Wondering if you can own a piece of a Las Vegas resort and still earn rental income when you are not in town? You are not alone. Condo-hotels can blend lifestyle and revenue, but the details matter in Clark County. In this guide, you will learn what a condo-hotel is, how they operate in Las Vegas, the rules and financing to know, and a practical checklist to evaluate opportunities with confidence. Let’s dive in.
Condo-hotel basics
What a condo-hotel is
A condo-hotel is a full-service hotel where individual units are sold to private owners. You hold deeded ownership of a condominium unit and typically pay HOA assessments like any condo owner. When you are not using the unit, you can place it into the hotel’s rental program so it is rented to nightly guests through the hotel’s reservations system. Your economic outcome comes from two streams: your personal use and your share of rental revenue when the unit is rented to guests.
How it differs from timeshares and STRs
Timeshares sell usage periods rather than full ownership of a specific unit. Condo-hotels grant traditional deeded ownership. Short-term rental condos may allow you to self-manage or use a third-party manager, but condo-hotels are generally integrated into centralized hotel operations with front desk, housekeeping, and transient tax handling. Traditional apartments or standard condos are primarily geared to long-term occupancy and landlord-tenant laws, not nightly hospitality.
How Las Vegas projects operate
Ownership and hotel management
In Las Vegas, most condo-hotel buildings have a master hotel operator or management company that runs the front desk, reservations, housekeeping, marketing, and on-site services. Your unit is governed by the condominium association’s CC&Rs and rules, while hotel operations are controlled under a separate management agreement between the HOA or developer and the operator. That agreement outlines fees, control rights, financial reporting, and how operations interface with owners.
Rental programs and revenue splits
Many projects offer a rental pool that owners can opt into. The agreement defines how gross or net revenue is split, what fees are deducted, and how accounting is reported to you. Some buildings offer hybrid options that allow independent rentals, but many either prohibit external listings or strongly incentivize the centralized program for consistency, brand standards, and tax compliance. The exact split, reporting transparency, and audit rights are critical to your net cash flow.
Owner use rules
Owner-use policies vary by project. You might see limits on how many nights per year you can occupy, advance reservation rules, and blackout dates during high-demand periods. These rules protect hotel availability and pricing, but they affect your lifestyle plans. Read the use policy carefully before you buy so your expectations align with the building’s operations.
Local rules and taxes in Clark County
Condo-hotel units rented on a nightly basis are treated as transient lodging and are subject to hotel-type lodging taxes and local licensing frameworks. In Clark County and the City of Las Vegas, condo-hotels typically comply through the hotel operator’s existing licenses and tax remittance processes. If you plan to rent independently, confirm whether the HOA permits it and how taxes would be collected and remitted, since many projects either prohibit owner-led short-term rentals or require all bookings to run through the hotel.
Nevada condominium associations are governed under Nevada Revised Statutes Chapter 116. The HOA’s CC&Rs, bylaws, rules, budgets, reserve studies, and meeting minutes will define your rights and obligations as an owner, including any restrictions related to rentals and hotel operations.
Financing a condo-hotel
Financing for condo-hotels is more specialized than for standard condos. Many condo-hotel projects do not meet Fannie Mae or Freddie Mac condo criteria. FHA and VA approvals are also limited. Buyers often use portfolio lenders, specialty condo-hotel programs, jumbo loans, or cash. Expect higher down payments and stricter underwriting compared with a typical condo. Lender due diligence will focus on whether the unit is classified as a hotel unit, the extent of transient occupancy, and the project’s documentation.
Income, fees, and cash flow
Your unit’s rental performance depends on occupancy, average daily rate, the operator’s distribution and marketing, and the revenue split. To model income, you should review historical data such as occupancy, average daily rate, and, where available, RevPAR. Then layer in all fees and taxes to estimate net results. Key line items include:
- HOA assessments and what they cover
- Hotel management fees and any marketing or reservation charges
- Housekeeping, linen, utilities, and maintenance costs
- Capital reserve contributions and special assessments
- Transient lodging tax handling and your share of taxes related to rental revenue
Because fees and allocations differ by building, do not rely on back-of-the-napkin estimates. Get building-specific statements and pro formas, and verify how gross versus net revenue is defined in the rental agreement.
Insurance, risk, and governance
Condo-hotels typically carry a master property and liability policy through the HOA or hotel. You may still need interior unit coverage similar to an HO-6. Hotel operations introduce distinct risks, such as guest liability and amenities like pools or food and beverage, which can affect policy pricing and association assessments. Review the master policy, deductibles, and your obligations. Also study the hotel management agreement for operator control terms, fees, reporting rights, and termination or transfer provisions. These items can influence both cash flow and resale value.
