Buyers recognize that condo hotels are some of the most desirable real estate to own. They are first-class properties located on prime land. Buyers like the fact that they can own a hassle-free, luxurious vacation home that also generates rent revenue.

For the developer, condo hotels make good financial sense. Construction loans for condo hotels are often cheaper and easier to obtain than hotel construction loans.

The developer of a condo hotel can recoup much of their construction costs up front, in some cases breaking even upon completion. Plus they still receives approximately 50% of the revenue stream from the rental of the condo hotel units and retains whole ownership of the property's meeting facilities, restaurants, lounges and spas.

Finally, if the condo hotel is operated by a major branded manager, the developer will be able to sell the units at a premium and receive a higher rate of return than they likely would have if developing a traditional hotel or condominium.

We at eXceed Hospitality Asset Advisors specialize in all types of mixed use / residential / condo-hotel / fractional or whole ownership aspects of a property either during inception / through design and construction / asset management once the property is completed.