Condotels Meet Investors Business and Leisure Objectives
Below is a MRR and PLR article in category Finance -> subcategory Real Estate.
Condotels: A Perfect Blend of Investment and Leisure
Summary
Condotels seamlessly meet investors' business and leisure objectives by providing luxurious amenities and a share in rental revenues.Introduction
Imagine owning a vacation home that generates income while you're not there. John Thomas, originally from London, experienced the drawbacks of traditional vacation home ownership in Metro Manila, Philippines. After tenants vanished and a caretaker absconded with the rent, he decided to switch to a more lucrative investment: condotels.The Condotel Experience
Mr. Thomas now owns units in condotels in Manila and Cebu, enjoying rental income whenever the rooms are booked. His family plans to spend their 2007 summer holiday at the Lancaster Suites in Manila, a premier condotel managed by Pacific Concord Properties under the Lancaster brand. With his units rented for 11 months a year, Mr. Thomas can fund an additional trip to the Philippines during Christmas.Investment Potential
Expectations like Thomas's are fueling the condotel market in the Philippines. Owners of Lancaster Condotel units receive 60% of any generated rental income, offering a lucrative opportunity. The Lancaster Atrium alongside the upcoming Lancaster Suites Manila, which boasts studio, one-bedroom, two-bedroom units, and penthouses, is central to this real estate boom.The Lancaster Atrium will function as a four-star hotel complete with amenities like a mall, restaurants, a business center, and exclusive club facilities. Units are priced between $150 to $250 per square foot, with completion targeted for December 2009.
Expansion and Future Projects
The demand for luxury condotels is extending beyond Manila, with new projects planned in Cebu. Prices range from $150,000 for standard suites to $800,000 for grand penthouses, with offerings including sea views and high-end furnishings. These new developments near key locations like the Cebu Convention Center and airport are expected to have strong occupancy rates year-round.Condotel Roots and Financial Advantage
Condotels began in the 1980s but gained traction post-1997 Asian Crisis, offering a solution for developers facing financing challenges. They allow buyers to have a vacation space while earning rental income without the hassle of property management. Condotels typically cost 10-20% more than residential condos but promise higher returns due to shared rental income. Monthly maintenance is comparable to traditional condos, but the anticipated 12-16% ROI is significantly higher.Conclusion
Investing in a condotel integrates you into the thriving hotel industry, with big names like Shangri-La and Marriott expanding in the Philippines. Mr. Thomas, who acquired his Manila units for under $45,000 and $85,000, expects rental revenues to comfortably cover his mortgage, making condotels a smart and profitable investment.Beth Collingz
Director - PLC International Marketing Networks
You can find the original non-AI version of this article here: Condotels Meet Investors Business and Leisure Objectives.
You can browse and read all the articles for free. If you want to use them and get PLR and MRR rights, you need to buy the pack. Learn more about this pack of over 100 000 MRR and PLR articles.