Frequently Asked Questions

1.      What is a hotel/condo?

A hotel that sells its rooms to individuals as condominiums and runs the building as a hotel operation. Each owner has the option of placing his/her unused time into a room rental pool for the hotel, from which the owner receives revenue.

2.      How does a hotel/condo differ from a Timeshare?

Owners of a timeshare own a pre-arranged timeslot for use of property that is owned by a property management group. Timeshare is not ownership of real property and capital appreciation and other financial benefits associated with property ownership does not apply to timeshare. The owner of a hotel/condo unit owns the real property, so capital appreciation and other financial benefits do apply whne the owner sells the unit.

3.      Can I live in a hotel/condo year round?

Yes, you can live in a hotel/condo year round. However, most hotel/condo owners place their unit in a property management rental pool in order to rent their room as a hotel room. Rooms placed in the rental program are able to participate in revenues generated from the rental of their room. Rooms not in the rental pool are not considered part of the operational aspect of the hotel and therefore the owners are responsible for their own laundry, daily cleaning and do not participate in room rental revenue sharing. 

4.      How does a hotel/condo differ from a typical condominium?

Hotel/condo owners do not personalize their rooms. A typical condominium is furnished according to the owners personal preferences whereas the furnishings for a hotel/condo are chosen by the hotel’s management team so that the room forms   an integral part of the hotel.

A typical condo may have covenants that prohibit room rentals whereas the hotel/condo continues daily hotel operations throughout the year. Hotel/condos that are placed in the rental program are rented according to an impartial revolving system unless a guest requests a specific room.

5.      How much revenue can I expect back?

Your rental revenue depends on three factors:

1. The size of your unit. Generally speaking the larger the unit, the more revenue you can expect;
2. The general upkeep of your unit;
3. The number of nights that you make your room available to the hotel for rental; and
4. The success of our overall marketing initiatives. Initially, as a new hotel, it will take longer and cost more money to educate guests about the hotel benefits. As our marketing initiatives gain acceptance, more guests will visit Hotel Tamarindo and your proportional revenue will increase. (Note that the marketing is paid from the management fee, not your revenue split).

6.      Does this hotel/condo have a Homeowners Association (HOA)?

This hotel will have an independent strata corporation, which has one representative from each unit. This strata corporation elects an executive strata council, who then appoint one representative on a permanent seat on the Tamarindo Beach & Ocean Estates Home Owners Association. The Home Owners Association is responsible for the costs of maintaining and upgrading the building and common areas. The strata council determines the owner’s monthly assessment, utilities and maintenance costs.

7.      Who manages the property?

The Hotel Tamarindo will be managed by an affiliate of Nica Projects Ltd.

8.      Can I sell my hotel/condo unit?

Yes. You own it and it is yours to sell.

9.      If my unit appreciates in value and I sell my condo, do I have to share the profits with the hotel or its management?

No. You are the sole owner of the unit and any gains are yours.