In 1998 Summit entered an agreement to operate the Banff Boundary Lodge. With condominium ownership, and 42 two-bedroom units, the property opened in the fall of 1998. Under Summit direction, Banff Boundary Lodge enjoyed the largest market share and income levels of all condominium style properties in Canmore.

Summit has been involved in a number of projects throughout Western Canada in a consulting capacity and were contracted to open a number of hotel condominium properties including Riverside Mountain Lodge in Fernie B.C and Windtower Mountain Lodge in Canmore, Alberta. Summit created the new Advantage West Inns & Suites brand. The first Advantage West Inns & Suites opened in Fort McMurray in 2004. The Fort McMurray hotel exceeded all expectations and enjoyed the highest market share in Fort McMurray until the property was sold in 2008.

In 2004 Summit changed it’s operating name from “Summit Resort Management” to “Summit Hotels and Resorts”, and elected to pursue a new strategy in the fabric of it’s resort management portfolio. It was necessary to raise the bar to remain leaders in the industry. With a forte for management of Condominium Hotels, experience and market knowledge in Canmore, the Falcon Crest Lodge project is a logical evolution in the growth of Summit. With the commitment of the developer to introduce a higher level of luxury and quality into the Canmore market. In its first year of operation, Summit and its team were successful in exceeding optimistic projections. To date the Falcon Crest Lodge remains the leading condominium hotel in Canmore with a top ranking on Trip Advisor out of 29 Canmore hotels. Profits to owners far exceed any other condo hotel in the area with annual income in excess of $24 per square foot.

In 2006, Summit acquired property on Barlow trail north of the Calgary Airport terminal. To facilitate the development of a new hotel property, Summit created a new brand called “Acclaim Hotel.” The Acclaim Hotel opened in March 2009 with initial results again exceeding expectations. The Acclaim Hotel has been rated number one on Trip Advisor out of 89 properties in Canmore.

In June 2009, Summit took over the management of the Copperstone Resort in Dead Man’s Flats, Alberta. This property had opened one year earlier and experienced losses every single month since opening. With Summit at the helm the property experienced profits each month for the first time.

Sales and Marketing

Our sales and marketing efforts begin with an analysis of the competition and the market. With this knowledge, we determine the exact positioning of the property and introduce necessary amenities and quality standards with appropriate rates.

Summit has been successful in establishing business with F.I.T. and Wholesale segments. Because of our relationships, we are able to have major wholesalers commit before the property is even built.

Due to the seasonality of Canmore occupancies, on-site management are utilized for sales activities with strong support from the Summit offices. This allows the manager to focus on operations during the busy summer and holiday seasons and provide well planned and executed sales efforts during the shoulder and off-season which also coincide with travel trade market places. This strategy assures much greater efficiency in the overall operation.

President Jim Muir believes the Falcon Crest project is well positioned to out perform other hotel condominium developments throughout B.C. and Alberta. Developments in destinations such as Fernie or Kimberly do enjoy a strong ski season at present, however it will be a number of years before it will attract significant numbers during the summer season. Canmore experiences a strong summer season generating over 50% of revenues during the four summer months.

Owner Relationships

The typical expectation of a hotel condominium owner is that after considering rental revenue and tax benefits, his condominium ownership will cost him nothing – at least a few years down the road, if not the first year or two. They can enjoy their condo when they have the time to do so, watch its value increase, and it might even provide a profit. Obviously it is our goal to meet the owners expectations.

The other factor, that is often overlooked by management companies is – owner pride. This comes in two parts. First, is that they have made a good investment decision. Summit will provide the highest possible returns both from a cash flow perspective, and increasing the resale value of units. The second part is the luxury, quality, and service, at the owner’s facility. Summit strives to provide their owners with a comfortable and enjoyable stay when they use their units for their own personal use.

Even with full operational control, life is too short to run a property populated by unhappy owners. We will require the support and cooperation of the unit owners. Communication and understanding will be the key to manifest this support. Summit Resort Management will install the notion in all property staff that owners are VIPs. We will actively participate in all Condominium Owner Association meetings. Along with a monthly owner’s statement and cheque, Summit will send a monthly news letter outlining our sales efforts, improvements at the property, new staff, etc.

Rental Pool and Management Agreements

These are the single most important documents a condominium hotel manager will encounter. If they are properly drawn, he will sleep soundly at night and experience pleasant working days. If poorly drawn, he will live a bad dream around the clock. Summit would insist that we would influence our expertise in drafting these documents.

There are two basic types of contracts, called gross – fee and net – fee. A gross fee is one under which management receives a large share of the rental income – generally 40 to 60 percent or more – and from which it pays the necessary operating expenses of the rental of the units. The gross fee contract is most common in British Columbia. The net fee contract is one under which management receives a smaller share of rental income – from which it pays no operating expenses. This can be a small percentage of gross income or a larger percentage of profits, or a combination of both. When management remuneration is based on owner’s profit, it is likely that the management will have a greater motivation to maximize profits for the owners. It is our experience that with net fee contract we encountered fewer problems if any.

Pooling formulas are many and varied. Some use a percentage system by which each unit is assigned a percentage, and all unit percentages total 100. Other pooling arrangements set up separate pools for each type of rental unit. Most pooling arrangements, regardless of their mechanics, recognize owner occupancy as reducing income. Summit’s preferred property management system can provide distribution for virtually any pooling formula that would be created.