Crystal Lagoons® PAL™ Business Model Sparks Japanese Investor Interest

29/05/2020

Having established itself in the United States, Crystal Lagoons® has set Japan as its priority market in Asia, with lagoons expected in cities such as Tokyo, Yokohama, Osaka, Kyoto, Nagoya, Kobe, Okinawa, among others.

Crystal Lagoons is in advanced negotiations in Japan, a highly densified country renowned for its technology, to develop 30 Public Access Lagoons™, also known as PAL™, in cities such as Tokyo, Yokohama, Osaka, Kyoto, Nagoya, Kobe, Okinawa, among others.

The developments are to be established in the country, despite the high costs of land, confirming the urban, entertainment and added value these projects contribute, which have attracted important investors interested in this business model.

Despite being the country with the largest number of amusement parks after the United States, Japanese investors have recognized that these developments deliver greater profitability and are an allure for new businesses. The projects would be carried out through a master license, exclusive license agreements for specific geographical areas and a specific volume of projects.

PAL are characterized by monumental crystalline lagoons surrounded by white sand beaches, accessed via ticketed entry. The PAL business model can transform any location into a dynamic entertainment hub. With the allure of year-round beach life and activities, PAL are a catalyzer for a wide array of revenue streams. The low investment and maintenance cost make PAL a business of unprecedented profitability.

Japanese investors have identified these developments as a new long-term investment alternative, with return rates of over 50%, low investment and limited risk, because these projects, which are quickly built, generate profits and produce a financial pyramid, allowing a small initial investment to create a company with a very high present value,” says Felipe Baldwin, Global Business Director at Crystal Lagoons.

In just seven months, the company has signed four licensing contracts, one of them in Korea to develop 30 lagoons with a multinational consortium. These agreements have generated the highest sales ever recorded in Crystal Lagoons history, demonstrating the resounding success of these projects.

In addition to Korea, the contracts are to develop 16 PAL across the United States together with Epic, 30 lagoons in Mexico, and 18 projects in different Central American countries, projects with a present value of US $3.8 billion.

“Japan is a market with great potential for PAL due to its climate, its population, among other factors. These projects will enhance the urban way of life of millions of Japanese people by bringing a piece of the ocean close to their homes while eliminating having to travel by car or plane to go to the beach, positively impacting the environment. It’s a very robust urban proposal, for which Crystal Lagoons is choosing the best partners around the world”, explains Baldwin.

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Around the world, the concept and technology of Crystal Lagoons® have become the leading sales attraction, positively impacting its commercial success. Despite the credit and real estate challenges in the current economic conditions, Crystal Lagoons projects continue to defy the market with very impressive sales figures, particularly in the United States. The rankings from real estate consulting firms RCLCO and John Burns on the best-selling master-planned communities once again demonstrated that crystalline lagoons are a powerful purchasing driver. Sunterra, Mirada, Windsong Ranch, and Epperson secured prominent positions in 2023.

These projects ranked among the top 50 best-selling communities. Florida leads the ranking within the list, representing close to 40% of the sales for all top-ranked developments, followed by Texas with 37%. In both states, Crystal Lagoons has a significant presence.

In Texas, Sunterra stands out as a project that, even though the crystalline lagoon has not been built yet, serves as a commercial driver within the community, generating sales rates higher than the average, with a significant increase of 63% compared to 2022. This placed it 3rd nationally in both rankings, further boosting the strong performance of Houston, the top-selling metropolitan area in the country. Sunterra’s positive sales results had already been recorded in previous reports.

With the largest amenity powered by Crystal Lagoons® technology in the United States, Mirada in Florida, inaugurated in 2023, sets another record. With an 89% increase in sales, it ranks 17th. Its 15 acres of turquoise waters and white sandy beaches are a buying trigger.

Another notable project in Texas is Windsong Ranch, which has consistently set sales records, ranking 29th in the John Burns ranking. The project has also been nationally awarded as “Master Planned Community of the Year,” among other recognitions.

On the other hand, Epperson in Florida also ranked prominently in both studies, a commercial trend registered since its inauguration as a real estate project. The interest it generated was so significant that it had to be opened to the Public Access Lagoons™ model, also known as PAL™ developments.

