By Jeff Coy and Bill Haralson, October 18, 2005
The USA hotel industry reached 64.3% for the first
eight months of 2005, up almost two points over a year ago and nearly one
point higher than benchmark Year 2000. Hotel room rates averaged $90.59,
which is more than $4 higher than the last several years.
USA HOTEL INDUSTRY TRENDS
|
|
2005
|
2004
|
2003
|
2002
|
2001
|
2000
|
Occupancy |
64.3%
|
62.7%
|
60.8%
|
61.2%
|
60.1%
|
63.7%
|
Average Room
Rate |
$90.59
|
$86.55
|
$83.60
|
$84.01
|
$84.85
|
$86.04
|
Source: Smith
Travel Research. YTD August |
USA Hotel Industry Performance
Revenues, supply and demand all showed positive growth
for YTD August 2005 compared to a year ago. Revenues per available hotel
room were up 7.8% over 2004. New hotel construction rose only 0.7% while
demand for lodging increased 2.8% --- allowing both occupancies and room
prices to rise.
Summer of 2005 was better than last summer for the
hotel industry despite $3.00 per gallon gasoline prices and the impact
of several hurricanes. In August 2005, occupancy reached 68.5% --- up 2.1%
from 67.1% in 2004. Hotel room revenues were up 8.6% over 2004.
USA HOTEL INDUSTRY TRENDS
|
|
|
YTD Aug 2005
Vs
YTD Aug 2004
|
|
Jun-Aug 2005
Vs
Jun-Aug 2004
|
August 2005
Vs
August 2004
|
Supply |
Up 0.7%
|
|
Up 0.6%
|
Up 0.4%
|
Demand |
Up 2.8%
|
|
Up 2.9 %
|
Up 3.1%
|
Occupancy |
Up 2.1%
|
|
Up 2.3%
|
Up 2.6%
|
Average Room
Rate |
Up 5.6%
|
|
Up 5.1%
|
Up 4.9%
|
Rev Per Available
Room |
Up 7.8%
|
|
Up 7.4%
|
Up 7.6%
|
Source: Smith
Travel Research |
In the first eight months of 2005, luxury and midscale
hotels showed the most improvement in occupancy while luxury, upscale and
midscale hotels among the chains showed equal improvement in average room
rates compared to a year ago. Upper upscale hotels ran the highest occupancy
at 72.2% among the price tiers followed by upscale-priced hotels at 71.5%
compared to a year ago.
Resorts and airport hotels ran higher occupancies
in 2005 than 2004 and achieved higher occupancies than all other types
of lodging --- urban, suburban interstate and small towns. USA Resorts
achieved 69.6% occupancy for 2005 through August, up from 69.1% during
the same period a year ago while airport hotels reached 69.8%, urban hotels
reached 68,6%, suburban hotels ran 64.8% and interstate and small towns
hotels peaked near 58%. Resorts produced average room rates of $129 for
2005 through August, which is higher than all other types of lodging.
TOP PRODUCING HOTELS BY LOCATION
|
|
|
Occupancy
|
Average Room Rate
|
|
Percent
|
% Chg
|
Amount
|
% Chg
|
Urban |
68.6
|
3.8
|
$120.17
|
6.2
|
Suburban |
64.8
|
3.2
|
$78.83
|
5.2
|
Airport |
69.8
|
2.6
|
$84.84
|
7.3
|
Interstate |
58.1
|
1.8
|
$60.28
|
1.8
|
Resort |
69.6
|
1.3
|
$128.76
|
4.9
|
Small Town |
57.8
|
2.1
|
$71.83
|
3.2
|
Source: Smith
Travel Research, YTD August 2005. |
Families in the USA bit the bullet on higher gasoline
prices and refused to abandon their vacation plans. Many vacationed closer
to home and escaped for weekends at nearby regional resorts --- a growing
number of which now offer indoor waterparks and family entertainment centers.
The leisure traveler segment continues to breathe life into the hotel and
travel industries. In addition, business travelers have now returned to
hotels in greater numbers.
Currently, the most lucrative states for hotel investment
are Hawaii, New York and Florida where the revenues and their growth rates
are the highest in the nation. Nevada, Rhode Island and Alaska, while posting
high revenues per available room, slipped a bit from last year. Hotel revenue
per available room (RevPAR) is the key indicator that takes into account
supply, demand, occupancy, scarcity and pricing.
HIGHEST REVENUE PRODUCING HOTELS
BY STATE
|
|
|
RevPAR
|
|
|
Amount $
|
% Chg
|
Hawaii |
137.73
|
12.4
|
New York |
102.60
|
12.1
|
Florida |
75.02
|
12.5
|
Nevada |
74.82
|
-2.1
|
Rhode Island |
74.64
|
-2.7
|
California |
72.05
|
9.3
|
Massachusetts |
71.73
|
3.8
|
Maryland |
69.63
|
7.1
|
Alaska |
69.29
|
-2.8
|
New Jersey |
64.78
|
5.0
|
USA Average |
58.28
|
7.6
|
Source: Smith
Travel Research. YTD August 2005.
RevPAR is Revenue Per Available Room. |
RevPAR is a measure of asset productivity that often
points developers to the most attractive locations for new construction,
although many of these desirable locations also have high barriers to entry.
In 2005, the most desirable hotel markets, in terms
of their ability to generate the highest revenues per available room as
well as double-digit growth rates, are New York City, Oahu, Miami, Washington
DC and Los Angeles. Some of the leisure destinations like Tampa, Anaheim,
Denver and Phoenix recorded 12% to 13% improvement in revpar compared to
last year.
HIGHEST REVENUE PRODUCING HOTELS
BY MARKET
|
|
|
RevPAR
|
|
|
Amount $
|
% Chg
|
New York City |
156.20
|
15.6
|
Oahu |
118.17
|
19.4
|
Miami |
98.02
|
18.0
|
Washington
DC |
94.59
|
11.5
|
San Diego |
94.52
|
9.3
|
San Francisco |
87.38
|
8.7
|
Boston |
81.25
|
4.9
|
Los Angeles |
78.81
|
11.6
|
New Orleans |
74.79
|
4.3
|
Top 25 Market
Average |
74.61
|
10.5
|
USA Average |
58.28
|
7.6
|
Source: Smith
Travel Research. YTD August 2005.
RevPAR is Revenue Per Available Room. |
In sum, the USA Lodging Outlook reveals:
-
Hotel room revenues supply & demand all showing
positive growth over last year.
-
Room revenue up 8.1% over last year.
-
Summer 2005 better than Summer 2004.
-
Industry near pre-9/11 levels of Year 2000.
-
Resorts did better than last year and better than other
types of lodging.
USA Resort Performance
Hawaii is the leading resort destination with 82.9%
occupancy (up 4.0%) and $166 average room rate, up 8.0% over last year.
This compares to the national hotel occupancy of 64.3% and average room
rate of $90 in the USA.
Florida and Nevada are trailing close behind with
72.7% and 72.5% occupancies, respectively. Arizona and Florida recorded
the biggest gains in occupancy improvement over last year.
The highest resort room prices were found in Hawaii
at $166, Nevada and Florida at $103 and California at $102. Hawaii and
Florida recorded price jumps of more than 8% in 2005 compared to last year.
HOT & COLD RESORT DESTINATIONS
|
|
2005
Occupancy
|
Percent
Change
|
2005
ADR
|
Percent
Change
|
USA |
64.3
|
2.6
|
90.59
|
4.9
|
Florida |
72.7
|
3.7
|
103.13
|
8.4
|
Arizona |
67.6
|
4.6
|
91.75
|
7.2
|
California |
70.5
|
3.4
|
102.20
|
5.7
|
Nevada |
72.5
|
-0.3
|
103.18
|
-1.8
|
Hawaii |
82.9
|
4.0
|
166.20
|
8.0
|
Wisconsin |
55.8
|
0.2
|
72.66
|
3.2
|
Minnesota |
61.8
|
2.1
|
79.31
|
6.1
|
Source: Smith
Travel Research. YTD August 2005. |
Wisconsin and Minnesota achieved statewide occupancy
under the national average in both occupancy and average room rates. However,
these two states have the highest number of hotel indoor waterpark resorts,
and the top hotel waterpark resort properties recorded occupancies and
room rates far above the national averages and equal to many of the Sunbelt
resort destination states.
In fact, due to the double-digit growth of indoor
waterparks over the last several years, Coy and Haralson formulated 17
predictions on the future of resort development.
-
Regional drive-to resorts will attract more guests than
national fly-to resorts.
-
Business travel will become more an elective and less
a requirement.
-
More Americans will telecommute.
-
Mixing business & leisure 24/7 will lead to greater
stress.
-
Never disconnecting will cause greater stress.
-
Lodging and entertainment concepts will continue to
merge.
-
Resorts will become more like theme parks.
-
Resorts will grow faster than other types of lodging.
-
More resorts will become part of mixed-use developments.
-
Future resorts will focus more on guest participation
and interaction.
-
Theme parks and resorts will use more simulators to
create virtual reality.
-
Resorts will increasingly become a teacher.
-
Seasonal resorts will become year round operations.
-
Resorts will build more and more indoor recreation facilities.
-
Resorts will increasingly incorporate water into their
designs.
