Where would you recomend that we do it? We would also like to open a restaurant along side of it. We're thinking 10 rooms for the hotel and a 40 seat rest/bar Any info would be greatly appreciated

Tks

Jane and John

I would think it would be a smarter path to start by purchasing one that is already for sale. You have the advantage of an established clientèle and brand plus an understanding of the past occupancy records.

Oh my...have you talked to the hotel and bar owners here,,things are not good..with the overbuilding of rooms and more going up..room count has about doubled in the last 2 yrs.tourist count has not,.and most bars are empty,,at this time I would really do some research.....just a handful of places are breaking even right now.

Most new buisnesses in Belize fail. Many because they ignored The Cardinal Rule of "moving to Belize". That rule is "Live here for at least one year before investing a nickel".

Mind you, a Botique hotel must have the requisite SPA

Twas the best of times, twas the worst of times.....depends on who you are, who you are related to and how good is your crystal ball (how big is your bank account) Read and reread, Don't Stop the Carnival. It ain't easy, but it is memorable. Enjoy.

SPA?

Thats why i'm here to hear the pros and cons

i know that it is not a good time to start this kind of venture. All tourism world wide is down. But i think as the resession end Belize will become a HOT spot for toursim. It is a majical place

Very true...if you have the financing to get her done and sustain yourself for several years..it is a magical place to be. On the other hand if you have that kind of money perhaps you should sit back and enjoy the place for a year first..seems the longer you are here the more doors open up. From long term rentals to land for sale..

Its never a good time ! If that was the case we would not start anything, go for it, in saying that, I would think most hotels on cc are on the market or would take an offer & at the right price would sell.
I beleave CC WILL take off one day, if the powers that be let it happen,& IF WE LIVE THAT LONG ! ! !

how bad is it down there? Are there any other parts Belize thats doing better? What would you say the occupency rate is, acording to the toursim board its 50% All of the real estate firms are saying thatbusiness is booming any info would be helpfull

You must not be talking to the right real estate firms - perhaps you are talking to an agent that hasn't lived here for more than a few months.

Business in the nation is not booming at the moment - in fact it is basically a reflection of the US economy.

There are small sectors of industry that are possibly doing a little better than others, there are some hotels that are doing better than others etc - but most of these are either well established businesses with repeat clientele - or places that have slashed their rates considerably.

There are a lot of lay-offs occuring and we haven't hit our "slow" season yet.

Having said that there is some business around, if you build you would be under construction for months and we all expect (hope) to see a turn around in the economy in the upcoming year.

It is a tough time to be a "start up" but if you can make it when it is quiet, you will go gang busters in the future.

Good luck - be wise, do your due diligence and I hope you will enjoy your dream of living in Belize when the time and the circumstances are suitable to your unique needs.

The economy has directly affected our travel decisions for our October trip to Ambergris Caye. We usually stay at The Palms. In a down economic time, places that cater to the "Value" tourist are going to excel while those who look to get a premium rate, won't.

That logic also flows to a large part to Belize as a whole. Airfare to many Caribbean destinations is extremely cheap ($130) while it's tough to find something to Belize for under $600 from most locations. In an economy that creates more "Value" travelers, Belize is going to get hit harder than say a Cancun or Puerto Rico.

Much of the cost for travel I suspect is the airport landing fees
that the Govt. charges to land at BZE.

the figure usually tossed around is 40% occupancy rate country wide.
here is what i have seen from my vantage point.
the larger, more swanky places are not doing so well right now. lay-offs are getting more and more often.
the smaller places seem to be holding up.
my theory,, people still want to travel but maybe some of the hi end travelers are toning it down a bit and staying at the cheaper places?
i would have to agree with someone else's point,, buy an existing business. no need to clutter the place up with more empty rooms.

On the airfare front, last August I paid $459pp,rt,incl taxes and fees. This year it's $700.

Drop me an email. I own about the busiest hotel on the island and continue to do very well. Get in touch and will give you the details or at least some advice. My hotel is for sale for the right price.

info@cayerealestate.com

...as is nearly everything in Belize.

One of the best questions I heard in Belize was, "How do you make a small fortune there?"

The answer: "Start out with a large one."

Just food for thought.

Question: How do you make no fortune in Belize and work in an office all your life?

Answer: Listen to armchair experts and doomsayer on forums.

barn, i heard the 40% avg occupancy quote as well.



yup - air sales last yr reaped fares of $350-400 from philly to bz- now at 650-750.

so, we're going to costa rica this fall instead. maybe next yr, belize...

Doomsaying and being honest and realistic are completely different things. When somebody is talking about sinking their life's savings into a start up venture at a time when the existing businesses are struggling is risky business.

I am not sitting on an armchair - I have sold real estate on Ambergris Caye for over 25 years and have a fairly good handle on the market.

