So what happens when Disney takes back the contract.

[chrismiss56]

Hi

We are still researching DVC and plan to take a formal tour when we are at WDW in August. I think we are leaning more towards resale but that is up for discussion.

So at the end of the contract (2042?) - what happens? Disney just steps in and takes over? Any money come back to the owner? An option to keep the contract? This is the part I really don't understand

Thanks!!

Have a magical Disney Day!!
Linda

 

[DVCconvert]

So at the end of the contract (2042?) - what happens? Disney just steps in and takes over? Any money come back to the owner? An option to keep the contract? This is the part I really don't understan

From the point of view of a DVC member, nothing happens at 2042 (or 2054 @ SSR). It's done, you own nothing, no more dues -- no money back --hope you had a nice time! Disney will then re-own whatever was once 'owned' by contract holders.

It's like a rent or lease, once your term is up, it's over.

That's what "known". What's unknown (and we'll won't know until much closer to 2042+ ) is if DVC will offer anytype of extension (for more $$).
No way to answer this one, certainly not this early.

HTH

 

[Granny]

The end of the contracts are 30+ years away, and nobody in the business world can plan that far ahead! (though I think a few DVCers are pretty close! ).

Disney will undoubtedly keep their options open and decide when they get closer to the expiration of the first right to use contracts in 2042. Probably won't hear much until about 5 years before that.

But, as Convert said, as far as current owners are concerned, when our contract is up, it's up.

Somehow I feel confident that Disney will figure out a way to entice us to part with more money, at least those of us young enough to go for it!

 

[uicbear]

The fact that all the vacation club props except for SSR expire in 2042 has always confused me. I could understand more if the contracts were like say 50 years from the initial opening of a property. Then the end of the property contracts would be atleast a bit staggered. The way it's set up now, there will be a flood of contracts up at one time. Which leaves me to wonder if Disney were going to try and resell the contracts it would have to be at a way reduced rate because they are flooding their own market.

 

[manning]

If they decide to offer an extention and I decide to extend there will have to be person on each side of me to hold me up, keep slapping me in the face to keep me awake, hold the pen in my hand and feed me ten gallons of Geritol (or whatever is the in thing) thru a tube. I'll look like the old guy on the Six Flag commercial, only laid out flat.

 

[BillPA]

Just a guess, but if Disney was to offer an extension, I would think they could start about 7-8 years early. (ie 2034-2035) and offer what ever they decide to do in the order of the original purchase. So the folks that took the first 'gamble' with Disney back in '91 and purchased at The Disney Vacation Club (aka OKW) would have the first option to 'extend'. Then work their way through the owners, from VB, HH, BWV, VWL, and BCV. Then do the same for the SSR owners 10 years later.

I have never heard anything like this, just my 2 cents on a fair way to handle any possible options. I won't matter to me, as I should be 'fertilizer' by then.

 

[fishermouse]

I'll be 99 and probably not care!!! seriously though, my thought is that by then the currant DVC resorts will be replaced.. As for flooding the market I'm sure new resorts will be in full swing by the time these run out. SRS has 12 years longer than the others and I doubt DVC will stop as long as people are buying.. Any way at the rate DW is going I'll have all the points for all the resorts by then so DVC will only have one person to deal with.

 

[rayelias]

Here's my educated guess. In 2042, they're gonna get knocked down (or VERY seriously remodled).

Look at the oldest properties on site. They're not that old and they're looking pretty tired.

What will technology be like in 35 years? Heck 35 years ago, air conditioning was considered a luxury. It's not even an OPTION any more - it's a given! I suppose in 35 years, there will be so many changes, they'll have no choice but to practically start from scratch.

At that point, I would guess they'll do it all over again. Offer DVC contracts and use those proceeds to finance the construction of the brand new properties, collect dues for maintenance, and start the cycle all over.

 

[dianeschlicht]

I'll be 95, so I doubt I'm going to worry too much about it.

 

[spiceycat]

my guess depends upon the economy if it is good and WDW is doing fine. WDW could easily rent these units.

there are too many families that go to WDW and believe me they would love the 2-bedrooms, 1 and even studios.

so if the economy is good forget about WDW renewing our contracts. It is not going to happen.

OKW is big enough to either live alone or make into another a small park - this is hard because of that golf course. Same with SSR.

the ones attached to a hotel would be the easiest ones for WDW to rent.

However if the economy or WDW is not doing too good - then I would expect them to allow us to renew our contracts.

of course I won't care!

