Caribbean Hotel & Resort Investment Summit

PUBLIC/PRIVATE TRACK: FINANCING OPPORTUNITIES WORKING WITH THE PUBLIC SECTOR Moderator: Robert MacLellan, Managing Director, MacLellan & Associates Panelists: Roland “Andy” Burrows, Chief Investment Officer, Bermuda Tourism Authority Adam Greenfader, Managing Principal, AG & T Warren Newfield, Principal, Kimpton Kawana Bay John Perrottet, Senior Tourism Specialist, World Bank Group UNCODE.initRow(document.getElementById("script-664510"));While HOLA was about ties and dark suits CHRIS was all open shirts and  Bermuda shorts. Supply demand, and REVPAR and ADR continue to grow for the Caribbean region.  Insurance policy corrections will be looked at more closely than ever. Banks are approaching the peak, and are “cautiously optimistic” about the future. Dominican Republic continues to take the lead in new hotel construction according to the KPMG’s report on Caribbean. Puerto Rico has the third most inventory under construction with 549 new hotel keys.  25% of St. Martin/Marteen hotels are on line and Dutch government very proactive for new development.  Enthusiasm is high for Qualified Opportunity Zones Big picture takeaway is that the Hurricanes of 2017 affected not just those islands that were hit but all islands. Caribbean needs to think promote as a whole region.   UNCODE.initRow(document.getElementById("script-987967"));UNCODE.initRow(document.getElementById("script-213686"));


Micro Apartments: Redefining Functionality

UNCODE.initRow(document.getElementById("script-209054"));As the idea of developing micro units becomes more prevalent, we must rethink how to functionally furnish them within a limited amount of space. The size of a micro units is typically less than 350 square feet and just like any other unit, the kitchen and bathroom are permanently fixed. Due to the smaller size you can’t fit a standard, bed, couch, dining table set or even store your other belongs efficiently. So, if developers want to sell or lease micro units they must provide potential consumers with hassle free furniture and storage solutions. Resource Furniture (https://www.resourcefurniture.com), a distribution company specializing in functional multipurpose furniture for small spaces, is committed to raising the bar when it comes to furniture functionality, quality and sustainability. Their furniture ranges from murphy style beds that transform into desk and seating area that can be used for everyday task. Advances in technology are also assisting with the way we can furnish micro units. Powered by modular robotics, Ori (https://www.orisystems.com) is a modular system that includes a full or queen-sized bed, closet space, a desk and much more, developed by a start up from MIT’s Media Lab and designer Yves Behar. With the simple touch or voice command, this system seamlessly allows you to adapt the space in your unit for any activity. The Ori system can be installed in both existing and new buildings and can be assembled on site and can be plugged into a conventional electrical outlet. Besides the attractiveness of space conservation, incorporating hassle free modular or transforming furniture will allow developers to charge consumers a higher premium for furnishing the unit. Both parties benefit and the consumer will be satisfied knowing that they can live comfortably and efficiently in a smaller unit…and might never have to “make the bed.” UNCODE.initRow(document.getElementById("script-176951"));UNCODE.initRow(document.getElementById("script-144196"));


Magnetic Elevators and the New Air Rights Boom

UNCODE.initRow(document.getElementById("script-137843"));  Before the invention of the modern-day elevator in 1853, we were limited on how high we could build without walking the stairs being extremely uncomfortable. The elevator revolutionized how we built, we build higher and higher, the sky’s the limit! Elevators are either on a vertical lift or pulley system but, now we move vertically and horizontally within the same elevator. How? I thought that was only possible in movies such as Charlie & the Chocolate Factory. Well the future of elevators is Magnets! German company ThyssenKrupp (https://www.thyssenkrupp.com/en/)  has announced that the era of elevators being pulled up by cables is over and the era of magnetically operated elevators are the new thing. The future of the way people move inside buildings will be changed by The MULTI revolution in elevator construction, providing completely new perspectives and a whole new world of opportunities for developers, architects, planners, and operators. ThyssenKrupp proposes employing linear motors in which several elevators can be used in one single shaft simultaneously both vertically and horizontally. This innovation creates shorter wait times, increased capacity, reduced weight and mass, and 25 percent more usable floor space. With taller skyscrapers being developed this innovation will be critical and have a direct effect on an owner air rights. As we continue to build higher with the introduction of MULTI and with restrictive zoning codes with a cap on height, smaller developments air rights will become increasingly more valuable. Combined with new technology and the ability to sell more air rights, we now have more incentives to create more density in urban areas.         UNCODE.initRow(document.getElementById("script-119788"));UNCODE.initRow(document.getElementById("script-271991"));


Modular Housing: a viable solution to increasing costs

UNCODE.initRow(document.getElementById("script-169429"));UNCODE.initRow(document.getElementById("script-695273"));As construction cost continue to increase, we must find more affordable solutions. One Solution may be modular construction. What is modular construction? Modular construction is a process in which a building is constructed off-site, under controlled plant conditions, using the same materials and designing to the same codes and standards as conventionally built facilities. It has been proved that building units offsite reduced the construction time in half. Constructing units offsite allow for more quality control and more flexible when it comes to design. While the units are being prepared off-site, the building structure is also being simultaneously built. So once the units are complete, they can be transported and inserted directly into the structure. This also can be a solution to unexpected natural weather conditions which can extremely delay construction. Remember time is money. This faster a building is constructed, they faster you can satisfy your investors and lease up space. According to the Modular Building Institute (http://www.modular.org/), building modular is Greener, Faster, and Smarter. Due to the factor-controlled process, waste is greatly reduced, and air quality is improved.  Modular buildings can be disassembled, and the modules relocated or refurbished for new use, reducing the demand for raw materials and minimizing the amount of energy expended to create a building to meet the new need. Structurally, modular buildings are generally stronger because each module is engineered to independently withstand the rigors of transportation and craning onto foundations, which creates more resiliency than on-site building construction. Not only is modular construction budget friendly it is also environmental friendly. Assuming that the standard opportunity cost is 10% annually, and using industry standards for loans, modular construction will cut the construction time in half and save around 15% of the total development cost.      UNCODE.initRow(document.getElementById("script-147548"));UNCODE.initRow(document.getElementById("script-196707"));