Scope of Work
Horwath HTL was engaged to provide a detailed location and site analysis for this exciting project. The location is in the northern region of the Berkshires a popular east coast leisure destination. The site is located on the side of a mountain and had recently received approval to build a 46-unit glamping resort for six months of the year.
Description of Project
The project will include 46 two-key glamping units and a significant spa facility. The site includes a large pond and existing lodge, pole barn and heritage farmhouse with related utility buildings. This was a difficult project to assess as even though many outdoor activities are available in the region, there is no comparable resorts in this area of New England. We concluded, however, that subject to certain conditions, including the approval of year round operations, the hotel be managed by a known spa or wellness brand, which will provide much needed technical services for the developer.
The client is submitting for year-round use and looking to engage Horwath HTL to conduct an operator selection process.
Overview: The resort was built over a 220-year period covering 6,500 acres of land with three golf courses and a 500-lot residential development with its own private golf course.
Overview: Horwath HTL Virginia was instructed to prepare, on behalf of a global operator, a due diligence report on the hotel component of a mixed-use development. The valuation was overseen by the Virginia office with support from the New York City office.
Overview: Horwath HTL was instructed to prepare, on behalf of a national lender, a Market Value of the resort to include the valuation of an expansion along with determining the effect of a tax abatement. The valuation was overseen by the Virginia office with support from the Miami office.
Solution: The assignment was challenging due to its required short closing time frame, its brand affiliation relative to its location and operational challenges as it related to the expansion and government tax credits. Horwath HTL was able to provide the US based lender a quick turnaround of a market valuation of the hotel asset.
Implementation: Our valuation supported the successful closing of the loan in the required time frame.
A hotel developer in Country A purchased resort land in Country B. Three years later, government of Country B informed land owner that the deed was issued in error and purchaser really owned another parcel away from the beach. The land purchaser asked to reverse the transaction but Country B claimed the land had no value as it would not have been feasible to develop a resort in such a remote location.
Country B hired the development president of a major global hotel company to testify regarding the traditional (ULI approved) feasibility determination process. Horwath HTL expert testified that the Country B expert was, in fact, correct regarding traditional hotel development. However, for non-traditional brands, such as the one selected for the subject property, the journey to remote locations was part of the thrill of the experience, and the brand’s expertise was key to developing a resort in remote locations, as this brand had done in other parts of the world.
Awaiting determination of World Court Tribunal