For more information, see 17
Predictions on Future of Resort Development.
USA Hotel Waterpark Resort Performance
In 1994, Stan Anderson, owner of the Polynesian Resort
in Wisconsin Dells WI and pioneer of the hotel indoor waterpark resort
installed some water gizmo in his indoor pool and weekend occupancy skyrocketed.
That started the 11-year trend of building more than 100 hotel waterpark
resorts that extend from the Midwest to the Northeast and Pacific Northwest.
During 2005, twenty-three (23) new additions and expansion projects are
expected to open by year end, bringing the total to 104 hotel waterpark
resorts open and operating in the USA. Fifty-two (52) projects are under
construction or will break ground during 2005.
Clearly, hotel waterpark resorts are not a fad but
here to stay. About 121 projects are in the development pipeline, up from
69 in 2004, 46 in 2003 and only 19 in 2002. The waterpark sector of the
resort industry has experienced rapid growth in the last several years.
Jeff Coy and Bill Haralson formed Hotel Waterpark
Resort Research & Consulting, a collaborative effort of JLC Hospitality
Consulting of Rochester MN and William L. Haralson & Associates of
Richardson TX. Coy, a hotel consultant, and Haralson, an attractions consultant,
joined forces for the purpose of building an industry database for this
product sector. Both chair the Resort Committee of the World Waterpark
Association and produce the annual Waterpark Development & Expansion
Workshop, where they present their latest research and a variety of expert
speakers. Go to www.waterparks.org.
This Fourth Annual Industry Report includes supply trends, sizing components,
construction costs and operating expense ratios with a focus on Wisconsin
Dells where the concept originated and numerous hotel waterpark resorts
are clustered in one market.
In 1990, before indoor waterparks, Wisconsin Dells
ran a 40% annually hotel occupancy and had a 100-day peak season. Today,
it has 18 hotels with indoor waterparks and has a 365-day peak season.
The largest hotel waterpark resorts are running occupancies in the high
70s and low 80s --- 15 to 20 points above the national hotel average.
Wisconsin Dells Hotel Performance
In 2002, hotels WITH indoor waterparks achieved 26
points higher occupancy and $69 higher average room rates than hotels WITHOUT
indoor waterparks in Wisconsin Dells.
In 2004, we updated that research survey to determine
the impact of 9/11, the economic recovery and what happened to the haves
and have-nots in Wisconsin Dells over the last three years. Eighteen
(18) hotels WITH indoor waterparks captured 85% of the total market hotel
revenue in Wisconsin Dells while forty-four (44) hotels WITHOUT indoor
waterparks were left with only 15% of the total market hotel revenue. As
a result, we referred to Wisconsin Dells as "the land of haves and have-nots."
In 2005, the top two hotel waterpark resorts achieved
average room rates above $200.
The 18 haves achieved average room rates of
$130, while the 44 have-nots achieved $65. Hotels WITH indoor waterparks
recorded ADRs that are 2X that of hotels WITHOUT indoor waterparks. And
the ADR trend over the last three years is getting higher for the haves
and lower for the have-nots! This trend begs the question, "How
long can you succeed in Wisconsin Dells as a hotel without an indoor waterpark?"
The biggest properties are getting bigger while the smaller properties
continue to lose market share.
USA Competitive Supply of Hotel
Waterparks
One hundred and four (104) hotel indoor waterparks
are open and operating in the USA, including six properties scheduled to
open in the final months of 2005. Hotel waterpark resorts opened over the
last three years in the following states:
HOTEL WATERPARK RESORTS OPEN
|
2005 |
2004 |
2003 |
2002 |
State |
35
|
32
|
28
|
25
|
Wisconsin |
20
|
15
|
14
|
10
|
Minnesota |
7
|
5
|
3
|
2
|
Michigan |
4
|
4
|
3
|
3
|
South Dakota |
4
|
3
|
2
|
2
|
North Dakota |
4
|
2
|
1
|
1
|
Ohio |
3
|
2
|
1
|
1
|
Iowa |
3
|
2
|
2
|
0
|
Pennsylvania |
2
|
2
|
1
|
0
|
Kansas |
2
|
1
|
0
|
0
|
Indiana |
2
|
2
|
2
|
1
|
Montana |
2
|
1
|
0
|
0
|
Washington |
2
|
2
|
2
|
1
|
Massachusetts |
2
|
2
|
2
|
1
|
Missouri |
2
|
0
|
0
|
0
|
Virginia |
1
|
1
|
1
|
0
|
Wyoming |
1
|
1
|
1
|
0
|
Alaska |
1
|
1
|
1
|
0
|
Colorado |
1
|
1
|
1
|
1
|
Nebraska |
1
|
1
|
0
|
0
|
Kentucky |
1
|
0
|
0
|
0
|
Illinois |
1
|
0
|
0
|
0
|
New York |
1
|
0
|
0
|
0
|
Florida |
1
|
0
|
0
|
0
|
Idaho |
104
|
81
|
65
|
50
|
Total |
Source: HWRRC,
Coy & Haralson. |
These properties have a total of 17,574 rooms, nearly
2.4 million square feet of indoor waterpark space and 397 meeting rooms
covering 935,000 square feet of meeting space. The following chart illustrates
the growth over the last three years.
HOTEL WATERPARK RESORT INDUSTRY
GROWTH TRENDS
|
|
2005
|
|
2004
|
|
2003
|
|
2002
|
|
Amount
|
|
Amount
|
|
Amount
|
|
Amount
|
Hotel Indoor
Waterparks |
104
|
|
81
|
|
65
|
|
50
|
Rooms |
17,574
|
|
12,470
|
|
10,132
|
|
8193
|
Indoor Waterpark
Sq Ft |
2,377,269
|
|
1,645,069
|
|
1,313,769
|
|
989,904
|
Meeting Rooms |
397
|
|
373
|
|
352
|
|
322
|
Meeting Space
Sq Ft |
935,935
|
|
780,585
|
|
679,435
|
|
626,955
|
Affiliated
with a Brand |
44
|
|
34
|
|
26
|
|
20
|
Independent |
60
|
|
42
|
|
35
|
|
28
|
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson. |
Independent Versus National Branding
Of these 104 hotels, 60 are independent while 44
are affiliated with a national hotel brand. We counted the six Great Wolf
Lodges and two Kalahari Resorts as independents, although these familiar
names are two emerging national brands. Properties in resort locations
tend to be independent while properties in urban, suburban and highway
locations tend to be franchised.
Brand names include AmericInn, Baymont, Best Western,
Comfort Suites, Country Inn & Suites, Days Inn Hawthorn Suites, Hilton,
Hojo, Holiday Inn, Marriott, Microtel, Nickelodeon, Quality Inn, Ramada,
Sleep Inn, Super 8 and Wingate.
Whether or not to affiliate with a brand is a major
issue in this product sector of the hotel industry. Two companies, Great
Lakes Companies and Kalahari Resort, are reproducing their prototypes in
multiple locations --- in effect, starting their own brand. Great Lakes
Companies signed a license agreement with Ripley�s Entertainment for its
Great Wolf Lodge in Niagara Falls, Ontario --- which is a first step in
becoming a franchisor in the hotel waterpark resort industry.
While several hotel chains, like Marriott and Holiday
Inn, are creating indoor waterpark prototypes, two entertainment companies,
Six Flags Inc and Nickelodeon have recently opened hotels.
Top 25 Largest Hotel Waterpark
Resorts in the USA
Hotels with the largest indoor waterparks are concentrated
in Wisconsin Dells WI where 18 waterpark resorts now exist. The Polynesian
Resort in Wisconsin Dells is generally acknowledged as the first hotel
indoor waterpark in 1994.
