The Latest
...From the shared ownership industry
By Susan Kime
A recent PricewaterhouseCoopers study revealed that almost half of all affluent U.S. households (41 percent) have heard of fractional ownership, and one-sixth indicate they may consider purchasing fractional ownership at a resort property within the next five years. The study was conducted on behalf of The Ritz-Carlton Club, Interval International, and Starwood Vacation Ownership Inc.
The growing interest in fractional ownership is not limited to the United States. Sales in the worldwide fractional industry climbed from $8.6 billion to $10.1 billion in 2005. The figures were released at the third annual European Leisure Real Estate Symposium, which was held in Athens, Greece, this past October. More than 200 fractional developers from around the world attended the conference.
New Destinations, Residences, and Goings-on
Ultimate Resort ELITE
After purchasing the bankrupt Tanner & Haley assets and offering special terms for the T & H members, Ultimate Resort of Orlando, Florida, has created another option that further differentiates itself from others in the destination club industry.
Ultimate Resort ELITE is a new plan that allows members to reside in $3.5 million-plus homes, with fees ranging from $200,000 to $375,000. And with more than 100 residences in the club, it’s the second largest and the fastest growing in the industry. www.ultimateresort.com
The Club at Solaris
The Club at Solaris in Vail is the second project of Epiphany Clubs and Resorts and one of only two clubs—both in Colorado—whose fractional interests begin at more than a million dollars. The 19 Club at Solaris residences are estimated to cost between $4 million and $12 million, and there will be only 95 memberships available. The club has a $1.7 million buy-in, with an estimated $35,000 in annual dues. It also has a 5-to-1 member to residence ratio, allowing the members anywhere, anytime access. Members and unaccompanied guests can come and go as they please without using a multiyear advance reservation process. Members also enjoy concierge services, use of a Range Rover, and annual ski pass benefits. Construction of the Solaris project is to begin this year. www.theclubatsolaris.com
Quintess
Quintess/The Leading Residences of the World recently announced its newest European destination in the heart of Italy’s Tuscan region. The club just acquired a second residence on the Torre del Gallo estate, Santuario da Vinci. This 1,700-square-foot, three-bedroom and three-bath residence offers the same ambience and amenities as Santuario de Galileo, but in a more intimate setting.
Quintess’ novel “OnQ” experiences include trips to Horseshoe Falls in the Texas Hill Country and Idaho’s The Lodge at Palisades Creek. Horseshoe Falls is a privately held, 480-acre property spanning the banks of Sulphur Creek, located 70 miles northwest of Austin. Aside from the welcomed serenity, the true highlight of the ranch experience is the presence of more than 16 species of exotic game, gathered from all over the world. Quintess hosts can help members create a wildlife observation and photo safari, a family reunion, a fishing trip, a trophy expedition, or an upland bird hunt.
The Lodge at Palisades Creek sits at the confluence of Palisades Creek and the Snake River. For members who are fly-fishers, Palisades Creek offers one of the richest trout streams in North America complemented by elegant log cabins and gourmet made-to-order cuisine, with no TV or Internet. The Lodge at Palisades Creek was recognized by Orvis as one of the premiere fishing locations in North America. Fishing can also be done at the Teton River, Gray's River, and the Blackfoot River, as well as Henry's Fork of the Snake River. www.quintess.com
Capella Pedregal Residences
Capella Pedregal is making waves in the industry by being the only private residence club offering real estate buyers shared ownership in a fleet of yachts.
The Cabo San Lucas resort and residential community is set to open in spring 2008 and will exclusively feature Viking fishing and cruising yachts. Each vessel comes with a captain and first mate, and members can choose half-day and full-day usage. Membership in the Yacht Club, which is optional, will start at $75,000 and includes access to up to nine vessels, such as the newly added Carina, a 57-foot sport cruiser.
But with all this yacht talk, don’t forget about the real estate: Upon its completion, Capella Pedregal will offer 31 fractional residences, 20 full-ownership private homes, and a 66-room resort. www.capellacabo.com
The Sky Lodge ResortClub
The Sky Lodge is the newest luxury residence in downtown Park City and the first five-star luxury condominium hotel in Old Town. It is located on the corner of Historic Main Street and Heber Avenue, just 35 minutes from Salt Lake City.
The lodge has six floors, 22 luxury residences, the rooftop Sky Club for owners and hotel guests, private meeting facilities, heated underground parking, and a 6,500-square-foot Japanese-influenced spa, Amatsu.
