Investor Plans Casino on Vegas Hotel Site

One of the unsuccessful bidders for the Aladdin hotel-casino and the Las Vegas Hilton is acquiring the Alexis Park Hotel and plans to build a casino on the property.

Richard Alter, managing director of Financial Capital Investment Co., Los Angeles, said Wednesday that his company is buying the 500-suite nongaming hotel as well as the 206-unit Americana Inn Apartments just west of the hotel from Hotels Nevada LLC and Inns Nevada LLC, headed by longtime Las Vegas businessman Louis Habash.

Terms of the deal were not disclosed. Alter said his company intends to invest $210 million to convert the Alexis Park units into luxury villas, demolish the apartments and build a casino, timeshare and condominium-hotel in a 15-story, 990-room tower.

The property would be managed by American Property Management Co., San Diego. Alter, who said he hasn't determined what his title would be in conjunction with the project, said he intends to hire the 300 Alexis Park employees when his company takes possession of the property.

Alter said he is notifying employees of the impending deal today.

"We love Las Vegas, love Nevada, and it's been a very difficult road for us, but now we're ready to get in the game," Alter said Wednesday from his Los Angeles office.

Alter was the runner-up bidder for the Aladdin hotel-casino when it was sold for $635 million to a partnership headed by Planet Hollywood International Inc. Chief Executive Robert Earl in a U.S. Bankruptcy Court auction in June 2003. Earl and his partners are in the process of being licensed by gaming regulators and that transaction is expected to be completed by late summer or early fall.

Alter also was one of four bidders who made a run at acquiring the Las Vegas Hilton from Caesars Entertainment Inc., in December. The hotel ultimately was acquired by Colony Capital LLC for $280 million, a deal that is expected to close in mid- to late June.

The Alexis Park, built in 1984, is operated by general manager John Gallegos. The property has long been marketed as an off-Strip nongaming oasis. The property has 57,000 square feet of meeting space, three swimming pools, a restaurant and bar, retail shops, a spa and lush landscaping.

As a nongaming property, the Alexis Park appealed to groups that wanted to be in Las Vegas but didn't want any casino trappings. Southwest Airlines, the largest commercial passenger carrier serving McCarran International Airport, has contracted with the hotel to put up crews overnight and the Consumer Electronics Show has used the hotel's suites as a venue for demonstrating high-end music systems for the annual trade show.

But Alter has big plans to take the property in a new direction.

"The first thing we have to do is convert the property into its highest and best use, which in Las Vegas is gaming," Alter said.

He said he would request a zoning change from Clark County to form a gaming district and allow a casino on the 4.5 acres currently occupied by the apartment units.

He said he already has filed for a restricted gaming license to enable him to install up to 15 slot machines in the existing hotel. Eventually, he said he would seek a nonrestricted license to develop the casino resort.

Alter said the property will be rebranded and renamed, but he said he wouldn't disclose those plans yet. That announcement, he said, would occur in about a year. He said he doesn't expect to complete his entire plan for at least three years.

He said the property would have a "can't-miss brand that will be self-explanatory." He said he expects the property's market would be "related to, but not exactly the same" as that of his new neighbor, the Hard Rock hotel-casino.

"It would be inappropriate for me to compete head to head with the Hard Rock," he said.

When Alter made his bid for the Aladdin, he had a proposal to convert the Strip property into an Asian-themed resort.

The Alexis Park isn't Alter's first venture in the Southern Nevada real estate market.

He already owns a 400-unit apartment in Southern Hills called Chateau Calais.

In a related matter, the Alexis Park has been embroiled in a lawsuit with McCarran International Airport, which is operated by the Clark County Department of Aviation.

Hotels Nevada was one of four companies with pending suits over the county's failure to compensate properties for restricting airspace over their land.

Attorneys for the Alexis Park agreed last year to put their case on hold until an appeal is heard by the Nevada Supreme Court in a case involving Los Angeles businessman Tien Fu Hsu, who owns land off Tropicana Avenue on the northern edge of the airport.

Hsu won his case and was awarded $13 million in March 2001. Interest, attorney fees and court costs have raised that amount to about $22 million but Clark County's Department of Aviation has appealed. The appeal was presented nearly a year ago, but the court has yet to make a ruling.

Alter did not comment on the case.

CONVICTED fraudster John 'Goldfinger' Palmer must pay nearly £4million to 350 victims of his Tenerife timeshare swindle.

Palmer, 54, one of Britain's richest men with a reputed fortune of £300million, has been ordered to pay the compensation by the High Court.

He is serving an eight-year jail sentence for his part in an estimated £30million fraud.