TOP 25 LARGEST HOTEL WATERPARK
RESORTS IN USA
|
|
Name |
Location |
|
Rooms
|
Indoor WP Sq Ft
|
Opened
|
Wilderness
Hotel & Golf Resort |
Wisconsin
Dells |
WI |
593
|
161,000
|
1995
|
Kalahari
Resort & Convention Center |
Wisconsin
Dells |
WI |
738
|
125,000
|
2000
|
Scotts
Hotels & Splash Lagoon |
Erie |
PA |
270
|
102,000
|
2003
|
Great
Wolf Lodge |
Pocono
Mountains |
PA |
401
|
90,000
|
2005
|
Kalahari
Resort |
Sandusky |
OH |
596
|
80,000
|
2005
|
Treasure
Island |
Wisconsin,
Dells |
WI |
302
|
65,000
|
1999
|
Great
Wolf Lodge |
Williamsburg |
VA |
301
|
64,000
|
2005
|
Mountain
Grand & Avalanche Bay |
Boyne
Falls |
MI |
220
|
83,000
|
2005
|
H2Oasis
Indoor Waterpark |
Anchorage |
AK |
0
|
56,000
|
2003
|
Lodge
at Cedar Creek Resort |
Wausau |
WI |
140
|
50,000
|
2004
|
Grand
Rios Waterpark Resort |
Brooklyn
Park |
MN |
224
|
46,000
|
2004
|
Great
Wolf Lodge |
Wisconsin
Dells |
WI |
309
|
44,000
|
1997
|
Massanutten
Resort IWP Addition |
McGaheysville |
VA |
0
|
42,000
|
2005
|
Blue
Harbor Resort |
Sheboygan |
WI |
183
|
40,000
|
2004
|
7
Clans Casino Hotel |
Thief
River Falls |
MN |
151
|
40,000
|
2001
|
Country
Springs Hotel IWP Addition |
Waukasha |
WI |
187
|
40,000
|
2005
|
Great
Wolf Lodge |
Traverse
City |
MI |
281
|
38,000
|
2003
|
Great
Wolf Lodge |
Kansas
City |
KS |
281
|
38,000
|
2003
|
Castaway
Bay Resort |
Sandusky |
OH |
237
|
38,000
|
2004
|
Polynesian
Resort |
Wisconsin
Dells |
WI |
230
|
38,000
|
1994
|
Arrowwood
Resort & Conference Center |
Alexandria |
MN |
200
|
38,000
|
2003
|
Great
Escapes Hotel & Waterpark |
Lake
George |
NY |
200
|
38,000
|
2005
|
Great
Wolf Lodge |
Sandusky |
OH |
271
|
33,000
|
2001
|
BW
Sterling Inn & Conference Center |
Sterling
Heights |
MI |
250
|
31,769
|
2001
|
Bavarian
Inn & Lodge |
Frankenmuth |
MI |
357
|
30,000
|
1986
|
Source:
Hotel Waterpark Resort Research & Consulting, Coy & Haralson. *Bavarian
Inn has no waterslides. |
Other hotels with indoor waterparks are concentrated
in Wisconsin, Minnesota, Michigan, South Dakota, North Dakota, Ohio, Iowa
and Pennsylvania. In Wisconsin, other hotel waterparks are located in Wisconsin
Dells, Lake Geneva, Milwaukee, Green Bay, Tomah, Minocqua, Madison, Prairie
du Chien, Waupaca, Neenah, Ashland and Lac du Flambeau. In Minnesota, other
hotel waterparks are located in Otsego, Baxter, Duluth, Shoreview, Owatonna,
Ottertail, Minneapolis, Detroit Lakes, Nisswa, Moorhead, Rochester, St
Cloud, Thief River Falls and Orr. In Michigan, other hotel waterparks are
located in Frankenmuth, Grand Rapids and Mackinaw City. In South Dakota:
Watertown, Aberdeen and Sioux Falls. In North Dakota: Minot, Fargo, Grand
Forks and Bismarck. In Ohio: Belleville-Mansfield. In Iowa: Dubuque, Burlington
and Amana. In Pennsylvania: Butler.
Profile of USA Hotel Waterpark
Resorts by Number of Rooms
Among the Top 5 largest resorts by room count, the
average number of hotel rooms is 651 with an indoor waterpark of 95,200
sf or 146 sf per guest room. The Top 5 resorts have an average of 6.8 waterslides,
2.0 pools and 1.6 hot tubs. All of them have one or more lazy rivers, 60%
have a wave pool and 40% have a water coaster. The Top 5 resorts average
43,760 sf of meeting space and 20.4 meeting rooms. The Top 5 hotel waterpark
resorts in 2005 have more rooms, bigger waterparks, more water features
and more meeting space than the Top 5 resorts in 2004 --- and the race
to be the biggest continues!
PROFILE OF LARGEST HOTEL WATERPARKS
BY ROOMS
|
|
|
Avg #
Rooms
|
Avg Sq Ft
Indoor WP
|
Avg #
Slides
|
Avg #
Pools
|
Avg #
HTubs
|
Lazy
River
|
Wave
Pool
|
Water
Coaster
|
Meeting
Sq Ft
|
Number
Mtg Rms
|
Top
5 |
651
|
95,200
|
6.8
|
2.0
|
1.6
|
1.2
|
0.6
|
0.4
|
43,760
|
20.4
|
Top
6-15 |
308
|
38,200
|
5.3
|
3.3
|
1.8
|
0.8
|
0.1
|
0.0
|
8,856
|
3.1
|
Top
16-25 |
245
|
31,697
|
4.0
|
2.5
|
1.6
|
0.4
|
0.2
|
0.1
|
19,371
|
6.8
|
Top
26-50 |
173
|
22,476
|
2.8
|
2.3
|
1.0
|
0.3
|
0.1
|
0.0
|
12,082
|
4.3
|
Top
51-100 |
88
|
12,118
|
1.8
|
1.7
|
1.0
|
0.2
|
0.1
|
0.0
|
2,656
|
1.8
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson, October
2005. |
Among the next ten largest (Top 6-15) hotel waterpark
resorts, the average number of rooms is 308 with an indoor waterpark of
38,200 sf or 124 sf per guest room. Among the top resorts ranked 16-25
by room count, the average number of rooms is 245 with an indoor waterpark
of 31,697 sf or 129 sf per guest room. Using the chart above, the waterpark
developer can estimate the size of his hotel, indoor waterpark and its
components. Depending upon size, all hotel waterpark resorts average from
2-7 waterslides, 2-3 pools and 1-2 hot tubs.
Almost all of the Top 25 Largest Hotel Waterpark
Resorts have a lazy river while less than 30% of the smaller resorts have
them.
About 60% of the Top 5 Largest Hotel Waterpark Resorts
have a wave pool and less than 10% of the smaller resorts have them. Wave
pools, while very attractive to surfers, take up a lot of space for the
smaller number of guests who can use them. However, they generate a lot
of entertainment value for spectators, and ski resorts seem to love them.
The Top 25 Largest Hotel Waterpark Resorts are clearly
in the meetings & convention business to balance their seasonal and
weekend-weekday mix of business.
Profile of USA Hotel Waterpark
Resorts by Size of Waterpark
Feasibility consultants face the difficult task of
sizing their client�s hotel waterpark projects. Hotels with the highest
number of rooms don�t always have the largest waterparks. And vice versa.
While there are many factors that determine sizing, a rule of thumb is
the rooms to waterpark ratio. A direct relationship exists between the
number of hotel rooms and the size of the indoor waterparks.
PROFILE OF LARGEST HOTEL WATERPARKS
BY SIZE OF WATERPARK
|
|
Hotels
With An
Indoor Waterpark |
Avg #
Rooms
|
Avg Indoor
Waterpark Sq Ft
|
Indoor Waterpark
Sq Ft Per Room
|
Rooms Per 1000 Sq Ft
Of Indoor Waterpark
|
Over
50,000 sf |
354
|
87,600
|
247
|
4.0
|
40,000
to 49,999 |
175
|
42,000
|
240
|
4.2
|
30,000
to 39,999 |
235
|
33,298
|
142
|
7.1
|
20,000
to 29,999 |
226
|
21,615
|
95
|
10.5
|
10,000
to 19,999 |
107
|
12,215
|
114
|
8.8
|
5,000
to 9,999 |
114
|
6,534
|
57
|
17.4
|
Under
5,000 |
97
|
2,430
|
25
|
39.9
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson, October
2005. |
Hotels with indoor waterparks more than 50,000 square
feet average 354 rooms and 87,600 square feet of indoor waterpark --- a
ratio of 247 sf of waterpark per guest room. That ratio decelerates as
waterparks get smaller.
To illustrate, hotels with waterparks 40,000 to 49,999
sf average 175 rooms and 42,000 sf of indoor waterpark --- a ratio of 240
sf per guest room. Notice that hotels with about 100 rooms and 10,000 sf
of indoor waterpark tend to vary widely in their sizing.
Hotel owners and developers can use the chart above
to help size their projects.
Top Hotel Meeting Facilities
with Indoor Waterparks in the USA
Among the Top 15 Hotel Meeting Facilities with an
indoor waterpark, the number of rooms varies from 98 to 738 and the meeting
facilities vary from 15,000 to 125,000 square feet.
Several of the largest hotel waterpark resorts are
in the meetings & convention business. The 738-room Kalahari Resort
& Convention Center in Wisconsin Dells WI is clearly the largest meeting
facility (125,000 sf) with the largest indoor waterpark (125,000 sf). The
194-room Grand Harbor Resort in Dubuque IA, with 25,000 sf indoor waterpark,
is connected to a 120,000 sf convention center that it operates for the
city.
TOP 15 HOTEL MEETING FACILITIES
WITH INDOOR WATERPARKS
|
|
Name |
Location |
|
Rooms
|
Indoor Waterpark
Sq Ft
|
Meeting
Sq Ft
|
Kalahari
Resort & Convention Center |
Wisconsin
Dells |
WI |
738
|
125,000
|
125,000
|
Grand
Harbor Resort & Waterpark |
Dubuque |
IA |
194
|
25,000
|
120,000
|
Kalahari
Resort |
Sandusky |
OH |
596
|
80,000
|
80,000
|
BW
Ramkota Hotel & Conference |
Sioux
Falls |
SD |
226
|
3,000
|
60,000
|
Grand
Prairie Hotel & KS Splashdown |
Hutchinson |
KS |
218
|
20,000
|
50,000
|
Timber
Ridge Lodge |
Lake
Geneva |
WI |
225
|
30,000
|
50,000
|
Chula
Vista Resort |
Wisconsin
Dells |
WI |
300
|
30,000
|
40,000
|
Hilton
Center City (730) |
Milwaukee |
WI |
250
|
20,000
|
30,000
|
Arrowood
Resort & Conference Ctr |
Alexandria |
MN |
200
|
38,000
|
28,000
|
Ramada
Plaza |
Fargo |
ND |
185
|
10,000
|
25,000
|
Blue
Harbor Resort |
Sheboygan |
WI |
183
|
40,000
|
20,000
|
Bavarian
Inn & Lodge |
Frankenmuth |
MI |
357
|
30,000
|
17,000
|
Marriott
Depot Hotel |
Minneapolis |
MN |
132
|
10,000
|
16,000
|
BW
Sterling Inn & Conference Center |
Sterling
Heights |
MI |
250
|
31,769
|
15,905
|
Hojo
Resort Conference Center |
Wisconsin
Dells |
WI |
230
|
13,000
|
15,000
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson, October
2005.
