The Las Vegas Condo-hotel Concept Pt. II

As with any potential real estate investment, a buyer should cautiously examine contractual details, make observations, and examine facts before deciding on whether or not a Las Vegas Condo-Hotel is in line with your goals and lifestyle.

• The location of your prospective purchase should be in a desirable area. Although the condo home itself may be a well designed and luxurious unit, location is an important factor in desirability and will most certainly reflect upon the ultimate appreciation of the property.
• Is the unit located in a structure built specifically as a luxury hi-rise, or has the building been converted from a standard hotel or apartment complex into condo units?
• When was the structure built? Some older condo conversion buildings may have smaller floor plans, less desirable locations and fewer amenities, but are usually much less expensive.
• Good management and a developer of excellent reputation is a most important factor in value appreciation of the investment.
• The units themselves increase in desirability if they have spacious, well-designed floor plans, high ceilings, sizeable balconies, impressive views, top quality appliances, granite counter tops, and marble vanities.
• What amenities are available? Among the most desirable features are: a state-of-the-art security system, secured parking, 24-hour front desk, concierge services, work-out room, swimming pool (or pools,) lighted tennis court, on premises maintenance crew, card room, library, clubhouse or meeting room. Nicely landscaped grounds add to eye appeal.

Owner/management agreements generally include the following specifications:

• Amount of net (after deductions) rental revenue shared by condo owner and the management
• Condo-hotel owner responsibilities for insurance, real estate taxes, capital improvements, debt service, etc.
• Management responsibilities, including maintenance, housekeeping, administrative, front office, marketing, other operational expenses, etc.
• Rental program agreement specifying number of days annually that the unit will be available for rental purposes and notice requirements, and contingency procedures

Although it is, of course, not a requirement of purchase to rent a condo-hotel a number of times per year, or rent it at all.  Renting the unit, however, not only defrays owner costs but is profitable as well. In fact, that convenience is the primary reason, of course, that these kinds of units are purchased in the first place.

However, some come-and-go condo hotel owners may eventually decide to stay permanently. In that case, the rental agreement with management would be canceled.

In fact, a condo hotel purchase should be considered similar to investing in a second or vacation home, but with an added part-time rental feature, and hassle-free, with no maintenance or grounds keeping chores to come home to.

Feel free to give us a call at 702.376.0088 with any questions about the Las Vegas High Rise Condo market.

The Las Vegas Condo-Hotel Concept

The veritable explosion of high-rise condo construction in Las Vegas has not only dramatically altered the city’s skyline, but has considerably altered the lifestyle of many Las Vegans, and the repeat visitors to our city.

Prior to  the proliferation of hi-rise condos in Las Vegas, repeat visitors such as vacationers, businessmen and women, and high rollers would primarily check in at a hotel, motel or, depending on the reason and length of stay of the visit, rent a private home on a temporary basis.

The availability of conveniently located luxury condos convinced many of these repeat visitors that it would make economic sense to purchase a Las Vegas Condo home of their own, that in the long run would build equity, and be more cost-effective than renting a hotel room or suite and dining out for every meal.

Additionally, many investors were attracted by the offer of many of the big name luxury hotels such as the Ritz-Carlton, Sonesta, Starwood, Hilton, Trump, Four Seasons, etc. to purchase units (condo-hotel homes) that are part of the hotel structure, or luxury units built as adjacent structures to the hotel, such as Palm Towers, for example.

These condo hotels offer owners who plan to use their purchases as vacation homes, or use the condo intermittently on business trips, the opportunity to temporarily rent out their units when the owners are away.

Benefits are twofold.  The owner agrees to place the property into an organized rental program, saving the unit owner the trouble and expense of self-advertising, and rental revenue, shared with the rental program operator, allows a portion of the rental fees to be credited to the condo owner.

The operator of the rental program who shares rental fees with the owner, performs a number of services on behalf of the property, among which are marketing the unit to temporary renters as a hotel, maintains the property, supervising the front desk, overseeing housekeeping services, providing- concierge services, and food and beverage services.

Another attractive aspect of condo hotel ownership that has appealed to investors is that these units can be sold at anytime by the owner at his/her discretion.

The vacation home convenience and income potential of owning these units was an irresistible attraction to many investors who are frequent Las Vegas visitors, however, these purchases have proven just as vulnerable to the downturn in the nation’s economy as has the rest of the housing industry.

Additional information that a potential condo-hotel unit buyer should be aware of before considering this kind of investment will be covered in a follow up article, and will include such details as:

• Typical buyer/management agreements
• Guarantees –if any – offered to the buyer
• Analyzing the units for best location, amenities, etc.
• Key elements to look for when analyzing the profit potential of a condo-hotel purchase

Feel free to give us a call at 702.376.0088 with any questions about the Las Vegas High Rise Condo market.

One of the premier views on the Las Vegas Strip!  Sky Las Vegas is a sheik building located right on the boulevard.  This corner unit is on the 15th Floor and looks out directly at the famous Las Vegas Strip.  Sky Las Vegas has all the amenities you expect, such as valet, professional front desk service, fitness area, pool with four cabanas, spa, private theater for up to fifteen people, business center and racquetball courts.

This unit is approximately 1,467 square feet with two bedrooms and two full bathrooms.  It features stainless steel appliances in the kitchen, granite counter tops and ceramic tile and carpet throughout.  This property is a short sale and is currently available for a purchase amount of $359,000.

For information on this desirable Las Vegas High Rise Condo or for a private showing, please contact Paul Rowe or Tony Sena at 702-376-0088.

One Queensridge Place high rise luxury towers, located in Summerlin are some of the only vertical real estate located west of the Las Vegas Strip.  Upon arrival to the large majestic iron gates led by pave stone roads, one is inundated by the air of royalty.  The well-manicured landscaping is adorned with statues, a fountain, and a waterfall. These high-end luxury units are one-of-a-kind and range from 1900 square foot condos to almost 22,000 square foot penthouses.  Each condo offers a Strip, mountain and golf course views from their private wrought-iron wrapped terraces.

One Queensridge Place is nestled amongst the Sun Coast Resort Casino and The Badlands golf course while being surrounded by friendly retail shops, specialty restaurants, neighborhood casinos and offers quick and easy freeway access.  These residential structures are drenched in elegance, evident by the intense attention to detail from the decorative chandeliers to the inlayed marble flooring.   There is an overwhelming feeling that ensues while roaming the stone walled hallways that would bring one back to medieval times.

These condos offer an impressive list of amenities that contends with anything currently offered. There is an indoor salt water lap pool, an outdoor salt water pool with Jacuzzi, outdoor BBQ and kitchen area, full gym including free-weights and a palates’ training room, breakfast bar, Billiard’s room, private poker tables with wet bar and wine chiller, theater with popcorn maker, 24 plush electric recliners, and surround sound, business room including computers and flat-screen presentation, wine tasting room with private storage bins, wine opener, dining area, catering rooms with kitchen, great room with flat screen TVs, barista café, men’s and women’s roman style spas, sauna, message room, underground parking and a private dog park. It is an experience one would never forget.

For a private tour of One Queensridge Place, please give Dale Jones a call at 702.376.0088 or complete our inquiry form to the right.