Certainly some hotels are holding their heads above water, most of the hotels that used to have 90% occupancy here are still holding at 85% - but that is a significant drop in revenues. Some of the big hotels are laying off staff - these are places that kept their staff on during the lean period after Hurricane Keith.

85% thats a very big #

TY for all of the info

J & J

If a hotel is struggling with 85% occupancy it is the manager that should be laid off!

Have sent you a PM Amanda with a couple of questions about your listings.

Thanks

Yes i have

Perhaps a bit more info on Caye Caulker would be handy for you folks. Caye Caulker has already opened up big time. The result has been a loss of many things that made it appeal to a great many people. The guide books all talk about the peace and quiet not found in other tourist stops. That was in part the character of the villagers and part because there were no gas powered vehicles.The new traffic committee has chosen to allow many, many gas vehicles which has spoiled a good bit of the charm.There are more coming every day.
Ask the Pedranos about that. It is already too late for them. For the tourist business to boom it will require something new to make the place appealling.
Many of the businesses are owned by outsiders who have a different sensibilty about life and business. Last season tourism was reported by Gov. as down about 10% for tourist arrivals at entry portals, but business was down maybe 50% in the Caye. This is the reason so many hotels are for sale at the moment and not selling.
Any realtor who tells you that real estate is booming has their own agenda. The once wide open seafront is now crowed with buidlings built on the public beach itself. Since at least one was built by the Village Council as a rental, you can count on this tend continuing.
No beaches, few great bars, overbuilt rooms. Figure it out.

i agree!
if you like belize or want to see what others have talked about,, do it now!
the GOB is letting every development project conceived be passed.
NO MATTER WHAT!
from my opinion, they have no idea how to preserve what they have.
are not even considering it. they think the answer to all their problems is more people. i don't agree.

I'm not a doomsayer, and I support people following their dreams.I love CC and would love to live there. It's just that people have to be realistic about what it means to make a living on an island that can reasonably support a couple hundred people, but has several thousand people visit every year. If you are realistic about a simple lifestyle, accept that most of your revenue is dependent on tourism, and accept that the few families that live on the island will be competing for the few tourist dollars available, you will do fine. Just don't fall into the trap of expecting to get rich. Kick back and enjoy a simple life, and you will do great. Few places are as special as CC.

Yes it is certainly not easy to do well there, but it is possible.

While real estate sales are certainly down this last year, our hotel has only taken a drop of around 8% from peak times.

It just gets a little tiresome when people keep airing the same ongoing gripes against the village council or traffic commitee on here to potential investors or visitors(because yes the whole island does rely on tourism now) instead of focusing that energy to lobby the council or government for change.

CM... Well said sir! On my last 2 trips to SP I have seen many evening meetings in progress at the Lions Den, and there seemed to be large concerned crowds at all of them. While I am not certain of the subject matter, the fact they existed at all was heartening.

Caye Maker is correct of course.
For those new here a review of the cast of characters may be useful. I sold my beachfront and used the money to build the new high school.Cooper is a player in the new Animal shelter.Cayeboard serves as an advisor to Minister Heredia.Along with others we sponsor cleanups on Earth Day.lobby the Gov. almost nonstop to save the beaches, stop the gas vehicles,fight crime and so on.We also take the time to answer questions truthfully to potential new residents so they will not join the sad line of failures who come and see their dreams die on Caye Caulker.
If a guy wanted to sell his hotel he might prefer we serve as cheerleaders to that effort and focus on telling folks how fabulous it all is and what big money you will make here, without actually spending enough time here first to understand what is going on.

Even if your hotel only makes a 5% ROI, it is still better than stock market losses, a negative real estate market in the U.S. or leaving your money in a CD at 1-1/2%. Before Caye Caulker gets another bite taken out of an already small pie, I would recommend looking at existing hotels that are for sale and seeing what you can do with remaking something that is already here. Keep the wheel rolling rather than try to reinvent it.

lee, respectfully, are you saying someone could likely make a 5% ROI on a hotel on CC in the first 5 years, after expenses of start up? wouldn't it have to be truly 100% turnkey to do that? if it was making 5% ROI, why would an owner sell it? how much of that 5% would have to be put into promotion & advertising, etc to maintain biz?

my CD may only be making 2.02%, but it requires zero upkeep, staffing or R&M, and is guaranteed not to fail. (hug, lee <3 - just playing devil's advocate, my unfortunate hobby)

If you are interested in building, we have water front property. What is your e-mail...

Sweet Jane, yes it is possible to make a 5% ROI here, when you buy an existing business. Our rental property is for sale and has an 8% ROI. When you buy an existing business there is very little start up, it has already started up. And as for why would someone sell if their business is making money? In my opinion, that is exactly when you should sell. My husband is 65, from Caye Caulker, born and raised here and ready to "retire" to the U.S.

We could start a whole other thread on "Why people fail in Belize"

You can get 6% on a CD with Belize bank

Compounded semi-annually or quarterly though, not monthly like in the US.

What?

ccc - great response. best of luck!!