The United States is the main operation of Crystal Lagoons worldwide, and it has more than 275 projects at different stages of development and negotiation. Among the most important are Mirada, Sole Mia, Balmoral, Windsong Ranch, Beachwalk, Southshore Bay, Aqua, among others. The recent joint venture to develop four Public Access Lagoons™ complexes, also known as PAL™, in Texas stands out and will add to the successful public access developments Epperson (Florida) and Lago Mar (Texas).

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Crystal Lagoons: A Trend Taking Over the Hospitality Industry

02-04-2024

Several international media highlighted that the hotel sector is undergoing a real transformation thanks to the incorporation of innovative technologies. One of the technologies highlighted was precisely Crystal Lagoons, in parallel with process automation and artificial intelligence.

The sustainability of the multinational innovation company was key to being considered within these trends. “Currently, many travelers are seeking accommodations that are sustainable and environmentally friendly. Places like the AVA Resort Cancun, with its artificial lagoon of crystal-clear waters powered by Crystal Lagoons® technology, are examples of accommodations that stand out for their commitment to sustainability,” explains the Spanish portal 24 Matins.

The turquoise-colored body of water provides ideal conditions for sailing, swimming, kayaking, or relaxing, and thanks to state-of-the-art technology, it consumes 33 times less water than an 18-hole golf course, 40% less water than a park of the same size, and only 2% of the energy of a conventional pool.

After transforming the real estate industry and the urban entertainment landscape with its innovative Public Access Lagoons™ projects, the multinational innovation company is now generating a new revolution, this time in the hotel sector.

Recognizing the transformative value of Crystal Lagoons® technology, leading global hotel chains such as Marriott, Radisson, Conrad, Hyatt Regency, and AVA Resort itself, have incorporated this amenity as a centerpiece in their projects.

“Every hotel project incorporating a Crystal Lagoons amenity becomes the most attractive destination in the area. These bodies of water change the paradigm of vacation developments with world-class hotel and resort standards”, explains Iván Manzur, Senior Vice President of Sales at Crystal Lagoons US Corp.

The multinational water innovation company already has developments of this kind, in which crystalline lagoons are the differentiating factor in the United States, Mexico, Indonesia, Romania, and Uruguay, among other countries.

“The crystalline lagoons achieve unprecedented results, such as bringing a beach lifestyle to Orlando—an entertainment option it didn’t have—or, counterintuitively, replacing the sea in iconic tourist destinations like Cancun,” emphasizes Jean Pierre Juanchich, Global Business Director of Crystal Lagoons.

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New Beach Club at Crystal Lagoons’ First PAL™ Development in Asia

28-03-2024

The Crystal Lagoons project in Thailand, Blue Tree, located in the heart of Phuket, just 4 kilometers from the coast, has recently inaugurated the Beach Club MuMu Clubhouse, a new landmark in this iconic tourist destination, adding even more fun and entertainment. This new space becomes a meeting point in the surroundings of Phuket’s largest artificial lagoon and the first in Asia under the innovative Public Access Lagoons™ model, globally recognized as a “must-visit” in the region.

This PAL™ development with Crystal Lagoons® technology has set a new standard in public meeting and entertainment spaces, establishing itself as the top amenity in Thailand. With 4.2 acres of turquoise water oasis, surrounded by white sandy beaches, a private peninsula, restaurants, and a poolside bar, it offers the perfect setting to enjoy a dynamic beach experience 24 hours a day and a calendar full of activities throughout the year.

During the day, the Beach Club offers a relaxed atmosphere where visitors can enjoy various gastronomic offerings, art, culture, and activities, from beach yoga to water sports. The place comes alive at night with nightclubs, special events, concerts, and themed parties featuring live music, special guests, and renowned DJs.

Crystal Lagoons PAL™ projects are transforming and enriching urban life by offering new entertainment destinations not limited exclusively to residents of private real estate developments with crystalline lagoons. These developments are positively impacting the lives of millions of people, bringing a piece of the ocean to the city center and making it accessible just steps from their homes.

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