Posted Friday, February 2, 2007 9:15 AM | Contributed by Jeff
Three water parks have been built in the Sandusky area in the last six years and there are plans for at least three more. Kalahari Resorts said Tuesday it will double the size of its existing water park with a $50 million expansion, making it bigger than the company's water park in Wisconsin Dells.
Read more from AP via The Akron Beacon Journal.
Here is what I would do. Tear down Sandcastle Suites and the adjacent Breakwater restaurant. Start from scratch with a larger hotel with an indoor waterpark concept that could compliment (or incorporate) some of Soak City. This would probably necessitate taking out Circle B of the campground (and maybe even the remaining campsites of Circle A).
If they got REALLY creative they would tear down the Bon Air section of Breakers and incorporate a new wing that would also somehow tie in to the indoor waterpark.
Then, they could purchase the campground out on Rt 6.
Of course, that is just me.
Having the Best amusement park On The Planet right next door makes those rooms acceptable as they are. Having one of four indoor waterparks within a 10 minute drive as the selling point may not make the grade.
And what does the room rate for an on-site indoor waterpark become during the season?
Personally I think they should tear down SandCastle Suites AND Breakers.
I think they should rebuild Breakers and make the lobby and Rotundra look like it did back in the day it was orignally built. Make the rooms and look of the hotel old fashioned. They should make the hotel very tall so it can hold a ton of people and build an indoor and outdoor waterpark around it. Connect the outdoor water park to Cedar Point and make the waterpark free with theme park admission. The indoor portion is reserved for hotel guests only.While they are at it, they should build an indoor amusment park too complete with a rollercoaster or two. They should also make an agreement with say a Dave and Busters and have that around too.
That would make CP hotel a better deal than Kalaharie
The other thing I would do with Breakers is gut the Rotunda upper floors and add a serious Presidential suite (or two) with private elevator access and the whole nine yards. I think that can be done while hanging on to the integrity of this unique area.
Tearing down Sandcastle wouldn't be a bad business move if they replaced it with something that had the potential to make more money. Isn't that what they do in Vegas every year?
We've not had any problems at all finding vacancy at Great Wolf. Kalahari is soooo huge already that there really is never a problem getting in there, though the cost was a bit hard to swallow at times. But it's not enough to keep us from going up this coming weekend, (though it is for a cheerleading comp.).
If they could have 300 rooms at $200 a night for the same 100 nights they would make $6,000,000 in one season.
What about that math is complicated? And then, if you tied it into a new indoor/outdoor waterpark concept (somehow utlizing some of Soak City, if possible) and could extend the number of nights you were open....why not?
But, I agree with Jeff. One of the greatest potentials for business is in Conventions and I too am suprised (only a little surprised) they haven't done more in this regard.
What about that math is complicated? And then, if you tied it into a new indoor/outdoor waterpark concept and could extend the number of nights you were open....why not?
Because Sandcastle is 17 years old (even the addition is 15) - it's probably mostly paid for (if not entirely). Which means all $4 million in your example is profit - it's free money. Tear it down and rebuild and how long is it before the revenue becomes profit (ROI)?
Great Wolf in Cincy cost $100,000,000+ to build. So do you take another 10, 20 or more years of $4,000,000 'free' profit or rebuild a similar property and have to wait that same time before you really start to see the ROI?
(yes, that's oversimplified and many other factors have to be considered, but that's the core issue)
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