Hilton Center City is a 250 room waterpark
hotel inside a 730 room convention hotel. |
Hotel waterpark resorts obviously target the individual
leisure traveler segment. But these properties have the advantage of targeting
another customer segment --- the group market --- to fill in hotel low
periods and weekdays when kids are in school. Hotel waterpark resorts with
substantial amounts of meeting space run higher annual occupancies than
those with little or no meeting space.
PROFILE OF LARGEST MEETING
FACILITIES WITH AN INDOOR WATERPARKS
|
|
|
Avg #
Rooms
|
Meeting
Sq Ft
|
Number
Mtg Rms
|
Indoor WP
Sq Ft
|
# of
Slides
|
# of
Pools
|
# of
HTubs
|
Lazy
River
|
Wave
Pool
|
Water
Coaster
|
Top
5 |
396
|
87,000
|
43.7
|
52600
|
4.4
|
2.3
|
1.8
|
0.8
|
0.3
|
0.4
|
Top
6-10 |
231
|
34,600
|
15.3
|
25600
|
3.5
|
2.3
|
1.0
|
0.3
|
0.0
|
0.0
|
Top
11-15 |
230
|
18,781
|
10.5
|
24954
|
2.0
|
3.0
|
2.4
|
0.0
|
0.0
|
0.0
|
Source:
Hotel Waterpark Resort Research & Consulting. |
The Top 5 Largest Meeting Facilities with an indoor
waterpark average 396 guest rooms, 87,000 sf of meeting space, 44 meeting
rooms and a 52,600 sf waterpark. Components average 4.4 waterslides, 2.3
pools and 1.8 hot tubs. Eighty percent of these properties have a lazy
river, 30% have a wave pool and 40% have a water coaster.
Among the meeting facilities ranked 6 through 10
in size, these properties averaged 231 guest rooms, 34,600 sf of meeting
space, 15 meeting rooms and a 25,600 sf indoor waterpark. Among those ranked
11 through 15, the number of guest rooms averaged 230 with 18,781 sf of
meeting space, 10.5 meeting rooms and an 24,954 sf indoor waterpark.
This is only one of several methods a developer and
his consultant should use to estimate the size of meeting facilities in
a hotel waterpark resort.
Hotel Waterpark Resorts Under
Construction in USA
Hotels with indoor waterparks are growing from 28%
to 36% annually while the overall hotel industry expects new supply to
grow less than 1.0% in 2005 and 2006. In 2000, there were only 18 hotel
waterpark resorts. Today, over 100 are open nationwide. Twenty-three new
additions and expansion projects are expected to open by year end. Hotel
waterpark projects under construction have grown from 8 in 2000 to 52 that
are under construction or will break ground during 2005.
.
|
CONSTRUCTION PROEJCT GROWTH
|
|
Hotel Waterpark Resorts USA
|
|
2006F
|
2005F
|
2004
|
2003
|
2002
|
2001
|
2000
|
Open at beginning
of year |
104
|
81
|
65
|
50
|
41
|
32
|
18
|
Openings during
year |
37
|
23
|
16
|
15
|
9
|
9
|
14
|
Total Open
at end of year |
141
|
104
|
81
|
65
|
50
|
41
|
32
|
Percent Change |
35.6%
|
28.4%
|
24.6%
|
30.0%
|
22.0%
|
28.1%
|
|
|
|
|
|
|
|
|
|
Under Construction |
|
52
|
32
|
9
|
10
|
9
|
8
|
In Development |
|
121
|
69
|
46
|
19
|
|
|
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson, October
2005 |
.
Clearly, hotel waterpark resorts are a fad but here
to stay. Projects in the development phase grew from 19 in 2002 to 46 in
2003, 69 in 2004 to 121 in 2005. The number of hotel rooms attached to
indoor waterparks is expected to grow from 5,400 in 2000 to a forecast
of over 24,000 in 2006, which is an increase of 4.4 times over six years.
.
|
ROOM SUPPLY GROWTH
|
|
Hotel Waterpark Resorts USA
|
|
2006F
|
2005F
|
2004
|
2003
|
2002
|
2001
|
2000
|
Open at beginning
of year |
17,574
|
13,851
|
11,464
|
8,510
|
7,452
|
5,487
|
3,545
|
Openings during
year |
6,330
|
3,723
|
2,387
|
2,954
|
1,058
|
1,965
|
1,942
|
Total Open
at end of year |
23,904
|
17,574
|
13,851
|
11,464
|
8,510
|
7,452
|
5,487
|
Percent Change |
36.0%
|
26.9%
|
20.8%
|
34.7%
|
14.2%
|
35.8%
|
|
|
|
|
|
|
|
|
|
Under Construction |
|
9,038
|
4,432
|
1,144
|
1,366
|
1,058
|
1,704
|
In Development |
|
26,747
|
15,864
|
13,268
|
4,630
|
|
|
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson, October
2005 |
The total square footage of indoor waterparks attached
to hotels was 732,100 in Year 2000. That number grew to more than 2.3 million
square feet in 2005 and is expected to grow to nearly 3.6 million square
feet by the end of 2006. The supply of hotel indoor waterpark space grew
24% in 2004, 38% in 2005 and a forecasted 51% in 2006.
.
|
INDOOR WATERPARK SQUARE FOOTAGE
GROWTH
|
|
Hotel Waterpark Resorts USA
|
|
2006F
|
2005F
|
2004
|
2003
|
2002
|
2001
|
2000
|
Open at beginning
of year |
2,377,269
|
1,721,269
|
1,385,969
|
1,019,104
|
935,069
|
732,100
|
487,000
|
Openings during
year |
1,217,739
|
656,000
|
335,300
|
366,865
|
84,035
|
202,969
|
245,100
|
Total Open
at end of year |
3,595,008
|
2,377,269
|
1,721,269
|
1,385,969
|
1,019,104
|
935069
|
732,100
|
Percent Change |
51.2%
|
38.1%
|
24.2%
|
36.0%
|
9.0%
|
27.7%
|
|
|
|
|
|
|
|
|
|
Under Construction |
|
1,721,269
|
868,851
|
|
|
|
|
In Development |
|
4,687,027
|
2,980,293
|
|
|
|
|
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson, October
2005 |
Hotel waterpark resorts grew out of Wisconsin during
the 1990s, and then spread to adjacent states in the Upper Midwest. The
growth pattern is spreading across the northern tier of the USA, with new
properties stretching from Michigan and Ohio to Pennsylvania and new construction
activity in the Pacific Northwest and New England. Many seasonal hotels
and resorts how have or will soon open indoor-outdoor waterparks to build
revenues on a year round basis. In the future, indoor waterparks will spread
to the Sunbelt where desert resort guests and their kids will look for
protection from the sun, hot temps and humidity. New dome structures and
polycarbonate enclosures will let the light in and keep the weather out.
Future of Hotel Waterpark Resorts
in the USA
Based on our research of industry trends, this is
the future we see:
-
Hotel waterpark resorts are not a fad. The growth trends,
consumer acceptance and impact on resort occupancy, room rates and revenues
are too strong to ignore.
-
Hotels with indoor waterparks will continue to grow
faster than the hotel industry. Hotels with indoor waterparks are growing
from 23% to 29% annually, while the overall hotel industry room supply
grew 1.2% in 2004 and is expected to grow 1.3% in 2005. In 2000, there
were only 18 hotel waterpark resorts. Today, 79 are open nationwide. Eighteen
new additions and expansion projects opened during 2004.
-
Hotel waterpark resorts under construction will accelerate
rapidly over the next few years. Construction projects grew from 8 in 2000
to 32 in 2004. Projects in the planning stages numbered 19 in 2002, 46
in 2003 and 69 in 2004.
-
Hotels with indoor waterparks will continue to extend
peak seasons from 100 days to 365 days. Seasonal properties will find it
increasingly difficult to open for three months and pay expenses for twelve
months.
-
Hotels with indoor waterparks will fill rooms almost
100% every weekend and school break all year long. For hotels that typically
go empty on weekends, the indoor waterpark is the best thing to come along
since sliced bread. In some cases, indoor waterparks will add up to 26
points of occupancy.
-
Indoor waterparks will increase hotel occupancy, increase
average room rates and increase annual room revenue over typical hotels
without indoor waterparks. The incremental boost in both occupancy and
room rate will result in a big jump in hotel revenues.
