Fixed Week Option - Will it appeal to VGF Buyers?

[wdrl]

Given the size and demand of the resort, I'm inclined to think there may be no view categories and that the costs will be somewhere between lake view and MK view for BLT, al a BCV compared to BWV.

You may be right, but the VGF Master Declaration actually uses the term "Lake View" when giving an example of how the Fixed Ownership Interest will work. That is one reason why I suspect VGF will have more than one view category.

 

[lilpooh108]

How noisy do you think the rooms facing the monorail will be?

 

[Dean]

You may be right, but the VGF Master Declaration actually uses the term "Lake View" when giving an example of how the Fixed Ownership Interest will work. That is one reason why I suspect VGF will have more than one view category.

Thanks, we should know fairly soon I'd think.

 

[Sammie]

And people who pay cash might not have the resources to support their purchase in a few years. The pendulum swings both ways. We have friends who bought a beach house sight unseen 3 years ago for 2.5 million dollars. They immediately tore it down and built an even bigger house. Suddenly he lost his job, their expenses were astronomical, and they are now selling the house because even they admit they cannot afford it.

Same goes for the people who stay at the GF every year, some of them will stop in a few years because circumstances change. People of wealth are not insulated to economic turbulence.

I'm not disputing that there will be plenty of people who love GF who will buy GFV. I'm simply saying that, just like all DVC properties, there will be turnover and there will be contracts up for resale before we know it because
for every guy throwing a 500,000 wedding, there will be blue collar folks taking a sizable loan from DVC to buy in.

Of course, I agree totally. I do think you will see foreign guests buying there that have never considered DVC and I think their wealth if more solvent than many in the US.

But yes, some will over extend themselves simply because they love the Grand Floridian, especially those that have gotten used to staying there on discounted rooms.

 

[Sammie]

How noisy do you think the rooms facing the monorail will be?

The same as the ones at the Polynesian that now face the monorail, very little noise, and many really like those rooms.

 

[Cricket2]

I think using that definition, anyone who owns enough points to book there for a week would fall under the definition of rich people, for that matter anyone who owns DVC could come under that umbrella.

If one wants to guarantee a specific time and view, it might be right for some. What it could effectively do is lock other owners, including those who own at GF, out of certain times like Xmas, Spring break, etc. If only 70% of the resort is available for points bookings at higher demand times, that makes it a very small resort and effectively makes it where you'd not only have to own there but book exactly 11 months out for most times/options. It becomes almost the same difficulty as the CL AKV options. IMO anyone who plans to buy there and buy enough points for a week and also has a specific week they tend to visit most years should seriously consider buying the fixed week option there.

Ok, to prove my point, I talked with a person Saturday who I have known for 25ish years who is stunningly wealthy and mentioned this whole situation to him. He asked a couple of questions that I had to speculate answers for and then he called me back on Sunday after talking to his wife. Wouldn't you know he wants in now!?!?! He said that "all that points nonsense" is what was holding him back in the past. He wants to know the bottom line price of a week at Easter for a GV and 2 x 2 bedrooms

I had to remind him that not only do I not work for DVC but it's not built yet!

 

[Sammie]

Ok, to prove my point, I talked with a person Saturday who I have known for 25ish years who is stunningly wealthy and mentioned this whole situation to him. He asked a couple of questions that I had to speculate answers for and then he called me back on Sunday after talking to his wife. Wouldn't you know he wants in now!?!?! He said that "all that points nonsense" is what was holding him back in the past. He wants to know the bottom line price of a week at Easter for a GV and 2 x 2 bedrooms

I had to remind him that not only do I not work for DVC but it's not built yet!

Exactly. I know that DVC has a rather extensive list of regulars to the Grand Floridian that are very interested but as your friend are only interested in making sure they have the same time frame they have been coming to the Grand for years and years.

 

[Dean]

Ok, to prove my point, I talked with a person Saturday who I have known for 25ish years who is stunningly wealthy and mentioned this whole situation to him. He asked a couple of questions that I had to speculate answers for and then he called me back on Sunday after talking to his wife. Wouldn't you know he wants in now!?!?! He said that "all that points nonsense" is what was holding him back in the past. He wants to know the bottom line price of a week at Easter for a GV and 2 x 2 bedrooms

I had to remind him that not only do I not work for DVC but it's not built yet!

