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My Quest serviced apartment investment in NSW has been an absolute disaster. After all the apartments have been sold to investors, Quest then sell the franchise to an operator who becomes the tenant and has bought the right to use the Quest name for the business. If you end up with a bad tenant as we have, the lease allows them to rip off the owners left, right and centre. After the first 5 years, the tenant offered us a 35% reduction in rent for the next term and we have been fighting through the legal system ever since. Our tenant simply makes deductions from the rent whenever he feels like it, often with no notification and no paperwork to show what work was supposedly done on our behalf, without our approval. Apparently most serviced apartment leases in NSW are based on the Quest lease, and my advice would be not to touch any of them with a 10 foot barge pole. The system in Queensland for all serviced apartments is much better as the owner always has the option to terminate the lease with 90 days notice, so it's in the tenant's interest to work cooperatively with the owners and keep them happy.
