ID: 10185

07.08.14

Investment projects and startups in Ukraine

Recreation and medical complex - Warm Mineral Springs

It is offered to be a co-investor of the investment project in construction of «Warm Mineral Springs» recreation and medical complex, Florida, USA.

Location:

  • Sector: Health care and social assistance
  • Business activity: Dentistry
  • Stage: Early Stage
  • Project cost: $8 070 000
  • Required investments: $5 400 000
  • Type of investment: Equity
  • Share in capital: 50%
  • Return on investment, years: 3

Recreation and medical complex - Warm Mineral Springs

It is offered to be a co-investor of the investment project in construction of «Warm Mineral Springs» recreation and medical complex, Florida, USA.  

General information about the investment project

Name of the project

«Warm Mineral Springs» recreation and medical complex

Industry

- Medical and SPA services

- Constructing and recreation property  ]

Stage of the project

Initial stage: land lots are in ownership / conception and business plan of the project

Needed investments

$5 400 000

ROI

46%

Payoff period

2 years (including construction – 3 years)

Type of the investments

Equity participation: to 50%

Planned competences of co-investor

- Construction

- Project management

- Property management

- Medical services

Advantages of the project

- Organization of profitable business in USA

- Capital export and its safe investment

- Possibility to get a permanent domicile in USA

- Exclusive business project along with a unique location

- Big extension possibilities

- The partner is a highly qualified medical specialist

 

WMS Sarasota Holdings, LLC is a holding company, which is registred in Florida, and works on implementation of "Warm Mineral Springs Health and Wellness Spa-Resort" recreation and medical complex recreation and medical complex.

The founder and CEO of the company is a private person, licensed doctor in USA and owner of the company in New-York, which specializes in orthopedic medicine and rehabilitation. The initiator of the project has more than 43-year experience in in traditional, alternative and holistic medicine, more than 30-year experience in working as a licensed doctor in the USA, in 1971 he graduated from Kyiv Medial University.

The investment project is based on conception of organization of medical complex with full range of services in the area of healthcare, health improvement and rehabilitation of orthopedic, neurological and dermatological diseases with following development of recreational infrastructure.

The characteristic property and competitive advantage of the project is neighboring territorial location of recreational and medical complex to remedial lake with historical, unique and world-known Warm Mineral Springs, which are located in the USA (North Port City, Sarasota County, Florida), and also lack of recreational and medical services in this region.

Water in Warm Mineral Springs has the highest consistence of minerals in the USA and third place in the world for water mineralization. Water of Warm Mineral Springs has 51 natural minerals, which, along with 24-hour temperature of 30 degrees Celsius, helps in treating arthritis, skin diseases and other health problems.  Warm Mineral Springs was declared one of the best resorts for skin diseases treatment, according to the Health.com and Health Magazine about Warm Mineral Springs, Florida.

Considering the fact that Warm Mineral Springs resort has been in the list of high-class European resort route, it is estimated that specialized medical services of a lot of diseases treatment will be in a great demand among the tourists.

Other advantage and perspective of the project is infrastructure underdevelopment around the Warm Mineral Springs, and also acquired land along the perimeter of resort.

Further information about Warm Mineral Springs resort you can find on: http://en.wikipedia.org/wiki/Warm_Mineral_Springs /  www.tyrist.ru/26/1361_1.html

The company has 18,5 acres in its possession, namely 6 lots, which border on Warm Mineral Springs. Two lots, which are going to be reclaimed on the first stages of project implementation, have commercial purpose of usage and also have no archeological or ecological setbacks for development.

Global plan of development offers construction of recreational center, hotel, townhouses and residential departments.

 

1st stage of project implementation

In the framework of the first stage of implantation of the project it provides the construction and start-up of the recreational complex with total area of 22,000 sq. ft. (2044 sq.мm.), which include:

- 5,000 sq. ft. (465 sq.m.) – premises for medical services and physiotherapy (1st  floor)

- 3,000 sq. ft. (279 sq.m.)  - restaurant/eating room of dietetic nutrition (1st floor)

- 26 double hotel type suites for brief visits / rehabilitation of the patients (2nd  и 3rd  floors).

- The roof of the building will be projected for implementation of recreational activity.

 VIABILITY AND PROFITABILITY OF THE PROJECT  

WMS Health and Wellness Center will allow to supply 50 regular visitors, by offering accommodation, feeding and treatment services, and also ambulatory visitors, which are going to be treated and fed.

WMS Health and Wellness Center will provide services for the following groups of visitors:

Group I - 50 visitors / full service complex
Accommodation - $ 150 per day / Meal service - $ 50 pe day / Treatment - $ 100 per day
Altogether : $ 300 per day * 50 visitors = $ 15,000 per day or  $ 5 400 000 per year

Group II– 20 visitors / limited list of services
Meal service - $ 50 per day / Treatment - $ 100 per day
Altogether: $ 150 per month * 20 visitors = $ 3000 per day or $ 1 080 000 per year
 
Group III -15 visitors / only meal services
Meal service - $ 50 per day
Altogether: $ 50 *15 visitors = $ 750 perday or $270 000 per year
 
Group IV -15 visitors / only treatment
Treatment - $100 per day
Altogether: $ 100 *15 visitors = $1500 per day or $540 000 per year

Altogether (gross turnover of all groups): $ 7 290 000 per year (according to pessimistic calculations - $6 196 500)

Gross expenses: $  2 478 600 per year (40% revenue – standard index for medical and prophylactic enterprises in the USA

Clean profit:  $ 3 717 900 per year
Investment expenses: $ 8 040 000

1) Land price, development and other kickoff expenses: $ 2 640 000

2) Investments in construction - $ 5 400 000 basing o the following formula: - 22000 sq.ft. building х $ 170 per sq.ft. (2044 m2 х $ 1,830) = $ 3 740 000

ROI: 46% ($ 3 717 900 (clean profit) / $ 8 040 000 (investments)

Further information about the project is available on request.

 

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