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The consummate entrepreneur, Jon Rooks bought his first property at age 15. In 1988, he founded Parkland Properties and went on to develop a $35 million condo and marina project in Montague. In 1993, the U.S. Small Business Administration named Rooks the Young Entrepreneur of the Year. In the 2000s, he shifted his focus to redeveloping old buildings into condos projects in Grand Rapids – including Union Square, Boardwalk, Monroe Terrace and others – while taking advantage of Renaissance Zones as a selling point. The lure of the lakeshore drew him back to Muskegon in the late 2000s, when he purchased the struggling Shoreline Inn and the blighted former Hackley Bank building, which is being converted into HighPoint Flats. Rooks spoke with MiBiz about his successful turnaround of the Shoreline Inn and what the future holds for development. What does a guy who sold cars and condos know about running a hotel? I did know the hotel business before, but it was on a smaller scale (with the White Lake development). I was prepared to do any type of business that took advantage of the waterfront. I understand that customers, whether condo purchasers or hotel guests, want to feel safe, feel good in their environment and have amenities that refresh and support them. I initially concentrated on assembling a professional team that had hands-on experience and knew the inner workings of the hospitality business. What was your strategy in purchasing and turning around a struggling Shoreline Inn? We obtained the hotel through a loan default in 2009. We could try to sell it, but decided to roll up our sleeves, fix it, market it and make it work. We started with the hotel, moved down to the marina, then renovated the restaurant and reconfigured it for a larger conference center. How would you rate your success? We rate our success as “on-track.” We went from being the lowest revenue producing hotel during the summers of 2002 to 2009 to becoming the highest producing hotel in the county during the 2010 summer season. Why be an independent hotelier? Why not become part of a franchise? Actually, we have the best of both worlds. We have just been accepted into the Ascend Collection of independent hotels, which is part of Choice Hotels. We wanted the support, stamina and reputation of a large organization. We’re maintaining our own individuality and character but will be part of a group that allows you to know you’re getting a certain type of quality and a certain level of service and a certain emphasis on good design. What are some developments you would like to see in downtown Muskegon? It’s very important to reinstate the Michigan Renaissance Zone. Another dream is to move the cross-lake ferry downtown – that’s where it belongs and eventually it will end up there. It would be really cool to create a downtown historic maritime center. It would also be great to have a pedestrian bridge to make it easy to cross back and forth from the waterfront to the downtown proper. I would like to see some sort of beach downtown – Muskegon is the largest lake connected to Lake Michigan. We always thought downtown Muskegon would be an amazing place to build a retirement center community on the waterfront. Why don’t people think of Muskegon as a business meeting or convention destination? The Michigan Bed & Breakfast conference was just held in our Shoreline Ballroom. We’ve hosted groups such as Optimist, National Bass Anglers Association, corporate groups like Pratt & Whitney and institutional groups such as Hackley and Mercy hospitals. Muskegon is the biggest city on the lakeshore and the third biggest city in West Michigan. Bottom line: There’s a thriving business meeting and convention business here. It’s just there that we’re limited to 500 people. We increased the size of our banquet room by 40 percent and added the dividing hall, and that allows us to have 300 in that facility. We’re going to add on to the parking lot again this coming spring. What’s your next venture going to be? Any other plans for Muskegon? We are currently working on HighPoint Flats and Terrace Point Peninsula. We are transforming Muskegon’s biggest eyesore to another source of pride for the city (HighPoint Flats). We bought (Terrace Point Peninsula) together with the hotel. It’s the last undeveloped area on Muskegon Lake. By purchasing the property in 2009 at the right price, we can offer amazing deals on the land – amazing home sites where you can see six miles directly toward the sunset. We also want to build a high-rise retirement home similar in size to the 10-story Shoreline Inn. We are seeking a retirement home developer to partner with us. What is your best advice for other small business owners? If you are interested in real estate, think small, get it done and pay your debt off, and then do it again. Gather lots of input from employees and customers and anybody willing to give you input. Synthesize that information and follow your instincts. New construction is now far more expensive than buying existing property, and being creative can actually make the existing property better than it was new. Watch for opportunities for cross-selling and synergy. Word has it you’re quite a car guy. What’s your favorite car? How fast have you taken it? For speed: the Lamborghini Gallardo Spyder. On a race course, I have gotten it to 172 mph. For a local fun drive, I like the 1979 Checker Marathon Cab. It’s just fun cruising around the lakeshore in a giant old car that can carry lots of friends. As a world-wide traveler, what are your favorite hotels? Although I like the Shoreline Inn in Muskegon the best, my favorite hotel experiences thus far: Melrose Arch Hotel in Johannesburg, South Africa; Phinda Forest Lodge in KwaZula-Natal, South Africa; Hotel Sofitel Legend Metropole (Opera Wing) in Hanoi, Vietnam; and Burj al Arab at Dubai in the United Arab Emirates. – INTERVIEW: KAREN GENTRY – PHOTO: ADAM BIRD |
Jon Rooks |

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