Rob Cross joined the hotels team at CBRE in 2003 and is the Senior Director of Hotels Australia, New Zealand and the Pacific for the group. Rob's prime responsibility is the development of the CBRE full service Hotels Agency business throughout these regions. 

Since joining CBRE Hotels the company has grown into one of the largest hotel real estate groups in the region. The Hotels team now comprises some 37 industry experts spread covering both agency and valuation / consultancy disciplines. 

In addition to developing the CBRE Hotels business line throughout the region, Rob is an industry leader in the sales and marketing of hospitality assets. During his career he has successfully marketed hotel product in every state of Australia, the North and South Islands of New Zealand and the Pacific Islands. Assignments undertaken by Rob have included hotels, resorts, motels, caravan parks, golf courses, guest houses and management rights.

How did you get into the hotels industry?

I joined JLL in the early 80’s after completing the property/ valuation course at UWS, and was fortunate to get the opportunity to work in their International Hotels division. Back then, much of the work was feasibility studies, demand studies and pure valuation work. This gave me a great understanding of the basics of the industry and financial matrix that surround hotels, as opposed to other real estate asset classes.

What are some of your career highlights from your time in the industry?

After 30 years in the industry, identifying a career highlight is extremely difficult. Certainly the greatest enjoyment I have derived from the industry is the people who work within the hotels sector. It’s a small sector ‘down under’ but I have had the privilege of working with industry icons such as Peter Barge, David Gibson and Geordie Clarke, who in their own way established Hotel brokerage as a specialist practice throughout the Asia Pacific region.

In terms of highlights, whilst I had a wonderful 20 years at JLL, jumping to the dark side at CBRE, was probably the greatest challenge I have faced throughout my career. CBRE Hotels in those days was a very small business line. At that time JLL had some 80% market share and no real competitor in the Pacific. To now see the CBRE Hotels team, which consists of some 40 people and is one of the company’s best performing business lines, is certainly something I am very proud of.

What are the biggest issues facing the hotel industry at the moment?

The hotel industry in Australia is in a pretty good place at present. During and after the GFC, the hotel sector (particularly at a corporate level) came through relatively unscathed compared to many other real estate markets. The leisure destinations experienced a pro-longed slow down, which was as much about currency as it was GFC. Fortunately, with the decline of the Australian dollar back to more ‘normal’ levels, the leisure sector has once again flourished, as has investment into this area. Whilst some may view Airbnb as a threat to the more traditional establishments, I don’t subscribe to this view. The Australian hotel market is predominantly driven by domestic corporate business and this will not change into the future.

The corporate needs are very much catered for by the existing industry stakeholders. Airbnb, in my opinion will lead to a new class of independent traveler which will only add to the existing demand and benefit the whole of the industry. In terms of issues, Australia will always be a market that has to balance quality and service levels with operational costs. We are an expensive location when it comes to wages and as such our level of product and service is always going to struggle to compete when compared to many of our Asian and Pacific neighbors.

How has the industry changed in the time you have been involved with it?

The players have not changed dramatically, nor has the product in a lot of areas. What has changed however is the way hotels attract and do business. Technology/ Internet has completely streamlined hotels from booking to day to day operations. Consumers have become far more spontaneous and lead in times, whether that be for MICE or FIT, have dramatically shortened as technology has compensated for time.

What changes would you like to see over the next two to five years in the industry?

Having been in the industry for some 30 years, my common complaint is that the hotel rooms around Australia really have not evolved over that time period. It is acknowledged that we are predominantly a corporate domestic market but I still would like to see more innovation in design and fit out of our hotel stock. This is just now starting to occur with some of the ‘lifestyle’ brands that the major international operators have brought to the market but we are yet to see much of this in the local market place. EVENTS Hospitality and Ovolo Group are probably the exceptions with their QT and Ovolo branded assets offering a totally different feel to our traditional hotel stock and a superior level of service.

What is your favourite hotel and holiday destination?

I am by no means a holiday snob and generally look for a location that offers great food and wine options, together with unique golfing options. In that respect, Queenstown is very high on the list for preferred destinations as it has amazing food, wine and golf options…within one of the most beautiful landscapes in the world. In respect of hotels, I don’t have a particular favorite and being in the industry I am always looking to stay at different hotels wherever I travel. Having said that, Huka Lodge in NZ holds fond memories (food, wine & location) as does The Intercontinental at Natadola Bay, Fiji (golf and location).

My wife and I recently stayed at the Ovolo Woolloomooloo and must confess the level of service, attitude of staff and the unique ‘all inclusive offering’ was refreshing from an Australian context. Ultimately, we are fortunate to work in an industry that allows us to travel and experience different hotels/ resorts, countries, cultures and to meet the wonderful people that typify our industry. 

See also:

Atura Edmondson Park Hotel for sale in Sydney Western Suburbs Wayne Bunz Rob Cross CBRE Hotels

Sheraton, Westin and Denarau Fiji hotel resorts sold for $280m