HomeMy WebLinkAboutItem 2B - PresentationReview of
Hotel Operations Covenant
Caliente Tropics, LLC
for Caliente Tropics Hotel
Palm Springs City Council
March 28, 2024
Prepared by: Office of Economic Development
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Overview
N
Caliente Tropics is a boutique
hotel, with south tropics theme
411 East Palm Canyon Drive in
South Palm Springs, (no
neighborhood affiliation as of
yet)
92 guest rooms, pool, office
and grounds (F&B managed by
external entity)
Owner: Caliente Tropics, LLC,
Harry Litke, GP
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Improvements
include
Guest room interior & case goods
Guestroom restroom upgrades
Guestroom soft goods
CAM improvements
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Improvements
include
Pool deck & pool lining
Monument entry sign & Tiki Head
Resortwide landscaping &
signage
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Financial summary
•Aggregate project cost must total
more than $5,000/room of
improvements
•Caliente Tropics documented
$884,833 of reimbursable expenses
($9,617/rm)
•Reimbursed over 10 years or total of
project costs, whichever is reached
first
•Sales tax impact approximately:
~$223,727/annually
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