the U.S. Navy to use as an ordnance depot and for the storage of torpedoes. It appears that ownership of some of the land did become that of the US Navy, as there is a transfer of land from them to the Australian Army in December 1945. The passage of ownership is difficult to follow and there is another transfer in 1949, without details, but it was in 1989 that the land was sold into private ownership and what is known today as the Springhill Rural Retreat emerged as a 34.25 hectare property. A part of the accommodation that was originally for the war activities remains on this property isolated
It is more specifically situated in rolling hills and where Spencer’s Brook runs into the Avon River; in a peaceful or secluded setting as one might choose, however it is only 8 kilometers or a six minute drive from Northam, where there are all amenities including supermarkets, electrical stores clothing stores, pharmacies, doctors, dentists, professional rooms, hospitals and many others. It is 95 kilometres or a 50-minute drive to the metropolitan area of Midland where shopping and services are excellent, and is 116 kilometres or a 77-minute drive to the G.P.O. in Perth.
Jennifer and Jim Fletcher have had the property since the year ‘2000’ when it was being keenly marketed as the Vendors wanted a quick sale and reduced the asking price to $1,000,000. Jennifer and Jim had been looking around, were ‘taken’ with the property, and subsequently made the purchase.
After living there for approximately 2 years and after being satisfied that their aspirations of the property regarding the lifestyle and the business were eminently fulfilled they went ahead and organized a new home and an additional adjunct to the business, by building 6 new Chalets. The Home and Chalets were completed in 2003 and at almost the same time one of the owners had become ill.
The SRINGHILL RURAL RETREAT comprises also, THE AVON VALLEY CONFERENCE CENTRE and THE NORTHAM CAMP SCHOOL. It is a business enterprise that generates an excellent income and a fair return on the investment.
THE OWNERS RESIDENCE is brand new and has an internal living area of 300 square metres. With verandahs and a double garage, it is finished with quality fittings and materials. The home offers from a slightly elevated position an excellent view over some of the property and the valley.
THE COTTAGES. There are 5 cottages and are all rented at between $105 and $120 per week on a long-term basis. All of the properties are fully fenced, each with a garage, workshop and tool shed. They all have space heating, built in robes and vary from 2 bedrooms and a sleep out, to 4 bedrooms.
THE AVON VALLEY CONFERENCE CENTRE offers a room of area 255 square metres, its dimensions are 18.2 metres by 14 metres, and will seat up to 200 people in theatre style, or approximately 140, around tables. It comes with an overhead projector, whiteboards, lecterns etc. This room is a part of the Rural Retreat however is available without the accommodation and food preparation facilities, albeit a tearoom is included.
6 BRAND NEW CHALETS are available for short-term rental and
may also be available for long-term rental, were their use not prioritized to be
available as an adjunct to be in conjunction with the Springhill Rural Retreat.
They are each 1 bedroom with a full kitchen-living area with all equipment and
furniture, fully reverse cycle air- conditioned and each with a carport. The
R.A.C. gave these Chalets a 3.5 star rating and said that had refrigerators been
a little bigger they would have received the extra one half star.
THE SPRINGHILL RURAL RETREAT building is approximately 6 years old, over 900 square meters in area, not including verandahs and patios. It is fully air-conditioned, and offers facilities for functions including weddings and seminars where catering facilities and accommodation is required
The Function room offers an area of more than 250 square meters, and has a full complement of quality cutlery, plates, table-cloths including candelabra for the bridal table. It has a very impressive kitchen and an adjacent but connecting separate wash up room, extremely well equipped and with serveries
It
has a very impressive kitchen and adjacent but connecting wash-up room,
extremely well equipped with serveries.
Accommodation within the building is 23 double bedrooms and 3 more each with 5 beds. There is enough linen and towels etc for three changes of linen, i.e. 6 sheets, 3 pillowslips and 3 towels for each bed. The R.A.C. gave this area a 2.5 star rating.
Should there be a requirement for other accommodation there are 6 new chalets (previously mentioned) that are each 1 bedroom with a full kitchen-living area with all equipment and furniture, fully reverse cycle air- conditioned and each
A HUGE
ENCLOSED SPORTS CENTRE is approximately 6-years-old and is set up for
basketball; it has also been used for indoor cricket and as a shooting gallery.
THE NORTHAM CAMP SCHOOL is a complex of 5 buildings and accommodates for 64 persons. There are 2 dormitories that each has 3 rooms, each with 7 beds. 1 dormitory that has 8 rooms, each with 2 beds and 1 room with 6 beds; each dormitory has an ablution room with showers and toilets. There is a kitchen-dining hall complete with Cool rooms, Storerooms and staff-room.
There are recreation rooms being separate table tennis and pool, and another large room
with a heater and television and chairs for relaxing and or reading. There is a tennis court and volleyball court and a basketball hoop, all with concrete base.
