Future of Riveria

[Hiddenmickey2009]

Do you think with the restrictions of Riveria resales, they may open resale Riveria to be able to stay at future DVC resorts like the new poly tower and future DVC resorts just not the originals?

 

[Cfabar1]

No, i do not.

 

[Sandisw]

The only way that happens is if they abandon the resale restrictions as part of the strategy.

As long as they keep them in place and apply them to new resorts, they will still.

My opinion is still they will continue them. We should have some idea of their thoughts when info comes out about VDH.

 

[Epcot Forever Forever]

I can’t imagine why they’d bother at this point, if I’m being honest. I think in 2 years the resort will sell out and they’ll never give it another thought.

 

[NVDISFamily]

We should have some idea of their thoughts when info comes out about VDH.

Yep - I agree, we'll know more soon when VDH goes on sale. Poly2 also could give us some insight depending on if it's a new association.

It would not be a bad call for DVC to drop the whole restriction game, or at least come up with some type of compromise where you could wash some points or pay a small fee to use them at other resorts as long as you own some direct points. It would be a gesture of good will for members and would also help Riviera resale. Time will tell...

 

[zavandor]

I can’t imagine why they’d bother at this point, if I’m being honest. I think in 2 years the resort will sell out and they’ll never give it another thought.

That's a long term strategy, Riviera is just the first.
In 40 years you'll be able to purchase a Disney Vacation Club contract only direct (and in just 20 years many resorts will disappear from the system). On the resale market you'll only be able to purchase one individual resort. Disney direct will sell a product (a timeshare with the option to exchange with other resorts in the system, i.e. the definition of what a Vacation Club is) that doesn't exist on the resale market.

It remains to be seen if this will affect their ability to sell it at all. Personally, I enjoy staying at different resorts and I wouldn't have been interested in DVC otherwise. If resale value crashes this could affect direct sales as well. On the other hand, many timeshares have no problem selling contracts that are worth zero as soon as the ink dries, so who knows. Or it might not crash at all, since staying at the same Disney hotel forever could still appeal a lot of people.

 

[AstroBlasters]

Unpopular Opinion: They don’t want OKW and SSR resale buyers, or resale room renting scalpers, booking rooms at their newly built expensive properties and blocking out their direct buyers or cash renters….

 

[Nursemanit]

Unpopular Opinion: They don’t want OKW and SSR resale buyers, or resale room renting scalpers, booking rooms at their newly built expensive properties and blocking out their direct buyers or cash renters….

Or - they don't care who uses the points - DVD cares about selling the points, and once they are sold they have their money.

 

[kanerf]

I don't think the 2042's will go away. They will get an extensive upgrade and be resold at the current going rates and with a new rates for stays. They may give owners of the resort(s) at that time a deal on getting into the new resort.

 

[Straulin]

The only way that happens is if they abandon the resale restrictions as part of the strategy.

As long as they keep them in place and apply them to new resorts, they will still.

My opinion is still they will continue them. We should have some idea of their thoughts when info comes out about VDH.

I don’t think they could drop the restrictions at this point. I haven’t read the purchase contracts but, everyone that bought in direct did so with the restrictions in place. Unless the contract contained specific provisions for dropping restrictions, they would be entitled to a resort where resale buyers of other resorts cannot impact the availability of their home resort.

 

[CarolMN]

Unless the contract contained specific provisions for dropping restrictions, they would be entitled to a resort where resale buyers of other resorts cannot impact the availability of their home resort.

The Riviera purchase documents have wording such that Disney has the right to remove the restrictions at its discretion.

 

[we"reofftoneverland]

I don’t think they could drop the restrictions at this point. I haven’t read the purchase contracts but, everyone that bought in direct did so with the restrictions in place. Unless the contract contained specific provisions for dropping restrictions, they would be entitled to a resort where resale buyers of other resorts cannot impact the availability of their home resort.

I agree. I think it has been too long for them to drop the restrictions- unfortunately.

 

[CLE2WDW]

I did the RIV tour twice as the first time I was distracted because it was our departure day so I decided to go again to see what I was missing. The CM did a wonderful job but I just couldn’t for the life of me grasp the value proposition of RIV. The location stinks, the rooms are just ok, the property reminds me of a souped up Moderate, and the price per point made me laugh out loud. Add in the resale restrictions and I didn’t even bother to follow up for my information.

I totally understand those that wonder about the future of RIV. It seems to have a cult following but otherwise most are underwhelmed.

 

[havoc315]

Do you think with the restrictions of Riveria resales, they may open resale Riveria to be able to stay at future DVC resorts like the new poly tower and future DVC resorts just not the originals?

There is absolutely no reason for Disney to remove the restrictions.
More resorts will have the restrictions in the future.

The restrictions successfully create a larger divergence between the price and demand for Direct versus resale.
The goal is to shift demand away from resale towards direct. Turn potential resale buyers into direct buyers.
Then they can ROFR the resale market cheaply, and turn around and resale direct points at greater profit.

 

[AstroBlasters]

Or - they don't care who uses the points - DVD cares about selling the points, and once they are sold they have their money.

If they didn’t care, then they wouldn’t restrict them.

 

[Sandisw]

If they didn’t care, then they wouldn’t restrict them.

They restrict the points so that someone gets a different product when buying direct...once they make the sale, then they don't care about whether or not the owner who bought direct, and now wants to sell, has a product that sells well.

 

[we"reofftoneverland]

I think ultimately they would like to buy back all resale points and resell them directly.

 

[Sandisw]

I don’t think they could drop the restrictions at this point. I haven’t read the purchase contracts but, everyone that bought in direct did so with the restrictions in place. Unless the contract contained specific provisions for dropping restrictions, they would be entitled to a resort where resale buyers of other resorts cannot impact the availability of their home resort.

They can get rid of them if they want and gave themselves the right to do pretty much anything they want in the future with restrictions.

You even sign a special paper that explains in detail that this can happen in the future. So, if they decide to get rid of restrictions and want to change them for RIV, it is part of the POS and can be done.

I do not think they will...but legally, nothing can stop them from doing that. As I said, unless they drop the whole strategy...which I don't think they will....they will continue....but I also don't think they will leave RIV as a stand alone restricted resort if they don't put them on any future resorts.

 

[RivShore]

If resale value crashes this could affect direct sales as well.

I don't think they can really crash, there will always be a solid floor set for resale value based on point rental (which is based on cash room cost).

 

[RivShore]

the rooms are just ok

Surprised by this, even those that don't like the property usually admit the rooms, which are some of the largest in DVC, are pretty nice.