A Condo hotel offers the initial investor a whole ownership hotel room or suite with a mixture of personal use every year (4–6 weeks typically) and participation in an organised rental programme. Revenue is substantially in accordance with hotel charges and developers retain a critical mass of hotel rooms.
This is a sound financial model for businesses involved in the hotel industry. Condo hotel projects can rapidly receive 70-75% retrospective funding, allowing them to build and then quickly remove their equity.