Resort Operations Chapter 2

Chapter 4 The Planning and Development Process
World of Resorts: From Development to Management Third Edition (424TXT or 424CIN)
2010, Educational Institute
Competencies for The Planning and Development Process

1. Describe the role that developers often play in the creation of new resorts and what they expect in return for their efforts. 2. Identify the participants in the planning and development process and how their efforts are organized and coordinated. 3. Describe the five phases of resort planning and development and the steps taken in each phase. 4. Delineate the content, uses, and limitations of the resort master plan.
2010, Educational Institute 1
Physical Plant Team Members

Developer Land planner Architect Engineers Interior designer Landscape architect General contractor and subcontractors Suppliers and manufacturers Project managers Technological consultants Recreational facilities consultants
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Ancillary Team Members

Developer Feasibility consultant Market and financial analysts Social engineer Lawyers Management consultants or the resort operator Government advisors
Purposes of the Resort Master Plan

Is a planning tool to provide guidance for decisions Describes the general development concept of the overall resort estate Used to coordinate the preparation of more detailed plans Lays out areas earmarked for future development
(continued)
Purposes of the Resort Master Plan

(continued)
Analyzes the impact of new development on resort land over time Includes timetables and goals for future growth Establishes strategic planning policies Provides reasonable certainty for investors based on forecast and pro forma data with detailed analysis
The Five Phases of Resort Planning and Development

1. Conceptualization, planning, and initiation 2. Feasibility analysis 3. Commitment 4. Design, layout, and construction 5. Management and operation
Concerns in Resort Design and Configuration

Design, image, and marketing Lodging structures Recreational facilities Design of the general transportation system Freestanding restaurants, snack bars, retail, and rental shops Provision for future expansion Employee housing and related needs Support facilities and systems Resort hotel Deliveries, waste removal, security, and maintenance Food and beverage production
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Main Elements in a Feasibility Study

A general overview of the area where the project will be developed, including the areas economic climate, its political stability, travel trends in the area, community support, and weather patterns A market analysis that looks at potential types and numbers of visitors/guests and where they will come from, market needs, seasonal patterns, and other data. The physical characteristics of the site with particular reference to its advantages and disadvantages, possible alternative sites for the resort proposal, and the physical characteristics of the lodging facility projects.
(continued)
Main Elements in a Feasibility Study

(continued)
Financial information such as estimates of capital requirements, debt-equity leverage, cash flow statements, balance sheets, and income statement projectionsalso known as the pro forma statement. Additional information such as import duties and restrictions on importation of materials needed for construction or operation. Consensus and dissenting opinions of experts who have been consulted on the projects feasibility.
Elements of the Commitment Phase

Land assembly/site acquisition Agreements from public entities for development and funding assistance Selection of and agreements with a hotel operator for franchise rights, affiliation, and/or management assistance, if applicable Obtaining development rights for the site Development of the general land-use plan Selection of a project architect and engineer
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Elements of the Commitment Phase

(continued)
Selection of a project developer Refined project development costs, schedules, and drawings Agreement among financing, developing, and operating entities Obtaining necessary environmental documents and other governmental approvals and permits Determination of ownership structure and securing finance
Four Conditions Covered in an EIS

1. Designation, purpose, and need of a project 2. Statement of how the environment will be affected 3. Listing of possible alternatives and mitigating circumstances 4. An analysis of each alternative
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Requirements for an EIS

All probable environmental effects of the proposed action Avoidable adverse impacts Suggested measures for abating or eliminating probable adverse impacts Discussion of the cumulative effects of the project in relation to other projects
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Requirements for an EIS

(continued)
Alternatives to the proposed action and their probable environmental effects Assessment of the trade-offs between short-term effects and long-term gains through investment in maintenance and enhancement Commitment, irreversible and irretrievable, of required natural resources if the proposed action is implemented
Characteristics of an Intense/High-Activity Type of Resort

Activities and facilities located close together Atmosphere of constant action and excitement More hotel units, smaller rooms Compact use of space Greater attention to acoustical treatment Small restaurants with higher turnovers
Characteristics of a Less Intense Type of Resort

A remote location away from other properties Fewer hotels within the resort complex Activities and facilities that are more dispersed More relaxing types of activities Larger-size rooms More food and beverage facilities on the premises Finer accommodations Less attention to acoustical treatment Self-containment with little need for outside services
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Activities of the Project Manager

Initiating and administering contracts Developing working drawings and specifications Directing the bidding process and conducting negotiations with each subcontractor Scheduling construction activity Monitoring construction Assisting in bringing in the project on time and on budget
Elements in the Final Phase of Resort Development

Preparation and implementation of an aggressive sales and marketing campaign Recruitment, training, and retention of staff Provision of services per negotiated agreements Organization and management of each operating department Control and reduction of operating costs and expenses Generation of profits, maintenance of facilities, and enhancement of the resorts image
Elements of a Strategic Plan for Selling Excess Land Holdings

Analysis of existing markets and tourism trends Analysis of the resort in terms of its strengths and weaknesses Strategies and programs to build on strengths and reduce weaknesses Estimation of financial requirements and revenue to be derived from the proposed programs Management of assets, including land, and their yields Capital improvements and revenue impact Suggested timetable for achieving objectives

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Chapter 4 The Planning and Development Process

World of Resorts: From Development to Management Third Edition (424TXT or 424CIN)

2010, Educational Institute

Competencies for The Planning and Development Process

Physical Plant Team Members

Ancillary Team Members

2010, Educational Institute

Purposes of the Resort Master Plan

2010, Educational Institute

Purposes of the Resort Master Plan

2010, Educational Institute

The Five Phases of Resort Planning and Development

2010, Educational Institute

Concerns in Resort Design and Configuration

2010, Educational Institute

Main Elements in a Feasibility Study

Main Elements in a Feasibility Study

Elements of the Commitment Phase

Elements of the Commitment Phase

Four Conditions Covered in an EIS

2010, Educational Institute

Requirements for an EIS

2010, Educational Institute

Requirements for an EIS

Characteristics of an Intense/High-Activity Type of Resort

Characteristics of a Less Intense Type of Resort

2010, Educational Institute

Activities of the Project Manager

Elements in the Final Phase of Resort Development

Elements of a Strategic Plan for Selling Excess Land Holdings

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