Members will own a deeded one-eighth interest in their personally selected residence, including the furnishings and accessories, and each member will have access to all club amenities. There will be only 176 deeded ownership interests sold, with each owner having 35 reserved days per year to stay in their residences at the Sky Lodge, as well as additional access based on space available. Prices start at $260,000 and go up to $1 million. www.theskylodge.com
The Whiteface Lodge
A popular seasonal amenity at The Whiteface Lodge is returning for its second year. Open from Memorial Day through Labor Day, the lodge's Canoe Club offers lakeside access to a variety of outdoor activities, including canoeing, kayaking, paddle boating, and speed boating. There are also games such as badminton, croquet, bocce ball, and much more.
With all that activity going on, guests are bound to work up an appetite, and the Canoe Club has it coverd. Each day, chefs prepare a lakeside barbecue lunch from 12 p.m. to 1:30 p.m. There's also a continuous shuttle that runs between the resort, Main Street, and the Canoe Club.
Located in Lake Placid, New York, The Whiteface Lodge is a private residence club offering individual suites for vacation home ownership through whole and fractional ownership plans. Barely 2 years old, the resort is the most significant development to open in Lake Placid since the city hosted the 1980 Winter Olympics. www.thewhitefacelodge.com
Pond Bay
The Pond Bay Club, the sister club of the acclaimed “Isle de France Club” in St. Barth’s, is located on the southwest coast of St. John and is situated on 15 acres of Caribbean beachfront property overlooking the pristine Chocolate Hole bay.
The club consists of 50 fully furnished three- and four-bedroom cottages and villas, a full-service spa, a beachfront pool and gazebo bar, a full-size tennis court, and a 140-seat restaurant.
The villas are being sold as a deeded fractional product consisting of one-ninth ownership interests. Members will have a guaranteed fixed week of their choice in the high season and the right to pre-reserve four additional weeks throughout the year, as well as additional access based on space available. www.foliocollection.com
Villas at The Grand Del Mar
The Grand Del Mar is North San Diego County’s newest luxury resort property. It is located in Coastal North San Diego County, east of the I-5 in Del Mar, just minutes away from some of Southern California’s best beaches, restaurants, and boutiques. It is also a short distance from the San Diego International Airport.
The Grand Del Mar is situated on 380 lush acres amid the fairways of the Grand Golf Club, the 18-hole, 7,160-yard, par-72, 380-acre course designed by Tom Fazio.
The resort also includes a new 50,000-square-foot clubhouse, a 21,000-square-foot spa, four swimming pools, two tennis courts, a kid’s club, and a teen lounge.
When complete in fall 2007, the resort will feature 249 guestrooms and eight villas offering 80 fractional ownership opportunities allowing one-tenth ownership, including four planned vacation weeks per year, plus additional access based on space available. Ownership for each share starts at $360,000, and annual ownership fees are $10,500.
All villas are fully furnished and come in two different floor plans: the 4,500-square-foot “Brisa Villa” and the 5,000-square-foot “Loggia Villa.” Each model features three bedrooms and four and a half bathrooms. www.thegranddelmar.com
Pelican Marina Residences
Royal Resorts’ newest project is Pelican Marina Residences located on the unique island of St. Maarten/St. Martin, the world’s smallest island shared by two nations. Nestled on the Dutch side of the island, St. Maarten, the Pelican Marina Residences are close to beaches, restaurants, shopping, and more. Additionally, the residences are a 10-minute drive from St. Maarten’s capital, Philipsburg. Visitors are also minutes away from the French side of the island, St. Martin, and a 20-minute drive from its capital, Marigot. So, while staying at the Pelican Marina Residences, guests can experience the French, Dutch, and Caribbean cultures of St. Maarten/St. Martin all in one vacation.
At the Pelican Marina Residences, you choose the location of your villa and stay in the same one the same time every year. And your residence is guaranteed. No reservations or confirmation required. You can also take part in the villa rental program. www.pelicanmarinaresidences.com
Hyatt Main Street Station
Hyatt Main Street Station in Breckenridge, Colorado, is situated in the heart of town, within easy walking distance of ski slopes, restaurants, and boutiques. This fractionally owned resort offers buyers a fixed week every winter, as well as an additional 10 days in the summer, winter, or fall.
Owners may also trade their Breckenridge time for time at other Hyatt resorts worldwide and enjoy membership in the Pioneer Club, with amenities including a fitness center, a ski valet, and long-term ski storage.
The resort features fully furnished studio, two-, and three-bedroom residences. www.mainstreetstation.com
The Weybridge Collection
In an effort to stand out among competitors, many clubs have become themed, focusing on life passions such as golf, fly-fishing, wine, and food. The most recent to unveil its own niche is The Weybridge Collection, with an emphasis on art and culture.
