FYI
SRIA debates condo hotel limitations BY LISA NEWELL Gulf Breeze News lisa@gulfbreezenews.com
While the Santa Rosa Island Authority debates imposing a square footage limit on any new condominium hotel units built on Pensacola Beach, developers claim size regulations limit the ir economic opportunies.
Pensacola Beach reached its limit on condominiums and many developers are proposing condo-hotels to supplement existing hotel rooms.
The SRIA’s proposed regulation limits any future condominium hotels to build 90 percent of the units at less than 500 square feet and 10 percent at over 500 square feet, limit the amenities in the units and limit the length of stay to prevent people from taking up residence in the units.
At issue is making available a blend of condominiums and hotels to attract a diverse mixture of tourists and encourage patronage at island restaurants and shops. Those who stay in condominiums tend to visit the grocery store and cook in their units rather than visit area hotels.
Although many hoteliers claim the proposed condo hotel units will be limited to two weeks’ stay by the owner, SRIA attorney Matt Dannheisser told the board that under Florida law, an owner cannot be required to make a unit available for rental.
In some South Florida communities, condominiums intended to be rental units are becoming second homes as the population ages and desires to retire to sunny Florida.
Currently there are 12 hotel leases on Pensacola Beach, but many of those operating as hotels were demolished due to hurricane damage. Now, some of the property owners want to rebuild as condominiums to provide capital at the front end of the project.
Baker Clark, owner of the Five Flags Inn property, told SRIA members that the term “condominum hotels” refers to the method of financing the projects with individual owners.
Clark said that limiting the size of and amenities in the condo hotels will limit choices by investors and potential development. He said investors will compare Pensacola Beach investment options with those in Orange Beach, Destin and other surrounding areas.
Clark said for example, the Best Western hotel chain requires a 3.5 c.f. refrigerator and a 1.3 c.f. microwave in each unit.
Roger Wiegner of Surf and Sand Realty, the firm marketing the tower addition to the Hilton Garden Inn, said price point is what drives the majority of investors for condo hotels in the tower. He pointed to comparable developments in Las Vegas, Fort Lauderdale and Biloxi that have units ranging from 611 square feet to 1,657 square feet.
“They are preselling a fully equipped unit with no restriction on the length of stay,” Wiegner said.
Richard McAlpin, owner of the Comfort Inn on Pensacola Beach, said traveling families demand larger accommodations such as those available in larger condo hotels.
“Hotel financining is tough, and it’s doubly tough on the island,” McAlpin said. Condominium financing a more feasible option, he said.
Julian MacQueen, owner of Innisfree Hotels and one of the developers of many proposed beach projects, said the policy as it is written would eliminate several major hotel chains, including Staybridge, Candlewood, Marriott Residence Inn, Homewood Suites, Hawthorne Suites and Summerfield Suites.
MacQueen told the board that rising land costs will limit future growth on the island.
The SRIA’s goal is to attract storm term visitors who will visit restaurants and shops and contribute to the bed tax.
The SRIA board decided to
revisit the matter in a future meeting. limitations
While the Santa Rosa Island Authority debates imposing a square footage limit on any new condominium hotel units built on Pensacola Beach, developers claim size regulations limit the ir economic opportunies.
Pensacola Beach reached its limit on condominiums and many developers are proposing condo-hotels to supplement existing hotel rooms.
The SRIA’s proposed regulation limits any future condominium hotels to build 90 percent of the units at less than 500 square feet and 10 percent at over 500 square feet, limit the amenities in the units and limit the length of stay to prevent people from taking up residence in the units.
At issue is making available a blend of condominiums and hotels to attract a diverse mixture of tourists and encourage patronage at island restaurants and shops. Those who stay in condominiums tend to visit the grocery store and cook in their units rather than visit area hotels.
Although many hoteliers claim the proposed condo hotel units will be limited to two weeks’ stay by the owner, SRIA attorney Matt Dannheisser told the board that under Florida law, an owner cannot be required to make a unit available for rental.
In some South Florida communities, condominiums intended to be rental units are becoming second homes as the population ages and desires to retire to sunny Florida.
Currently there are 12 hotel leases on Pensacola Beach, but many of those operating as hotels were demolished due to hurricane damage. Now, some of the property owners want to rebuild as condominiums to provide capital at the front end of the project.
Baker Clark, owner of the Five Flags Inn property, told SRIA members that the term “condominum hotels” refers to the method of financing the projects with individual owners.
Clark said that limiting the size of and amenities in the condo hotels will limit choices by investors and potential development. He said investors will compare Pensacola Beach investment options with those in Orange Beach, Destin and other surrounding areas.
Clark said for example, the Best Western hotel chain requires a 3.5 c.f. refrigerator and a 1.3 c.f. microwave in each unit.
Roger Wiegner of Surf and Sand Realty, the firm marketing the tower addition to the Hilton Garden Inn, said price point is what drives the majority of investors for condo hotels in the tower. He pointed to comparable developments in Las Vegas, Fort Lauderdale and Biloxi that have units ranging from 611 square feet to 1,657 square feet.
“They are preselling a fully equipped unit with no restriction on the length of stay,” Wiegner said.
Richard McAlpin, owner of the Comfort Inn on Pensacola Beach, said traveling families demand larger accommodations such as those available in larger condo hotels.
“Hotel financining is tough, and it’s doubly tough on the island,” McAlpin said. Condominium financing a more feasible option, he said.
Julian MacQueen, owner of Innisfree Hotels and one of the developers of many proposed beach projects, said the policy as it is written would eliminate several major hotel chains, including Staybridge, Candlewood, Marriott Residence Inn, Homewood Suites, Hawthorne Suites and Summerfield Suites.
MacQueen told the board that rising land costs will limit future growth on the island.
The SRIA’s goal is to attract storm term visitors who will visit restaurants and shops and contribute to the bed tax.
The SRIA board decided to
revisit the matter in a future meeting. limitations
posted by Pensacola Beach No High Rises !! at 9:26 AM
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