The Dakota Dunes Hotel is the next proposed phase of the Dakota Dunes Resort development at the Whitecap Dakota First Nation. WDFN is interested in leasing a site located adjacent to the Dakota Dunes Casino and the Dakota Dunes Golf Links for the purpose of expediting development of a hotel project. The vision is to develop the hotel as an extension of the casino and golf course in order to offer a full service, destination resort experience. The zoning of the site is Commercial Resort/Residential and allows for the development of a hotel and supporting amenities including a restaurant, lounge, night club, health club and spa. The Residential zoning component allows for dwelling units associated with hotels. The proposed site is approximately 4.3 acres and is fully serviced. A Transferrable 99 year lease with renewals on competitively priced land is available. The construction of the hotel would be subject to approval through the WDFN Development Permit process and the operation of the hotel would be subject to property taxation through the WDFN Property Assessment and Taxation Bylaw which operates in a siimilar fashion to surrounding jusrisdictions. Chief Darcy Bear The Dakota Dunes Resort is the conerstone of our economic plan and this region s tourism corridor. We have established a world class reputation with our golf course and casino ventures. We have acheived this through partnerships and our partners are experiencing the benefits. We invite you to participate in the vision and benefits of the hotel development.
Based on input from PKF Consulting, one of Canada s leading specialists in the hospitality and tourism industry, a hotel program plan of approximately 110,000 square feet has been completed. The hotel is proposed to be developed as a 3.5 to 4 star property and includes 155 rooms, meeting space, three meal restaurant, spa, fitness center and pool. Estimated project cost is $30,000,000. Revenue projections have also been developed by PKF based on their recent market analysis. Based on conservative occupancy rates and conservative average daily room rates, annual net operating income is estimated at $2.4 million in year one, $2.8 million in year 2, and $3.2 million in year 3. Whitecap Development Corporation will take an equity position and is looking for an investor/developer to partner in the ownership and implementation of this project. Opportunities for additional ownership would also be available for the future phases of the resort development.
The Whitecap Dakota First Nation (WDFN) is a modern and progressive First Nation with a proud culture and a strong sense of community. Whitecap s members have mandated their leadership to implement a nation-building vision geared toward Strengthening Community and Building Opportunity. With a long history of establishing partnerships, WDFN continues a Spirit of Alliance, working with its neighbors and governments in support of its nation-building agenda. Whitecap Dakota First Nation s strategic location makes it well positioned to be developed as a comprehensive, amenity rich, mixed use community. Situated along the scenic South Saskatchewan River, it offers an ideal setting for resort development. Much of the site s strength of location comes from its close proximity to Saskatoon. Whitecap is located 26 Kilometers or a 20 minute drive from downtown Saskatoon, making it an easy distance and viable location for commuters to travel from as well as making it a short drive as a day trip from Saskatoon. Whitecap has made a major investment of time, land and financial resources to establish the foundation for sustainable development. 1,000 acres have been zoned for commercial development and is available at competitive rates under 99 year renewable leases. Investments in modern infrastructure provide all the necessary commercial services and land use zoning and development standards protect the value of everyones investment. L W h o R t 3 c S - - - -
Location Whitecap is well situated for access to major highways, bringing traffic from Alberta and other Saskatchewan cities such as the City of Regina. With the new Circle Drive expansion the Saskatoon International Airport is only a 30 minute drive away and downtown is even closer at 20 minutes. Services - Whitecap water utility providing potable water & sewer service through a state of the art reverse osmosis water treatment plant. - Whitecap public works department provides local services such as road maintenance. - Protective services: Policing in partnership with on-site RCMP and fire protection in partnership with the City of Saskatoon. - Health care centre in partnership with the Saskatoon Health Region featuring clinic services, dental services, Doctor hours, a Nurse Practioner, and a 56 seat early learning centre City of Saskatoon - Pop: 253, 000 Notable Attractions - Saskatoon International Airport - University of Saskatchewan - Sasktel Event Centre Whitecap Dakota First Nation - Pop: 539 Notable Attractions - Dakota Dunes Golf Links - Dakota Dunes Casino - Dakota Spots Grounds Chief Whitecap Trail - Designated as a tourism corridor, primary weight loads permitted between Whitecap and Saskatoon July to March inclusive. Secondary weight restrictions apply during April, May, and June. Highway 11 - Primary highway, twinned, connects the three largest cities in Saskatchewan - Regina, Saskatoon, and Prince Albert. Highway 16 - Interprovincial highway and heavy haul corridor, runs east-west and connects the western provinces of Manitoba, Saskatchewan, Alberta, and British Columbia. Highway 7 - Primary highway running from Saskatoon to the Alberta border, primarily used as a trade corridor and route to Calgary and the Rocky Mountains. Highway 15 - Secondary highway that connects from Highway 4 (an international heavy haul corridor) and travels east to bisect highway 11 and connect with Highway 16. Section between Highway 4 and Highway 11 is designated as primary weight. Highway 5 - Primary highway that runs east west from Saskatoon to the Manitoba border.