Weybridge Collection owners can take excursions to the homes of regional artists, textile makers, and silversmiths, and they can explore little-known treasures like Native American pueblos. Fittingly, the homes—one for fractional purchase (in Tesuque, New Mexico; $465,000 for one-fifth share), the others for exchange (three in San Miguel de Allende, Mexico, and one in Snowmass, Colorado)—embody the character of their settings with authentic furnishings, art, and architectural detail. www.weybridgecollection.com
Miracle Yachts
Ahoy, yachtsmen! Miracle Yachts now offers two yachts, each with 10 ownership shares available.
The larger yacht, the 72-foot Cheoy Lee Raised Pilothouse, is available for $240,000 per share. This 2004 vessel can comfortably fit six guests. The vessel also includes a laundry room, an office, twin crew’s cabins, a Kitchen Aid galley with all amenities, an oversized propane barbecue grill on the flybridge, and radio and stereo systems in all cabins. This fiberglass, twin diesel, sport motor-yacht is docked in Newport Beach.
The smaller yacht, the 62-foot Azimut Motor Yacht, is available for $220,000 per share. This 2007 vessel will comfortably fit six guests as well, and it includes a salon, a dinette, and a galley with all amenities. Also a fiberglass, twin diesel, sport motor-yacht, the Azimut is docked in Fort Lauderdale.
Each ownership term is for three years. A single share grants 30 days of use per year, but owners can trade or alter their itineraries with Miracle Yachts’ online scheduling system. All maintenance and crew costs are included in monthly management fees. www.miracleyachts.com
Making a Match
When you're considering a fractional ownership purchase, it's important to determine the developer's mantra. It might seem like an odd question to ask someone in real estate, but take a look around. All kinds of business ventures have mantras. The W Hotel proclaims, "Whatever/Whenever." The Sheraton is "You Don't Just Stay Here, You Belong." And, of course, "What Happens in Vegas Stays in Vegas."
If the developer's mantra is "White Sand, White Snow," for example, that might bring to mind a property with a variety of locations offering both beach and ski experiences. If that's what you're looking for in a fractional ownership opportunity, then you may have found your match. If not, then keep looking.
While a mantra lets the world know what a developer is all about, these branding efforts are more than just labels. When a company, such as a resort or destination club, finds its unique mantra, that mantra becomes its identity. And when a business knows itself better, it can then know its audience better. That's what you need: a developer that knows itself and knows you. Then all you have to do is figure out what you want. And, really, isn't that part of the fun. —James J. Scavo, Esq., partner in Weinstock & Scavo, P.C. a full-service Atlanta law firm
Adventuras Club
The Aventuras Club on the Mayan Riviera in Mexico is offering a "Try Before You Buy" program to give potential buyers a taste of what the private residence club is all about before they take the plunge.
For a discounted rate ($100 a night for a two-bedroom villa, $150 for three bedrooms), guests can enjoy three to four nights in a luxurious Aventuras Club villa and attend a presentation highlighting the property's mission and what it means to be a part of the Aventuras Club lifestyle.
As an added bonus, those who purchase real estate will have their accommodation and some travel expenses deducted from the purchase price. To apply for a spot with this promotional rate, got to www.aventurasclub.com. Availablity is limited, and reservations are on a first come, first serve basis.
Solstice
The Solstice Collection already has residences in Aspen, Cabo San Lucas, Napa Valley, Florence, London, Paris, Telluride, and St. Barth’s. Now New York and Hawaii destinations are in development, and future destinations include Miami, Sun Valley, Arizona, Brazil, and Switzerland.
Each one-of-a-kind residence is valued at $6.5 million or more, and the homes include amenities such as fine European linens, extensively detailed chef-kitchens and baths, digital audio-visual and acoustic systems, top-of-the-line computers with high-speed Internet access, and, in most cases, a luxury car on property. Solstice Sky privileges allow members to fly privately to Solstice locations with Solstice partner Sentient.
Solstice offers three membership options and two deposit return structures. Membership structures include the Sky membership (56 days of advance access), the Platinum membership (24 days of advance access), and the Signature membership (14 days of advance access). Members can choose a 100 percent deposit return or a return based on the prevailing value of memberships upon exit. www.solsticecollection.com
Calistoga Ranch/An Auberge Resort
Auberge Resorts’ Calistoga Ranch is a pet-friendly place. Located on 157 acres of California’s stunning Napa Valley, the resort welcomes pets and includes many pet amenities, including custom pet beds, pet room service menus, guided hikes in Calistoga Ranch’s secluded canyon setting, and organic pet treats and spring water. Tucked into a private canyon outside the historic town of Calistoga, the property includes majestic hills, ancient oaks and redwoods, rocky streams, and a private lake. The ranch features 46 guest lodges and 27 owner lodges, the private Lakehouse restaurant, a bocce ball court, a wine cave, a pool overlooking the resort’s private cabernet vineyard, and The Bathhouse, a private spa where guests can indulge in treatments and take advantage of the region’s healing mineral waters. www.calistogaranch.com
