CORRESPONDENCE
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~f, Michael
From:
Sent:
To:
Subject:
Hutchinson, Douglas
Friday, February 18, 2005 9:10 AM
Rumpf, Michael
Condo Hotel
This is not a screwy designation on just this project. The condo hotel market is very big
and growing extremely fast... The south Florida market leads the country. It is NOT
driven by cheating density, but how to get hotel units into a soft market and how to make
condo ownership more affordable; i.e., room revenues offset some holding costs. The last
three hotel projects announced for West Palm Beach all have hotel condo unit elements.
The South Florida Business Journal has covered several projects in Miami and Fort
Lauderdale. The concern is for the units to act most like a hotel room vs a rental
property. The units are managed (a required covenant) by a company that acts as and
supplies services just as a hotel, except that the ownership is fragmented. In fact the
largest mover in the market is Marriot! The items that I outlined are unique elements to
the condo hotel operations. I think the concern would be equally that a "hotel" becomes a
long term rental facility with just a label as hotel. What do we set as the test of hotel
vs a rental unit? That might be the definition or rules. I believe that defining these
will set standards that we can endorse. I our market these hotel rooms are critical to
our downtown economics and in fact, if they are not there, a full service hotel is
unlikely. These units can be managed by the full service hotel to extend the size of the
lead hotel without the capital costs. The condo hotels are operated better because of the
draw of the full service hotel. We are about to look at a $30,000,000 incentive to have
these elements come together. I do not think that the Promenade was after a density
busting element... we press hard for hotel rooms and we got the best we could in today's
market.
Doug
-----Original Message-----
From: Rumpf, Michael
Sent: Friday, February 18, 2005 8:45 AM
To: Hutchinson, Douglas
Subject: Re: CVS colors
Good luck.
This was a manipulation of the system. I still may be misunderstanding something, but that
is not the definition inserted into code. a hotel is a hotel and a condo is a condo. Call
it what is, not something enabling it to avoid density calculation and mixed use picture.
Perhaps there is a disconnect between current and conventional zoning and todays market,
but I think my skeptisim is justified.
Sent from my BlackBerry Wireless Handheld
-----Original Message-----
From: Hutchinson, Douglas <HutchinsonD@ci.boynton-beach.fl.us>
To: Rumpf, Michael <RumpfM@ci.boynton-beach.fl.us>
Sent: Fri Feb 18 08:08:27 2005
Subject: RE: CVS colors
I think that the period of stay is where we can set some standards. I think 180
consecutive days is too long. I think 90 days per stay separated by no less than 30 days
makes sense. six months is half a year, which puts it more into a condo rental than hotel
operations in my mind. Also there will be other items unique to condo hotels... such as
furnishings. The condo hotel will require a set furnishing package, they also set room
service, management fees for night rentals, etc... we need to see that these items are in
place so the act like a hotel room.
Doug
-----Original Message-----
From: Rumpf, Michael
Sent: Thursday, February 17, 2005 6:06 PM
1
.....
To: Hutchinson, Douglas
Subject: RE: CVS colors
The period of stay is like between 30 and 180 days. But owned?
-----Original Message-----
From: Hutchinson, Douglas
Sent: Thursday, February 17, 2005 5:29 PM
To: Rumpf, Michael
Subject: RE: CVS colors
Condo hotel units are income properties and cash flow as such... owners can occupy a number
of days, but they are commercial operations. They told us that the units were condo hotel
units from the beginning. What is our definition of condo hotel? Is there a max number
of consecutive rental days or occupation days by one person or group before it becomes a
residential rental vs hotel? That would be the best way to measure what type of use it
really has.
Doug
-----Original Message-----
From: Rumpf, Michael
Sent: Thursday, February 17, 2005 5:13 PM
To: Hutchinson, Douglas
Subject: RE: CVS colors
That's ok. Have you taken some water to her while in line?
On a serious note, we heard a rumor that Promenade/Panther was selling the hotel units. I
e-mailedMr.Krinsky conveying our concern. Do you know anything? Mike
-----Original Message-----
From: Hutchinson, Douglas
Sent: Thursday, February 17, 2005 5:12 PM
To: Rumpf, Michael
Subject: RE: CVS colors
No, they are here for her to see but she is in the middle of the Promenade purchase
program and will not be available... its hard to get out of line. It probably will be next
week for her to take a minute to see them.
Doug
-----Original Message-----
From: Rumpf, Michael
Sent: Thursday, February 17, 2005 5:05 PM
To: Hutchinson, Douglas
Subject: CVS colors
Doug, have you had a chance to get with Jeanne on these colors? Just checking in. Thanks,
Mike
2
~f. Michael
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From: Prainito, Janet M~l-(c-c +1.Js r~t.
Sent: Thursday, January 27,20058:59 AM
To: Tucker, Patricia; Rumpf, Michael r ~c\.\l c. c:t- -Ie--:. ~ (.....
Subject: RE: Arches 0 ~ (oCJ lL -Ie, \" c:.. ..:. ,..Q.
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We listened to the recording and determined that they did not change the length of the time extension. ,.. ~
However, Commissioner Ferguson requested two reports (one from staff and one from the develoDer). 5~b6:..-
He wants those reports two times - one report from each on May 1st and September 1st. The reports are to /
provide progress made from each prospective. r3_ ~d .<<::.s
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Janet
-----Original Message-----
From: Tucker, Patricia
Sent: Wednesday, January 26, 2005 2:56 PM
To: Prainito, Janet
Subject: Arches
Janet, I asked Mike about the "6-month report from staff and one from the developer" and he doesn't remember. I and
he checked his notes on the agenda that he writes on at the meeting and there is nothing saying to do this, just says
approved. I guess we would have to listen to the minutes and he also asked if you could or Barbara (whoever does
the tape) how long did they finally decide on the time extension. Could you let us know? Thanks
:l~icin {l <'TacRet
Administrative Assistant
Planning and Zoning
561-742-6268
tuckerp@ci.boynton-beach.fl.us
1
~f, Michael
From:
Sent:
To:
Subject:
Rumpf, Michael
Friday, February 18, 2005 12:26 PM
Hudson, Dick (Orran)
FW: Promenade hotel units
-----Original Message-----
From: Jeff Krinsky [mailto:JKrinsky@pantheroffice.com]
Sent: Friday, February 18, 2005 11:11 AM
To: Rumpf, Michael
Subject: RE: Promenade hotel units
Michael, thank you again for your assistance finalizing the permits on
the sales center. We had a successful day yesterday selling units.
In regards to the hotel portion of the project, I cannot speak to any
rumor but, rest assured, we are selling the hotel units in full
compliance with the zoning regulations.
Regards,
Jeff
-----Original Message-----
From: Rumpf, Michael [mailto:RumpfM@ci.boynton-beach.fl.us]
Sent: Thursday, February 17, 2005 4:44 PM
To: Jeff Krinsky
Subject: Promenade hotel units
Jeff, I was please that we could get the permit issue rectified for you
in
time for opening day.
However, we are a little concerned over a rumor regarding sales of hotel
units. By our understanding and definitions, if the "hotel" units are
not
owned and operated collectively, they become condo units and subject to
pooling with other units for calculation of denisties. Please take into
consideration.
Mike
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