A condohotel is a
hotel developed under a legal structure characterized by multiple
owners of discrete portions of the property. Accordingly, the skill
set required to properly structure a condohotel includes, in addition
to knowledge of hotel development and operational issues, an understanding
of the structuring of the condominium in a manner that minimizes
inefficiencies in operating the hotel and maximizes returns to
the developer, the unit owners and the third party hotel operator.
Some of the primary issues to be considered include the following:
- Creating a structure that provides a high degree of operator
control over the building and facilities.
- Providing an appropriate allocation of expenses and reserve
requirements.
- Maximizing controls over room inventory.
- Minimizing securities law exposure.
- Minimizing issues that detract from efficient hotel operations.
The three aspects of a condohotel development
that require document preparation are the condominium structure,
the rental program agreement and the hotel management agreement
or lease of commercial space.
In planning the legal and business structure
and drafting the documents described above, a good deal of care
must be taken in avoiding Federal
and state securities law violations. This is a challenging area
for the developer as the existing state of the law is at odds with
traditional real estate marketing practices. The Leisure and Resorts
Group has been through these issues on many projects and has found
that many transactions have unique aspects which allow the developer
to reduce the restrictions imposed by existing securities laws which require creative marketing and legal approaches. |
The following is a list of condohotel projects
that the Leisure and Resorts Group has been involved in recently.
Structures are somewhat jurisdictionally specific and we associate
local counsel to evaluate structuring options that we identify.
- The Lodge at Mount Mansfield - Stowe, Vermont
- Regent One Bal Harbour - Bal Harbor, Florida
- The Resort at Singer Island - Singer Island, Florida
- Conrad Bimini Bay - North Bimini, The Bahamas
- The Mayfair - Coconut Grove, Florida
- Trump International - Sunny Isles, Florida
- The Atlantic (Starwood) - Fort Lauderdale, Florida
- Regent Winter Park - Winter Park, Florida
- The Watermark Luxury Collection Resort - Providenciales, Turks and Caicos
- Mandalay Resort - Key Largo, Florida
- The Saxony Resort and Residences - Miami Beach, Florida
- French Leave Resort and Residences - Eleuthera, The Bahamas
- Cotton Bay Resort - Eleuthera, The Bahamas
- Mixed Use Resort – French Polynesia - French Polynesia
- Regent South Beach - Miami Beach, Florida
- LeMeridien Resort - Sunny Isles, Florida
- Aqualina - Sunny Isles, Florida
- The Q Club - Fort Lauderdale, Florida
- Miromar Lakes - Estero, Florida
- Las Casita at Wyndham El Conquistador - Fajardo, Puerto Rico
- Sheraton Hotel - Barra do Tijuca, Brazil
- Portfolio of Brazilian Flats-Hotels
- Presidian - Biloxi, Mississippi
- Westin Innisbrook - Tarpon Springs, Florida
- Mutiny on the Bay - Coconut Grove, Florida
- Sonesta Mutiny on the Park - Coconut Grove, Florida
- Mixed Use Resort - Orlando, Florida
- Mixed Use Resort and Casino - Las Vegas, Nevada
- Harborside - Ruskin, Florida
- Maranu Luxe Bungalow Resort & Spa - Marathon, Florida
- Eden Springs Resort & Spa - Orlando, Florida
- Casa Del Mar Hotel and Suites - St. Augustine, Florida
- Condominium Hotel - Jackson Hole, Wyoming
- Naples Bay Resort - Collier County, Florida
- Scrub Island - Scrub Island, British Virgin Islands
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