Payback (based on a T3 unit with a projected room rate of $100 per night)
Your US $87,000 (PhP 4.0 M) investment gives the following returns:
-45- day FREE Stay (with an option to sell or use)
-Income from a 320-Day enrolment in Condotel operations.
320 days @ 80% occupancy = 256 days x US $100 /day = US $25,600
Deduct approx. 50% as management fee, taxes, incentive bonus
Projected Net Income Annually US $12,800 (PHP 588,800)
320 days @ 70% occupancy = 224 days x US $100 /day = US $22,400
Deduct approx. 50% as management fee, taxes, incentive bonus
Projected Net Income Annually US $11,200 (PHP 515,200)
320 days @ 60% occupancy = 192 days x US $100 /day = US $19,200
Deduct approx. 50% as management fee, taxes, incentive bonus
Projected Net Income Annually US $9,600 (PHP 441,600)
- A very conservative assumption of 60% occupancy/year and US $100/day still gives you a projected income of US $9,600 (PHP 441,600) per year
- In a bank desposit with a maximum of 5% interest, your US $87,000 (PHP 4.0 M) earns you only US $4,350 (PHP 200,100) per year
Bank Desposit
with an estimated annual interest of 5% gives you
US $4,350 (PHP 200,100)
VS
Condotel Enrollment
with an assumption of 60% occupancy at US $100 per day
US $9,600 (PHP 441,600)
- Condotel Enrollees earn US $5,250 (PHP 241,500) MORE than the standard bank deposit.
- In addition to the projected net income, investors have their 45-day Free Stay guaranteed benefit which they have the option to sell.
45-DAY FREE STAY / YEAR with an option to sell or use worth US $4,500 (PHP 207,000)
based on an assumption of 4-star hotel rates of US $100/day in Boracay
Projected Net Income Guaranteed Benefit
US $9,600 (PHP 441,600) + US $4,500 (PHP 207,000)
An investor gets an estimated total of
US $14,100 (PHP 648,600) per year
Unit T1 Projected Room Rate/Night PRO-RATA Share
Ground US $220 2.2
(Garden View)
59 sqm with Loft Unit T2
Ground US $250 2.5
(Pool View)
57.5 sqm with Loft Unit T3
2nd & 3rd Floor
(Garden View) US $100 1.0
33.5 to 34.5 sqm Unit T4
2nd & 3rd Floor
(Pool View) US $120 1.2
33.5 to 34.5 sqm Unit T4A
2nd & 3rd Floor
(Pool View) US $150 1.5
41.5 sqm Special Unit
Deck US $300 3.0
(Pool View)
50 - 90 sqm
- The bigger the investment the higher the returns. Investors could look forward to an estimated 5-year full return of their investment once the condotel is operational and unit is fully paid for. In the meantime, he can enjoy the good life in Boracay or the privileges & benefits of being a member of Club Ultima and in all of its off-site facilities through the Crown Regency Hotel chain.
- Upon operation of the condotel, investors will receive percentage of income based on the payments made to the total contract value.
a. If investor has paid less than 50% of the total contract value, investor receives 25% of the income due.
b. If investor has paid 50% to 70% of the total contract value, investor receives 50% of the income due.
c. If investor has paid 71% to 90% of the total contract value, investor receives 75% of the income due.
d. If investor has fully paid the total contract value, investor receives the full income due him.
Buy-back Program
5 years after condotel operations, investors can have the following options:
- Resell the unit at the open market.
- Resell the unit to Fuente Traingle Realty Development Corp. at acquisition price.
- Resell the unit to the open market through Fuente Traingle Realty Development Corp. for a minimal fee.
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