Sorry, I don't think that proves the point at all. IMO DVC is an in between option, I would figure that most in your friends position might generally be targeting suites instead of DVC, I think that's what most people would do that don't care about cost. I think the fixed week option works for one who must have a specific time and/or view but I don't see it as a wealthy vs not so issue at all. Obviously there is a certain amount of resources that is required to make DVC a reasonable choice which was the point I was alluding to about anyone that owns DVC for enough points to book reasonable time. However, you should turn his name in as a referral (asking him first would be a good idea) so you can hopefully get a small return on it.

 

[Breyean]

I get the impression that most people who stay regularly at GF and who who are guessing might be interested in a DVC there might not be so keen on the lack of daily housekeeping. And are kitchens really what those who stay there really want?

 

[KAT4DISNEY]

I get the impression that most people who stay regularly at GF and who who are guessing might be interested in a DVC there might not be so keen on the lack of daily housekeeping. And are kitchens really what those who stay there really want?

This. Although they can pay to get it daily if they wish. And the views will probably also be a ding against it.

From what I read with Aulani the guaranteed week isn't for a particular villa is it? Or maybe it is? If not I think that would be a deterrent to purchase when they can book a Theme park view in the hotel section every year and have their requests listened to a bit more closely.

 

[hakepb]

I get the impression that most people who stay regularly at GF and who who are guessing might be interested in a DVC there might not be so keen on the lack of daily housekeeping. And are kitchens really what those who stay there really want?

There have been some GF guests post that they don't want to see a kitchen on vacation, but I think all of the GF 2BR suites have a kitchenette or full kitchen. So I guess those kitchenophobia people avoid suites?

 

[Sammie]

I get the impression that most people who stay regularly at GF and who who are guessing might be interested in a DVC there might not be so keen on the lack of daily housekeeping. And are kitchens really what those who stay there really want?

I am sure those that want daily will simply pay for it. As to the kitchen, it does not make you use it because it is there.

We have had DVC for over 15 years and I have never, ever used the oven but we love a full size frigerator.

I think it will appeal to regulars who have been getting two rooms or couples who want a one bedroom. Will it appeal to those that come every year and stay Club level main building, I would not think so.

 

[Dean]

This. Although they can pay to get it daily if they wish. And the views will probably also be a ding against it.

From what I read with Aulani the guaranteed week isn't for a particular villa is it? Or maybe it is? If not I think that would be a deterrent to purchase when they can book a Theme park view in the hotel section every year and have their requests listened to a bit more closely.

I believe it guarantees a view and week number based on the timeshare calendar starting on Sunday but not a specific unit. For a 4 BR GV this would be pretty obvious, for the rest it depends on if they have view types and how they break down. I doubt they'd get any view preference. I can hear those now that "would never buy a timeshare" but decide to buy just for this option and then they don't get what they want.

I don't think the fixed week option will take away the full 35% of units that it looks like it's limited to but it might take that amount for higher demand weeks of the GV. It'll be interesting to see how this limitation breaks down.

 

[wdrl]

This. Although they can pay to get it daily if they wish. And the views will probably also be a ding against it.

From what I read with Aulani the guaranteed week isn't for a particular villa is it? Or maybe it is?

I believe it guarantees a view and week number based on the timeshare calendar starting on Sunday but not a specific unit.

Dean's description of Aulani's Fixed Ownership Interest is correct. If I owned a fixed week at Aulani, I am guaranteed the type of accommodation, the view category, and the assigned week. However, the villa I get each year can be anywhere around the resort.

Since the language in VGF's master declaration is similar to Aulani's language, I suspect the VGF Fixed Weeks will offer the same limited guarantees.

 

[drusba]

Dean's description of Aulani's Fixed Ownership Interest is correct. If I owned a fixed week at Aulani, I am guaranteed the type of accommodation, the view category, and the assigned week. However, the villa I get each year can be anywhere around the resort.

Since the language in VGF's master declaration is similar to Aulani's language, I suspect the VGF Fixed Weeks will offer the same limited guarantees.

Does anyone know how they deal with Aulani fixed weeks for purchasers who want holiday weeks. For example, can someone purchase the Easter week and get it every year or does the buyer have a set week and its being Easter week is just something that happens once every several years?

Also, if the latter, does the price charged, and do points available if you choose not to use that set week, ignore that it can be an Easter week? For example, beginning April 7 is choice season and before April 7 is magic season except when they are part of the Easter weeks at Aulani. Would someone who buys the second week in April pay a price (with the markup for a set week) that is based on the week being choice season and if he chooses not to use the week but instead get the points for use at another time during the year, does he get only the choice season amount of points?