Pros and cons in Las Vegas
Potential advantages
- Turnkey nightly rental exposure with professional hotel operations
- Access to amenities like housekeeping, front desk, security, fitness, spa, and on-site dining
- Potential for higher gross nightly rates in a strong tourism market
- Nevada’s lack of state personal income tax on rental income
Potential risks
- Complex governance and management agreements that may favor operator control
- Financing limitations and higher cost of capital
- Higher ongoing fees that reduce net cash flow
- Owner-use restrictions that affect flexibility
- Narrower resale market compared with standard condos
Who a condo-hotel fits
- Investors seeking professionally managed nightly rentals and willing to trade control for convenience
- Second-home buyers who want hotel services and do not plan to live full-time in the unit
- Buyers who want a Las Vegas pied-à-terre with on-site amenities and hassle-free stays
Buyer due diligence checklist
Use this focused checklist for any Las Vegas condo-hotel you are considering. Review documents with a Nevada real estate attorney, a CPA, and a local lender.
Documents and legal
- CC&Rs, bylaws, articles, rules, budgets, recent financials, and reserve study
- Minutes of recent HOA board meetings
- Hotel management agreement, fee schedules, revenue split definitions, and reporting rights
- Term length, operator control rights, and termination or assignment provisions
- Project approvals, zoning, and occupancy permits for hotel operations
- Purchase contract disclosures specific to condo-hotel status
Financial performance
- Historical owner statements for the unit or similar units
- Building-level operating data: occupancy, average daily rate, and RevPAR if available
- Detailed fee schedule: HOA dues, reserves, special assessments, housekeeping, utilities, and marketing
- Tax handling: how transient lodging taxes are collected and remitted
Use and restrictions
- Owner-use limits, blackout dates, and reservation priority rules
- Policy on independent rentals and any penalties for opting out of the rental pool
- Special assessment history or planned capital projects
Financing and title
- Lender eligibility for the project and unit classification
- Availability of portfolio lending or specialty condo-hotel financing
- Title review for liens, mechanic’s liens, or pending litigation
Insurance and risk
- Master insurance coverage, deductibles, and your required unit coverage
- Liability exposures tied to hotel amenities and operations
Tax and accounting
- Federal tax treatment of rental income, expenses, and depreciation
- Nevada’s lack of state personal income tax and local transient tax obligations
- 1031 exchange feasibility if the unit is held for investment
Operator and market questions
- Percentage of units currently enrolled in the rental program
- Exact revenue split formula and definitions of gross versus net revenue
- Marketing and distribution channels used by the hotel
- Housekeeping and maintenance standards and replacement reserve funding
- Comparable sales and demand trends for similar condo-hotel units
How to compare buildings
Operator reputation and reach
Ask how the operator distributes inventory. Global distribution and strong marketing can support occupancy and pricing. Review owner reporting quality and audit rights.
Owner-use flexibility
Match the use rules to your lifestyle. If you need seasonal stays or last-minute trips, confirm reservation windows and blackout periods in writing.
Fee transparency
Request a complete fee matrix and walk through a sample owner statement line by line. Confirm how taxes are handled and how ancillary revenues, such as parking or minibar, are allocated.
Resale and liquidity
Condo-hotels often serve a narrower buyer pool. Resale pricing can depend on the operator’s performance, visibility on booking channels, and documented net operating income. Ask for comparable sales and time-on-market trends.
Work with a Las Vegas condo-hotel specialist
Condo-hotel purchases are not typical condo transactions. You need a broker who understands hotel management agreements, HOA governance, lender requirements, and income modeling. Carlton Holland Realty focuses on high-rise condos and condo-hotels across Las Vegas. Our approach pairs negotiation expertise with a process-driven review of the documents that control your outcome. We help you source the right building, obtain the right statements, pressure-test assumptions, and protect your timeline from offer to closing.
Ready to explore Las Vegas condo-hotels with clarity and confidence? Schedule a consultation with Carlton Holland Realty and get a tailored game plan.
FAQs
Can you live full-time in a Las Vegas condo-hotel?
- Sometimes, but rules vary by project; many buildings limit owner-occupancy nights or require enrollment in the rental pool, so confirm the use policy before you buy.
Are nightly rentals taxed in condo-hotels?
- Yes; nightly rentals are typically treated as transient lodging, and taxes are collected and remitted according to the rental management agreement and local rules.
Can you list a condo-hotel unit on Airbnb in Clark County?
- Often no; many HOAs or local rules prohibit independent short-term rentals, or require that reservations run through the hotel’s centralized system.
Is financing available for Las Vegas condo-hotels?
- Financing exists but is more limited; many projects do not meet Fannie Mae, Freddie Mac, FHA, or VA criteria, so buyers often use portfolio or specialty lenders.
How do you estimate income for a condo-hotel?
- Request historical occupancy, average daily rate, and owner statements; verify the revenue split and all fees and taxes; then model net cash flow, not just gross revenue.
Can you do a 1031 exchange with a condo-hotel unit?
- It is possible if the unit is held primarily for investment and other IRS requirements are met; personal use can affect eligibility, so consult a tax advisor.
