posted 04-08-2005 06:09               

Brian

posted 04-08-2005 11:06            

quote:

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Originally posted by mommy-of-4-kids:
Well, I'm not liking this ROFR stuff then! Without it, I could have had a 2 bedroom Platinum EOY Beach Blace for $2500 (no kidding....)

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posted 04-08-2005 11:25               

quote:

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Originally posted by mommy-of-4-kids:
Well, I'm not liking this ROFR stuff then! Without it, I could have had a 2 bedroom Platinum EOY Beach Blace for $2500 (no kidding....)

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posted 04-08-2005 13:30               

I would be interested in learning more about selling a unit to a “family member” for no cash value. If this is so do the Marriott Reward Points go with the account?

I’m assuming that when an owner dies and the unit is willed to another person(s) that all the rights and privileges of the ownership transfer as well.

So is this true with changing ownership between “family members”?

This inquiring mind would like to know – at least a phone number at Marriott to follow up.

Thanks,

The ROFR really protects both the developer and the owners – both benefit from the active participation by the developer in buying units that have fallen to a low level (in terms of price) and are in danger of hurting the value of the resort, owners, and developer.

Perry
P.S. I have never understood why developers don’t actively buy back units (credits/points) on the resale market. The developer doesn’t need anything but a local salesrep on commission at the resort to resell the units and make huge profits. There is no need to buy land, borrow huge construction loans, hire an army of salesreps – just one little salesrep on commission handles sales at the resort until the resort falls down.

posted 04-08-2005 14:33            

I don't know the answer to your questions. Good questions, though. I just got my information through a conversation I was having with someone who deals with Marriott and the ROFR system a lot. As I stated, that information can be completely wrong and I'm not an expert, but I do trust what that person was telling me. I didn't think to ask about whether the MRP benefit transferred also.

posted 04-08-2005 14:47            

quote:

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Originally posted by PerryM:
I have never understood why developers don’t actively buy back units (credits/points) on the resale market. The developer doesn’t need anything but a local salesrep on commission at the resort to resell the units and make huge profits. There is no need to buy land, borrow huge construction loans, hire an army of salesreps – just one little salesrep on commission handles sales at the resort until the resort falls down.

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The only thought I have about this is it's just small potatoes for a company like Marriott. They do resales through telesales and occasionally exercise ROFR's, but I only think they do this as a service to owners looking to buy other units and to protect the property values of their resorts. It probably doesn't generate a huge profit or a large amount of cashflow.

I think the real big money, and thus Marriott's main effort and focus, is in the development of new projects like Saint Thomas and Vegas. Each of those properties probably makes 100's of millions each for Marriott and they have a monopoly on the sale of the weeks as they don't have to deal with resales in any significant number for at least 2-5 years. By that time, the resort is most likely sold out and they've moved onto another project.

Even though we here at TUG are very aware of the resale market, it probably still makes up only a small percentage of Marriott's overall market. Thus, it's not worth the effort unless they either have demand for a particular unit from a good customer or the resale prices drop low enough to threaten the overall value of the property.

posted 04-08-2005 15:19               

Regarding points, Mr. JW is pretty greedy when a member dies as he gobbles back all your points unless it goes to a direct spouse. Check the rules on the Rewards site. The airlines, and even Amex, don't do this and those points can go to your heirs upon proper documentation ... but not Marriott reward points. So spend em now and enjoy.

Brian

quote:

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Originally posted by PerryM:
.....I’m assuming that when an owner dies and the unit is willed to another person(s) that all the rights and privileges of the ownership transfer as well.

[This message has been edited by PerryM (edited 04-08-2005).]

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posted 04-08-2005 18:10               

I would believe that most developers don't want their crappy properties back. I am not aware of any other developer, other than Disney and MVC, with a real resale prgram.