PORT CHARLOTTE, Fla. — The $700 million Sunseeker Resort in Charlotte County is being sold for less than a third of its construction cost, just 18 months after opening its doors. The future of the resort, and its employees is uncertain.
Allegiant Travel Company announced Monday it’s selling the Sunseeker Resort to Blackstone, one of the world’s largest investment firms, for $200 million. That’s a steep drop from the more than $700 million Allegiant spent to build the luxury waterfront property, which opened just 18 months ago.
Watch Fox 4's Alex Orenczuk report on the future of the Sunseeker Resort:
“What I think is positive here is Blackstone is a huge player,” said Michael Landsberg, Chief Investment Officer at Landsberg Bennett Private Wealth Management. “This isn't just one of the private equity players, this is one of the premier players in private equity, in particular, in real estate.”
Allegiant had revealed plans to sell the resort in February, after reporting significant financial losses and lower-than-expected occupancy since Sunseeker’s late 2023 opening.
Following the February announcement, Landsberg told Fox 4 he suspected a Wall Street firm with deep pockets, and patience might purchase the property.
“At $700 million invested for Allegiant, it had to work very, very quickly, and Blackstone doesn't necessarily have to have it work as quick," said Landsberg. "They bought it for about 30 cents on the dollar, which is an amazing price for Blackstone. I don't think it's going to take them years and years to turn this around."
Blackstone's plan for the property is unclear, and a spokesperson for the company declined to comment when Fox 4 asked for additional details.
Landsberg said Blackstone's resources and hospitality experience could benefit the resort, and help it become profitable.
"Blackstone knows how to operate," said Landsberg. "They didn't buy this to lose money. They looked at the value and thought 'we could make some money out of this' and I think they ultimately will. And I think it's going to be a positive for Charlotte County in surrounding businesses going forward."
Charlotte County's Director of Economic Development, Kay Tracy, said the county remains hopeful about the future of the property.
The County is monitoring the pending sale of Sunseeker closely, and while the transaction is still being finalized, we recognize that it continues to represent a significant asset both in terms of tourism and economic activity in the region.
From an economic development perspective, we remain optimistic about the continued operation and long-term potential of the resort. Sunseeker has played a meaningful role in driving visitation, supporting local businesses, and generating strong sales, bed, and property tax revenues. We expect the resort to remain an important part of our regional tourism economy under new ownership.
While it’s too early to comment on any operational changes that may result from the sale, our office stands ready to support the workforce and assist with retention efforts should the need arise.
The sale is expected to close later this year.
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