OKW was sold at 50 years - it started selling in 91 (maybe 90) - it was partially opened then and in the following years they opened a few building each year. It was public opened in 92?

 

[Daitcher]

Here's my educated guess. In 2042, they're gonna get knocked down (or VERY seriously remodled).

Look at the oldest properties on site. They're not that old and they're looking pretty tired.

What will technology be like in 35 years? Heck 35 years ago, air conditioning was considered a luxury. It's not even an OPTION any more - it's a given! I suppose in 35 years, there will be so many changes, they'll have no choice but to practically start from scratch.

At that point, I would guess they'll do it all over again. Offer DVC contracts and use those proceeds to finance the construction of the brand new properties, collect dues for maintenance, and start the cycle all over.

I don't know if I agree with this line of thinking. Our dues go for maintenance and upkeep. They are constantly upgrading and maintaining the DVC properties. The best part is that all this upkeep costs them nothing. We pay the bill. I'd like to think that the buildings and grounds will just as nice then as now. Maybe that's wishful thinking on my part, we'll see. My guess is that Disney will start new contracts when these expire. I can't even imagine the price per point then for a new 50 year contract!


DAVE

 

[AJKMOM]

DH and I will be 90 (if we make it that long), but kids will be under 60, so it may be theirs before we need to worry.

 

[tjkraz]

The fact that all the vacation club props except for SSR expire in 2042 has always confused me. I could understand more if the contracts were like say 50 years from the initial opening of a property. Then the end of the property contracts would be atleast a bit staggered. The way it's set up now, there will be a flood of contracts up at one time. Which leaves me to wonder if Disney were going to try and resell the contracts it would have to be at a way reduced rate because they are flooding their own market.

The Boardwalk, Wilderness Lodge and Beach Club Villas could easily be rolled-into Disney's cash resorts if they choose not to re-sell the points.

Old Key West could be re-sold or simply bulldozed. While our dues ensure that the property is properly maintained, in another 35 years they may just decide to "go a different direction" with that piece of land...as was the case with the Disney Institute / Saratoga Springs.

In the face of additional 50-year contracts, people committing to a second term at OKW would be buying into a resort that will be 100 years old before their ownership term ends. As much as I like OKW, I have my doubts as to whether demand will be sufficient to give it a second tour of duty.

 

[Daitcher]

As much as I like OKW, I have my doubts as to whether demand will be sufficient to give it a second tour of duty.[/QUOTE]


Why not? Are all the people buying in now so much different than families 50 years from now.... well quite a bit less than 50 now? I am curious to hear your reasoning here other than 100 year old point.


DAVE

 

[NJOYURLIFE]

Disney will find some way to make continue making money. As far as tearing down and starting over when properties are a certain age, wouldn't this apply to non-DVC properties also? What would the Grand Floridian look like in 30 some years or the Polynesian?

Since I personally probably won't be using DVC at that point it won't matter to me, but I personally can't see them drastically changing the format because the people who will be buying DVC at that point will probably be our children and grandchildren who we have spoiled and who hopefully will have lots of great memories of OKW, BW, BCV, SSR, WLV, etc.

 

[tjkraz]

Why not? Are all the people buying in now so much different than families 50 years from now.... well quite a bit less than 50 now? I am curious to hear your reasoning here other than 100 year old point.

Obviously I can't provide any hard evidence. It's just a gut feeling really.

One of OKW's current draws is the lower point schedule. That will certainly disappear if the points are re-sold. Most of the buildings are not ADA accessible. There is a comparitively small number of hotel rooms on a large piece of property with attractive water and golf course views.

My point was simply that with the infrastructure already in place (as was the case with SSR), this is the one property of the 4 with 2042 ending dates that would be easiest to re-develop if Disney came up with a new concept that they wanted to pursue.

 

[pumpkinboy]

...Any money come back to the owner? ...

Disney, giving money back??!! I don't think so!

Seriously though, I was amazed this January when we turned in the APs we had purchased in November and upgraded them to PAPs, and got back about $5 per pass! Usually at WDW I just open up my wallet and tell Mickey to just insert a vacuum cleaner to clean it all out. So getting $20 back from the Mouse was just shocking (pleasantly so, tho).

 

[Debbie Jean]

Since I'll be in my 90's, I'm hoping they turn them into retirement homes

 

[jiggerj]

Since I'll be in my 90's, I'm hoping they turn them into retirement homes

LOL! I hope so too!

 

[ColoradoBelle1]

I'm with YOU , DebbieJean....WHO HOO, retire in style!!!