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Check out the variety of unique items in the AIF Spring Auction, which opened online March 19 at http://aif.cmarket.com.  The Auction will close this Thursday, April 12, so don’t delay!

ARDA will again host a member networking breakfast at Hospitality Design (HD) Expo in Las Vegas. The event will be held on Friday, May 11, and seeks to connect vacation ownership resort suppliers, designers, and procurement executives during the conference. Attendance is complimentary but reservations are required. For more information or to make your breakfast reservation, please contact Bob Craycraft at bcraycraft@arda.org.

For the first time, ARDA will be a sponsor of the Caribbean Hospitality & Tourism Investment Conference (CHTIC) being held May 8-10 in Curacao, Netherlands Antilles. ARDA’s participation will ensure that vacation ownership opportunities are well represented at the summit, which draws investors interested in the high-yield Caribbean marketplace. Data presented at the 2006 conference revealed that over 80% of Caribbean tourism lodging investment included a shared or mixed use component.

Howard Nusbaum, ARDA’s president and CEO will be a featured speaker at the conference. For information on attending, please see http://www.caribbeanhotelassociation.com/CHTIC.html.

With many Americans being priced out of the market for second homes, older couples in particular are purchasing timeshares as an alternative. The American Resort Development Association (ARDA) reports that baby boomers currently account for approximately 50 percent of timeshare buyers. The industry has found success attracting consumers in this demographic group by offering products that tout "vacation club" and "fractional ownership" in their marketing materials and offering more flexible options. In turn, these consumers are gaining a far more positive opinion of the timeshare industry than in previous years--also in large thanks to continued growth of such major hotel brands as Hilton and Marriott in the niche. Timeshare Users Group founder Bill Rogers remarks, "The hotel companies have legitimized the industry. Marriott cannot afford to have unhappy people, and they're still going to be around in 20 years." ARDA President Howard Nusbaum adds that although many boomers are unable to afford vacation homes in such desirable locales as Hawaii, timeshares in such markets are still affordable. Nusbaum adds that even wealthier households are being attracted to his industry, remarking, "Rather than pay $3 million for a house in Vail, they pay $300,000 for a vacation club and the sheets are cleaned, the garbage is taken out. The last thing the rich want is more stuff to take care of." (Web Link)

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"Record Number Gather in Orlando for Annual Timeshare Convention"
Hospitality Net (03/30/07)

The American Resort Development Association (ARDA) attracted almost 4,000 timeshare industry professionals and over 250 exhibitors to its recent 2007 Convention and Exposition. Held in Orlando at the Walt Disney World Swan and Dolphin hotel, the event occupied approximately 117,000 square feet of exhibition space. Released at the conference were the results of a timeshare industry survey of American consumers by Yesawich, Pepperdine, Brown & Russell for the ARDA International Foundation. The research not only showed growing receptiveness to the timeshare product among U.S. consumers but also a very high level of product knowledge on the part of respondents. Discussing the report's findings, incoming ARDA Chairman Jon Fredricks noted, "Perceptions of timeshare are very positive. Consumers are going into the sales presentation with a good understanding of the product." Fredricks is president of The Welk Resort Group. At the ARDA conference, he sat on a special discussion panel of timeshare professionals that included Wyndham Vacation Ownership President and CEO Franz Hanning and Island One Resorts CEO Deborah Linden, among others. (Web Link)

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"Timeshare Perception Schism Revealed"
Hotel Interactive (03/30/07) Haussman, Glenn

Perception of the timeshare industry continues to improve across the board, especially with major hotel brands playing an increasingly larger role in the industry. At this year's annual American Resort Development Association (ARDA) conference in Orlando, an estimated 4,000 timeshare industry professionals took part in an interactive panel discussion that polled attendee opinions on consumers' understanding of the timeshare market. When industry opinions were compared to actual consumer beliefs as surveyed by the research firm of Yesawich, Pepperdine, Brown & Russell, some interesting discrepancies were uncovered. For example, 65 percent of timeshare pros felt that pushy presentation tactics turned potential timeshare buyers off, while only 11 percent of polled consumers considered that to be a problem. In addition, when queried as to why consumers took a timeshare tour, 95 percent of industry professionals said it was likely for the gift. According to the survey of consumers, though, only 43 percent cited that as the main reason for the tour. Disney Vacation Club President James M. Lewis remarked, "There are a lot of surprises, [and] I am kind of flabbergasted by some of this information. What all this says to us is people are much more receptive to our product than we realize, but we need to continue to evolve our sales presentation." (Web Link)

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"Study: Timeshare Impact $14.3B"
Jacksonville Business Journal (03/20/07)

In a survey conducted by PricewaterhouseCoopers for the American Resort Development Association (ARDA), Florida's timeshare industry was found to have contributed $14.3 billion to the Sunshine State's economy in 2005. The study further showed that Florida is home to more timeshare resorts--378 individual properties containing more than 47,000 units--than any other state. Additionally, the industry employs an estimated 161,100 people statewide, with wages and salaries of $5.4 billion. (Web Link)

