How can disney sell taken contracts

[malba2366]

Just out of curiosity I have a question about how disney sells taken contracts. Do they have to sell the contract as is, or can they break it up and sell the points however they want. Ie. If they take a 200 point contract, do they have to sell another 200 point one or can they sell 4 50 point contracts, or 8 25 point contracts etc.

 

[OKW Lover]

Disney can break up contracts however they wish.

 

[ScubaCat]

They hold one "pool" per timeshare unit, so the points go back into the corresponding pool and they can then sell any increment they want. They have to retain 2% of each unit per the POS, but beyond that they can combine or divide however they see fit.

 

[LisaS]

A contract is for some (small) percentage of a residential unit within a resort. For example, that 200 point contract might equate to .5% of Unit 6A in resort XYZ. Disney can break it up and just change the corresponding percentage. For example, they could sell it as one 100-point contract (.25% of Unit 6A) and two 50-point contracts (each contract as .125% of Unit 6A).

 

[MouseOfCards]

Also, my understanding is that the points must retain their UY. So Disney cannot take Feb UY points and sell them as Dec UY points to a buyer looking for Dec UY.

 

[supersnoop]

Also, my understanding is that the points must retain their UY. So Disney cannot take Feb UY points and sell them as Dec UY points to a buyer looking for Dec UY.

Use year is tied to the unit.

 

[wdrl]

They have to retain 2% of each unit per the POS, but beyond that they can combine or divide however they see fit.

Although DVD cannot sell more than 98% of the points to the general public, it is based on the entire resort's total points. It is not based on individual Units within the resort. At PVB, there are already six Residential Units that have sold more than 98% of their allotted points.

 

[ScubaCat]

At PVB, there are already six Residential Units that have sold more than 98% of their allotted points.

Interesting. How do you know that to be the case?

 

[ScubaCat]

Forgot to mention, it's definitely per-unit (see attached.) I'm still curious how you know how much PVB is sold per unit?

 

[wdrl]

Forgot to mention, it's definitely per-unit (see attached.) I'm still curious how you know how much PVB is sold per unit?

The 98% cap is definitely not Unit specific. By looking at every DVC deed sold directly by DVD and every deed reacquired by DVD for the past several years, I've compiled as complete a database as possible for several DVC resorts.

Through March 2016, 9,475 deeds have been sold for PVB, plus two PVB deeds have been reacquired by DVD. By looking at each of those deeds, its pretty easy to track how many points have been sold for each PVB Residential Unit.

Thus, I'm confident that several PVB Residential Units exceed the 98% limit.

 

[miTnosnhoJ]

The 98% cap is definitely not Unit specific. By looking at every DVC deed sold directly by DVD and every deed reacquired by DVD for the past several years, I've compiled as complete a database as possible for several DVC resorts.

Through March 2016, 9,475 deeds have been sold for PVB, plus two PVB deeds have been reacquired by DVD. By looking at each of those deeds, its pretty easy to track how many points have been sold for each PVB Residential Unit.

Thus, I'm confident that several PVB Residential Units exceed the 98% limit.

I am really curious what search terms you use to compile this info. I assume you get it from the Orange County Comptrollers site. I am interested in pulling some numbers for VGF.

 

[wdrl]

I am really curious what search terms you use to compile this info. I assume you get it from the Orange County Comptrollers site. I am interested in pulling some numbers for VGF.

The OCC website is very user friendly. It even has tutorial videos that walk you through the process of searching the available online records.

The search criteria to find DVC deeds sold directly by DVD:

1. Enter a date range
2. Enter 'Disney' in the Grantor field
3. Check 'Deed' as the document type
4. Click Search

The search criteria for reacquisitions is almost the same, except 'Disney' is entered in the Grantee field.

Assuming the search retrieves some records, you can capture an image of all the records or select only those you want. Then, the site will allow you to download the images as a PDF to your computer.

If you want to select only VGF deeds, then you should add an additional search item to the search criteria above. In the search dialogue box are two tabs: Basic and Advanced. Click on the Advanced tab and a second search dialogue box will appear. Enter 'Floridian' in the Legal Remarks field. This will return all DVC deeds that have Floridian in their Legal description field.

FYI: Records on OCC will sometimes be mislabeled or be misspell, at least on their search description line. 'Floridian' is misspelled as 'Floirdian'; a Marriott record is labeled as a Disney record; etc. These labeling errors will affect what records will be returned on your searches. Fortunately, these errors are not that common on the OCC database once OCC has proofed the database.

