Because of the lack of resale data available for many of the emerging markets where preconstruction condo hotels can be found, experts heed caution when considering condo hotel purchase for investment purposes alone. condo hotels, and especially branded hotels like Westin or RitzCarlton, are strategically located in resort economies or popular urban destinations, which allow for high nightly rates and consistent yearround occupancy. Rental income from hotel guests is at the mercy of travel patterns and decline.

Just like traditional real estate, appreciation is never guaranteed. Although the revenue splits between owner and management company do vary from project to project, hover around percent. Typical monthly fees for units in the rental pool include FF&E reserve and resort fees. Condo hotels units are fee simple deeded real estate, and can be bought and sold like other forms of real estate. Rental income from hotel guests is at the mercy of travel patterns and decline.

Because of the lack of resale data available for many of the emerging markets where preconstruction condo hotels can be found, experts heed caution when considering condo hotel purchase for investment purposes alone. Condo hotels units are fee simple deeded real estate, and can be bought and sold like other forms of real estate. Typical monthly fees for units in the rental pool include FF&E reserve and resort fees. This very scenario recently occurred in Las Vegas. Several of the more notable condo hotels have sold for less in the resale market than during preconstruction..