Daytona Beach Resort Hotel & Suites
This is how they now call what we have known for years as Daytona Beach Resort & Conference Center. But it is just the name change, nothing else. Let us look at what is happening there now.
In October 2016 the resort has suffered damage from Hurricane Matthew. Guests had to leave. We did not think much about it, but the damage turned out to be way more extensive, than what we thought.
A year ago, I wrote about the resort and said that its fate was not clear. What was clear is that they were facing a very extensive restoration work, which would be coming with a sizable Special Assessment, and the only question was whether they would manage to keep it running, and not close the resort, or it would be better for them close the building and do everything at once, and be done.
We have the answer now. The resort was closed for business as of August 1, 2018. The assessment at a tune of $9,000 per unit has already been paid. Now they are facing between 9 to 12 months. All this time without income, yet paying Association dues, taxes, and insurance…
The interesting part was that even with all that, just days after the resort shut its doors, the transactions continued. Units 342 and 1210 went under contract in August.
Go figure…
Anyway, currently, there are 32 units for sale. In any other time, that would be a crazy number, but not now. Major work and closing doors would cause this flood of listings, but there is something else in Daytona Beach Resort Hotel & Suites.
The developer has been keeping 60 units off the sales for way over a decade, and now I see more than a dozen of them for sale. Why is the developer doing it? Probably he needs another $1.5 Mil – $2 Mil to put in his other project in Georgia. While this is a simple explanation, it is probably true.
I am not sure we would be seeing a lot of selling activity in this resort. People tend to avoid properties in the midst of construction. And this might affect the prices, especially, when it takes so long to get the property back to operation.
For the Sellers competing with the developer, throwing over a dozen units on the market, is not the greatest news. A lot of inventory never helps sales.
For Buyers, who have set their eyes on this resort, knowing all the facts, it is just a matter of price. Afterall, Daytona Beach Resort Hotel & Suites is a decent resort.
