Timeshare News

No financial crisis for timeshares says RCI boss

The success of timeshares during the economic downturn has caused investors and owners to look towards shared ownership and mixed use developments in Dubai, according to RCI Middle East and North Africa managing director Jeff Tisdall.

“This is because the fundamentals which analysts look for when predicting strong potential for timeshare are all present in Dubai. Most importantly perhaps, Dubai is really starting to mature as a leisure destination,” said Tisdall.

“From a consumer perspective, the financial crisis helps to highlight some of the key advantages of timeshare. When times are tougher economically, we all tend to use what we already have.”

The move towards timeshare in the region is highlighted by the continued success of the market in destinations such as Sharm El Sheikh and Hurghada, where timeshare owners have continued to travel, despite the economic downturn, said Tisdall.

The increasingly popularity of shared ownership, as well as the possibility of partnered solutions will be discussed at the Shared Ownership Summit , which will be held on May 1, 2010 alongside the Arabian Hotel Investment Conference.

Tisdall added: “If you looked back 12 to 18 months, the strength of the residential market made it very difficult for established vacation clubs to enter the Dubai market by acquiring a block of residential units and then offering them to their member base. Today, conditions are much more favourable.”

  
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RDO Turns Up the Heat on Resale and Holiday Club Fraudsters

As part on an ongoing campaign to help stamp out fraudulent practices targeted at timeshare owners, RDO (Resort Development Organisation), the trade body for timeshare and fractional ownership, is calling for consumers to come forward with their complaints.

Of particular interest are complaints from people who have been invited to a presentation either to discuss ways in which to dispose of their timeshare or to join a class action scheme, but are then persuaded to sign up to membership of a holiday club of which they had no former knowledge. A deposit is frequently taken and if no cooling off period is provided, which is frequently the case, consumers may lose significant sums of money.

The evidence that RDO builds up through this campaign will be presented to the enforcement authorities in both the UK and Spain to enable them to take decisive and hard-hitting action, putting a stop to the distress caused to people who have been misled by this type of activity.

Over the course of the last few years the number of consumers coming to RDO with allegations of fraud has steadily increased and its enforcement programme, which is headed up by a former Spanish police inspector, is more important than ever, with significant sums of money being invested into a pan-European programme.

Richard McIntosh, the Organisation’s chairman, adds, “Members of the public should always check with RDO if they are approached by a company they are unsure of and should walk away if they are asked to sign a contact which does not give them the right to withdraw.”

  
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RCI Celebrates Special Relationships at ARDA

RCI EMEAI celebrated some of the longest-standing business relationships within the vacation exchange industry at the American Resort Development Association (ARDA) 2010 Convention and Exposition in Las Vegas, Nevada.

In 2009, RCI, the global leader in vacation exchange, celebrated its 35th year in the industry, a milestone achieved by building some of the strongest relationships in the business. As many as 513 RCI affiliates across Europe, the Middle East, Africa and India have been affiliated with RCI for more than 15 years and have helped to build the company’s exchange network of over 4,000 affiliated resorts, making RCI the world’s largest vacation exchange company.

The ARDA 2010 event will give RCI representatives the opportunity to meet with some of the company’s oldest and most valued affiliates to acknowledge and celebrate some special anniversaries.

“All our developers have succeeded in this business by putting customer service first. RCI shares those values and our ‘Count on Me!’ service philosophy means our shared owners and members can rely on RCI to deliver the very best in vacation exchange experiences,” said Jonathan Back, managing director, RCI EMEAI. “The key to RCI’s success is its relationships with our resort developer partners, the people responsible for our unrivalled portfolio of vacation resorts. We have fantastically strong relationships based on a commitment to excellence and a shared focus on customer service. In business there is nothing as rare or as valuable as a trusted relationship which endures over time and I’m delighted that we will be seeing so many of our valued business partners at ARDA and rightly celebrating the longevity and strength of our relationships.”

