Tagaytay was the most visited place outside Metro Manila (DOT)
Legend has it that the word Tagaytay came from " taga " meaning to cut and " itay " which means father. A father and son were said to be on a wild boar hunt when the animal they were chasing turned and attacked them. As the boar charged towards the old man, the son cried "taga itay!". the boy's repeated shout reverberated in the alleys of the ridge. Heard by the residents, hunters and wood gatherers, the cries became subject of conversation for several days in the countryside. In time, the place where the shouts came from became known as TAGAYTAY . HISTORY
Question What is a condotel? Answer The condotel is an amalgamation of the features of a condominium and a hotel, as the derivation of the name suggests. The condotel units shall be pooled and operated as a hotel.
Rent Revenue is far superior than savings or time deposit
Value Appreciation – The best selling point of condotels as
investment property is the rate at which they appreciate
specially when purchasing at a pre-construction stage
Pride of Ownership
Once Condotel is operational, you start receiving your
shares quarterly provided you have paid 20% full DP &
your account is in good standing.
Profit from your Splendido Taal Tower 2 Condotel
Investment may be able to cover a portion (if not all) of
your unit’s monthly amortization when it’s not yet fully
DISCLAIMER: The estimated return on investment is computed based on assumptions believed to be reasonable and are being provided to the intended recipient for information purposes only. Sta. Lucia does not warrant and holds no responsibility for the accuracy of the assumptions. Sta. Lucia does not guaranty or make any representation that the estimated return on investment can be achieved. It is assumed that the recipient will make an independent verification and analysis of the estimated return on investment and its assumptions for his/her own exclusive investment decision. Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy. RETURN ON INVESTMENT
Net Room Rental Revenue will be shared at a 70%:30% ratio
by the Condotel Unit Investors & Hotel Management Group,
respectively. The 30% will serve as management fee.
When Do You Start Earning Dividends?
The CONDOTEL is OPERATIONAL
Your account is on a FULL DOWN PAYMENT status of
20% & is in GOOD STANDING (NO Delinquency)
Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy.
Assume: 1). P5,000.00 Rental / Day 2). 35% Occupancy Rate 3). 50% Occupancy Rate COMPUTATION: ANNUAL ROOM RENTAL REVENUE @ 100% OCCUPANCY RATE 64 Rooms X P5,000.00 X 335 Days = P107,200,000.00 1 ST YEAR @ 35% OCCUPANCY RATE P107,200,000.00 x .35 = P37,520,000.00 2 ND YEAR @ 50% OCCUPANCY RATE P107,200,000.00 x .5 = P53,600,000.00 Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy.
Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy. P37,520,000.00 ANNUAL ROOM RENTAL REVENUE @ 35% OCCUPANCY RATE Less 60% Operating Expense P37,520,000.00 X .60 P22,512,000.00 Net Profit P37,520,000.00 – P22,512,000.00 P15,008,000.00 70% Condotel Owners’ Share P15,008,000.00 X .70 P10,505,600.00 Unit Income Per Share P10,505,600.00 / 3,017 Sq. M. P3,482.13 36 Sq. M. Unit’s Annual Income from Room Rental Revenue P3,482.13 X 36 Sq. M. P125,456.68 Add 30-Day Complimentary Room Usage Income P5,000.00 X 30 Days P150,000.00 Total Annual Income P125,456.68 + P150,000.00 P275,456.68 Monthly Income P275,456.68 / 12 P22,954.72 Quarterly Income P143,614.08 / 4 P68,864.17 Percentage of ROI P275,456.68/ P2,890,000.00 9.5%
Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy. P53,600,000.00 ANNUAL ROOM RENTAL REVENUE @ 50% OCCUPANCY RATE Less 60% Operating Expense P53,600,000.00 X .60 P32,160,000.00 Net Profit P53,600,000.00 - P32,160,000.00 P21,440,000.00 70% Condotel Owners’ Share P21,440,000.00 X .70 P15,008,000.00 Unit Income Per Share P15,008,000.00 / 3,017 Sq. M. P4,974.48 36 Sq. M. Unit’s Annual Income from Room Rental Revenue P4,974.48 X 36 Sq. M. P179,081.28 Add 30-Day Complimentary Room Usage Income P5,000.00 X 30 Days P150,000.00 Total Annual Income P107,448.84+ P90,000.00 P329,081.28 Monthly Income P329,081.28 / 12 P27,423.44 Quarterly Income P329,081.28 / 4 P82,270.32 Percentage of ROI P329,081.28 / P2,890,000.00 11.4%
