WaterWalk Hotel Apartments is on a growth trend raising more than $350 million in franchise development capital in the past eight months. WaterWalk’s unique hybrid hotel-apartment model offers investors the higher revenues of an upscale extended-stay hotel along with the capital structure and valuation of an apartment. Its first property in Wichita, Kan. opened its doors in November 2014 and ramped up in just six months.
WaterWalk highlights include:
- A $150 million agreement with franchisee Rob Mossburg and Rockford Construction to develop eight WaterWalk franchises in San Antonio, Denver, Dallas, and Austin, signed March 2016.
- A $100 million deal with UK-based private equity real estate firm, Henley, to build five WaterWalk sites in Albany, Charlotte, Fort Lauderdale, and North Orlando, signed August 2015.
- Ten new properties will begin construction in 2016, including those in Denver, Charlotte, and Dallas.
- Additional WaterWalk franchise sites selected in Chicago, Kansas City, and Salt Lake City.
“In a relatively short period of time, WaterWalk is already proving to investors in the U.S. and abroad its strength as an asset in real estate portfolios,” said David Redfern, president of WaterWalk Hotel Apartments. “Our Wichita, Kan. location has successfully drawn corporate lodging rentals from Fortune 500 companies and sustained 94.2 percent stabilized occupancy June to December 2015. We expect the same success for the sites breaking ground this year.”
Hospitality consulting firm, The Highland Group, estimates that the WaterWalk brand has the potential to capture one percent of the total market size and have demand for 10 million room nights in the coming years. “A hybrid hotel and apartment business model can generate higher occupancy and revenue compared to extended-stay hotels. It’s also uniquely positioned to capitalize on the growing demand for corporate housing,” said Mark Skinner, hotel consultant with The Highland Group. “WaterWalk’s versatile package aligns with current demand resulting in an unprecedented opportunity for franchisees and investors to capitalize on the trend.”
WaterWalk provides real estate and development services, sales and marketing support, operational and property management training, and other expertise to franchisees. The company also handles site selection, entitlements, and land acquisition to ensure a seamless process.
WaterWalk’s hybrid hotel-apartment model will meet the demand for the growing workforce’s housing needs. WaterWalk combines the traditional hotel services into a gated, purpose-built community, and offers a bevy of upscale amenities and features, such as all-inclusive pricing, full-sized appliances in a modern kitchen, high-speed Internet, DirecTV with premium channels and DVR, housekeeping, fitness memberships, local transportation, and free, customized breakfast.
Companies using WaterWalk for their corporate housing will find an added level of convenience and quality compared to other corporate housing facilities, including a national sales team and full support staff that are accessible and available on-site 24-hours a day for any guest needs, increased flexibility in lengths of stay, and premier safety and security measures.
Headquartered in Wichita, WaterWalk Hotel Apartments combines the most appealing features of an upscale extended-stay hotel with the lifestyle of apartment living. Guests may choose to stay a day, a week, a month, a year, or longer with an all-inclusive bill for utilities, TV, internet, phone, and concierge services. For the full-service Gold package, housekeeping, fully-furnished apartments, and breakfast are also provided. WaterWalk Hotel Apartments is the fifth national brand started by Jack DeBoer, founder of Residence Inn, Summerfield Suites, Candlewood Suites, and Value Place.
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