Allegiant plans to resume work on a $ 510 million Florida resort

Allegiant plans to resume work on a $ 510 million Florida resort

Diving letter

  • Allegiant Travel Company announced that it will resume construction of its Sunseeker Resort in Charlotte County, Florida, this month after it suspended due to the pandemic and its negative impact on the travel and hospitality industries.
  • John Redmond, president of Allegiant, said during a news conference last week that Allegiant plans to complete construction within 18 months and that the waterfront resort north of Fort Myers is expected to open in early 2023.
  • During an investor call Thursday, Redmond said the Peace River development when completed will be like no other in the state as it will be built 16 feet above the mean flood line, making it better prepared to withstand hurricane damage.

Dive insight

Since the coronavirus pandemic is entering a new, uncertain phase and the delta variant leads to peaks in some cases, The fate of the hotel industry is still in the air. Still, tourism in the Sunshine State appears to be recovering from last year’s COVID-19 challenges. For example, Hotels and motels in the Orlando area saw record occupancy in six weeks in June and July, according to WESH 2 news agency.

Allegiant’s earnings in the second quarter show the company had sales near pre-pandemic levels, bringing in $ 472.4 million in the most recent quarter, compared to $ 491.8 million two years ago.

The Sunseeker project was backed by a new $ 350 million loan from an unknown lender with the resort as collateral, the company said Sarasota Herald Tribune.

Redmond is keen to stick to the schedule, he said in the press release. When the project was paused, it was about a third of the construction time, according to the executives of the investor call, and the overall project has an estimated budget of approximately $ 510 million.

“When we first announced a temporary construction break, we always planned to restart within 18 months. I am happy to say that we are exactly on the right track, ”said Redmond.

Upon completion, the resort will have 500 hotel rooms and 55,000 square meters of meeting and conference space as well as 19 restaurants and bars. A golf course is also connected to the hotel building, which is being renovated and opened at the same time as the hotel.

Kipp Schulties, who designed golf courses at the Boca Raton Resort & Club and the Quail Lodge Resort & Club, is working on the renovation of the golf course. The project will employ around 800 construction workers and, when completed, will employ 1,150 people, according to a Press release.

When speaking to Local news channel ABC7, Redmond was determined to quell any rumors that he was going to sell the project at any point in the process. Redmond also stressed the importance of continuing the project as the resort is expected to bring 2 million people to the nearby Punta Gorda Airport.

“We have never given up on this project,” Redmond told ABC7.


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