FAQ

What is a pre-construction hotel-residence?

A pre-construction hotel-residence is a property sold before it’s fully built, often as part of a branded hotel project. Buyers secure a unit at today’s price while construction is underway, with delivery typically 2–4 years later. These residences usually combine luxury condo ownership with hotel-style services and the option to generate rental income through a management program.

What are the risks and benefits of buying pre-construction?

Benefits:

• Lower entry price compared to post-construction.

• Potential property appreciation during construction.

• Access to premium inventory and floor plans.

• Flexible payment schedules (installments during construction).

Risks:

• Construction delays.

• Market changes (interest rates, demand).

• Developer/operator risk if they lack strong track records.

What are the typical costs beyond the purchase price?

Besides the unit price, buyers should budget for:

• HOA/condo fees: Covering amenities, insurance, and reserves.

• Property taxes: Based on assessed value at delivery.

• Maintenance fees: Particularly in branded residences.

• Closing costs: Title, escrow, legal, and recording fees. Some projects also include furniture packages, often mandatory for hotel-rental participation.

Can foreign investors buy pre-construction hotel-residences in Florida?

Yes. Florida is one of the most open markets for foreign buyers. International investors can purchase pre-construction units directly, though they may need:

• An ITIN (Individual Taxpayer Identification Number) for tax purposes.

• A U.S. bank account to facilitate payments.

• Financing (some developers offer foreign national programs, though many deals are cash-heavy).

• Proper legal/tax structuring (e.g., LLC or other entities for liability and estate planning).