The developer behind Margaritaville Resort Orlando wants to add more hotel rooms and vacation homes as the final phase of the iconic project that helped transform Kissimmee’s W192 tourism corridor.
The Falcone Group is seeking approval for a preliminary site plan for the last undeveloped pod in the resort, known as Phase 9. The plan calls for a 6-story hotel with 110 rooms and a 7-story tower with 180 condo-hotel units. The peninsula will be lined with 40 waterfront homesites — the last batch of Key West- themed vacation homes in the massive resort and the first ones built since 2021. The first waterfront cottages, which have up to eight bedrooms, are now selling for between $1-2 million.
The pod was approved for condo development called The Residences at Margaritaville that would have had 350 units across three condo buildings and 104 attached villas. Construction was already underway, with walls up on the first condo building, before the developer hit the pause button and redesigned the project. The hotel building appears to fit the footprint of the foundation that was poured for building 2 in the earlier plan, and the hotel and condos will have a shared pool.
Osceola County’s Development Review Committee approved the new Phase 9 plan on Tuesday. It goes to the Planning Commission and Board of County Commissioners in May.
The Orlando resort developer expanded the Margaritaville Hotel in 2021 with a 75-room addition and partnered with Embassy Suites to build a 300-unit condo-hotel and Oasis Beach Club in 2022.
The Phase 9 pod is tucked between the 300-unit Retreat at Sunset Walk apartment complex in Phase 8, which Falcone completed in 2022, and the Embassy Suites Sunset Walk condo hotel in Phase 10. The apartment complex sold on March 31 to Montage Capital for $88.5 million. Newmark brokered the sale and arranged a $53 million loan from Swiss RE Life & Health America LLC.
“Margaritaville has really come into its own over the last few years,” Newmark’s Scott Ramey said. “Between the resort itself, Island H20 Water Park and all of the unique surrounding retail, it has evolved into a target destination for permanent residents and tourists alike. It is one of the only areas in Orlando that offers a true “Live, Work, Play” lifestyle and is why there is so much demand for the location moving forward.”
Phase 9 was originally approved for 300 timeshare units, but the timeshares were moved to a new location south of the Island H2O water park.
The developer scored a $78 million construction loan in March for the timeshare building, which will carry the Margaritaville Vacation Club branding.
Travel & Leisure Co. confirmed the plans, first reported by GrowthSpotter, for the 151-unit timeshare building slated to open in 2027. Resort amenities are set to include an outdoor pool and bar, a convenient cafe and coffee shop, a modern fitness center, game room, and a calendar of engaging activities for families looking to make core vacation memories. A dedicated sales gallery is also included in the resort’s construction plans.
The standard MVC units will range in size from studio to three-bedrooms, and each will come with a washer/dryer, kitchenettes or fully equipped kitchens with a signature frozen drink maker. For an elevated stay, one-, two-, three-, and four-bedroom Margaritaville Vacation Club Presidential Reserve suites are also anticipated at this resort.
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