Hilton to build new hotels at Bonnet Creek Resort

[Horace Horsecollar]

(who owns that little strip of land between the parkway and Bonnet Creek?)

Disney owns it.

Disney owns the property to the north, west, and south of the Bonnet Creek Resort. The fourth side is I-4. The existing I-4 interchanges at Epcot Center Drive and Osceola Parkway, which are already quite close together, prevented construction of a new I-4 interchange. Even an overpass over I-4 to International Drive South (with no access to I-4) would have been difficult and costly because of all the long, mult-level ramps to and from the current I-4 interchanges.

I don't, of course, know enough of the details to know why the BVD access decision was made, but it just strikes me as remarkably poor planning.

Actually, it looks to me like the most logical solution. I'm sure that representaives from Bonnet Creek Resort consortium, the Disney Company and the Reedy Creek Improvement District (RCID) sat down together to work out the best plan, consistent with land access rights law and the interests of all parties. In fact, I think it's a remarkably good solution.

Both Osceola Parkway (through Disney property) and Buena Vista Drive were built by (and are maintained by) the RCID, a government entity controlled by Disney. The Bonnet Creek Resort access road hits Buena Vista Drive at the existing Backstage Lane traffic signal. It's right next door to the Epcot Center Drive interchange, so Bonnet Creek Resort guests can be off Disney property in practically no time, if that's what they want.

However, for Bonnet Creek Resort guests who want a meal, souvenirs, an evening "downtown," or a day at a theme park or water park, the access road location makes it very likely that they'll be opening their wallets for Disney, not for Disney's competitors.

 

[flatline]

99 holes of golf on WDW property, and this new resort is getting a Rees Jones track. it's got to be targeting conventions.

 

[rodkenrich]

A 1,000-room Hilton and a 500-room Waldorf-Astoria Planned for Bonnet Creek Adjacent to Walt Disney World Resort; The First Ground-up Waldorf-Astoria Hotel to be Built Since the Original in New York

ORLANDO, Fla. - May 31, 2006 -- Hilton Hotels Corporation (NYSE:HLT) announced plans today to build a 1,000-room Hilton and a 500-room Waldorf-Astoria at Bonnet Creek, a resort development adjacent to the Walt Disney World Resort. Construction of the project is currently in the design phase and is on schedule to break ground by the end of 2006 and to open in the summer of 2009.

GEM Realty Capital, Inc., with Merrill Lynch Global Principal Investments and another private investment company, will partner with Bonnet Creek Venture, Ltd. and Hilton Hotels Corporation to develop and own the resort. Bonnet Creek Venture, Ltd., a joint venture between Brooksville Development Corporation and the estate of the original owner of the property, will oversee construction and ensure delivery of the project. The properties will be managed by Hilton Hotels Corporation.

In January 2006, The Waldorf=Astoria Collection(TM) of luxury hotels was announced to extend the cachet of New York's legendary Waldorf=Astoria hotel. As one of America's first 'grand hotels' that combines luxurious elegance with a myriad of amenities and services, the Waldorf=Astoria has been renowned for over a century. The Waldorf=Astoria Bonnet Creek will be the first ground-up Waldorf=Astoria hotel to be built since the original in New York, and will feature many of the signature food and beverage establishments that have made the Waldorf=Astoria popular, including Peacock Alley, the Bull & Bear, Sir Harry's Bar, and Oscar's. The newly developed hotel's decor will include Art Deco design and original art work.

The Hilton and Waldorf-Astoria Hotels will include a Rees Jones designed golf course, expansive swimming pools that overlook the golf course, and a state-of-the-art spa and fitness center. Each hotel will also feature upscale and specialty restaurants, a pool bar and outdoor grill, a lobby lounge and a sports bar.

"Hilton Hotels Corporation is thrilled to announce that two elite new hotels, including the first newly built Waldorf=Astoria since the original in New York, are being planned for the Bonnet Creek development next to Walt Disney World Resort," said Matthew J. Hart, president and chief operating officer, Hilton Hotels Corporation. "With this outstanding location, we have an unbeatable opportunity to increase our share of this coveted market with two distinctive upscale hotels -- one under the renowned Hilton name and one an ultra-luxury Waldorf=Astoria."