 

[wdrl]

Does anyone know how they deal with Aulani fixed weeks for purchasers who want holiday weeks. For example, can someone purchase the Easter week and get it every year or does the buyer have a set week and its being Easter week is just something that happens once every several years?

Also, if the latter, does the price charged, and do points available if you choose not to use that set week, ignore that it can be an Easter week? For example, beginning April 7 is choice season and before April 7 is magic season except when they are part of the Easter weeks at Aulani. Would someone who buys the second week in April pay a price (with the markup for a set week) that is based on the week being choice season and if he chooses not to use the week but instead get the points for use at another time during the year, does he get only the choice season amount of points?

I can make some educated guesses about how the Fixed Ownership Interest works at Aulani. But I'd rather not go out on a limb until I can confirm some of my guesses. One thing I do know is that Fixed weeks are just that: Fixed. They don't float around the calendar to match up with holidays, etc.

 

[Dean]

Does anyone know how they deal with Aulani fixed weeks for purchasers who want holiday weeks. For example, can someone purchase the Easter week and get it every year or does the buyer have a set week and its being Easter week is just something that happens once every several years?

Also, if the latter, does the price charged, and do points available if you choose not to use that set week, ignore that it can be an Easter week? For example, beginning April 7 is choice season and before April 7 is magic season except when they are part of the Easter weeks at Aulani. Would someone who buys the second week in April pay a price (with the markup for a set week) that is based on the week being choice season and if he chooses not to use the week but instead get the points for use at another time during the year, does he get only the choice season amount of points?

If it's based on the standard timeshare week it would make it vary from year to year. For example, week 51 would cover Xmas every year but it might be check out day. Week 26 would cover the 4th of July about 2/3 of the time. Eater would be more variable as would the May and Sept Holidays and Thanksgiving. I haven't seen the POS to know how it's worded, maybe someone that owns there can provide additional info.

 

[zavandor]

One thing I do know is that Fixed weeks are just that: Fixed. They don't float around the calendar to match up with holidays, etc.

If I understood, the cost of the fixed week option will be calculated as a % premium on the cost per point for that week (10% or 20%, I think).
A week in March / April varies the cost per point every year. So how they could calculate the cost of the option? Is it 10% more than the cost of the week as if Easter falls in that week, or is it 10% more than the cost of the week as if the Easter week falls in another period?

In the first case, it would be a terrible deal, you pay premium for Easter week and you get it only every many years.
In the second case, the 10% or 20% premium you pay is offset by the chance to get for way fewer points the Easter week from time to time (so the week option becomes more favorable).

Or will they do a complex calculation with the average cost of that week over the next 50 years (since we know when Easter falls)?

It would be reasonable to sell weeks around floating holidays something like fixed-floating. People might be interested to pay a premium to get the Easter or Thanksgiving week every year, not for a week in March that can be Easter from time to time.

 

[Dean]

If I understood, the cost of the fixed week option will be calculated as a % premium on the cost per point for that week (10% or 20%, I think).
A week in March / April varies the cost per point every year. So how they could calculate the cost of the option? Is it 10% more than the cost of the week as if Easter falls in that week, or is it 10% more than the cost of the week as if the Easter week falls in another period?

In the first case, it would be a terrible deal, you pay premium for Easter week and you get it only every many years.
In the second case, the 10% or 20% premium you pay is offset by the chance to get for way fewer points the Easter week from time to time (so the week option becomes more favorable).

Or will they do a complex calculation with the average cost of that week over the next 50 years (since we know when Easter falls)?

It would be reasonable to sell weeks around floating holidays something like fixed-floating. People might be interested to pay a premium to get the Easter or Thanksgiving week every year, not for a week in March that can be Easter from time to time.

Making the assumption it is based on the timeshare calender rather than dates (and I think it is) I suspect it works better for things other than Easter. I'm betting they have a way to manage the variability that comes with Easter that averages the costs.

 

[taaren]

I can make some educated guesses about how the Fixed Ownership Interest works at Aulani. But I'd rather not go out on a limb until I can confirm some of my guesses. One thing I do know is that Fixed weeks are just that: Fixed. They don't float around the calendar to match up with holidays, etc.

When I toured the Aulani villas and inquired about how sales were going, etc, my memory seems to recall that at Aulani your only options for fixed-week were 51 and 52. I was intrigued by the notion and they said mainly it was targeted towards Japanese who didn't want to have to call every year or log into the online system to book, they just wanted to have their week and show up. Apparently, at the time, there were little to no American takers on the fixed week.

I'd be curious if the GF fixed week option would also attract international buyers ... though more likely from the Europe side of the pond, obviously.