The fate of the condo-hotel market
Author: Diana Heeb Bivona
Like a roller coaster ride at your favorite amusement park, the condo-hotel market is expected to surge upward and then plunge downward. Lodging Econometrics, which monitors hotel real estate trends, is predicting that demand for condo-hotel units in several resort markets, including Las Vegas, will soon soften.
While 76 of the 103 projects scheduled to open by the end of 2008 are already underway, several others may be cancelled due to a lack of financing and interest. Many agree that the market for condo-hotels is softening, but caution against resigning all condo-hotel projects to the same fate. It the project is well-conceived and planned out, it is likely to find buyers and move ahead.