Waterpark Trend Beginning To Expand Out From Midwest To Metro Markets

NATIONAL REPORT— Having made their splash in remote locations in the Midwest as drive-to destinations for major metropolitan areas, indoor waterparks are beginning to make larger waves throughout the country as they begin to close in on several U.S. cities. The concept has grown dramatically with just under 50 indoor waterparks having been either built or expanded on between this year and last in the U.S. Despite prohibitive land costs, owners and developers are finding that locations near major roadways, and large numbers of families, can help them float a profit. Chicago, in particular, seems to have become a popular destination for such attractions. Hotel management firm The Bricton Group recently opened the region’s first indoor waterpark with the Mayan Adventure Indoor Waterpark-Holiday Inn Elmhurst. The hotel, which was previously a Holidome, was converted as part of a $30 million project. The densely populated area was ideal for the concept, according to Edward Doherty, president of The Bricton Group, which owns and manages a collection of 11 hotel properties in Illinois, Wisconsin, Indiana, and Florida. “We’re in sort of a spaghetti bowl of Interstates, just south of O’Hare airport and west of the city. The property was performing fairly well but the [holidome]was more of a burden than an asset,” he said, adding that the attraction is merely “25, 30 minutes from the farthest point [of Chicago].” Doherty said that the combination of “high gas prices, major interstates, and inclement weather,”figures to greatly enhance activity at the property. He added that when the indoor waterpark, which is owned by Elmhurst Hotel Corporation, was still under consideration that a number of aquatic experts were brought to the site, and the decision was easy. “They recognized it was a perfect rectangle, and had lots of natural light and long lines. It was a natural fit for one of these,” Doherty said, adding that running a waterpark is “definitely a more sophisticated operation, you have to do a lot of homework.” The 214-room property is home to a 25,000 square foot facility which offer families two water slides; a large dumping bucket; long lazy river; water basketball; along with vortex, swirl and activity pools; and a zero depth children’s interactive play station with two slides. According to Doherty and sr. vp, Michael Cohen, the rates for the hotel will be in the mid-$100’s during the week and the high $100’s on the weekend, where they expect a great deal more activity. Both executives added that while the company is still penciling out where they need to be from an occupancy standpoint to be profitable, they are setting their sights north of 65%. Doherty noted that in a little more than a month of operations, “the people in Chicago have responded favorably to it. The response from consumers has been outstanding.” That favorable response from the city bodes well for a pair of large indoor waterpark/hotel projects that are planned for the Chicago suburbs of Rosemont and Gurnee. In Rosemont, Grizzly Falls Resort, a $110 million complex with a 100,000 sq. ft. waterpark and 400-room all-suites hotel, is expected to break ground this fall. It’s part of a mixed-use development schedule for completion in spring 2008. Meanwhile, in Gurnee, KeyLime Cove Resort and Waterpark, a $125 million project with a 50,000 sq. ft waterpark and 413-room hotel, is also expected to open in 2008. The indoor waterpark concept has also reached Columbus, OH, with the opening of Fort Rapids at the Holiday Inn Hotel & Suites Columbus East. Owned and operated by Columbus-based Focus Lodging Group, LLC, the company purchased the existing hotel, which was previously a Holiday Inn, last summer and closed it for the necessary renovation. Once again, the location was the impetus for the project, according to Scott Somerville, president, Focus Lodging Group. “We were familiar with the site when it became a