Among the 70 developers who have been working with RCI over the years, Resort Properties, the Pestana Group, Club Praia Da Oura (CPO, now part of the Petchey Leisure Group), and Club La Costa (CLC) each celebrate a 25-year relationship with RCI EMEAI this year.

Pestana Hotels and Resorts pioneered mixed-use (hotel and timeshare operation working together in one property) in Europe when it launched timeshare with 150 rooms at its Carlton Madeira Hotel in Portugal in 1985. Today Pestana welcomes an average of 1,500 new owner families each year. RCI will be celebrating the exact date of their 25th anniversary with Pestana at ARDA and will be marking the occasion with a special presentation at the event.

Resort Properties’ Palm Beach Club in Tenerife was opened 25 years ago when the resort earned the distinction of becoming the fastest-selling timeshare resort in the world. CLC was founded with the purchase of 10 apartments at Las Farolas on the Costa del Sol and it now has sales operations in the UK, Spain, Tenerife, Turkey and Portugal conducting close to 100,000 sales presentations annually.

CLC is an innovator, launching a yacht club in 2006, and its first foray into the Turkish market, Apollonium Club La Costa Spa & Beach Resort, will be the company’s 18th affiliation with RCI. Jack Petchey OBE (Order of the British Empire) is one of the founding fathers of the timeshare industry and from its CPO beginnings, Petchey Leisure now has 10 owned and managed resorts as well as inventory in 24 other properties, making it one of the first timeshare businesses to expand outside its home territory by quickly extending its owned property portfolio to Spain, Portugal, Tenerife and the UK.

  
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Holiday Inn Club Vacations Goes Gold at 2010 ARDA Convention

Last night at the American Resort Development Association’s (ARDA) 2010 Convention & Exposition in Las Vegas, 10 people and projects nominated under the Holiday Inn Club Vacations brand achieved the highest honor in the timeshare industry: the ARDA Gold.

Holiday Inn Club Vacations’ ARDA Gold winners this year include the following people:

- Peter Menges, Marketing Management Executive

- Joanna Lambert, Sales Management Executive

- Marc Shaw, Sales Trainer

- Mike Blank, Salesperson – In-House

- Taciana Quiles, Administrative Staff Member

- Shawn Boschert, Resort Assistant Manager

- Clifford Black, Resort Staff Member

- Tim Williams of Gatorland®, Vendor / Supplier Staff Member


And the following projects in the Advertising and Promotions category:

- Lifetimes owner newsletter – Fall 2009, Newsletter Print Format

- Shop. Dine. Play. Golf Campaign, Integrated Marketing Campaign


Timeshare developer Orange Lake Resorts, with more than 25 years in the industry, has been a member of ARDA since 1982. Since Orange Lake’s strategic marketing alliance with IHG (InterContinental Hotels Group) in September of 2008, the company has submitted their nominations for the highly esteemed ARDA Awards under the Holiday Inn Club Vacations brand. This year’s performance at the 2010 ARDA Convention was a company record.

Holiday Inn Club Vacations has already hired more than 500 employees year to date across their resorts and have more than 100 open positions at their Orlando, Fla. and Myrtle Beach, S.C. locations.

For more information on career opportunities with Holiday Inn Club Vacations, contact Carolyn Argo at 407.905.1456.

  
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Westgate sells timeshare property near Disney Resort

A timeshare development hotel that will be constructed atop the parking garage at The Shops at Anaheim GardenWalk mall is now for sale.

The current price is $37 million; however, its developer—Westgate Resort—has put the project in an online auction. The minimum bid for the developing property has not been revealed.

The property will come with all the developer’s architectural sketches, utilities, and parking. The great thing about the property is that it is located near the Disney Resort—a renowned tourist hot spot.

Initially, the timeshare property was set for construction last year. However, the recession brought financial problems to the developer, forcing the company to put it on sale.

“We’re just selling off non-core assets that don’t pertain to our timeshare business,” explained Mark Waltrip, Chief Operating Officer of Westgate. “We’re not in the business of holding real estate.”