A
9 HOLE GOLF COURSE with sand greens, and
fairways either grassy or otherwise according to the
season, and natures traps. There are a number of bridges
over the winter stream.
OTHERS
There is a Workshop and a room for the accommodation of a bus driver, the Old Shearer’s quarters and Shearing Shed (below from left to right).
The Kitchen, Mess, and Dining hall of the Northam Camps School, a Machinery shed, and a typical view of the road that spans the property (below from left to right).
A substantial bridge, a view of the property and the ‘local’ Spencers Brook Tavern which is situated only 2 kilometers away (below from left to right).
A securely fenced area that accommodates some Kangaroos and Emus.
A Swimming Pool and equipment including change-rooms and toilets that is at present unused, and although the pool requires a ‘liner’ all of the other equipment is in working order.
There is a bore equipped with a pump that supplies water to the tank that is situated at a high point on the property
THE PROPERTY
659 Spencers Brook Road Muluckine WA 6401
AREA
An area comprising 37.44 hectares with a high point in the North West Corner and sloping down west to the Road and south to the middle of the property where it levels out. There is a winter creek that runs through the property.
TITLE DESCRIPTION
The property is an Estate in fee simple in portion of Avon M and being Lot 1 on Diagram 83001 Volume 2159 Folio 549.
COUNCIL
Northam Shire Council
ZONING
Northam Shire Council lists the property as a Special Site.
· Rural
· Holiday Accommodation and Associated uses.
· Group Dwelling
FINANCIALS
Financials are available for the 4 years of the ownership and management of the property, however in any attempt to assess the potential of the business it is important to understand that the current owners and managers selected this for their retirement because of their personal utility only. The income aspect of that analysis was that the income from the Springhill Rural Retreat was only supplementary to their existing other income and, was already more than they wanted and they only kept some things going because they believed that they should.
PROJECTED & ACTUAL INCOME
Cottages
There is an excellent demand for housing rentals in the area and the 5 cottages are fully let, and the tenants rarely change.
Actual, a gross of $28,080.00
Chalets
The owners let the Chalets as an adjunct to the Springhill Rural Retreat and on occasions for short stay, that being at a daily rate. On rare occasions they might let them on a weekly rate which incorporates electricity and gas consumption charge but they would then only let the two of them that have meters. If income maximisation were the issue, it would not detract much from the Rural Retreat if the Chalets were not available in connection with their use and they could be let for permanent rental of up to $200 per week. They came with Carport, Television, reverse Cycle air-conditioning, Microwave, Crockery, Cutlery, Linen and their rating is 3.5 stars.
Projected income annually a gross of between $46,800.00 and $62,400.00.
The Springhill Rural Retreat
Although the premises may entertain up to 180 people and sleep 62 people in 2.5 star comfort, the present owners are insistent that the kitchen cannot be used by anyone apart from them. They are not quite well enough, or inclined to do that and the lost income is not an issue. There is a good demand for weddings and other serious catering functions and it is thought that if this was encouraged, it would be very successful.
The Avon Valley Conference Centre
Only seminars are conducted here, and only when where the requirement for snacks is not greater than can be provided by the small tea and coffee room. Bookings are therefore often lost, and it is thought that this facility if promoted would be a good income earner.
Northam Camp School
The above is suitable for school and youth groups, and is often used as the facility is self catering, however once again it is only used by the same Schools over and over, and is restricted to groups who are known to the owners and operators. This area would respond well by some promotion.
The receipt book for the period from April to December 2001 was analysed and this is when the current proprietors were pretty much carrying on the business as the previous people were. That amounted to a total of 27 functions from a minimum amount of $115 to a maximum of 6909.45, and this amounted to $38,965.
Actual receipts for that period was $38,964.99
The Actual income is $67,044.00
And with the potential of the Chalets $113,845.00
FUNDS SPENT BY CURRENT OWNERS
The current owners have in the 4 years while they have been there.
1. Upgraded the water pipes in certain areas.
Upgraded the Sewer pipes.
Upgraded Electrical wiring
And other maintenance $50,000.00
2. Ranch Rover – ride on – mower – (1999) 4,200.00
3. Rover Rotary mower (2001) $600.00
4. Kubota Tractor 2002 $36,000.00
5. Slasher 2003 $1,800.00
6. Chalets 2003 $310,000.00
7. Residence 2003 $210,000.00
The Springhill Rural Retreat Building alone is estimated to cost $900,000 at today’s building prices. This does not include numerous buildings such as the old dormitories, games room, indoor sports center and many other buildings
The asking price is $1,450,000.00
Please contact White & Associates for further details,
phone 08 93817411
fax 08 93817433
email reception@whiteassociates.com.au
web www.whiteassociates.com.au
Arnold Hams phone 08 93853800, mobile 0438 880865