2006 05 20 RDA Minutes
LA QUINTA REDEVELOPMENT AGENCY
MINUTES
MAY 20, 2006
CALL TO ORDER
A special meeting of the La Quinta Redevelopment Agency was called to order at
the hour of 11 :00 a.m. by Vice Chair Terry Henderson.
PRESENT:
ABSENT::
Agency Board Members Adolph, Kirk, and Vice Chair Henderson
Agency Board Members Osborne and Sniff
It was moved by Board Members Adolph/Kirk to excuse Board Members Osborne
and Sniff.
II PUBLIC COMMENT - None.
III STUDY SESSION
Stan Kantowski, General Manager for the Resort at Squaw Creek, presented an
overview of the facility, including size, available activities and facility use at
different times of the year. In response to Board Member Henderson, Mr,
Kantowski said the facility can accommodate a group size of 1 ,800 people;
however, they have hosted a group of 3,000. The ballroom accommodates 100
people. Larger groups generally rent about 100-180 rooms. Groups are booked
from eight months to two years in advance.
Economic Development Consultant Frank Spevacek noted Lowe Enterprises bought
the resort three years ago and converted the property from a traditional hotel to a
condo-hotel. The Resort now has 405 rooms. Mr. Kantowski added all rooms and
common areas were renovated, and the spa and retail areas will be renovated next.
900/0 of the rooms are in the rental program, and the rest will join the program.
The group toured the following facilities: Lobby: guest services, check-in, and
concierge operating areas. Accommodations: a typical guestroom, a suite, and a
penthouse unit. Food and Beverage Operations: Six Peaks Grille, Ristorante
Montagna, and Sandy's Pub. Amenities: Conference center, spa and fitness
facilities, outdoor amentities, and resort retail area.
Mr. Kantowski noted all these four-star facilities are available to all hotel guests
and condo owners. He explained how the retail leasing operates and the process
used for unit sales. He noted that 220 units have been sold to date. A variety of
owner services are offered, and there is a yearly maintenance fee. Two-bedroom,
1 ,025 square-·foot units currently sell for $830,000 to $1 million; there is a
monthly HOA fee of $1 ,800; spa and golf are extra. In response to Board Member
Adolph, Mr. Kantowski said there have been no new assessments recently, and the
HOA votes on new assessments. In response to Board Member Kirk, Mr.
Kantowski noted the HOA is not controlled by the developer; however, the
developer does sit on the Board. He added that condo-hotels are not designed for
long-term use; they have small storage areas and kitchens, etc.
At 12:33 p.m., the Agency Board recessed the Special Redevelopment Agency
meeting until the hour of 1 :00 p.m.
The Special Redevelopment Agency meeting reconvened at 1 :03 p.m.
Tom Devlin of DDC Desert Development and Roger Beck, Managing Director for the
Resort at Squaw Creek, presented a condo-hotel operations overview. Mr. Beck
stated that the remodel of Squaw Creek cost $29 million, and further explained
that Lowe builds and operates its properties. Condo owners can expect a 30%
occupancy rate for their units; but with convention space and amenities,
occupancy increases to 55%-60%. In response to Board Member Henderson, Ted
Lennon of DDC Desert Development replied that spas are still popular.
In response to Board Member Kirk, Mr. Beck said the closest retail competitors are
Squaw Village and Tahoe Village. Guests spend about $18-$20 each per day on
retail.
In response to Board Member Adolph, Mr. Beck replied that no one lives at the
resort 100% of the time, and that the transient occupancy tax rate is 10%.
There being no other business, the meeting was adjourned at 2:35 p.m.
Submitted by,
Thomas P. Genovese, Executive Director
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