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The Condo Hotel Craze by Christine Hancock

What started in strictly resort areas is now branching out into all major metropolitan areas. Most of the larger worldwide hotel chains now sell condo hotel residence.

Much of the condo hotel market in the U. S. started in Florida. The residences there command 600,000-800,000 for a studio. I bedrooms start around $750,000. $1,000,000. 2 Bedrooms Start over the 1,000,000 price range.

These permanent residences feature all the furnishings and amenities of a luxury hotel -- such as world-class restaurants, 24-hour concierge, security, valet, housekeeping, and room service.

Joel Greene of the Condo Hotel Center says a rental option provided by the condo hotel management company allows owners to receive a portion -- often about 50 percent -- of the rental income of their specific unit when away.

Taylor says developers favor waterfront, mountainside, and downtown areas with strong demand for upscale lodging. Myrtle Beach, S.C.; South Florida; and Las Vegas have fast-growing condo-hotel markets that favor high-end travelers and boomers looking for a high-amenity pied-à-terre. Chicago, Washington D.C., and Phoenix are starting to get in on the condo hotel market, the most notable is the Trump Building in Chicago, studios are starting at $800,000.

"Boomers are looking for a vacation lifestyle of spacious accommodations, dining activities, and entertainment," Taylor says. "They demand extra services and luxurious amenities."

Here's how the Condo hotel concept works. You purchase a condo/hotel in a world class hotel. Use the residence whenever you like. When your away, put the residence in the hotel's rental program and share the revenue with the hotel. The hotel's management company takes care of all the management issues such as cleaning, renting and maintaining.

These residences offer the best of both worlds, a hassle free residence in a world class luxury hotel with rent revenue that you receive helps offset the costs of owing a 2nd or 3rd home. As well as the potential for appreciation.

About the Author

Christine began her real estate career proving herself a top producer on a new high rise development. This experience gave her valuable knowledge of construction as well as the buying process and resulted in 4-million dollars in sales during her first year.