Articles Posted in Hotel Mixed-Use

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Author of www.HotelLawBlog.com
12 November 2006
Condo Hotel Lawyer on “in lieu taxes.” On November 7, 2006, the voters did more than put the Democrats in power in Washington, D.C. In Indian Wells, a wealthy desert resort community near Palm Springs, California, a 82.48% landslide vote approved Indian Wells Measure P — a condo hotel tax. Some think that the Indian Wells measure will serve as a model tax for the country. Others just fear it will stifle development and spread nationwide like a virus.

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Author of www.HotelLawBlog.com
11 November 2006
Hotel Lawyer on hotel-mixed use. Earvin “Magic” Johnson Hotels? Well maybe not yet, but Bloomberg reported yesterday (November 10, 2006) that basketball Hall-of-Famer, Earvin “Magic” Johnson has just announced a $1 billion Atlanta mixed-use development with hotel, residential and retail components to revitalize three blocks of Atlanta’s midtown area. This is interesting for several reasons.

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Author of www.HotelLawBlog.com
8 November 2006
Condo Hotel Lawyer on “The Splits.” A few days ago, in a posting called The “Splits” — One size does not fit all, I emphasized the importance of achieving fair and realistic “splits” of revenue among all the stakeholders in a condo hotel or other hotel mixed-use property. These stakeholders might include condo hotel unit owners, timeshare or fractional owners, pure residential unit owners, and retail or commercial unit owners (e.g. the owners of the spa, waterpark, restaurant, parking operator or sundries store).

The key to getting the right splits and a viable condo hotel regime structure is a fair and reasonable allocation of all expenses and revenues involved in the project. As a starting point, you might allocate expenses on the basis of square footage use, revenues generated or other rational basis. But what items should be allocated to whom? How do accomplish a fair allocation?

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Author of www.HotelLawBlog.com
6 November 2006
Condo Hotel Lawyer on customizing the “Splits” for your project. As hospitality lawyers and business advisors, my partners and I spend a lot of time with our hotel developer clients determining the appropriate “splits” for their condo hotel projects. How to split — or divide — revenues earned from renting a condo unit between the unit owner, the hotel operator, and other stakeholders, is critical to a condo hotel’s success. So let’s look at some of the considerations.

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Author of www.HotelLawBlog.com
28 October 2006
Spas have become one of the hottest amenities for hotels and hotel mixed-use projects. JMBM’s Global Hospitality Group® has worked on enough spa agreements, spa financings and spa management agreements, however, I had never stopped to think about what the word “spa” means or where the word came from. But while celebrating the 25th anniversary of founding Jeffer, Mangels, Butler & Marmaro, I was with the other Founders of the Firm at the Four Seasons George V in Paris, and I learned one interesting story on the meaning and origin of the word that now describes such an important part of our industry. I thought you might like to know it too.

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Author of www.HotelLawBlog.com
26 October 2006
Hotel mixed-use is catching on in developing markets — particularly Mexico, as I mentioned in a recent posting about Donald Trump building the $200 million Trump Ocean Resort in Baja, Mexico. (See “Mexico is white hot“) Some recent statistics confirm that Trump is on to something. More and more Americans are buying or considering second-homes in Mexico, with important implications for the hotel industry.

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Author of www.HotelLawBlog.com
20 October 2006
Yesterday, I said that hotel mixed-use developers should pay attention to two breaking news items. One was Barry Sternlicht’s “1” Hotel and Residences. The other is Hilton’s plans announced October 18, 2006 to add Waldorf=Astoria branded Residences to the top of the Conrad Hotel Las Vegas. Both of these announcements emphasize the importance of brands in the hotel industry and creation of two high end brands by industry power houses in two very different ways. Sternlicht is creating a fresh, new eco-friendly brand from scratch. Hilton is seeking to build its brand from the base of an internationally recognized icon.

But beyond all that, why is this significant?

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Author of www.HotelLawBlog.com
19 October 2006
Hotel mixed use developers should pay attention to two lead items today which I noticed in Hotel-Online and Hotel Business. Barry Sternlicht’s Starwood Capital has announced 5 new hotel mixed-use developments — launching a new hotel brand called “1” Hotel and Residences. At the same time, Hilton announced the Waldorf=Astoria branded Residences for its big hotel mixed-use project in Las Vegas. What are these developments about and what potential significance do they have?

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Published on:

Author of www.HotelLawBlog.com
18 October 2006
At the Arizona Hotel Conference in Phoenix a few weeks ago, I was struck by how it seemed that talk of hotel development in China, India, Mexico and Europe dominated so many conversations and conference presentations. Is this the beginning of new era of hotel development outside the U.S.?

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Published on:

Author of www.HotelLawBlog.com
12 October 2006
Is your hotel spa practicing medicine without a license?

Mixing a spa with a hotel is not new. Spas are one of the fastest growing hotel amenities, and according to the latest PricewaterhouseCoopers study, approximately 40 percent of luxury and upper-upscale lodging projects under development in the US have spa facilities and services, compared to 27 percent of existing luxury and upper-upscale hotels that have spa facilities and services. But spa proliferation and consumer demands pose new legal problems for the owners and operators of spas and affiliated hotels or other properties.

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