-
Resort destinations are excellent candidates for hotel
indoor waterparks. Ski resorts, golf resorts, beach & lake resorts
and resort conference centers all will consider adding indoor waterparks
--- to extend their short peak seasons to year round.
-
Urban centers nationwide will attract large hotel waterpark
resorts as part of convention centers. Starting with cold weather markets
across the top tier of the USA, cities and downtown convention hotels will
investigate the impact of indoor waterparks on reviving downtowns. Urban
entertainment centers will become more popular.
-
Recreational locations with interstate highway access
within 200 miles of a major metro area are excellent targets for hotel
waterpark development. Families are willing to drive 200 miles in the middle
of January to spend a weekend at an indoor waterpark, but the highway must
be clear of snow and safe to travel.
-
The first hotel with an indoor waterpark to open in
a new market will become first choice among leisure travelers. Especially
families with children. Children will greatly influence the lodging decision.
Mom will actually make the decision.
-
Hotel waterpark resorts are a long term investment and
development opportunity. The industry is still in the birth stage and near
ready to enter the growth stage. Leader Great Lakes Companies, which issued
an IPO in 2004 with its Great Wolf Lodges, will emerge as a national brand
over the next few years. However, many markets will remain unserved ---
providing opportunity for local developers. It will be 5 to 10 years or
longer before the hotel waterpark resort industry matures.
-
Hotel waterpark resorts will grow nationally from cold
to hot markets in the next few years. Originating in Wisconsin Dells WI
in 1994, the lodging-entertainment concept spread throughout Wisconsin
and neighboring states by Year 2000, when growth started to accelerate
throughout Minnesota, Iowa, Illinois, Michigan, Ohio and Pennsylvania.
Eventually, indoor waterparks will expand to the sunbelt. More and more
projects will become indoor-outdoor combinations.
-
Ski resorts will continue to be prime candidates for
indoor waterpark development. Hotel waterpark resorts started in cold weather
resort destinations where the peak summer season is only 100 days. In 2004,
growth spread across the northern tier of the USA with new projects scheduled
for the Pacific Northwest. Camelback Ski Resort in Pennsylvania was the
first ski resort to open an outdoor waterpark in 1998. Boyne Mountain in
northwestern Michigan was the first ski resort to construct an indoor waterpark
(opening in May 2005). Silver Mountain Resort in Idaho is the first western
ski resort to start construction on an indoor waterpark. Similar projects
are underway in Virginia and New England. New indoor waterparks will be
built at ski resorts that want to become four-season resorts.
-
Hotel waterpark resorts will spread more slowly to hot
weather resort destinations. Indoor waterparks will eventually be built
in San Diego, Palm Springs, Phoenix, Tucson, Corpus Christie, South Padre
Island, Houston, New Orleans, Biloxi, Savannah, Charleston, Panama City
and other Florida markets. Outdoor waterparks already exist across the
southern tier of the USA. Why would anyone build an indoor waterpark in
a hot weather market? Reason: Momma doesn�t want her little children outside
in direct sunlight when the temperature is 90 to 120 degrees. Therefore,
shade becomes very important. Designing an adequate amount of shade per
person is a critical factor when building an outdoor waterpark. Take it
to the next logical level: more and more shade becomes a totally covered
facility. In fact, many future projects will be indoor-outdoor combinations.
-
Regional resort destinations with a history of attracting
families will expand to include hotel waterpark resorts. Destinations,
such as the White Mountains of New Hampshire, the Berkshires in western
Massachusetts, the Poconos of Pennsylvania and the Finger Lakes Region
of upstate New York, are all target locations for hotel waterpark resort
development.
-
Almost all major markets will attract a hotel waterpark
developer in the next few years. Major indoor waterpark projects will be
announced in the top 25 markets. The largest indoor waterparks will be
part of major resorts or will be connected to downtown hotels and convention
centers while smaller waterparks will become part of suburban hotels.
-
Almost all future hotel waterpark resorts will be designed
as indoor-outdoor combinations. Facilities will combine both indoor and
outdoor spaces that open up and blend together --- using clear domed structures
and movable glass walls. In the future, many large outdoor entertainment
venues, such as amusement parks and waterparks, will be covered with dome
structures that will control the temperature and weather inside while letting
in a maximum amount of daylight from the outside. We presently have the
technology to cover a 7-acre outdoor waterpark with a translucent domed
structure. What�s the advantage? Eliminate the weather factor. Extend peak
season from 100 days to 365 days and collect revenues all year long.
-
Every hotel owner and developer will DO SOMETHING with
water. Projects will come in all sizes and shapes --- ranging from enclosing
the outdoor pool to raising the roof for waterslide towers and adding water
play equipment to existing pools. Not all pool enhancements will compete
on the resort level. New hotel waterpark resort developments will have
high entertainment value to attract families willing to drive 200 miles
and pay $200 a night for a room. The first and biggest hotel indoor waterpark
to enter a new market will create a high barrier to entry for other competitors
to follow.
Recent Openings: USA
In January 2005, Holiday Inn Grand Forks ND opened
a 7,000 sf indoor waterpark which was converted from a pool in its atrium.
GM Deb Steding said the waterpark conversion cost $1 million plus another
$600,000 was spent on hotel renovations. United Management of Grand Forks
purchased the hotel two years and wanted a indoor waterpark to keep up
with national trends. Steding said many Holiday Inn franchisees have embraced
the indoor waterpark concept with little help from parent company, InterContinental
Hotel Group. However, InterContinental has recently received so many requests
for waterpark exemptions from franchise holders that it has had to develop
several waterpark conversion prototypes for its old holidome concept.
In March 2005, Great Wolf Lodge in Williamsburg VA
opened with 301 rooms, 6,500 sf of meeting space and a 64,000 sf indoor
waterpark. The waterpark consists of 8 waterslides, 6 pools, 2 hot tubs,
lazy river and a wave pool. The 48-foot Fort MacKenzie has over 60 interactive
geysers and sprays and tipping bucket that drenches everyone gathered below
with 1,000 gallons of water. Total cost was $48 million. Contact General
Manager Curtis Brown at 757-229-9700.
In April 2005, Grand Bear Lodge near Starved Rock
State Park in Utica IL with 92 lodging units and a 24,000 sf indoor waterpark.
In May 2005, seven new hotel waterpark resorts opened:
-
Kalahari Resort Sandusky OH opened 596 rooms, a conference
center and 80,000 sf indoor waterpark with 5 waterslides and an uphill
watercoaster. Total project cost was $60 million. Kalahari Resort is owned
by three Wisconsin Dells resort owners who have been competitors for decades
--- Todd Nelson, owner of the Kalahari Resort, Tom Lucke, owner of Wilderness
Hotel & Golf Resort and Jim Mattei, owner of Treasure Island Resort
& Bay of Dreams --- but who have formed a partnership, LMN Development
LLC, to build the Kalahari Resort in Sandusky. Contact management at 877-253-5466.
-
Mountain Grand Hotel & Avalanche Bay indoor waterpark
at Boyne Mountain Ski Area in northwest Michigan opened its 220 unit condo-hotel
and 83,000 sf indoor waterpark during a Memorial Weekend Grand Opening.
The indoor waterpark features 6 waterslides including a cannonbowl tube
slide, 4 pools with a lazy river, 2 whirlpools, a Flowrider water coaster
and climbing structure with tipping water bucket. The facility also has
an arcade, food & beverage and retail areas. Water Technology Inc of
Beaver Dam WI provided the design concept and engineering. Steve Kircher,
owner-operator of Boyne Mountain Resort, hopes the new hotel indoor waterpark
will help the resort regain its footing as the No. 1 ski resort in the
Midwest, a Ski magazine ranking it held for many years. Reach Steve at
231-549-6005 or go to www.boyne.com.
-
Country Springs Hotel�s waterpark addition in Waukesha
WI. Owner Dick Richards has always been innovative when it comes to promoting
his hotel in Waukesha WI, a suburb of Milwaukee. But with increased competition
and lost business over the last three years, Richards decided to build
a $25.6 million, 40,000 sf indoor waterpark addition to his 187-room hotel.
He says the indoor waterpark will draw more people to the hotel and the
surrounding area year round. The indoor waterpark includes 3 waterslides,
4 pools and a hot tub along with a 15,000 sf family entertainment center.
Richards joined with Real-Cap LLC owners Mark Flaherty and Ed Carow to
form a separate entity for the project, CIP Equity LLC. The project will
be financed through a loan with First Bank of Illinois. Architectural Design
Consultants of Lake Delton WI designed the project.
-
Holiday Inn Express & Waterpark in Hayden ID opened
96 rooms and a 25,000 sf indoor waterpark in connection with the Triple
Play family entertainment center. The indoor waterpark has 3 slides, 2
pools, a wave pool and 2 conference rooms. You can reach the hotel by calling
208-772-7900.
-
Holiday Inn Express & Waterpark in the Milwaukee
suburb of Oak Creek WI opened 115 rooms and a 6,000 sf indoor waterpark
consisting one slide and hot tub. The hotel was has two meeting rooms totaling
1,500 sf. Telephone is 414-563-4000.
-
Bridgewood Conference & Aquatic Center in Neenah
WI opened 95 rooms and 5,500 sf indoor waterpark plus 10,000 sf of conference
rooms. The property is owned by Rich Batley, Gary Laeyendecker and Jim
Geertz.