The company is currently selling the development rights of more than 70 properties across the United States.

  
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Wyndham sells condos as timeshare

An Orlando-based timeshare company is using a new strategy that will market excess inventory of residential condominiums in resort areas.

Wyndham Vacation Ownership Inc. recently signed an arrangement that will allow it to sell units in Towers on the Grove—a 232 ocean side condominium. The developer will provide financing, while Wyndham will market and sell the timeshare community as one of its own properties.

  
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Central Florida Timeshare mogul to unload $350M in assets

Amid the nation's continuing real-estate slump, Orlando's time-share king is attempting to sell $350 million worth of real-estate and noncore assets, including thousands of acres of undeveloped land in Central Florida.

The Orlando Sentinel reports that David Siegel, president and chief executive officer of Westgate Resorts, has listed a portfolio of properties with Carlton Advisory Services Inc., an international real-estate investment-banking firm. A total of 60 assets are up for sale, from hotels to mobile homes to airplanes.

"We're selling our non-time-share assets to raise cash for our time-share operations," Siegel said Wednesday. "We're selling anything that we don't currently need for our time-share [business]." See Story Here

The real estate includes a dude ranch and the once-famous Grenelefe Resort, both in Polk County, as well as land that already has government approvals for time-share construction. Carlton Advisory Services said all reasonable bids will be considered.

  
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Interval International Releases 2009 U.S. Membership Profile

Interval International, a prominent worldwide provider of vacation services and an operating segment of Interval Leisure Group, Inc. /quotes/comstock/15*!iilg/quotes/nls/iilg (IILG 14.73, -0.05, -0.34%) , today revealed that its U.S. resident members reported annual household income greater than $125,000 per year, high product satisfaction with their timeshare ownership, and a commitment to vacationing.

These findings are from Interval International's 2009 U.S. Membership Profile, which was developed from a sample of U.S. resident vacation owners maintaining an active membership with Interval International. The online study was undertaken to provide insights for use in the development of services and benefits to be offered to Interval's membership.

"The observations and insights drawn from this research reinforce the value our members place on vacationing," said David C. Gilbert, executive vice president of resort sales and marketing for Interval International. "This study also represents the latest in Interval's continuing commitment to bring timely and relevant consumer-centric research to the market. Along with our renowned Future Timeshare Buyers series and Affluent Shared Ownership Buyer Profile, these publications serve as a barometer relative to leisure preferences and intentions and assist resort developers in better understanding the psyche of today's vacation consumer."



Notable findings from the 2009 U.S. Membership Profile include:

-- Approximately 88% of Interval's U.S. members report satisfaction with their timeshare ownership.

-- Fully 33 percent of Interval's U.S. members state that they are interested in purchasing additional vacation time.

-- Interval's U.S. members spend approximately 23 nights per year away from home, traveling for leisure.

-- Florida, California, Hawaii, and New York represent the most frequently cited destinations Interval's U.S. members would like to visit in the next two years. Internationally, they cite the Caribbean as their most preferred locale.

  
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First American Title Insurance Company to sponsor Fractional Summit USA


Leading fractional ownership brand and real estate conference organiser, Fractional Life, is delighted to announce First American Title Insurance Company as Gold sponsor for the forthcoming Fractional Summit USA conference, to be held at the InterContinental Hotel, Miami from August 31 to September 1, 2010.

Devised to attract the most incisive and dynamic minds in both fractional and traditional real estate, Fractional Summit USA’s conference theme, “New World, Global Landscape,” will stimulate delegate knowhow, whilst sharing and delivering fresh insights on new market dynamics. Fractional Summit USA promises to offer a fresh, innovative approach to fractional real estate conferencing with an array of expert panelists and renowned speakers directly and indirectly associated with the fractional industry.

