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What is a Condotel? Main Photo

What is a Condotel?


Also known as a Condo-hotel, Condotels are operated like hotels but each room is individually owned like a condo
Posted: March 01, 2021 by Dani Dooley

The Kauai Beach Resort on the East shore of Kauai is an excellent example of a condotel. From the moment you drive on site you feel like you are at a resort hotel (because you are) and not the typical apartment complex style condominium. Kauai Beach Resort has a grand palm-lined front driveway, valet parking, a front desk and lobby reception area, and all the amenities of your favorite hotel resorts. But instead of being owned by a corporation or one very wealthy individual, at condotels each room is independently owned and operated.

Condotels have on-site property teams that manage the day to day operations just like any other hotel. They maintain the grounds and pools, have check-in service, maid-service, and bell-hops. On-site you will usually also find restaurants, shops, spas, fitness centers and any other number of amenities. These amenities may be owned and run by the property management company or they may be independently run businesses.

The on-site property team also offers owner services to streamline the management of each room while the owner is away and it is being rented. This is the main purpose of a condotel: to maintain all the rooms in a common inventory to provide consistent hotel-quality service to both owners and guests. Owner services will vary from property to property but at a minimum will include reservations management and key service. Property management fees will also vary based on the services performed and are charged separately from AOAO (Association of Apartment Owners) fees.

The AOAO is similar to an HOA (Home Owner's Association) in that it's purpose is to maintain the value of the development as a whole by maintaining common areas, ensuring the proper insurance is held on the property, and providing services, such as some utilities, to the group. The AOAO also usually has rules or guidelines on how the rooms are to be maintained similar to some Home Owner Association's that have design standards. Occasionally the association may require upgrades to interiors or furnishings to maintain the value of the property as a whole. 

Condotels are popular in resort areas like Hawaii, New York, Las Vegas, and Florida and are an excellent choice for people who want to own a condo in a resort area but don’t want to leave the unit vacant when they aren’t using it. They are also great for owners who don’t want to deal with the hassle of renting the unit themselves. They offer the owner the ease of staying in their favorite full-amenity resort setting when they visit coupled with the ease of on-site management while they are away. 

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Kauai Beach Resort, Waipouli Beach Resort, and Koloa Landing in Poipu are a few of Kauai's condotel properties offering valuable on-site resort amenities to individual owners and their guests. For more on these or other Kauai properties contact dani.dooley@islandproperties.

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Dani Dooley is a Realtor in Kauai, Hawaii. She was awarded the Coldwell Banker International Diamond Society in 2020 for being in Coldwell Banker's top 11% of agents internationally. She is ePro certified and a Certified Luxury Home Marketing Specialist (CLMHS). Follow @DaniDooley.Kauai.Realtor

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