Hotel and Resort Developers Key Terms

Build a foundation with hotel and resort developers key terms

By Sandy Baker

Hotel and resort developers formulate ideas, develop projects, find investors and market property. The industry can be quite complex, since each developer may offer different services and may use different terms. As a potential investor, it is important to understand some of these terms, such as sustainable real estate and revenue management. Developers often use computer-aided design and they may promote timeshare properties above others. By understanding the process, individuals can make better decisions about their involvement with hotel and resort developers.

Sustainable real estate

Many hotel and resort developers are focusing on sustainable real estate, or evergreen, Earth friendly methods of building and maintaining the facilities they develop. They can accomplish this in various ways including using Energy Star products.
Try: Hines Interests promotes their sustainable real estate designs and methods.

Timeshare

A timeshare is a partial ownership into a furnished vacation accommodation. Individuals purchase these accommodations in weekly increments at a lower rate than it would cost to buy the property through conventional methods.
Try: Vacation Timeshare and Rentals explains timeshares in depth.

Revenue management

Hotels and resorts may hire a firm to handle revenue management, or the management of incoming clients. They help the hotel or resort maximize the opportunities for guests through marking, pricing and other methods.
Try: SynXis provides more information on what is included in revenue management.

Computer Aided Design (CAD)

Computer aided design is a popular design tool that many resort and hotel builders, architects and developers use to help design, lay out and engineer their facilities. There are a variety of styles of programs available. For example, some CAD products can show three-dimensional designs for architectural development.
Try: The Computer Information Center defines computer-aided design.

Supply demand analysis

Many of the developers of hotels and resorts will conduct a supply demand analysis. This report looks at the potential profitability of the project, including analyzing demographics, case studies, interviews and surveys.
Try: Danter provides more information on what is included in their supply demand analysis.

Land sales compliance

The U.S. Department of Housing and Urban Development regulates the sale of land for the purchase by developers. Hotel and resort developers often have in-house attorneys that will handle land sales compliance, ensuring the project remains within the limits of the law.
Try: Epstein Becker Green provides more information on land sales compliance.