“Fractional real estate now operates in a completely new market paradigm where many of the ‘old rules’ no longer apply. We’re pleased to have the support of First American Title Insurance Company for our U.S. fractional conference launch – an event which I know our delegates, speakers, panelists and sponsors will be truly proud of,” said Piers Brown, Fractional Life’s founder.

Fractional Summit USA pre-promotional ticket sales activity will also attract real estate developers, realtors and other service providers considering first-time fractional ownership market entry, in response to the recent decline in second home sales.

Wayne Sobien, vice president of First American Title Insurance Company, Vacation Ownership Services, said: “A key component of First American’s philosophy is our need to remain at the forefront of change in real estate. We’re obviously delighted to sponsor and support the very first Fractional Summit USA event and, of course, the Fractional Life.com approach to growing the consumer market.”

Fractional Summit USA will be the ideal place to get up-to-date with the current market. With its global appeal, the conference is held over two days and packed with renowned speakers, group panels and presentations from worldwide experts. The event offers the perfect platform to network, learn and exchange information and ideas.

For press, speaker and sponsorship enquiries please contact Piers Brown in the first instance, piers@fractionallife.com +44 (0)20 8340 7989

www.fractionalsummitusa.com


  
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Forget Silver Or Gold. RCI Goes Platinum For Its Points Members

From priority access on specialty inventory to upgraded accommodations – the world’s largest points exchange program takes it to the next level

RCI, the global leader in vacation exchange today announced its plan to launch RCI Points PlatinumSM membership, a new premium membership and the latest enhancement to its successful RCI Points® program, that will offer exclusive exchange and lifestyle benefits to subscribing members.

“RCI launched its groundbreaking global Points exchange product in 2000 and it’s been the fastest growing Points exchange program in the world ever since,” said Geoff Ballotti, CEO, RCI. “Our members seek unique access and expanded benefits and the RCI Points Platinum membership provides just that – offering exclusive member deals and access to a phenomenal selection of member benefits and services. For our valued affiliates, this new membership provides a meaningful differentiator at the point of sale, reinforcing RCI Points as the most proven, comprehensive and flexible exchange membership available in the industry today while becoming more relevant in their owners’ daily life.”

RCI Points Platinum will offer its members exclusive “first look” exchange access to specially acquired inventory around the world at upscale properties in highly sought after vacation destinations. “Members that have looked for an exchange in New York or London may have found few options because the demand may have been higher than supply. To help, RCI acquires millions of dollars of upscale hotel and condominium inventory in dozens of highly demanded vacation and city destinations every year. We will expand this program and provide our RCI Points Platinum members with a first look at this inventory for exchange,” Ballotti added.

RCI Points Platinum will also provide members with free unit upgrades based on availability providing even more room to relax and Cash Back rewards for various RCI transactions. In addition to these extremely exciting advancements in exchange, RCI plans to extend unique lifestyle benefits to RCI Points Platinum members that will include advance access to popular Broadway style theater experiences including select opportunities to attend pre-launch and producer shows. For the golf and ski connoisseur, RCI Points Platinum members will receive preferred pricing or discounts of up to 50 percent at thousands of golf courses and dozens of the most popular ski mountains in North America. Taking the member experience further than ever before, RCI Points Platinum plans to extend other significant savings benefits of up to 50 percent on spa experiences and much, much more allowing RCI Points Platinum members to get more out of their vacation experience.

“As the inventor of the vacation exchange business, we’re always looking to develop fresh new ideas that will improve our members’ experiences and exceed the expectations of our affiliates,” said Ballotti. “The RCI Points Platinum membership brings terrific new benefits to the RCI Points program. We’re excited to be able to give our members what they’ve asked for from a status and access standpoint, with dozens of lifestyle benefits included that we’ll continue to add to going forward. We’re really just getting started.”

RCI plans to launch the RCI Points Platinum membership in the United States and Canada with other regions to follow. Member benefits may vary in other regions.

For additional information visit www.wyndhamer.com or the media center of www.wyndhamworldwide.com.

  
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Aspen Club wants special favours

The owners of the Aspen Club are asking City Council to grant them a zoning variance so they may build timeshare condominiums in a residential neighborhood whose zoning prohibits such uses. They are asking the council to bend the rules for the benefit of the owners' wallets and their business — a privately owned and members-only club.

The city is being asked to bail out the Aspen Club, which is in direct competition with the city's own club — the Aspen Recreation Center (ARC). The ARC does not break even or turn a profit. It would seem prudent for council to refuse to consider any arguments to bend the rules by any entity that is in competition with the city's own, subsidized facility until that facility is at least paying for itself. In other words, if the Aspen Club would like to guarantee the shortfalls in operating costs of the city's competing Rec Center, the City Council then may be asked to hear their plea for the privilege to have a timeshare hotel.

The council should have enough respect for the taxpayers' enormous investment in the ARC that it insist on compensation of some kind to protect that investment.

I think the obvious answer is to respect the zoning that is in place in the neighborhood where the Aspen Club resides, to reject the Aspen Club's proposal and to let free-market competition rule. If the Aspen Club cannot survive without being granted special favors, then so be it.

  
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Get to Know The RDO: The Timeshare and Shared Vacation Ownership Trade Body

seful information about how RDO protects consumers, and where to get news, consumer advice and updates on the latest developments in the timeshare industry

What is RDO?

The Resort Development Organisation (RDO) was established following the decision by the European Timeshare Federation in February 1998 to integrate all national timeshare trade assocations across Europe into one official membership organisation. It works to improve representation for reputable companies in Europe's timeshare sector, and to promote and maintain quality standards,fair trading and growth within the expanding timeshare industry. RDO is a non-profit member association that actively campaigns against fraudulent operators, provides information to the authorities to help shut down bogus holiday clubs and actively works to alert consumers to timeshare scams and protect consumers' interests.

Who are its members?

Industry members representing a wide variety of sectors of the timeshare industry have joined RDO, from countries all over Europe. Some of the biggest names in the resort development industry are RDO members, such as Hilton, Pestana Resorts and Sol Melia, and exchange companies, management, marketing companies, trustees, finance entities and resale companies. Every member must abide by a strict code of ethics which helps protect consumers who can look forward to enjoying many years of quality timeshare holidays with the peace of mind and the assurance that they are buying from a reputable, quality company.

Who does RDO work with to regulate the timeshare sector?

RDO works with governments at both national and European level to create fair legislation that will not only protect consumers' interests, but ensure that overall industry standards are maintained, that positive growth is encouraged. RDO liaises with the media to increase consumer awareness of both the timeshare and fractional ownership industries.

Facts and figures

* 90 industry members

* 51 fradulent timeshare operators closed down since 2008

* 14 countries with National Associations, including Belgium, the Netherlands, Luxembourg, Cyprus, Finland (covering the Scandinavian region), Germany, Greece, Italy, Portugal, Spain and the UK

The Fractional Ownership Trade Association is FSOTA

In addition to its activities as an official timeshare industry body in Europe, RDO is also the parent company of FSOTA www.fsota.org, the Fractional and Shared Ownership Trade Assocaition. FSOTA promotes the growth of the fractional and shared ownership industry in a responsible, honest and transparent manner, based on principles of fair trading, professionalism and quality of products and services.

News and consumer alerts, advice and updates at GoTimeshare and GoFractional

Consumers and industry followers looking for news, consumer advice and features on timeshare and fractional ownership can visit RDO's consumer websites: www.gotimeshare.org and www.gofractional.org for more on new developments, consumer alerts and more details on what's happening in the industry today, both in Europe and all over the world.

  
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Timeshare renting is a great way to save on vacations

Dying to go on vacation but short on money? Consumer Reports ShopSmart says time-shares offer a real bargain, but not buying a time-share, renting one.

That's because there's a glut of time-share properties for rent these days, and owners are eager to negotiate.

Caryn Alexander says the vacation time-share she and her husband purchased has allowed her family to take some great trips together.

"I like to try different experiences. I think that's what makes vacation fun," Alexander said.

But Consumer Reports ShopSmart says these days you don't have to buy in order to enjoy what many people like about time-shares  resort facilities, a lot of room, including a kitchen and living room, in exotic locations.

"In this economic downturn, time-share owners are anxious to rent. So you can negotiate a really good deal. We found some as low as $400 a week and many in the $600-$1,200 range," said Mandy Walker, Consumer Reports.

Some good sites to check are My Resort Network, which is free, as well as Timeshare Users Group and RedWeek.com, which charge a membership fee of $15 a year for full access.

"The sites we checked out have plenty of rent-from-owner listings and are categorized by location and even activities, like skiing or golf," Walker said.

Be sure to check out reviews of the resort where the time-share is located, either on the rental sites or on free travel sites like Trip Advisor and Travelocity.

"Keep in mind that most time-shares require at least a weekend and sometimes a week-long booking," said Walker.

But with a few clicks of the mouse, getting in a getaway this year just may be within reach.

When you're looking for a time-share rental, Consumer Reports says check out prices for comparable properties. That puts you in a better position to negotiate. And don't forget to ask the owner about what amenities are available, including restaurants, and if you have to pay extra for housekeeping.

  
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Timeshare owners from Cape Coral targeted by scammers

Michael Piccininni needs to unload a timeshare he bought 17 years ago at a resort in Williamsburg, Va. Piccininni, 75, and his wife who is 78, are stuck paying almost $900 a year in maintenance fees they can't afford for his two-week ownership in the unit.

Scammers can smell the blood in the water and have descended on the Piccininnis and thousands of other stuck timeshare owners who see a glimmer of hope in the empty promises of these con artists.

Piccininni gets calls and postcards weekly at his Cape Coral home from companies that want to sell his timeshare or claim to have a buyer.

"I just got a scam call on Tuesday. He wanted me to pay $900 up front," Piccininni said.

Piccininni said he's fallen for this scam before.

"I'm a desperate man," he said. "And when you are desperate, you do desperate things."

Piccininni said he didn't realize what a burden the lifetime obligation of maintenance fees would be. In fact, if Piccininni hasn't sold before going to the eternal timeshare in the sky, his estate and heirs will be stuck with the fees.

Michael Kohl, of Leesburg, said he's been trying for years to sell a Lehigh Acres timeshare he bought for $3,700 in 1982 for $800. He was living up North at the time and vacationed in Florida.

Kohl said scam operations are always calling to purchase or rent his timeshares (he owns another in Kissimmee), but he's come to realize that an upfront payment is always a scam.

There are thousands of timeshare owners stuck in the same position as Piccininni and Kohl, said Brian Rogers, the owner of Timeshare Users Group.

Rogers described timeshares as a depreciating asset. Resells, especially in this economy, he said, go for pennies on the dollar.

Not all timeshare locations are tough sells, Rogers said, but even the best timeshares in premier weeks over Christmas or Fourth of July will drop 50 percent in price when they come up for resale.

Most people don't realize they can buy timeshares from an owner who no longer wants it for half-price or better than the price offered at the resort, Rogers said.

Piccininni for example, paid $12,000 for his time share. The resort currently sells them for $20,000. But there are three listings on Rogers tug2.net Web site for this resort ranging from one penny to $3,000. Only one sold in the past year, he said, and that was for $900.

Rogers said there are about 2,000 to 3,000 active timeshare listings on his Web site. And in a year, only 10 percent will sell.

Scam operations, he said, are charging anywhere from $500 to $4,000 to list people's timeshares.

"People have discovered this monstrous desperation mindset of these timeshare owners," Rogers said, making them easy targets.

The Florida Attorney General's Office lists 10 timeshare resale operations under investigation. The attorney general has filed lawsuits against three resale companies including two that were charging up to $1,500 for "advertising services" for timeshares that people can't even give away.

  
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