After a lengthy legal battle Palmer has been told to fork out damages of over £1.8million and interest of over £2million, plus costs.

Lawyers said the victory was a "good day for the little man". But 15,000 will miss out because they were too afraid to take action.

A police source said: "The award is chicken feed to Palmer."

Every year more than 3 million Americans attend a timeshare sales presentation, and statistics reveal that 250,000 of them decide to purchase. Do those buyers make the right choice, or were the ones who walked away taking the smarter course of action?

That question could only be answered by examining each individual decision, of course, but there is no doubt that timeshares have become a significant factor in the travel and vacation industries. Confusion reigns for many prospective timeshare buyers trying to sift through the meanings of phrases such as “fixed week,” “floating week,” “fractionals,” “points-based systems,” “deeded” and “right to use.”

But with more than 6.5 million people owning timeshare at over 6,000 resorts worldwide – and perhaps three times that many people considering a purchase – there is a critical need for objective, unbiased information about timeshares.

That’s why Timeshare Insights (www.timeshareinsights.com), a consumer information source, was created by industry insider Lisa Ann Schreier. She understands the importance of providing consumers with the information they need to make intelligent decisions about timeshare.

“Purchasing timeshare can be the best thing a vacationer has ever done, but it can also be a huge mistake,” said Schreier, who recently completed writing a book on the subject titled Surviving a Timeshare Presentation – Confessions from the Sales Table (available July 2004). “With the average cost of a timeshare in the United States being approximately $13,000, it’s crucial that people understand exactly what timeshare is and whether it’s right for them before they make a purchase decision.

“And that’s what we help them do, by breaking through all the confusion and by separating facts from fantasy. The timeshare industry has received some well-deserved criticism, especially for some of its high-pressure tactics and false information given by some salespeople, but there are plenty of good things to say about the industry as well. The key is to discover if timeshare is right for you.”

Schreier was a contributing columnist to The Timeshare Beat, the industry’s most widely read publication, for more than three years. She has been a successful salesperson and sales manager at several of Orlando’s top timeshares.

“I founded Timeshare Insights because I’ve seen firsthand how, armed with the right information, the entire timeshare sales presentation can be a much more enjoyable process for consumers. Better informed consumers would force salespeople to sharpen their skills and would influence resorts to take the long-needed leap of giving consumers what they want and need. It would be a win/win situation for everyone.”

Schreier’s Web site includes general information about Timeshare Insights, definitions of timeshare terms, frequently asked questions (and answers), advantages and disadvantages to owning timeshare, and information on her upcoming events.

Schreier understands that a better informed consumer may not be what every timeshare salesperson wants to see.

“Soon after entering the timeshare industry, I realized that timeshare is one of the best products in the world, but it’s often marketed and sold in the worst possible way,” she said. “It’s true that not every timeshare salesperson is in love with us. If you’re trying to sell something to someone who you know will probably end up experiencing buyer’s remorse, you don’t want that person to have all the facts. But we want the consumer to be as educated as possible, and if that gets under the skin of some timeshare salespeople, so be it.”

Although some people believe that timesharing is a relatively new concept, it actually started in the 1960s in Europe and began gaining popularity in the United States in the 1970s. Basically, timeshare offers consumers the opportunity to purchase or lease vacation accommodations in resorts, usually in weekly intervals.

For a one-time purchase price and an annual maintenance fee, consumers own their vacations either in perpetuity or for a pre-determined number of years. One of the biggest advantages to timeshare is that the vast majority of resorts allow the consumer to trade their purchase for the equivalent at another resort.

In the past few months, Lisa Ann Schreier and Timeshare Insights have been featured in the Los Angeles Times, WOR-AM in New York City, WCKG-FM in Chicago, the Orlando Sentinel, the San Jose Mercury News, “Travel With Kal” in Connecticut and will soon be highlighted in “New Jersey Lifestyle Magazine.”

Timeshare Insights offers general and specific information, answers consumer questions and operates as a beacon of light in an often confusing area. Informational seminars, one-on-one counseling and no-nonsense, fact-based answers to commonly asked questions from consumers are some of our services.

The American Resort Development Association (ARDA) yesterday published its 2004 ARDY and ACE (Circle of Excellence) award winners, which were formally announced at a gala ceremony and dinner during the Association's recently concluded Convention & Expo in Las Vegas.

ARDY award winners are chosen by panels of experts in such areas as design, marketing and resort operations and presented to individuals and organizations exhibiting outstanding achievements or best practices in a range of disciplines. This year, 56 categories were represented.

