Rooms to CRO?

[BfloRaisin]

I've seen someone on these boards that DVC rooms are turned over to CRO at somepoint - is this right? If so, does anyone know when that occurs? Once that happens - the remaining rooms are no longer available to DVC members to book using points?

Doesn't seem right that owners are told no availability when anyone else can book a room through Disney's website. It would infuriate me being told that nothing's available but knowing after checking reservations through disneyworld.com that there are rooms.

So question - is there a deadline for making DVC w/points before the rooms are gone or are the number of rooms available to reserve w/points limited to a certain number - just can't figure this out and want to know the rules. Thanks.

 

[InstImpres]

There are two different things. Some CRO rooms are due to developer inventory, if there is an unsold portion of the resort (this could include soldout resorts if they exercised FROR and are waiting on new contract to close) or if there is no rehab going on there is a smaller developer portion available.

The other way it is avilable if members have traded out for cruises etc., they are recouping the cash for this trade.

By giving the rooms to CRO, we get redit for thoses "rentals" as you will see in your dues statement. I did call once close to arrival and the CM told me she was "able to get the room back from CRO inventory". Not sure exactly how this happens or how often they are allowed.

I would much rather see a room used and my dues credited than have me pay for no one to use it.

JMHO
Sandy

 

[Dean]

Here we go again, LOL. Remember there are many different reasons and situations where rooms my be converted to cash and not available to members. When a member exchanges through II, a unit is given to II. As for cash reservations, the following are the type of situations where this happens.

1. Points owned by DVC and not the members.
2. Rooms reserved by other members whether for use or rental.
3. Points given up for other exchange items like Concierge collection, Disney Collection, DCL, etc.
4. Any units not reserved at 60 days out.
   [/list=1] With the first 3, other members have no rights to those rooms. With the latter, DVC is trying to get cash flow for inventory that is likely not to be used. It will help the members in terms of lower dues down the line.

 

[RobDoc]

Originally posted by BfloRaisin
I've seen someone on these boards that DVC rooms are turned over to CRO at somepoint - is this right? If so, does anyone know when that occurs? Once that happens - the remaining rooms are no longer available to DVC members to book using points?

60 days before any given date, rooms unreserved by members are available for cash reservations. Members may still reserve using points, but are competing with cash resevations after that time.

The revenue is included in our dues income (listed as "breakage income").

 

[wdwstar]

I remember our guide explaining this to us and we were told that cro has access to 4% to sell as cash rooms, at the time i thougt that was a small % and that is really nothing, now i laugh, because it is a big % when your trying to make ressies on points and everything is booked !

 

[BillPA]

Just for fun I calculated all the points at OKW, assuming all 504 units were 'rented' as 2 BR units plus the 27 GV's it comes to 7,646,724 points. So 4% is a BIG number that comes to 305,869 points. Now think of this, if all 230 lockoff units are 'rented' as a Studio and a 1 BR the number goes up another 320,505 points! Who owns these points???

 

[BillPA]

Just for fun I calculated all the points at OKW, assuming all 504 units were 'rented' as 2 BR units plus the 27 GV's it comes to 7,646,724 points. So 4% is a BIG number that comes to 305,869 points. Now think of this, if all 230 lockoff units are 'rented' as a Studio and a 1 BR the number goes up another 320,505 points! Who owns these points???

 

[spiceycat]

DVC kepts them so they can do maintence without costing problems to members.

I though it was enough points to close an entire building at OKW because they is what they generally do.

don't know about the other resorts - maybe an entire floor????

 

[InstImpres]

Originally posted by BillPA
Just for fun I calculated all the points at OKW, assuming all 504 units were 'rented' as 2 BR units plus the 27 GV's it comes to 7,646,724 points. So 4% is a BIG number that comes to 305,869 points. Now think of this, if all 230 lockoff units are 'rented' as a Studio and a 1 BR the number goes up another 320,505 points! Who owns these points???

Bill -

That is my question which noone has ever been able to explain to me.

Sandy

 

[Dean]

Originally posted by InstImpres
Bill -

That is my question which noone has ever been able to explain to me.

Sandy

They are actually owned by DVD. While I've never seen a breakdown, my understanding was it's more than just maintenance, esp with the ROFR points. DVC does not give high priority times like Xmas, Easter and the like to CRO out of member points so any available then should be from points never available to members (not traded points). As a general statement directed at no one in this thread, I always shake my head when someone can't get what they want, finds out there are cash rooms available, then post "what's going on here". This is how the system works and it should have been known and understood before purchasing even if not specifically explained, it's just common sense.

 

[InstImpres]

Dean -

Think you miss understood me.

I don't understand how they calculate the points to sell and the % owned by DVD. Not to sound dumb but what I mean is in BillPA's example (I didn't run the numbers, I'll use his math) since a studio and a 1 bedroom rental do not equal the points of a 2 bedroom, what happens to the 14,626 point difference.

'All 2 Bdrm rentals = 305,869 points. Now think of this, if all 230 lockoff units are 'rented' as a Studio and a 1 BR the number goes up another 320,505 points!"

Although there are 230 lockoffs are only x number rented separate to allow for the right point balance but all the rooms are done that way for easier room assigning?

If not couldn't they/we come out short some years and over on others.

Hope this is clearer
Sandy

P.S. I am glad the rooms are released to CRO helps keep my dues down.

 

[InstImpres]

Dean -

Think you miss understood me.

I don't understand how they calculate the points to sell and the % owned by DVD. Not to sound dumb but what I mean is in BillPA's example (I didn't run the numbers, I'll use his math) since a studio and a 1 bedroom rental do not equal the points of a 2 bedroom, what happens to the 14,626 point difference.

'All 2 Bdrm rentals = 305,869 points. Now think of this, if all 230 lockoff units are 'rented' as a Studio and a 1 BR the number goes up another 320,505 points!"

Although there are 230 lockoffs are only x number rented separate to allow for the right point balance but all the rooms are done that way for easier room assigning?

If not couldn't they/we come out short some years and over on others.

Hope this is clearer
Sandy

 

[Dean]

I did misunderstand somewhat. You're asking about the difference between booking the lockoff's as all 2 BR and booking them separately and what happens to the extra points if there are any. My understanding and partly an assumption on my part, is that they have averaged the points for planning purposes. Obviously not all applicable units will be booked one way or another in any one year and the total per year should be about the same over time. There is also some indication that they manage how many lockoff's can be booked as such and how many can be booked as 2 BR units. This may also be related to this issue as it allows them to control this points variable if they desire.

 

[RobDoc]

To add to Dean's explanation, my understanding is that DVC has averaged those point costs after submitting the formula used to the regulating body in FL and in every state in which they are registered- and getting approval.

The % of rooms owned by DVC varies from 2-4%, depending on the resort and, while they can and do rent those rooms, the real purpose is to have an invenotry available for maintenance- as already mentioned. (Think about the number of rooms unavailable at BWV these past two years during the exterior renovation.)

The bulk of rooms available for cash reservation does come from points used for non-DVC options. The income from these rentals does not augment our dues- as it goes to "pay" for the non-DVC usage by members.

 

[wilderness01]

This explains my story a little better now. My friend was able to book a 1 BR for the first week of December 2003 at the BWV. She was able to book this 11 1/2 MONTHS in advance. I know this timeframe for a fact. When she called back the reservation person said "oh no I made a mistake you can not book this so far out and my friend complained until she was able to."

It did not seem right to me at the time because she was able to book further in advance than I am as a DVC member and got the Christmas time period.

Now I suppose it makes a little more sense.........