How to Build a Profitable Motel Business Without Managing It Yourself
Owning a motel is more than a business venture; it’s a chance to build a lifestyle, connect with your community and create a long-term, sustainable asset. For many, motel management offers the ideal mix of independence, financial security and personal fulfilment.
This blog series answers real questions about motel life. We interview owners and managers to share practical insights, advice and lived experiences so you can understand what motel ownership truly looks like day to day.
Meet Colin & Heather – The Kiwi Couple Who Built a Motel…
But Didn’t Want to Run It
This month we introduce Colin and Heather, hands-off investors from New Zealand’s South Island who proved that you could build a motel, widen your investment portfolio and still keep your sanity.
Twelve years ago, Colin had a dream: to build and own a motel.
Heather… wasn’t quite convinced. But with a bit of persuasion (and a lot of love), they decided to take the leap as absentee owners. Their plan was simple: build a motel far enough away that they couldn’t be pulled into the daily hustle, but close enough to pop in for a friendly visit.
Smart Strategy: Hire the Right People, Then Get Out of Their Way
Colin’s masterstroke was choosing managers who were:
• Experienced
• Reliable
• Commercially savvy
• As invested in profitability as he and Heather were
They chose a site near Christchurch Airport and designed high-quality onsite accommodation to attract top-tier managers. Then they rewrote the traditional motel employment model by hiring two couples who job-shared:
• Four weeks on
• Four weeks off
This created:
• A larger talent pool
• Better work–life balance for managers
• A stable team that stayed with them for over a decade
Their philosophy: trust your managers. Train them well. Share your KPIs.
Great teams thrive on clarity.
The Night the Motel Was “Full” (Sort Of)
Like all great motel stories, this one has a twist.
One evening, Colin and Heather arrived at their own motel for an event.
They’d phoned ahead to reserve a room, but when they checked in, they were politely told the motel was full.
But not to worry… a “special” room had been prepared.
They were led down the hallway, out the emergency exit and, surprise, a beautifully decorated tent awaited them.
After a stunned silence and a few exchanged glances, the team burst into laughter and revealed the joke. Of course, their room was ready. But it was proof they were surrounded by a team who loved to surprise and delight.
That’s the magic of great staff.
Their Top Tip: Know Your Numbers (Especially Your ROI)
For anyone considering a hands-off model, Colin and Heather’s number-one piece of advice is this:
Know the minimum number of keys you need to deliver a solid return on investment when you have managers in place.
Homework up front pays off. Talk to:
• RevenYou’s experienced advisory team
• Your financial adviser
• Your lawyer
• Other motel owners
This is how you avoid costly missteps and build a business that works long term.
Weathering the Storms—Including a Global Pandemic
Over twelve years, Colin and Heather faced:
• Closed borders
• COVID lockdowns
• Shifting demand
• Constant uncertainty
But they got through it by staying flexible, being open to change and trying new ideas rather than resisting them.
They’ve now sold and moved on to new investment opportunities, but the lessons remain.
Their Final (And Very Practical) Tip: know every password and login for every system.
Otherwise, you may find yourself phoning reception late at night asking for the override code to remove parental controls from the in-house movie system… and having a very awkward conversation with your management team about an R18 movie.
We’ll just leave that one there.
Would They Do It Again?
Yes. Even Heather, once the reluctant motel owner, grew to love visiting the property and was sad to say goodbye. But like all good investors, she was also excited for the next opportunity.
The Takeaway
Owning a motel isn’t always smooth sailing. But with the right:
• Preparation
• People
• Financial foundations
• Openness to change
…it can be profitable, rewarding and genuinely enjoyable.
As we wrap up this month’s story, it’s clear that the motel life is far more than a business model. It’s a pathway to independence, personal growth and the kind of resilience only hands‑on entrepreneurship can build. Every operators journey is different, but the message is the same: this industry is full of opportunity for those willing to step in.
For more guidance, tools and support, visit the RevenYou website where you’ll find practical resources designed to help motel owners and operators build confidence and long‑term success.
