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Kiawah’s Sanctuary, tournaments pack economic punch
By Dennis Quick
Senior Staff Writer
With the swank, 255-room The Sanctuary at Kiawah Island hotel attracting travelers from around the world and with two golf tournaments slated within the next seven years, The Kiawah Island Golf Resort could prove to be the regional economic gem Lowcountry economic development experts anticipated.
In August, the $125 million Sanctuary celebrated its first anniversary. During its inaugural year, the 350-employee hotel generated an $80 million economic impact on the region, according to resort officials.
“The Sanctuary met and exceeded our expectations,” said Roger Warren, Kiawah Island Golf Resort president. “The feedback has been very positive, and we’re excited about the hotel’s first year.”
When builders broke ground for the luxury hotel in December 2001, estimates were that the hotel would generate a $50 million economic impact on the region.
“The Sanctuary at Kiawah will be one of the best beach resorts in the world,” predicted Charleston Mayor Joseph P. Riley Jr. shortly after the hotel’s construction had begun. “It’s going to attract business leaders from around the world, many of whom would not otherwise come to the Charleston area, and create business investment here. It will be a tremendous economic boost.”
The private resort would not disclose the hotel’s total number of room bookings during its first year. However, the hotel generated about $4 million in taxes, Warren said.
The Sanctuary played an integral part in helping Kiawah Island Golf Resort account for 12% of Charleston County’s $6.9 million in accommodations tax collections, observed John Crotts, chairman of the College of Charleston Hospitality and Tourism Management Department.
“Charleston’s hospitality industry has always been focused on quality, and the Sanctuary more firmly establishes us as a renowned destination not only in the United States but in the world,” Crotts said.
The Sanctuary is one component of Kiawah Island Golf Resort, which has roughly 1,200 employees. The others are The Villas at Kiawah Island, which include 600 villas and private luxury homes, and the resort’s five golf courses.
The resort’s Ocean Course will host the Professional Golf Association’s 2007 Senior Championship and the 2012 PGA Golf Championship.
The weeklong PGA Golf Championship, one of four major PGA tournaments and televised in 160 countries, is expected to attract 200,000 golf enthusiasts from around the world and generate an economic impact ranging between $75 million and $80 million, Warren noted. The Senior Championship, another weeklong tournament, will draw about 80,000 visitors, mainly from the Southeast, and spawn roughly a $20 million economic impact.
“Our goal is to become the finest golf resort in the world,” said Warren, who is president of the PGA.
Warren was reluctant to discuss growth plans the resort might have. “We just want our people to continue performing at high standards,” he said.
The resort appointed Warren as its president in September. He replaced Prem Devadas, who in July left the resort to join Washington, D.C.-based Salamander Hospitality. Warren most recently served as Kiawah Island Golf Resort’s co-acting general manager and golf director.
Dennis Quick covers hospitality and tourism for the Business Journal. E-mail him at dquick@charlestonbusiness.com.
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