Allegiant Travel Co. announced to its shareholders Monday it had secured a $175 million construction loan and partnership to build Phase I of the Sunseeker resort in Charlotte Harbor.
The partnership, with TPG Sixth Street Partners, calls for up to $1 billion for the full project. The full cost is estimated at $420 million, the company has said.
“This initial commitment represents the first piece of a long-term, potential $1 billion partnership to develop the Sunseeker Resorts imprint, and will provide opportunities to develop future phases for Sunseeker Resorts Charlotte Harbor, additional properties or related ventures at the discretion of both companies,” Allegiant said in press release.
“We are so pleased to partner with TSSP — not only for strategic capital to construct our inaugural resort in Charlotte Harbor, but also to develop the Sunseeker Resorts brand, where we share a vision for tremendous opportunity in the future,” John Redmond, president of Allegiant Travel Company, said in the release. “We look forward to working with TSSP to develop a premier leisure destination that brings great value, world-class facilities and innovative service to our customers, brings jobs and economic opportunity to the region, and supports the evolution of Allegiant as a multi-faceted leisure travel company.”
Clint Kollar, a TSSP partner, said the company has confidence in Allegiant’s vision.
“Allegiant manages a highly-profitable, cost-efficient operation that has been at the cutting edge of developing new markets and offering ancillary leisure services since its founding nearly two decades ago,” said Kollar. “We are pleased to be financing the introduction of a unique resort brand that integrates the strength of a proven airline operation with a tremendous existing customer base and a highly successful direct-sales model.”
The announcement comes just before an official groundbreaking. Allegiant has invited local dignitaries to formal groundbreaking ceremonies of Sunseeker Resorts Charlotte Harbor Wednesday at the waterfront site.
Although signs of construction are already apparent, the event is intended to signal the official start of construction for phase 1 of Sunseeker, Allegiant said in a press release.
“This inaugural resort under Allegiant’s Sunseeker Resorts imprint is anticipated to be a transformative, catalyst project for hospitality and tourism in Charlotte County,” Allegiant said.
The groundbreaking is not a public event, Allegiant said.
Phase one will include 500 hotel rooms and more than 180 extended stay suites with construction to be completed in 18 to 24 months.
Allegiant has also agreed to construct a harborwalk with public access, in exchange for building above the 35-foot height limit.