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"Construction Boom for Hawaii"
Honolulu Advertiser (HI) (04/06/07) Gomes, Andrew

A new study conducted by the University of Hawaii Economic Research Organization reports that an unexpected surge in nonresidential building permits in 2006's fourth quarter is now giving birth to $500 million worth of construction work that will prop up industry growth through at least the remainder of the current year. Carl Bonham and Paul Brewbaker, the study's authors, state that the latter stages of the growth cycle received a boost by a 45-percent jump in nonresidential permits, which include hotels, timeshare resorts, retail and warehouse space. The report forecasts that construction activity will increase in 2007 by 4.4 percent to $6.6 billion. Bonham and Brewbaker noted in the paper: "The overall slowing trend has been pushed back by one year. Hawaii's construction cycle is near or past its peak." (Web Link)

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"New Sales Chief for Marriott Timeshares in Hawaii"
Pacific Business News (04/06/07)

Chris Wachta has been appointed vice president of marketing and sales for Marriott Vacation Club International's timeshare operations in Hawaii. Wachta, who has been with Marriott International in various capacities for two decades, will now oversee all sales and marketing for the company's four vacation ownership resorts in the Aloha State. Wachta previously served as project director of sales and marketing at Marriott's Ko Olina Beach Club on Oahu. In addition to the Ko Olina Beach Club, Marriott's Hawaiian timeshare properties include the Kauai Beach Club and Waiohai Beach Club on Kauai and the Maui Ocean Club on Maui. (Web Link)

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"National Harbor Signs Up Eateries"
Montgomery Gazette (MD) (04/05/07) Gutierrez, Liza

The massive National Harbor mixed-use project in Maryland's Prince George's County got a boost recently when Wyndham Vacation Ownership announced plans to build a 250-unit timeshare resort on a two-acre parcel. Terms of the deal with National Harbor's developer, The Peterson Cos., were not disclosed. The 11-story tower will feature one-, two- and three-bedroom timeshare units, with construction slated to begin this fall. A fourth-quarter 2009 grand opening is targeted. Florida-based Wyndham has operated a similar upscale timeshare resort in Alexandria, Va.'s Old Town district for the past eight years. The 300-acre National Harbor development will feature a mix of retail stores, restaurants, offices and the 2,000-room Gaylord National Resort and Convention Center, among other uses. (Web Link)

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"Timeshare Mix and Match"
Hotel Interactive (03/29/07) Haussman, Glenn

Attendees at the American Resort Development Association conference in Orlando agreed that mixing timeshare types is becoming an increasingly smart way to do business. As a result, more new timeshare resorts are including a mix of traditional units, fractionals, whole-ownership options and traditional hotel rooms to appeal to buyers from different demographic pools. Industry professionals add that if the resort is designed properly, unit allocations can be adjusted to different categories if the sales figures warrant. Aviawest Resorts owner Jim Pearson notes, "This helps developers find the perfect price continuum." When marketing various types of plans in a single project, varying tactics should be employed. Pearson reports those who buy whole-ownership units usually take their time examining the process, with 99 percent not becoming buyers on their first tour visit. By comparison, an overwhelming majority of one-week timeshare buyers make their purchase on their first visit. MSA Design partner Keith Bongirno advises incorporating the natural characteristics of a location and its cultural assets into the building's final design. He explains, "You want to create a sense of place. This is the stage for the theater where the vacation experience is performed." (Web Link)

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"Timeshare Group Touts Economic Impact"
Orlando Business Journal (03/26/07)

The American Resort Development Association (ARDA) calculates that the timeshare industry contributed $92 billion to the U.S. economy in 2005. Of that total, ARDA states that $14.3 billion was spent in Florida alone. In fact, Florida is home to more timeshare resorts--378 individual properties containing approximately 47,400 units--than any other state. In addition, the industry supports an estimated 161,000 people statewide, with wages and salaries of $5.4 billion and tax revenue of $2.1 billion. Nationwide, timeshare owners took a total of nearly 5.7 million timeshare vacations in '05, spending an average of $1,768 per trip. ARDA's economic impact report is produced each year by PricewaterhouseCoopers. (Web Link)

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"New Law Warns Foreign Timeshare Investors"
Pacific Business News (04/05/07)

Hawaii Gov. Linda Lingle recently signed Senate Bill 60 into law. According to Lingle, the legislation "makes it clear to prospective buyers of foreign timeshare plans that these plans are not regulated by state law." Hawaii timeshare firms have been selling more and more vacation ownership shares to Japanese buyers, in particular. (Web Link)

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"Resort Club Working to Save Part of Golf Course"
News-Press (FL) (04/04/2007) Guzman, Silvia

