Is Longboat Key Experiencing the St. Regis Resort ‘Halo Effect’?
Surrounded by the Gulf of Mexico and Sarasota Bay, no one would dispute that Longboat Key Is a tropical paradise, and those who are fortunate enough to live here enjoy a magnificent length of shoreline and every amenity imaginable. The most recent Longboat Key Citizen Survey report confirms the high overall satisfaction residents already tout.
Now, enters the St. Regis Longboat Key project, bringing an unprecedented level of luxury living to the island, a powerful brand that inspires confidence, and a ‘Halo Effect,” which will impact real estate up and down Gulf of Mexico Drive.
What is the ‘Halo Effect’?
The Halo effect is the tendency for positive impressions of a brand in one area to positively influence one’s opinion or feelings in other areas. In marketing, it allows a brand to positively anchor its reputation to a popular item – in this case, Longboat Key. The St. Regis name exudes luxury and brings high expectations and credibility; ultimately, it could increase the overall perception of value for our entire island.
For example, in a report submitted to the Town of Longboat Key regarding the impact of the St. Regis project by Fishkind and Associates Economic Consultants, they note not only the impressive ad valorem revenue our Town would enjoy from the resort operations but also state that real estate is a key industry to benefit by a hotel and condominium project of this caliber.
- The permanent economic impact of the St. Regis Hotel will include 477 jobs.
- The St. Regis Hotel is projected to have a taxable value of $457.4 million and generate $1.3 million in operating ad valorem revenue each year for the Town of Longboat Key.
- The annual net fiscal benefit for the Town of Longboat Key from the entire development will be $2 million at buildout in 2021
You may be surprised to learn just how many of the 69 luxury residences are already under contract, with prices ranging from $2M to $13M. More than half of the condominiums at the St. Regis Hotel and Residences on Longboat Key have been reserved with deposits, including a deposit for what developer Chuck Whittall called “the most expensive condo ever on the west coast of Florida.”
I do wonder, though, if it is not the St. Regis that is taking advantage of the ‘Halo Effect’ Longboat Key holds in its own rite. Either way, we look at this; there seems to be very little downside to welcoming such a prestigious neighbor.
You can down load both reports mentioned in this article here: