Extending Contracts on Older Resorts

[supersnoop]

Money now is better than money in 25 years... I read somewhere that an extension could not be offered until the resort was 25 years old. When will that be for WLV? next year?

The recent proposed legislation in Florida would have allowed certain extensions at 25 years, but I'm not sure it passed. And none of the DVC properties are 25 years old yet. VWL is only 15 years old.

 

[pmaurer74]

The recent proposed legislation in Florida would have allowed certain extensions at 25 years, but I'm not sure it passed. And none of the DVC properties are 25 years old yet. VWL is only 15 years old.

even though there is 27 years left? I thought it was a 23 year old resort

 

[LauraLea]

even though there is 27 years left? I thought it was a 23 year old resort

VWL was never a 50 year contract, only about 42 years. When the early resorts opened they kept all the resorts with the same end date.

Laura

 

[supersnoop]

even though there is 27 years left? I thought it was a 23 year old resort

http://www.disboards.com/threads/dv...-room-info-floor-plans.3434753/#post-54156359

 

[drusba]

That 25 year provision of the recent proposed amendments to the timeshare act in Florida, which actully did become law in Florida effective July 1, has no impact on DVC. The law provides that members can, by a 60% vote, extend the period of the timeshare plan for a timershare that is at least 25 years old. However, there are two provisions that make it inapplicable to DVC. First, if the timeshare is part of a multisite timeshare (like DVC), the developer/management company has a right to veto any such vote. Second, it applies only if the official timeshare documents applicable to the site do not have any contrary provisions determining how and when the timeshare plan can be extended. The DVC official documents for each site provide that DVD has the sole and exclusive power to do an extension of the timeshare plan. Also, such extension, even if members could pass one, would not actually extend anything. The DVC sites are subject to leases under which all the porperty reverts back to Disney upon the end date for the DVC resort. The new law allows a vote only to extend the timeshare plan but the lease can be extended only with Disney's agreement, i.e., regardless of any vote, the DVC timeshare cannot be extended absent Disney's separately extending the lease.

 

[freediverdude]

I know we don't know for sure, but I just can't see Disney shutting down the resort on the end date and bulldozing or whatever. The Poly and Contemporary hotels will be 50 years old in a few years in 2021, and they don't have any plans to bulldoze those as far as we know, lol. I think it's far more likely that they will continue to make improvements, refurb, replace/build individual buildings here and there, and extend as well as sell new points as the contracts expire.

I think the OKW extension was just a first "dip their toe in the water" for selling extensions. I have a feeling there will be a much bigger push to sell extensions once the time gets closer to 2042. And then the people that don't buy, their contract just goes poof and Disney sells new points. The ground lease is just a technicality and will be extended.

 

[supersnoop]

I know we don't know for sure, but I just can't see Disney shutting down the resort on the end date and bulldozing or whatever. The Poly and Contemporary hotels will be 50 years old in a few years in 2021, and they don't have any plans to bulldoze those as far as we know, lol. I think it's far more likely that they will continue to make improvements, refurb, replace/build individual buildings here and there, and extend as well as sell new points as the contracts expire.

You have to remember the legal relationship here; Disney owns the land, DVD holds the ground lease, and we (members) own the building. At expiration, DVD's lease expires and we (members) no longer have legal access to the buildings. Disney takes back their land and claims ownership of anything on top of it. So, DVC has absolutely no say in what happens. Disney could bulldoze it, turn it into a hotel, use it for cast member housing, or lease it back to DVD to sell again.

 

[DebbieB]

Money now is better than money in 25 years... I read somewhere that an extension could not be offered until the resort was 25 years old. When will that be for WLV? next year?

VWL opened around 2000.