How many points...

[jagson]

When DVD builds a DVC resort, how do they determine how many points &/or memberships to sell for that resort? Is there a cap they are limited to by law, or decided by DVD management? Does anyone feel they oversell their resorts? Just several questions for the real estate attorneys/experts out there.

 

[Claire L]

I guess they work out the point totals for 12 months, on the units for DVC, and then sell to that amount as full capacity. Obviously some people trade out to DCL, ABD, Concierge Collections and II so that gives some free space for trade in's and planned/unforseen closures of a unit. As each membership is tied 'physically' on a deed to a unit there is no way they can oversell as far as I can see.

Claire

 

[RobDoc]

The number of points available at any given resort is determined by it's point chart. Each resort will have a maximum number of points needed to fill the resort for the year based on the point structure. DVD holds back 2-4% at each resort to allow for maintenance/renovation of villas (replacing those taken out of inventory during those times), but otherwise is able to sell all of the ohter points determined by the charts.

 

[dianeschlicht]

There would be no legal way for them to "over sell" a resort, since it is based on real estate. As Doc said, there is a percentage kept by the DVD mangement to use in case of breakage or to rent out if not needed for breakage.