Saskatoon Market The Conference Board of Canada considers the province of Saskatchewan to be an economic driver for the Canadian economy and the Saskatoon region one of the most diversified economies in Canada. Both the short and long term outlook for the City of Saskatoon is positive. Saskatoon s economy has surged over the past few years including a third place ranking for GDP growth in 2014 out of 13 CMAs in Canada. High demand levels for primary resources extracted in Saskatchewan have benefitted the economy of Saskatoon and will continue to do so for the foreseeable future. Domestic overnight travelers to Saskatchewan comprise over 95% of the overnight volumes. The total volume of overnight travel is projected to grow at a rate of between 1% and 3% over the next three years. PKF estimates Average Daily Rates for the hotel s competitive set at $157.19 and growing by approximately 2.5% annually. Taking into consideration supply growth projections, demand growth is expected to grow between 1% and 3% over the next 5 years and stabilizing at 70.7% occupancy reflecting functional capacity constraints.
Dakota Dunes is an established, widely accepted brand that s associated with quality. Dakota Dunes Golf Links is a nationally ranked course with 10 years of operations. Dakota Dunes Casino is the largest First Nation operated casino in Saskatchewan with 8 years of operations. Together these operations account for over 1,000,000 annual visitors to the site. Dakota Dunes Casino has a monopoly on the Saskatoon market for at least the next 13 years and currently has an over 85% occupancy rate in its meeting rooms without any on site accommodation. Major events are hosted at Whitecap including the PGA Tour Canada Dakota Dunes Open and the Dakota Dunes Casino Powwow. These events are growing and attracting more visitors to the community every year. Relationships with the golf course and casino are available for marketing and operating efficiencies. A master plan for development of additional supporting amenities is in place and will evolve and be implemented to support the hotel. Additional investment opportunities will be available as the plan develops.
The proposed hotel site is a 4.3 acre parcel located between the casino and the newly constructed golf course club house. The hotel is proposed to be directly connected to the casino through an indoor walkway. In reviewing the project PKF concluded the subject site is considered well suited for the proposed development of resort accommodation. The proposed resort hotel concept includes the following facilities: 155 guest rooms and suites; a full service restaurant that can seat up to 120 patrons and is open for three meal periods daily; a lobby level lounge with seating for 40 people in approximately adjacent to the restaurant; a grab and go café adjacent to the hotel lobby and reception; approximately 4,000 square feet of breakout meeting/conference space connected by breezeway to the 8,000 square foot ballroom space that currently exists at the casino; an indoor swimming pool and one hot tub; a fitness centre with a steam bath/sauna; a self serve business centre; two guest elevators and one service elevator; surface parking for 1.5 spaces per guestroom/233 stalls; and, appropriate public areas (lobby, entrance, corridors) and back of house space (offices, storage, laundry and mechanical rooms).
DAKOTA DUNES HOTEL Given the resort status for the hotel its two main markets are the Leisure/Tourist Market and the Meeting/Conference Market. PKF projects the hotel to penetrate the leisure market segment and the meeting/conference market segment at a level well above fair share at 120% in year one, growing to 125%. Hotel occupancy rates are projected at between 60.4% in year one and growing to 64.2%. Average daily rates are projected to start at $173.51 and grow to $200.82 by year 5. The resulting financial projections provide a leveraged internal rate of return in the double digits.access to the aboriginal labor force is available to support operations.