In Florida, most timeshare owners at the Lehigh Resort Club have responded favorably to a recent letter asking them to purchase a portion of a nearby golf course. Greentree Resorts is set to close the Admiral Lehigh Golf Course on April 15, tearing down the onsite hotel in order to develop the 38-acre parcel into commercial and multifamily space. In February, Lehigh Resort Club management sent a letter to Lehigh Resort Club's 7,584 timeshare owners to gauge interest as to whether they'd consider paying about $40 per unit, per week owned, for 10 years to acquire nine holes of the Admiral Lehigh course that surrounds several Club structures. This would mean an owner who owns three weeks of one timeshare unit would pay approximately $120 per year for the next decade to secure the golf course in the timeshare property. Brian Cronshaw, real estate broker for the Lehigh Resort Club Condominium Association, was pleased by the positive response from timeshare owners so far. He commented, "People obviously want to secure their investments here. Most of the people here do not play golf, but the non-golfers actually need to protect their investments, too, and make sure is stays a golf course." The estimated cost for the nine holes is approximately $2 million. (Web Link)

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"Waldorf-Astoria Fractional Ownership Units to Grace New Hilton Timeshare Property in Las Vegas Area"
Commercial Property News (03/28/07) Murray, Barbra

Hilton Hotels Corp. has agreed to develop 250 timeshare units at the Lake Las Vegas Resort in Henderson, Nev. While 200 of the timeshares will be Hilton-branded, 50 will be branded as part of the relatively new Waldorf-Astoria Collection based on the world-famous Manhattan hotel. Groundbreaking is expected in the first quarter of next year, with a projected 2009 grand opening. The new timeshare resort will be built on a 17.5-acre lakefront parcel. (Web Link)

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"Hilton Grand Vacations Company Begins Construction of Luxurious Timeshare Development in Orlando, Florida"
Hotel News Resource (03/22/07)

Construction began in late March on a third Hilton Grand Vacations Club resort in Orlando. When completed, the project will rank as Hilton's largest timeshare resort in the Sunshine State. Operated by Hilton Grand Vacations Company LLC, the resort is on pace for a January 2009 completion and will ultimately include 1,200 units. One- and two-bedroom timeshare accommodations will be available, along with such onsite amenities as a fitness facility, deli, full-service spa and poolside restaurant. Locally, Hilton Grand Vacations operates the 516-unit Hilton Grand Vacations Club timeshare resort at SeaWorld International Center and a 440-unit property on International Drive. Hilton Grand Vacations President and CEO Antoine Dagot comments, "For more than 12 years, Hilton has recognized the significance of Orlando as one of the world's top vacation destinations through its commitment to develop extraordinary timeshare resorts here. The quality and success of our first two Club projects inspired the development of a third Orlando resort, and the new project is already receiving an enthusiastic response." (Web Link)

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"Flagship Bonnet Creek Resort Gets Wyndham Branding"
Orlando Business Journal (03/27/07)

In March, the Fairfield Orlando at Bonnet Creek Resort was officially renamed the Wyndham Bonnet Creek Resort to reflect that it is now part of the FairShare Plus by Wyndham product line. The announcement was made at the American Resort Development Association's recent annual convention in Orlando. The 70-acre timeshare property has more than 25,000 owners and presently has 294 units open. The resort is on pace toward a build out of 1,596 total units, which would make it the largest property in the Wyndham portfolio. Wyndham Vacation Ownership now has approximately 150 vacation ownership resorts spread throughout the United States, Mexico, Canada, the Caribbean and the South Pacific. (Web Link)

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"Disney Is Puttin' on the Ritz"
St. Petersburg Times (FL) (03/18/07)

Walt Disney World has partnered with the Four Seasons chain on a new Florida project slated for a 2010 grand opening. Disney officials report that the 900-acre project will be situated in Lake Buena Vista's Walt Disney World Resort. In addition to a hotel component, the overall development will include single- and multifamily vacation homes, fractional ownership units and an 18-hole golf course. Construction is expected to begin by the end of this year. (Web Link)

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"Puerto Rico's Luxury Rio Mar Resort Joins the Wyndham System"
Hotel News Resource (03/22/07)

Wyndham Worldwide Corp. has agreed to invest in and manage the Rio Mar Beach Golf Resort & Spa in Rio Grande, Puerto Rico, under the Wyndham brand. Wyndham Hotel Management Inc. will manage the 600-room resort under a 20-year accord. Additionally, Wyndham has plans to develop an adjacent 26-acre parcel of land into a Wyndham Vacation Ownership timeshare resort. The company plans to work closely with Puerto Rican government and tourism officials to develop the property in such a way that it will bring revenue to Rio Grande all year round. Wyndham Vacation Ownership President and CEO Franz Hanning stated that developing timeshare units at the site will create "an exciting, new destination for Wyndham timeshare owners in the highly popular Caribbean market. We are committed to expanding the Wyndham Vacation Ownership system of timeshare resorts throughout the world to provide our owners with the broadest choice of high-quality vacation opportunities in the most desirable and exciting locations." (Web Link)

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