"In 2004, the experts on the judging panels really had their work cut out for them," said Randy Goodhope, head of ARDA's awards program. "We had a total of 434 submissions, up from 392 last year, and each entry looked like a potential winner to me."

The ACE awards honor those who have attained the very highest level of excellence in the resort industry, and those whose accomplishments and dedication spur the industry to new heights. Two of the ACE awards are given for lifetime achievement and volunteer leadership on behalf of the industry.

"ACE recipients have performed in a way that truly sets them apart from others and places them at the top of their profession," said Howard Nusbaum, ARDA's President.

For 2004, the ACE Volunteer Award was renamed to honor Anne W. Crawford, the very first winner of this award who passed away earlier this year. It recognizes her extraordinary volunteer service to the industry. A fearless and selfless leader, Anne was honored by the association she served by renaming the ACE Volunteer Award "The Annie." Because of his close working relationship with Anne Crawford, it is fitting that this year's winner is James R. Danz, the Executive Vice President of Princeton Resorts Group.

"James has selflessly given his time to this industry through his years as Chair of ARDA's meetings committee and in other ways as a terrific timeshare spokesman," said Nusbaum.

The ACE Lifetime Achievement Award was given to George Donovan, President and CEO of Bluegreen Corporation.

For 30 years, he has been an active leader at ARDA, serving as Chair of the ARDA Board of Directors, working on the ARDA Executive committee, the Long Range Planning committee, the ARDA Inner Circle, and the committees for Ethics, Membership, and Public Relations.

"George has addressed every major issue to face the industry with extraordinary focus and commitment. Believing that 'when a sale is made, an obligation begins,' he is an extraordinary leader, a man of integrity and an inspiration to others," said Nusbaum.

A list of all winners can be found at www.arda.org.

The American Resort Development Association (ARDA) is a non-profit trade association located in Washington, D.C. ARDA represents the interests of resort developers and managers, including second home resorts, vacation timeshare developers, fractional interests as well as timeshare homeowners' associations and individual timeshare owners across the country.

GOLF GETS GO-AHEAD May 11 2004








PLANS for a £50million golf and leisure resort on the banks of Loch Lomond have been given the green light.

Resort operators De Vere said planning permission had been granted for 96 five-star timeshare lodges and apartments, along with a championship-standard 18-hole golf course and a spa.

The resort, named The Carrick, will be located a mile north of Cameron House Hotel, which is also owned by De Vere.It is due for completion in 2006.

ALLERDALE BOSS WINS CLAIM FOR UNFAIR DISMISSAL

THE FORMER boss of Allerdale council, who was sacked over a controversial failed £6 million timeshare project at Keswick, has won his claim for unfair dismissal.

Tony Perry, who lost his job as chief executive in 1991, has been awarded nearly £16,000 after an employment tribunal ruled in his favour.

Mr Perry, 75, who lives at Bassenthwaite, today claimed he had been “completely vindicated” by the decision.

But he also spoke of his regret that his late wife could not share the moment and claimed the shock of the sacking had contributed to the ill health which lead to her death.

“It is nothing more than I was expecting,” said Mr Perry. “I have been completely vindicated and I’m very pleased.

“The only pity is that my wife is not with us any longer to share the joy. The decision to sack me definitely affected her health.”

Profits

The claim goes back to the mid-1980s when the then Allerdale District Council set up Allerdale Development Limited Company and borrowed £6 million from the Credit Suisse bank to create a timeshare complex at Keswick Bridge.

The project was expected to bring tourists to the town as well as producing good profits for investors.

But the ambitious project flopped and was followed by several writs and disputes.

A special sub-committee was set up to investigate the affair and various reports were drawn up.

They resulted in Mr Perry being sacked for gross misconduct in December 1991.

Mr Perry was forced to wait so long for a tribunal because he was going through other legal litigation.

This resulted in Allerdale’s failure last year in an attempt to sue Mr Perry for £55,000 at Carlisle County Court.

It claimed he wrongfully paid the sum to a contractor during the timeshare development.

But he was cleared when a judge said there was considerable evidence to refute the council’s assertion that there was no authority for the payment.

Now this latest decision has gone his way following the tribunal hearing in March this year.

Mr Perry said today his long-running battle to clear his name was now virtually at an end, although he would be looking at the amount of cash awarded.

“I think this is more or less the final stage,” he added.

An Allerdale spokesman said: “Obviously we are disappointed, but we are relieved that a conclusion has been reached at last to this long-running affair.

“The council has moved on considerably since the events of the mid-80s, and we are therefore happy we can concentrate on delivering good quality services.”