• As Investments
• Condotels Rental Policy
• Condotel Fractionals
• Condo Hotels vs. Traditional Condominiums
• Converting Existing
• Living Restrictions at Condo Hotels
• Personalizing Your Unit
• Renting Out Your Unit
• Management Company
• The Appeal of Connecting Condo Units
• Condo Hotels- Who’s Buying and Why?
• How Condo Hotels Rental Programs Work
• Florida Condos
• Press Release

Converting Existing Hotels into Condo Hotels

Converting existing hotels into condominiums is truly a brilliant way to revamp the hotel industry. Although not a new concept, condo hotels have re-emerged as the hottest financial structuring device to pump new life into the travel industry.

Before the foundation is laid, financing a condo hotel is the main objective for developers. Presales provide equity credit funding the normal 40% needed for construction costs to be reduced to as little as 10% out of pocket.

It is understood by most developers that every hotel is not fit to be a condo hotel. The chosen few should possess characteristics in their location, ambience, service, and brand that drive ordinary people to want to invest money in their selected hotel.

Hotel to condotel conversions are steadily growing in areas like Florida, New York, and Las Vegas. Demand has surpassed the developer’s ability to supply units fast enough in some areas. The majority of condo hotels sell out before they exist. They are sold "turn key" which means everything is included in the unit from linens to furnishings and design.

Current condo hotel conversion projects include the St. Regis Resort & Residences in South Florida, which will be built on the current Sheraton Bal Harbor site. Another is Canyon Ranch Living in Miami Beach, which consists of 151 two and three bedroom suites.

Condo hotel unit owners benefit most from existing hotel conversions since they have the advantage of seeing what they are investing in, as well as the benefit of using the professional management personnel already in place to handle marketing, reservations and property maintenance, as well as their expertise in knowing the proven track record and history of the property. Investing in existing condo hotel conversions also avoids the delays in actually taking ownership of the investment through unforeseen issues in construction affected by supply shortages and weather. There is no wait time between making the decision to invest, and enjoying the satisfaction of ownership immediately.