First Riviera ROFR

[Brian Noble]

Hard to say. This was a "major life transition" gift to myself, so it was fine if it wasn't the most fiscally responsible. But it would have taken a lot more work to talk myself into a developer purchase. And, if RIV was not restricted, I suspect the resale vs. developer delta would be smaller, so maybe it would not have been too difficult after all, becuase this also meant a Blue Card.

 

[Mouseforward]

Good point! Do you think you would’ve bought direct RIV if DVC were still under the same terms as 2015? Or more likely bought resale, since they were still all tradable with perks (exc. Disney Collection)?

DVD needs to sell direct points to make money. Without reasons to choose direct over resale I think they wouldn’t sell as many points this year or in the next 5 or 10+ years if they had not made these changes.

Pre-2015 I would’ve bought resale, the question is if Riviera was unrestricted would I care about benefits? Since I’m mostly go solo, probably not.

But since I missed out, I wanna stay at Riviera.
I’m going to pay the same maintenance fees resale or direct so I bought the direct product that gives me more flexibility.

 

[atthebeachclub]

While it is fun to argue about how much resale prices will rise or fall at RIV compared to other resorts, I think it misses a big point. That point is that resale prices are going to fall at all resorts and maybe pretty dramatically. What makes resale attractive is the savings versus a cash stay at a regular Disney deluxe resort over time. For the current prices to remain sustainable it requires the cash rates at Disney deluxe resorts to be able to keep increasing at the incredible rate they have in the post pandemic world. If you look at what is happening hotel occupancy rates and prices over the last six months around the world, those kind of increases in cash rates are proving to be unsustainable. If you think Disney won't be impacted by the kind of problems we are seeing develop in places like Vegas, I think you are being overly optimistic.

I am not saying we are headed into a recession or anything like that. I just think we are seeing a growing backlash to the dramatic increases in the cost of vacations far outpacing even the sky high inflation rates. Now that people don't feel the need for revenge travel, they are becoming ever increasingly price sensitive when it comes to vacation spending.

I agree with you here very much.