-
Nickelodeon Family Suites by Holiday Inn opened in Orlando
FL with its outdoor waterpark. This is the first-ever Nickelodeon hotel
waterpark which cost $110 million. This is a destination hotel featuring
two interactive waterparks, 3,000 sf arcade, a kid�s spa, KidSuites, a
Nick at Nite lounge for adults and a state of the art theater. You can
even have breakfast in the Nicktoons Café and be greeted by SpongeBob
SquarePants and Dora the Explorer. For more information, call Angela Richmond
at 407-423-8006.
In June 2006, two hotels with indoor waterparks opened:
-
Zehnder�s Splash Village Hotel in Frankenmuth MI opened
with 152 new and renovated rooms and 30,000 sf indoor waterpark. The waterpark
includes two 4-story tube slides, one body slide, lazy river, multiple
level play structure and a tipping water bucket. The project was a conversion
and expansion of the former Bavarian Haus. Owner Al Zehnder says the property
is located adjacent to Bronner�s, the largest Christmas store in the world.
Frankenmuth is 90 north of Detroit and is one of Michigan�s top tourist
destinations. You can go to www.zehnders.com
for more info or talk to Al Zehnder at 989-652-0430.
-
Holiday Inn Suites & Waterpark in Baxter MN opened
98 rooms and 18,000 sf indoor waterpark consisting of 2 waterslides, 1
pool, 2 hot tubs and a lazy river. You can reach owner Bob Sullivan at
218-824-3232.
In July 2005, three more properties opened with indoor
waterparks:
-
Massanutten Resort in McGaheysville VA opened a 42,000
sf indoor waterpark that will feature 12 waterslides, 2 pools, spa, lazy
river and a wave pool. Massanutten is a thriving four season resort and
community of over 600 single-family homes, 900 timeshare units and a multi-million
dollar ski business. Massanutten was the second ski resort in the nation
to build an indoor waterpark; the first was Boyne Mountain MI which opened
Memorial Day 2005. Aquatics Development Group of Cohoes NY was the design-engineering
firm. For more information, contact Clay Rice, director of resort operations
at 540-289-4977. Website is www.massresort.com.
-
A Condo-Hotel & Indoor Waterpark Project in Ocean
Shores WA opened with 60 units and a 8,000 sf waterpark.
-
Comfort Inn & Splash Harbor in Bellville-Mansfield
OH 100 rooms and a 6,500 sf indoor waterpark consisting of one waterslide,
2 pools and a hot tub. For more information, call Sharon Cox at 419-886-4000.
In August 2005, Holiday Inn & Wild Woods Waterpark
in Otsego MN opened with 135 rooms and a 30,000 sf indoor waterpark. The
waterpark features 3 waterslides, 3 pools, 1 hot tub, and a lazy river.
Landcor Development of Osseo MN did the project. You can talk to Landcor
president Bob Fields at 763-315-0818 or call general manager Jackie Olson
at 763-656-4400. �
Developers Doug Rohde and Joel Cairy opened their
Lodge at Brainerd Lakes & Paul Bunyan Waterpark in Baxter MN in August.
The lodge has 102 units and 10,000 sf of meeting and convention space for
groups of 12 to 500. The 30,000 sf waterpark is state of the art. It is
the first in Minnesota and second in the nation to use advanced interactive
virtual reality technology. The VR provides slide-riders with a variety
of lights, sounds, videos and holographic images that simulate log jams,
thunderstorms and Paul Bunyan swinging his ax. Go to www.lodgehotels.com.
Under Construction & Opening
in 2005: USA
As of September 29, 2005, we identified six properties
that are still under construction which we expect to open before the year
ends:
-
Great Wolf Lodge Pocono Mountains PA
-
Best Western Edgewater Duluth MN
-
Best Western Pzzazz in Burlington IA
-
Thumper Pond Golf Resort in Ottertail MN
-
Great Escapes Hotel & Waterpark in Lake George NY
-
Condo-Hotel & Indoor Waterpark in Auburn IN
Great Wolf Lodge Pocono Mountains PA is expected to
open its 401 rooms and 90,000 sf indoor waterpark in October 2005. The
indoor waterpark will include 10 waterslides, 4 pools, 2 hot tubs, lazy
river, wave pool, 6,000 sf arcade and 6,500 sf of conference rooms. The
Pocono Mountain location in Pennsylvania will draw leisure families from
New Jersey and New York City. Owner is Great Wolf Resorts Inc of Madison
WI.
Best Western Edgewater Duluth MN with 282 rooms will
open its indoor waterpark addition within the next 30 days. The 23,000
sf waterpark has two waterslides and a lazy river. The property is owned
and managed by ZMC Hospitality. Contact Ken and John Goldfine at 218-723-8433
for more information.
The 171-room Best Western Pzzazz in Burlington IA
is expected to open its 20,000 sf indoor waterpark, Fun City, in November
2005. Owner Randy Winegard built the indoor waterpark for about $10 million.
The waterpark features 2 slides, 3 pools, 1 hot tub, climbing wall and
tipping bucket. You can talk to Allison Hanson, director of aquatics, by
dialing 319-753-2223. The indoor space also features a family entertainment
center with bowling, arcades and electric go-karts. Winegard also negotiated
with the city to build a 50,000 sf outdoor waterpark, which will open near
his hotel in June in 2006. The outdoor waterpark will feature 4 pools,
including a wave pool.
The 78-room Thumper Pond Golf Resort in Ottertail
MN will open its 11,000 sf indoor waterpark in November 2005. The owner
is Doug Balaha. Phone is 218-367-2431.
Great Escapes Hotel & Waterpark in Lake George
NY is expected to open with 200 rooms and a 38,000 sf indoor waterpark
in December 2005.
Plan B Development Inc expects to open a yet unnamed
150-unit Condo-Hotel & Indoor Waterpark in Auburn IN before the year
ends.
Jeff Henry and the NBGS Group own the Schlitterbahn
on South Padre Island TX, voted the Best Waterpark in America by The Travel
Channel. On December 10, 2005, Henry plans to open the Schlitterbahn Indoor-Outdoor
Waterpark on Galveston Island TX. The $28 million project will feature
a retractable roof that can be closed in winter and opened in summer. Sherry
Bramson said Hurricane Katrina caused minimal damage and slowed them down
only a few days --- the project still plans to open on schedule. The outdoor
portion of the project will open in Summer of 2006.
Under Construction & Scheduled
to Open in 2006: USA
Twenty-seven hotel waterpark resort projects are
currently under construction with scheduled opening dates throughout 2006:
-
Holiday Inn East Columbus OH
-
Canad Inn�s Destination Center in Grand Forks ND
-
Big Horn Resort & Waterpark in Billings MT
-
Lake Lawn Resort�s condo expansion. Waterpark later
-
Grand Lodge & Waterpark of America in Bloomington
MN
-
Great Wolf Lodge waterpark expansion in Wisconsin Dells
WI
-
Mt Olympus Themed Waterpark�s addition of indoor waterpark
and lodging facilities
-
Chula Vista Resort�s expansion in Wisconsin Dells
-
A yet unnamed Hotel & Splash Universe indoor waterpark
in Shipshewana IN
-
Holiday Inn Holidome Conversion in Elmhurst IL
-
River Bluff Resort in McGregor IA
-
Randall�s Island Indoor Aquatic Center in NYC
-
Sheraton Resort in Danvers MA
-
An unnamed Hotel Waterpark Resort in Belvedere NY
-
Ron Jon Surfpark at Festival Bay Mall in Orlando FL
-
Great Wolf Lodge at Paramount�s Kings Island in Cincinnati
OH
-
Great Wolf Lodge�s expansion in Williamsburg VA
-
Jellystone Park in Warrens-Tomah WI
-
Sheraton Chicago Northwest�s indoor waterpark addition
in Arlington Heights IL
-
A yet unnamed Hotel Waterpark Resort in Wausau WI
-
Double JJ Ranch & New Frontiers indoor waterpark
in Rothbury MI
-
Holiday Inn & Suites in Maple Grove MN
-
Hawthorn Suites� indoor waterpark addition at Midlane
Golf Resort in Wadsworth IL
-
Northern Bay Golf Resort & Water on Castle Rock
Lake in Arkdaled WI
-
A yet unnamed Condo-Hotel & Indoor Waterpark in
Kent IN
-
Scott�s Hotels & Splash Lagoon Expansion in Erie
PA
For more detailed information on what�s under construction,
see the article Hotel Waterpark Resorts: Construction Report 2005.
USA Hotel Waterpark Resorts In
Development
Hotel waterpark developers are focusing on new markets
for new construction. Owners of existing hotels are thinking about enclosing
their outdoor pools with new-technology thin-shell domes, aluminum &
glass and light-weight polycarbonate structures that let in the light and
keep out the weather --- for year round operation.
Other hotel owners are raising the roofs of their
pool buildings to install 30 to 50-foot high waterslide towers. Some owners
of existing hotels are tearing up their pool decking to install lazy rivers,
activity pools, kiddie pools and adult spas.
One hundred and twenty-one (121) hotel indoor waterpark
projects are in the planning stages as of October 12, 2005 compared to
69 projects in the pipeline this same time last year and 46 projects the
year prior.
