Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Condotels No Longer the Rage in Hawaii. Is Bali Next?
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Jln. By Pass Ida Bagus Mantra,
Jln. Pucuk 1 No. 70X
Denpasar, Bali
Indonesia

24h:
+62 (0)812 3819724
Tel:
+62 (0)361 464 032, +62 (0)361 471 0242

Bali Discovery

SITE PATA ASITA
Bali News

Condotels No Longer the Rage in Hawaii. Is Bali Next?

Problems in Hawaii's Condotel Market May Foreshadow Future Problems for Bali.


Bali News: HonoluluAdvertiser.com, Hawaii tourism, condotel, condominiums, Bali tourism, problem with condotels, Bali property, nominee owners Bali
Click Image to Enlarge

(7/20/2009)

HonoluluAdvertiser.com reports that the recent sudden downturn in Hawaii's tourism industry has sent shock waves through the condotel sector, outlining a possible future vulnerability for Bali tourism where condotel investments are becoming increasingly popular.

Condotels are tourist accommodations, either developed from scratch or through the conversion of existing hotel properties, in which rooms or suites are sold as condominium units to individual owners. As part of the sales transaction, the condotel units are assigned by their owners to a hospitality management company who market and manage the units as part of a larger holiday hotel.

In Hawaii there are many of an estimated 3,500 Condotel owners that, due to reduced visitors to the island and depressed rentals, now find themselves in negative cash flow situations. Revenues generated through rentals are often insufficient to service mortgages and pay monthly maintenance or membership fees demanded by the management company.

Making matters worse, management companies are claiming "force majeure" demanding higher commission levels from owners on already reduced rental rates. Obviously, those who once had visions of beautiful holidays homes paying handsome dividends are less than pleased.

What does the developments in Hawaii's condotel sector portends for Bali is still unclear. If, however, the Hawaiian experience is any barometer, Bali condotel "owners" might someday expect their profits to be shaved by management companies confronted by a declining market.

Should at some point in the future disputes arise in Bali between foreign owners and local condotel management companies, those disputes may be further exacerbated by foreign owners trying to assert legal rights and privileges under a complex and arguably "pseudo-legal" nominee structures in which title to the property are held by an Indonesian nominee.

Related Article

[Bali Artistic Leader Calls for a Stop to Condotels]


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Advanced Dance Lessons for Healing Fingers
12-Day Comprehensive Massage Course from Jari Menari September 17-24, 2018
(1/21/2018)
Welcome the Earth Dog!
The Laguna at Nusa Dua Celebrates Chinese Lunar New Year with Banquets and High Teas February 9 – 17, 2018
(1/21/2018)
Incorrect Rectal Retention
Russian Tourist Caught with Commercial Quantities of Hashish at Bali’s Airport
(1/21/2018)
An Evening of Music Not to be Missed
An Evening of World Class Piano, Viola, and Voice at Padma Resort Legian on Sunday, February 4, 2018
(1/21/2018)
When Indonesia’s Dragons Become Too Popular
Beyond Bali: Government to Set Maximum Visitor Limits in 2018 at Komodo National Park
(1/21/2018)
COMO Uma Canggu to Open in February 2018
Bali Property will be the 14th COMO Property Worldwide and First Seaside Resort Among 3 Island Properties
(1/21/2018)
‘Oh!’ said Pooh.
Bali Zoo Home to a Newborn Honey Bear
(1/21/2018)
Construction Zone Ahead
Underpass Update: Expect Delays on Northbound Travel Between Jimbaran and Bali Airport During January-February 2018
(1/21/2018)
ARTOTEL for Hope
ARTOTEL Sanur Raises Funds for Bali’s Schizophrenia Community.
(1/21/2018)
25 Years of Helping the Community
Join the 25th Anniversary of Rotary Club Nusa Dua on Saturday, February 3, 2018
(1/21/2018)
No Parking in the Name of the Law!
Additional Steps Underway to Ensure Compliance with New Traffic and Parking Rules in Ubud, Bali
(1/21/2018)
Return to the Elements
Ubud Prepares for Royal Cremation on Friday, March 2, 2018 of Anak Agung Niang Agung
(1/21/2018)
All [News]!