Arguably the last opportunity to build a new resort hotel directly across from Disney Springs is being marketed this week to international developers, with a price tag of up to $44 million expected for the land.
Located across I-4 and directly east of Walt Disney World's former Pleasure Island portion of Downtown Disney, the 49.7 acre-site has been billed for hotel or timeshare use with up to 1,460 rooms, according to Robbie McEwan, first vice president of CBRE's Land Services Group in Orlando.
Accessible by Meadow Creek Drive, the property has frontage to the north on I-4, to the west on the World Marriott Resort's golf course and to the east by Starwood's Vistana Resort. It offers a direct view across the interstate to the $200 million Disney Springs development.
"With (Starwood) to the east and Marriott to the west, this property is flanked by some important players in the marketplace," McEwan said. "This could support one large hotel, two to three smaller hotels or a mix of hotel and timeshare. It will sell quickly because there is a lot of demand for undeveloped resort-type land."
For a single full-service hotel project that takes advantage of the 1,460-room capacity projection, development sites for hotels of that range are demanding $25,000 to $30,000 per key, McEwan said. That translates to $36.5 million to $43.8 million in projected sale value for the land.
The property is owned by Garrison Investment Group of New York, which acquired it in January 2012 via two parcels for about $8.7 million overall, per Orange County records. Garrison Group also owns the Four Points by Sheraton hotel on North International Drive, near Kirkman Road.
Comparables for the property's potential value are challenging, because few major resort-level hotels have been built in the I-Drive corridor on undeveloped land in recent years due to the prolonged economic recession.
In March 2007, 26 acres sold for $32.5 million to build the Hilton Orlando, next to the Orange County Convention Center.
Rosen Hotels paid $29.6 million in May 2001 to acquire 230 acres at 9939 Universal Blvd., where it built Shingle Creek Resort.