 

[Ohana2011]

Forgot to mention, it's definitely per-unit (see attached.) I'm still curious how you know how much PVB is sold per unit?

"Although DVD reserves its right to convey its ownership interest to a successor developer"...?? Can someone put into layman's terms?

 

[wdrl]

"Although DVD reserves its right to convey its ownership interest to a successor developer"...?? Can someone put into layman's terms?

If Disney wanted to get out of the timeshare business, it could sell its timeshare division (DVD) to another company, such as Marriott, Hilton, or Wyndham. The new company would step in and replace DVD and have all the rights and privileges currently possessed by DVD, plus own all the points that currently belong to DVD.

 

[miTnosnhoJ]

The OCC website is very user friendly. It even has tutorial videos that walk you through the process of searching the available online records.

The search criteria to find DVC deeds sold directly by DVD:

1. Enter a date range
2. Enter 'Disney' in the Grantor field
3. Check 'Deed' as the document type
4. Click Search

The search criteria for reacquisitions is almost the same, except 'Disney' is entered in the Grantee field.

Assuming the search retrieves some records, you can capture an image of all the records or select only those you want. Then, the site will allow you to download the images as a PDF to your computer.

If you want to select only VGF deeds, then you should add an additional search item to the search criteria above. In the search dialogue box are two tabs: Basic and Advanced. Click on the Advanced tab and a second search dialogue box will appear. Enter 'Floridian' in the Legal Remarks field. This will return all DVC deeds that have Floridian in their Legal description field.

FYI: Records on OCC will sometimes be mislabeled or be misspell, at least on their search description line. 'Floridian' is misspelled as 'Floirdian'; a Marriott record is labeled as a Disney record; etc. These labeling errors will affect what records will be returned on your searches. Fortunately, these errors are not that common on the OCC database once OCC has proofed the database.

Thank you! Very helpful. And if I wanted to did into the resales, I could pull the individual building info off the new sales and start searching that way, I suppose.

 

[Ohana2011]

If Disney wanted to get out of the timeshare business, it could sell its timeshare division (DVD) to another company, such as Marriott, Hilton, or Wyndham. The new company would step in and replace DVD and have all the rights and privileges currently possessed by DVD, plus own all the points that currently belong to DVD.

Thank you for the info wdrl.

 

[wdrl]

Thank you! Very helpful. And if I wanted to did into the resales, I could pull the individual building info off the new sales and start searching that way, I suppose.

Locating DVC resale transactions is a bit trickier and much more labor intensive than looking at direct sales. For direct sales, the Grantor is always shown as 'Disney', so its easy to search for OCC records where Grantor = Disney. But on resales, there is no way of knowing the names of the Grantor or Grantee.

The best way to locate resale deeds is by searching for 'Disney' in the Legal Remarks field under the Advanced Tab, and leaving the Grantor and Grantee fields blank. Since such a search will return all deeds, including the direct sales, you can use the Sort feature to sort the records so that its slightly easier to spot the ones you are looking for. By sorting by Grantor, all the Disney Vacation Development direct purchase deeds should be together, which means all the resale deeds should be together either before or after the Disney records.

I'm not sure what you mean by "individual building info?" OKW is unique in that most, but not all, OKW Residential Units consist of a single physical building. But that is not true for OKW Buildings 62, 63, or 64, or any of the other DVC resorts.

 

[ScubaCat]

I still don't believe you can fully and accurately ascertain that over 98% of a unit is truly sold with that search engine, partially due to occasionally inconsistent data entry. I guess I haven't looked quite that carefully, but the POS clearly states 98% per unit, probably by law, and I doubt DVD would push their luck on something like that.

 

[Supplanter]

Just thinking, I suppose if disney takes a contract they couldn't necessarily just immediately flip it since they offer current double points the first year. They'd have to either pick up a contract with existing year points or hold it for a time period to ensure those points were available to give.

 

[MouseOfCards]

Does anyone know what percentage of Aulani DVC has been sold?

Just thinking, I suppose if disney takes a contract they couldn't necessarily just immediately flip it since they offer current double points the first year. They'd have to either pick up a contract with existing year points or hold it for a time period to ensure those points were available to give.

Is this always the case or is it a limit-time special?