What happens to Old Key West afterr 2042? I own a 2057 contract.

[jshadd]

What will happen to Old Key West between 2042 and 2057? I understand that 20-30% of the resort's members have contracts that expire in 2057, while the rest end in 2042. How will DVC manage the resort over the next 15 years? Will DVC make an attractive last-minute offer to encourage everyone to extend their contracts to 2057? Is that even legal? Could Disney automatically change the end date of all contracts to 2057? After the 2042 contracts expire, would Disney sell new contracts with a 15-year life at a reduced price? What will happen to maintenance costs during this period? We don't know what DVC will decide, but I would like to understand what Old Key West resort, looks like, My contact which expires in 2057.

 

[Brian Noble]

No one really knows. But, here are some bets I'm willing to make:

1: They will not automatically extend everyone for free. I will take any odds on this.
2: They might offer current owners an extension. It might be an okay deal. It won't be a great one.
3: They will be wiling to sell OKW with a 2057 expiration if someone wants to buy it; they are still selling 2042 resorts.

 

[Mouseforward]

The 2042 contracts expire, but the shares of the units of course still exist. The 2057 points at that date have to persist until Jan 31 2057.

Now that WDW has started trust based timeshares, they have the option to take all the shares of the units from the now expired 2042 contracts and resell them in a trust product ( not necessarily Palmetto trust like the cabins). Using a trust, it will not matter if the points are spread over different "units". The issue is will people accept a higher point chart for the trust than the 2057 contracts in the 15 gap years where both exist.

 

[muppets3d]

What's interesting is what if a unit has points that expire in 2042 and 2057, I'd imagine that is fairly common. How does Disney reconcile that when the time comes.