While 104 hotel waterpark resorts are now open and
operating in the USA, 52 projects are under construction and 121 more are
on the drawing boards nationwide.
Minnesota, Wisconsin, Illinois and Michigan are leading
the way in new developments with Indiana following close behind.
Here are the numbers of projects on the drawing boards
for the following states:
HOTEL WATERPARK RESORTS IN
DEVELOPMENT
|
|
Planned Projects
|
States |
Planned Projects
|
States |
15
|
Minnesota |
2
|
New Hampshire |
14
|
Wisconsin |
2
|
New Jersey |
12
|
Illinois |
2
|
Ohio |
11
|
Michigan |
2
|
Washington |
7
|
Indiana |
1
|
Connecticut |
6
|
New York |
1
|
Idaho |
6
|
Pennsylvania |
1
|
Kansas |
6
|
Washington |
1
|
Maryland |
5
|
Iowa |
1
|
Mississippi |
3
|
California |
1
|
Montana |
3
|
Colorado |
1
|
Nevada |
3
|
Missouri |
1
|
Oregon |
3
|
South Dakota |
1
|
Virginia |
3
|
Massachusetts |
1
|
West Virginia |
3
|
North Dakota |
|
|
3
|
Texas |
|
|
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson, October
2005 |
These 121 planned projects comprise 26,747 hotel
guest rooms and indoor waterpark space totaling 4,687,027 square feet in
30 states. This compares with 69 projects and 15,864 rooms that were in
development last year in 27 states.
The hotel indoor waterpark resort is a growing phenomenon
that is impacting all levels of hotel development and investment.
Canadian Supply of Hotel Waterparks
In Canada, we have identified 108 hotel indoor waterpark
that are open and operating in 2004, compared to 99 properties in 2003
and 82 in 2002. Most are located in the western provinces.
HOTEL WATERPARKS OPEN IN CANADA
|
2005
|
2004
|
2003
|
2002
|
Province |
41
|
41
|
38
|
35
|
Alberta |
22
|
22
|
20
|
19
|
Saskatchewan |
15
|
15
|
13
|
11
|
British Columbia |
10
|
11
|
9
|
6
|
Ontario |
11
|
9
|
9
|
7
|
Manitoba |
6
|
6
|
6
|
2
|
Quebec |
2
|
2
|
2
|
1
|
Prince Edward
Island |
3
|
2
|
2
|
1
|
Nova Scotia |
Top 15 Canadian Hotel Waterparks
by Number of Rooms
World Waterpark at the West Edmonton Mall in Alberta
is the largest indoor waterpark in the world. The Mall is the largest shopping
center in the world, according the Guinness Book of World Records.
TOP 15 CANADIAN HOTEL WATERPARK
RESORTS BY ROOMS
|
|
Name |
Location |
|
Rooms
|
Indoor Waterpark
Sq Ft
|
Fantasyland
Hotel at West Edmonton Mall |
Edmonton |
AB |
355
|
217,800
|
Sheraton
Suites |
Calgary |
AB |
325
|
4,100
|
Grand
Okanagan Resort |
Kelowna |
BC |
320
|
|
Sheraton
Cavalier Hotel |
Calgary |
AB |
306
|
|
Travelodge
Hotel |
Saskatoon |
SK |
268
|
4,000
|
Best
Western Hospitality Inn |
Calgary |
AB |
261
|
5,400
|
Sheraton
Cavalier Hotel |
Saskatoon |
SK |
249
|
4,400
|
Remai
Regina Hotel & Convention Center |
Regina |
SK |
235
|
4,600
|
Howard
Johnson Inn |
Canmore |
AB |
202
|
3,300
|
Imperial
400 Hotel |
Regina |
SK |
199
|
3,600
|
Medicine
Hat Lodge Hotel |
Medicine
Hat |
AB |
193
|
6,000
|
Landmark
Inn |
Regina |
SK |
188
|
3,600
|
Victoria
Inn |
Thunder
Bay |
ON |
182
|
3,300
|
Service
Plus Inn |
Grand
Prairie |
AB |
180
|
3,300
|
Travelodge
World Hotel |
Ottawa |
ON |
177
|
13,000
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson, October
2005. |
The Fantasyland Hotel at West Edmonton Mall was built
in 1986 with 355 rooms. Technically, the Fantasyland Hotel is not a hotel
waterpark, but it is closely connected. You can walk from the hotel through
the mall to the 217,800 sf World Waterpark without going outside. So, the
largest hotel in Canada associated with an indoor waterpark is the Fantasyland
Hotel in West Edmonton.
In Canada, hotel waterparks are different than in
the USA. Many are really indoor pools that have been enlarged and enhanced
with waterslides and water playthings. Many of the indoor waterparks in
Canada are under 10,000 sf while many in the USA are over 10,000 sf.
Top 15 Canadian Hotel Waterparks
by Size of Waterpark
While the 217,800 sf World Waterpark is not really
a hotel waterpark, it is situated very closely to hotel rooms located at
the West Edmonton Mall. And the 355-room Fantasyland Hotel is part of that
same mall --- making a connection between the hotel and the waterpark.
The second largest hotel waterpark in Canada is the
Ameri-Cana Resort & Conference Center, which opened its 19,100 sf indoor
waterpark in 2004 --- attached to its 160 guest rooms and 16,000 sf conference
center in Niagara Falls ON.
Third largest is Travelodge World Hotel in Ottawa,
which also opened its 13,000 sf indoor waterpark in 2004 --- connecting
with its 177 guest rooms.
TOP 15 CANADIAN HOTEL WATERPARK
RESORTS BY SIZE OF WATERPARK
|
|
Name |
Location |
|
Rooms
|
Indoor Waterpark
Sq Ft
|
World
Waterpark West Edmonton Mall |
Edmonton |
AB |
0
|
217,800
|
Ameri-Cana
Resort |
Niagara
Falls |
ON |
160
|
19,100
|
Travelodge
World Hotel |
Ottawa |
ON |
177
|
13,000
|
Ramada
Hotel & Suites |
Lethbridge |
AB |
119
|
13,000
|
Best
Western Jurassic Inn |
Drumheller |
AB |
49
|
6,200
|
Medicine
Hat Lodge Hotel |
Medicine
Hat |
AB |
193
|
6,000
|
Travelodge
Hotel |
Medicine
Hat |
AB |
92
|
5,600
|
Riviera
Hotel near West Edmonton Mall |
Edmonton |
AB |
|
5,500
|
Best
Western Hospitality Inn |
Calgary |
AB |
261
|
5,400
|
Douglas
Fir Condo Resort |
Banff |
AB |
133
|
5,000
|
Ramada
Renaissance Hotel |
Saskatoon |
SK |
144
|
4,800
|
Remai
Regina Hotel & Convention Center |
Regina |
SK |
235
|
4,600
|
Sheraton
Cavalier Hotel |
Saskatoon |
SK |
249
|
4,400
|
Sheraton
Suites |
Calgary |
AB |
325
|
4,100
|
Travelodge
Hotel |
Saskatoon |
SK |
268
|
4,000
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson, October
2004 |
In Canada, the biggest concentration of hotel indoor
waterparks is in the Economy Hotel sector, where room counts are typically
under 100 rooms and indoor waterparks are less than 5,000 sf.
However, when you look at what is under construction
and in the planning stages, bigger hotel waterparks are coming to Canada.
Canadian Hotel Waterpark Resorts
Under Construction
Great Wolf Lodge in Niagara Falls, Ontario, is under
construction with a planned opening in Spring 2006. Ripley Entertainment
Inc, a Jim Pattison Company, is spending $200 million on the family resort
destination that will include a Ripley-owned Great Wolf Lodge and a state
of the art 115,000 sf Ripley�s Aquarium of Canada on a 25-acre parcel along
the Niagara River, just north of downtown Niagara Falls, Canada.
Ripley�s is the first license every granted for a
Great Wolf Lodge by the Great Lakes Companies of Miadison WI. Ripley�s
Aquarium of Canada will be the third sea life attraction following Ripley�s
Aquariums in Myrtle Beach SC and Gatlinburg TN. The northwoods-style hotel
will have 404 rooms and 90,000 sf of indoor waterpark. Other features include
a themed family restaurant, huge arcade, gift shop, confectionery, Aveda
Spa, meeting rooms and fitness center along with outdoor pool and recreation
area. Contact Ripley Entertainment at 615-646-7465.
Canadian Hotel Waterpark Resorts
In Development
Nine (9) major hotel waterpark resorts are in the
planning stages for Canada, 3 in Alberta, 2 in Ontario, 2 in British Columbia
and one each in New Brunswick and Saskatchewan.
Mexican Supply of Hotel Waterpark
Resorts
While most waterparks in Mexico tend to be outdoor
waterparks, we have identified a few that are indoor-outdoor combinations
and onsite, adjacent or nearby lodging that would tend of classify them
as hotel waterpark resorts. We are in the process of surveying owners,
consultants and suppliers in Mexico to gather more data and develop a better
profile of hotel waterpark resorts in Mexico.
