A Comparison - Westin Resort & Spa and The Four Seasons Resort & Residences, Whistler
I recently reviewed the cap rates or Return on Investment (ROI) purchase of comparable suites in the Four Seasons Resort Hotel and the Westin Resort & Spa. In calculating the cap rate/ROI for the Four Seasons Resort, the annual strata fees, property taxes and tourism whistler fees must still be deducted from the net proceeds. The Westin Resort & Spa's "net cash available for distribution" is a true net as all of these expenses have been deducted already. Below, I have prepared a side-by-side comparison of a 1 bedroom unit on the 7th floor of both the Westin and the Four Seasons for the 2023 calendar year. The value of suite 769 Westin (1 bed, 1 bath - one of the suites in the 14 suite package currently for sale for $8M CAD) is $645,882 and 717 Four Seasons (1 bed, 2 bath) recently sold for $975,000 and you will see it calculates out to a cap rate of 5% Westin and 3.4% Four Seasons. 
As you can see, the cap rate on the Four Seasons is only 3.4% vs 5.0% on the Westin. In other words the Westin earns 52% more per dollar invested. Another important factor to keep in mind is that the Westin Resort & Spa has never requested additional funds in the form of a special assessment for capital improvements and based on recent meetings, never intends to. The owners council and hotel management wholly agree that it is far superior to raise funds for all improvements by way of small deductions from revenues over time than to request large lump sums in the form of special assessments to pay for capital improvements. The next renovation schedule in the Westin is anticipated to start towards the end of 2025 early 2026 and small amounts are already being saved in each suite's capital reserve account (cumulative funds held for renovations) during peak revenue months, in addition to regular monthly income payouts still being made to owners. The Four Seasons Resort Hotel has been doing capital improvements to the suites and common areas over the last couple of years and raised funds through special assessments/levies. More details and actual revenue statements are available by contacting denise by cell at 604-902-2033 or email at denise@whistler-realestate.ca
Posted by Denise Brown
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As you can see, the cap rate on the Four Seasons is only 3.4% vs 5.0% on the Westin. In other words the Westin earns 52% more per dollar invested. Another important factor to keep in mind is that the Westin Resort & Spa has never requested additional funds in the form of a special assessment for capital improvements and based on recent meetings, never intends to. The owners council and hotel management wholly agree that it is far superior to raise funds for all improvements by way of small deductions from revenues over time than to request large lump sums in the form of special assessments to pay for capital improvements. The next renovation schedule in the Westin is anticipated to start towards the end of 2025 early 2026 and small amounts are already being saved in each suite's capital reserve account (cumulative funds held for renovations) during peak revenue months, in addition to regular monthly income payouts still being made to owners. The Four Seasons Resort Hotel has been doing capital improvements to the suites and common areas over the last couple of years and raised funds through special assessments/levies. More details and actual revenue statements are available by contacting denise by cell at 604-902-2033 or email at denise@whistler-realestate.ca
Denise
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