Boston - Success Stories

Market Study and Appraisal - Destiny USA

Project
Destiny USA is a world class destination being developed on a brownfield site in Syracuse, New York. The project will expand off the preexisting 1.6 million square foot Carousel Center Mall. The initiative is being led by Founder and Chairman Robert J. Congel, and will be powered entirely by renewable energy resources. It is considered to be the one of the largest private developments in the world. In addition, the development adheres to the U.S. Green Building Council's standards for environmentally-friendly construction practices.

Destiny USA is designed to be the world's largest enclosed and integrated structure. At build-out, the project will contain a total of 6.5 million square feet of mixed uses, spanning over approximately 350 acres, all of which will be physically connected. The project developer foresees Destiny USA becoming the most visited single leisure destination in the world. The mix of uses will include high-density commercial, recreational, residential, and laboratory/office facilities. The organizing principle around the project is sustainability. Destiny USA is committed to not only operating 100% free of fossil fuels in its own right, but also to demonstrate, incubate, and propagate the newest energy technologies. The master plan includes a proposed $2.6 billion Destiny USA Research and Development Park, designed to set new standards for commercializing new technologies and consumer products.

The realization of Destiny USA will no doubt involve an iterative process with respect to the design, layout, and density of the proposed uses. At this stage, the initial elements of the Destiny USA master plan include a vast amount of retail, a 1,342 room hotel, and the project's "Interest Zones." The Carousel Center Mall opened in 1990 and currently contains approximately 1.6 million square feet of lease-able space. The initial 848,000 square-foot expansion of the facility is currently under construction and slated for completion as of December 1, 2008. The hotel is expected to be completed six months subsequent to the completion of the Carousel Center expansion.

The HVS Assignment
HVS has been working with the developer for the past five years through various iterations of the Destiny USA project. We were asked to prepare a market study and appraisal that appropriately considered all facets of the development and transformation of the site. The project required "out-of-the-box" thinking, as well as an intimate understanding and appreciation of sustainable and renewable energy. A well-supported analysis and document was executed to help investors envision the 1,342 room hotel and its potential future operating results and investment returns.

Results
HVS's market study and appraisal, under the leadership and execution of Thomas Dolan and Erich Baum, will be a contributing factor to the hotel's successful development. Destiny USA is viewed by HVS as being one of the most important private developments in the world with its contribution to becoming the first project ever to be powered 100% by renewable energy.