MEXICAN HOTEL WATERPARK RESORTS
|
|
Name |
Location |
|
Hotel
Balneario de Lourdes |
Sta
Maria SLP |
Mexico |
Hotel
Balneario Spa La Caldera |
Abasolo
GTO |
Mexico |
CICI
Acapulco Magico Waterpark |
Acapulco |
Mexico |
Wet
n Wild |
Cancun |
Mexico |
Splash
Hotel Parque Acuatico Nayrit |
Mexico
City |
Mexico |
Balneario
Ixtapan Waterpark |
Mexico
City |
Mexico |
Persaventura
Waterpark |
Piedras
Negras COA |
Mexico |
Balneario
San Jose Waterpark |
Quiroga
MICH |
Mexico |
Balneario
El Rollo |
Morelos |
Mexico |
Tangamanga
Splash |
San
Luis Potosi |
Mexico |
Parque
Acuatico El Rollo |
Tlaquiltenango |
Mexico |
Source:
Hotel Waterpark Resort Research & Consulting. |
Rest of the World Supply of Waterpark
Resorts
There are about 1,000 waterparks open & operating
worldwide --- a combination of public and private outdoor waterparks and
indoor waterparks that may or may not be connected to lodging. Only about
400 are park members of the World Waterpark Association based in Overland
Park, KS. Therefore, data is incomplete regarding many of the waterparks
around the world. Since waterpark developments are growing rapidly in many
parts of the world, hospitality & leisure consultants Jeff Coy and
Bill Haralson have commissioned a team of people around the world to assist
in data collection for the Annual Waterpark Industry Report. The group
includes:
We have identified fifteen (15) properties in the
rest of the world that have a combination of hotel rooms, indoor waterparks
and outdoor waterparks. Our team continues to survey owners and managers
to build a profile of outdoor waterparks, indoor waterparks and hotel waterpark
resorts around the world.
REST OF THE WORLD HOTEL WATERPARK
RESORTS
|
|
Name |
Location |
|
Rooms
|
Indoor Waterpark
Sq Ft
|
Butch
Kerzner's Atlantis the Palm |
Dubai |
UAE |
1000
|
|
Jumeirah
Beach Resort & Aquapark |
Dubai |
UAE |
619
|
|
Hotel
El Paso & Costa Caribe WP |
Port
Aventura |
Spain |
500
|
|
Hotel
Aventura & Costa Caribe WP |
Port
Aventura |
Spain |
500
|
|
Esperos
Palace Hotel & Waterpark |
Faliraki
Rhodes |
Greece |
416
|
|
Dedeman
Hotel & Aquapark |
Istanbul |
Turkey |
346
|
|
Alton
Towers/Splash Landing |
Staffordshire |
UK |
216
|
40,000
|
Yong
in Farmland I-OWP |
Seoul |
South
Korea |
200
|
38,000
|
Amipura
Resort & Shanku's OWP |
Gujaret |
India |
81
|
|
Seagaia
Phoenix Resort Ocean Dome |
Miyazaki
City |
Japan |
0
|
322,752
|
Bergische
Sonne Indoor Outdoor WP |
Wuppertal
Ruhr Dist |
Germany |
|
430,560
|
Monte
Mare Adventure Spa I&OWP |
Rheinback |
Germany |
|
269,100
|
Alpamare |
Pfaeffikon |
Switzerland |
|
25,000
|
De
Koploper Sportscenter |
Lelystad |
Netherlands |
|
8,850
|
Basingstoke
Indoor Waterpark |
Basingstoke |
UK |
|
1,100
|
Source:
Hotel Waterpark Resort Research & Consulting. Coy & Haralson. October
2005. |
Bergische Sonne has a 430,560 sf indoor-outdoor waterpark
in Wuppertal Ruh, Germany.
Monte Mare Adventure Spa has 269,100 sf of indoor-outdoor
waterpark in Rheinback, Germany.
World Waterpark in West Edmonton, Alberta, Canada,
claims to be the largest indoor waterpark in the world with 217,800 sf.
Alton Towers/Splash Landing in Staffordshire England
is generally recognized as the first hotel waterpark resort in Europe with
its 216 rooms and 40,000 sf indoor waterpark.
Center Parcs has 20 natural resorts throughout Europe
--- located in the Netherlands, Belgium, Germany, France and Great Britain.
Only a few driving hours away from home, these parks offer unique short
breaks, completely apart from daily routine.
Each Center Par Village has a choice of villas, dining,
children facilities, sports centers and water activities. All Center Parcs
have a children�s activity pool, hot whirlpools, outdoor pool, solaria,
waterslides and an aqua café & terrace. Many of the parks also
have a baby pool, rapids, wave pool and a wild water chute. Some of the
parks have a themed pool and water sprays. We are still developing a profile
of the Center Parc resorts --- with the help of Mike Walls.
COLLECTION OF CENTER PARC RESORTS
& WATERPARKS
|
Name |
Location |
Country |
Lodging |
Waterslides |
Wavepool |
Center Parc |
Longleaf Forest |
England |
Yes |
Yes |
Yes |
Center Parc |
Elveden Forest |
England |
Yes |
Yes |
Yes |
Center Parc |
Sherwood Forest |
England |
Yes |
Yes |
Yes |
Center Parc |
Les Bois-Francs |
France |
Yes |
Yes |
Yes |
Center Parc |
Les Hauts de
Bruyeres |
France |
Yes |
Yes |
Yes |
Center Parc |
Erperheide |
Belgium |
Yes |
Yes |
Yes |
Center Parc |
De Vossermeren |
Belgium |
Yes |
Yes |
Yes |
Center Parc |
Bispinger Heide |
Germany |
Yes |
Yes |
Yes |
Center Parc |
Park Heilbachsee |
Germany |
Yes |
Yes |
Yes |
Center Parc |
Park Hochsauerland |
Germany |
Yes |
Yes |
Yes |
Center Parc |
Butjadinger
Kuste |
Germany |
Yes |
Yes |
Yes |
Center Parc |
De Eemhof |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
Het Heijderbos |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
De Huttenheugte |
Netherlands |
Yes |
Yes |
Yes |
Cener Parc |
De Kempervennen |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
Het Meerdal |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
Park Loohorst |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
Park Zandvoort |
Netherlands |
Yes |
Yes |
Yes |
Center Parc |
Port Zelande |
Netherlands |
Yes |
Yes |
Yes |
Source: Hotel
Waterpark Resort Research & Consulting, Coy & Haralson, October
2005. |
Paco Caudet of Action Park Spain conducted a survey
of waterparks in Europe, Middle East and Asia and reports the following
supply of outdoor parks, indoor parks and hotel waterpark resorts. His
report shows 250 waterparks in Europe, 30 in the Middle East and 90 in
Asia.
REST OF THE WORLD WATERPARKS
OPEN & OPERATING
|
# Waterparks
|
Country |
# Waterparks
|
Country |
# Waterparks
|
Country |
60
|
Germany |
10
|
Turkey |
25
|
India |
40
|
Spain |
1
|
Armenia |
25
|
Japan |
30
|
UK |
1
|
Azerbaijan |
10
|
China |
30
|
Italy |
4
|
Lebanon |
10
|
Malaysia |
20
|
Benelux |
4
|
Cyprus |
5
|
Vietnam |
20
|
France |
3
|
Israel |
5
|
Thailand |
10
|
Scandinavia |
3
|
Egypt |
3
|
Korea |
10
|
Eastern Europe |
2
|
Kuwait |
2
|
Indonesia |
10
|
Russia &
Ukraine |
2
|
UAE |
5
|
Other Countries |
20
|
Other Countries |
|
|
|
|
250
|
Total Europe |
30
|
Total MidEast |
90
|
Total Asia |
In future reports, we will identify, classify and
profile these waterparks.
ROW Waterparks Under Construction
or In Development
.
REST OF WORLD HOTEL WATERPARK
RESORTS IN DEVELOPMENT
|
|
Name |
Location |
|
Centre
Parks |
Paris
Notheast |
France |
Waterpark
Wodny Indoor |
Lodz |
Poland |
Waterpark
Wodny Indoor |
Warschau |
Poland |
Suzanne
Mela's Indoor Waterpark |
Berlin-Postdam |
Germany |
Ogmio
Astra Pramogu Centras IWP |
Vilnius |
Lithuania |
Other
Projects |
|
Spain |
|
|
Italy |
|
|
Greece |
|
|
Dubai |
|
|
Qatar |
|
|
Bahrain |
|
|
Abu
Dhabi |
Source:
Hotel Waterpark Resort Research & Consulting. |
In North America, the hotel indoor waterpark resort
concept quadrupled over the last six years. Worldwide, waterparks are growing
in popularity with both leisure travelers and resort developers.
For more information regarding feasibility,
supply and demand, contact Jeff Coy at 480-488-3382 or Bill Haralson at
972-231-7444. Coy heads JLC Hospitality Consulting of Cave Creek AZ and
is certified by the International Society of Hospitality Consultants. Haralson
heads William L. Haralson & Associates of Richardson TX and is a Hall
of Fame member of the World Waterpark Association. Email [email protected]
or got to www.jeffcoy.com. Email
[email protected]
or go to www.wlha-inc.com. Paco
Caudet of Action Park, Valencia, Spain, contributed to the international
portion of this report. Email Paco at [email protected].
|