Can you own a profitable motel without managing it yourself?

By Tamie Matthews, RevenYou

For many people exploring accommodation investments, one question comes up time and time again: Can you own a motel without being tied to the front desk seven days a week?

According to New Zealand investors Colin and Heather, the answer is a definite yes.

In fact, they spent more than a decade proving it.

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Like many successful business ventures, their journey started with a simple idea. Colin had long dreamed of building and owning a motel. Heather, while supportive, needed a little more convincing. Taking on a hospitality business was not originally part of their life plan, but together they decided to explore an approach that would allow them to benefit from motel ownership without becoming immersed in the day-to-day operations.

Their strategy was surprisingly simple.

Rather than purchasing an existing property, they developed a motel near Christchurch Airport and built the business around one key principle: hire exceptional people and trust them to do their job.

“We never wanted to create a business where every decision depended on us,” Colin explains. “Our goal was to build a business that could perform well because the systems and people were right, not because we were standing over it every day.”

That philosophy shaped every decision they made.

Instead of viewing managers as employees who simply followed instructions, Colin and Heather looked for commercially minded professionals who genuinely cared about guest satisfaction and business performance. They invested in quality onsite accommodation for their management team and created a staffing structure that stood out from traditional industry models.

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The result was a job-sharing arrangement involving two management couples, each working four weeks on and four weeks off.

The model delivered significant benefits. Managers enjoyed a better work-life balance, the motel had access to a broader talent pool and, most importantly, the business achieved remarkable stability. Some team members remained with the property for more than a decade, creating consistency for guests and owners alike.

For Colin and Heather, trust was always accompanied by transparency.

They shared performance measures, discussed business goals openly and ensured managers understood how their efforts contributed to profitability. It created a culture where everyone was working towards the same outcome.

Of course, when you build a strong team, unexpected things can happen.

One of Colin and Heather’s favourite memories occurred when they arrived at their own motel for an event. Having booked a room in advance, they expected a straightforward check-in. Instead, they were informed that the motel was full.

Fortunately, they were assured a “special room” had been prepared.

Moments later they found themselves being led out through an emergency exit and towards what appeared to be their accommodation for the evening: a fully decorated tent.

After a brief moment of disbelief, the management team broke into laughter and revealed the prank. Their actual room was waiting for them all along.

“At first we thought perhaps we’d made a terrible mistake somewhere,” Heather laughs. “Then we realised it was our managers having a bit of fun. It actually reinforced everything we’d hoped to create. They cared enough about the business and felt comfortable enough with us to create memorable experiences, even if this one was at our expense.”

Beyond the laughs, their investment journey provided valuable lessons for anyone considering entering the accommodation sector. The most important lesson was understanding the numbers before making the leap.

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Too often, prospective buyers focus on occupancy rates or revenue forecasts without first determining exactly how many rooms they need to generate an acceptable return when professional managers are employed. The costs associated with staffing a motel can significantly impact investment performance, making upfront financial analysis essential.

Their advice is straightforward: seek expert guidance, understand your return-on-investment requirements and learn from operators who have already travelled the path before you.

Over their twelve years of ownership, Colin and Heather experienced challenges familiar to many accommodation providers. Market fluctuations, border closures, COVID disruptions and changing traveller behaviour all tested the business. Yet they attribute their success to remaining flexible, embracing change and being willing to adapt when circumstances demanded it.

There was also one final lesson that came from experience. Know every login, password and system connected to your business.

As Colin jokes, nobody wants to be making an awkward after-hours phone call to their own management team seeking assistance to remove parental controls on the in-house movie system.

Today, Colin and Heather have sold the motel and moved on to other investment opportunities, but they remain enthusiastic advocates for the accommodation industry. Their story demonstrates that motel ownership is not limited to owner-operators working long hours behind reception. With the right strategy, trusted management team and strong financial foundations, it is possible to build a profitable accommodation business that delivers both financial returns and lifestyle flexibility.

For those considering a motel investment, perhaps the greatest takeaway is this: success is rarely about doing everything yourself. It’s about creating the right structure, finding the right people and having the confidence to let them succeed.

This article is part of RevenYou’s Owners Spotlight series. You can read the original article, and the rest of the series HERE.