Note: These are only assumptions. Actual figures may vary based on Room Rental Rates & Occupancy. COMPARATIVES ON ANNUAL RETURN ON INVESTMENT BANK INVESTMENT: Pass Book or Time Deposit Certificate TIME-SHARE: Membership Certificate CONDOMINIUM: Condominium Certificate of Title (CCT) Total Investment Annual ROI @ 35% Rate of Occupancy Annual ROI @ 50% Rate of Occupancy Regular Savings Account in Banks @ a Rate of 1% Annual Interest Time Deposit Account in Banks @ a Median Rate of 2.75% (2.5% - 3.5%) Annual Interest P2,890,000.00 P275,456.68 @ 9.5% P329,081. 28 @ 11.4%% P28,900.00 P79,975.00
Superior Rental Income The condotel operation ensures that the unit owners earn better rental income from their units compared to conventional leasing. The rental income can subsidize largely the monthly installment of the unit if the unit is not yet fully paid.
Fair Distribution of Rental Income All of the unit owners enrolled in the condotel receive the same income per square meter per month regardless of actual unit occupancy.
Total Property Management The professional hotel manager ensures the complete maintenance and upkeep of the units in the condotel. Every billing concern such as association dues, real estate taxes and other fees and charges are deducted from the rental income of the unit.
Monthly rental income from the condotel operation is assured credited to the unit owner’s bank account regardless of where around the world the unit owner is residing.
Condotel vs. Conventional Leasing Condotel Earns superior monthly rental income because the units are booked as hotel rooms and benefits from higher occupancy and room rates.
Limited earning potential since monthly rental income is fixed.
Condotel Assured monthly income whether the unit is rented or not.
No income when unit is not rented.
Condotel The professional hotel management is responsible for promoting the condotel and selling hotel rooms by using an effective and comprehensive marketing program through traditional and internet-based selling and marketing tools .
Unit owner spends time in finding a tenant and may incur personal expenses to advertise and pay brokers’ commission .
Condotel Unit is assured of professional quality upkeep and maintenance.
Upkeep and maintenance of the unit depend on the tenant and the unit owner. Foreign-based unit owners may have to hire a property manager or caretaker.
Condotel Added service and convenience in paying association dues, real estate taxes and other fees and charges through an automatic deduction from the unit owner’s rental income .
Unit owner has to monitor payment of association dues, special assessments, real estate taxes and other fees and charges to avoid penalties .
Condotel Punctual payment of utility bills thereby no fear of disconnection or service suspension.
Service may be disconnected or suspended if the unit owner or tenant neglects to pay utility bills.
Condotel Monthly rental income is directly credited to the unit owner’s bank account .
Collection of rent is the responsibility of the unit owner.
Question Is the condominium unit I purchased ready for condotel operation? Answer The condominium unit will be fully-fitted based on hotel quality standards as determined by the hotel management .
Question What are included in the condotel fit-out package and how much ? Answer The fit-out package includes hotel standard finishing upgrades, furniture, appliances, silverware, chinaware, linens, towels, etc. that are required to make the unit ready for condotel operation. Studio – P400,000.00 1-Br – P600,000.00 2-Br – P800,000.00
What is the projected rental income of the condotel?
Based on reasonable economic and financial assumptions and under normal condotel operation, rental income is projected at 9.5% p.a. based on 35% occupancy rate and 11.4% p.a. based on 50% occupancy rate.
QUESTION When and how will the rental income be distributed? Answer Release of the unit owner’s quarterly rental income, after deducting association dues, special assessments, real estate taxes, and fees and charges will be in the form of a check, in Philippine currency. Other modes of payment of the rental income preferred by the unit owner may be arranged with the hotel management .
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