Hotel & Motel Management - January 7, 2008 - (Page 44) 44 Special Report H&MM January 7, 2008 | HotelMotel.com www.HotelMotel.com/digital_edition REAL-ESTATE DEVELOPMENT & INVESTMENT Mixed use on the menu for resort development By Allie Johnson CONTRIBUTING EDITOR T he resort segment is constantly changing, so resort developers must be forward thinking and flexible. At The Americas Lodging Investment Conference, to be held Jan. 28-30 at the Hyatt Regency Century Plaza in Los Angeles, BE PRO-ACTIVE! Protect your mattress and box spring investment. BugLock™ Patent pending ALLER-ZIP™ a panel discussion, “The Resort Segment Isn’t Just About Hotel Rooms Anymore,” will focus on what the future of resort development holds. The current climate makes resort development exciting and challenging, panelists said. Developers must choose from an ever-shrinking menu of locations, find ways to navigate the complex world of mixed-use developments—which basically are a necessity in today’s market—and respond to a new breed of luxury traveler. The challenge of building mixed-use properties seems to be the hottest topic in resort development right now. That’s because, panelists said, it is nearly impossi- ble today to build a new resort that is not mixed use. “To afford to put in a great resort, you usually have to have land sales of some sort of residential properties,” said panelist John Ueberroth, chairman and c.e.o. of Preferred Hotel Group in Chicago. “The buzzword is mixed use.” A combination of factors is playing into the mixed-use boom, said panelist Mark Sharkey, c.o.o. of Remington in Dallas. These include high construction costs, resulting partly from a high worldwide demand for raw materials, especially in China; the price and scarcity of land; and the fact that it’s difficult to find capital right now because many investors are not willing to take the risk in an uncertain market. “You just can’t build and sustain a luxury hotel at a sufficient rate of return on investment without having profits from the sale of residential property to offset initial construction costs,” Sharkey said. Given the current difficulty of finding capital, branding has become even more important, panelists said. “Having a brand certainly lends an additional level of credibility to a project,” said panelist James O’Donnell, v.p. lodging development for RockResorts International in Broomfield, Colo. “It definitely has grown in importance.” Waterproof Breathable 100% Cotton Miracle Membrane® Petra Minoff – V.P. Sales t: 847-452-3855 toll free: 866-437-6580 petra@protectabed.com Protect-A-Bed Chicago www.myprotectabed.com Name of panel: “The Resort Segment Isn’t Just About Hotel Rooms Anymore” Time of panel: 11:30 a.m.–12:45 p.m., Jan. 29 Panelists: Richard R. Dusseau, c.e.o., Spatality; James C. O’Donnell, director of acquisitions and development, RockResorts International; Michael S. Shannon, managing director, KSL Capital Partners; Mark A. Sharkey, c.o.o., Remington; John A. Ueberroth, chairman and c.e.o., Preferred Hotel Group News Briefs Wyndham Hotels and Resorts developed a marketing strategy in part to build revenue via marketing to Generation X consumers. The brand will be the official lodging sponsor for Cirque du Soleil touring shows Saltimbanco, KOOZA and Corteo for two years. To reach families, the brand partnered with VTech Electronics North America to provide educational gaming systems in more than 3,000 Wyndham family suites through March 31. The brand’s Wyndham ByRequest guest recognition program will add Wyndham Hotel Group’s TripRewards loyalty program points. Wyndham ByRequest members will be eligible to earn and redeem TripRewards points for hotel stays and merchandise at many retail outlets. The brand also announced it will implement allergen-free guestrooms and meeting spaces starting with its managed hotels. Compiled by Stephanie Ricca, sricca@questex.com CIRCLE NO. 148 CIRCLE NO. 142 CIRCLE NO. 172 http://www.HotelMotel.com http://www.HotelMotel.com/digital_edition http://www.myprotectabed.com http://www.myprotectabed.com http://www.jmbm.com/thdc http://www.jmbm.com/thdc http://www.jmbm.com/thdc
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