"We are excited to invest in this unique opportunity and partner with talented and experienced industry leaders that include Hilton, Merrill Lynch, and BCV," said Norman S. Geller, senior managing partner of GEM Realty Capital. "Our private/public investment platform served as the foundation to complete this complex transaction."

The two hotels announced today will have a combined total of 145,000 square feet of meeting space, of which 115,000 square feet will be located in a conference facility. The largest ballroom will be 36,000 square feet. Each hotel will have its own meeting space: 25,000 square feet in the Hilton and 11,000 square feet in the Waldorf=Astoria. Each hotel will feature multiple food and beverage facilities. The hotels will share a 25,000 square foot spa and fitness center and 5,000 square feet of specialty retail. The Rees Jones designed golf course will be completed prior to the opening of the project.

Link for Map

In light of all the future development, doesn't Reedy Creek Improvement District and/or Disney have a say in how much development can actually occur in Bonnet Creek depsite the fact Disney dosen't own the land, but that particulat tract is adjacent to WDW?

 

[peter11435]

In light of all the future development, doesn't Reedy Creek Improvement District and/or Disney have a say in how much development can actually occur in Bonnet Creek depsite the fact Disney dosen't own the land, but that particulat tract is adjacent to WDW?

No. The land is not part of the RCID.

 

[seashoreCM]

Does Reedy Creek Improvment District have the same powers as Nashua NH (and many other communities) that require a developer to make off site traffic improvements let alone a contribution to the community?

At the very least Hilton could be expected to add more lanes to the Bonnet Creek entrance.

Recently, where I live, Wal-Mart offered to widen a thoroughfare (comparable to 192 or 535) along the entire width of the proposed property, dedicating a strip of land for that purpose. Still there was so much negative public pressure that the project was turned down. In another case several years ago a developer for a condominium near me put in a new sewer and storm drain and also contributed to an extension of same for a mile past what is now a school which also uses that sewer.

 

[Cricket2]

In another case several years ago a developer for a condominium near me put in a new sewer and storm drain and also contributed to an extension of same for a mile past what is now a school which also uses that sewer.

In many cases including many Wal-Mart expansions, they are in fact required to do things like this just to get the project passed. They almost never do this sort of stuff out of their heartfelt concern for the community. We have a Wal-Mart trying to turn into a So-Called-Super-Wal-Mart and they need a vastly improved water supply and waste system in order to build. The town has told them that if they want to build it, not only will they have to improve their systems, but those of every plaza and adjoining property (except Home Depot's). They didn't even hesitate to do so. It will reportedly cost them more to upgrade the water systems by more than double that of the store remodel costs.

 

[Horace Horsecollar]

In light of all the future development, doesn't Reedy Creek Improvement District and/or Disney have a say in how much development can actually occur in Bonnet Creek depsite the fact Disney dosen't own the land, but that particulat tract is adjacent to WDW?

As peter11435 wrote, the Bonnet Creek Resort property is not under the jurisdiction of the RCID. The only connection to RCID is that Reedy Creek Emergency Services (RCES) provides fire protection and emergency medical services to the Bonnet Creek Resort, for which, of course, RCES receives money.

The Bonnet Creek Resort property is under the jurisdiction of Orange County, Florida, and is subject to the county's zoning laws, building codes, and a formal approval process. The developer of the Bonnet Creek Resort (Bonnet Creek Venture Ltd.) has had to pay for intersection improvements and traffic impact beyond their property. Also, the developer is subject to State and Federal environmental law. If you look at the master plan, you'll see that a significant amount of land on either side of the creek itself is protected as a conservation area.

RCID and Disney are not in a position to dictate what Bonnet Creek Venture Ltd. can and can't do.

The good news is that Bonnet Creek Resort appears to be on track to be a high quality project — with a high-end Fairfield (Wyndham) timeshare resort, a new Wyndham hotel at the timeshare site, a Hilton hotel, a luxury Waldorf-Astoria hotel, convention facilities at the hotels, a Rees Jones golf course, and a conservation area. There are still a few sites left for other hotels.

The Bonnet Creek Resort is a good neighbor for Disney — especially if the new hotels draw additional guests to Central Florida to attend conventions (and those guests also spend money at WDW), rather than just stealing business from Disney resort hotels. Also, the new Hilton should be a great place for Hilton HHonors frequent guest program members to use the points, and that could be good "plus business" for Central Florida and Disney.