Diamond Resorts offer to purchase ILX...

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

Diamond may be looking to purchase the assets of ILX from the bankruptcy..

[longtimer Senior Member Find all posts View Profile Close longtimer]

Diamond may be looking to purchase the assets of ILX from the bankruptcy..

Looks like most their resorts are in AZ. While that's great for many folks, I'd love to see more acquistions on the East Coast north of FL.

[Ryne08 Senior Member Find all posts View Profile Close Ryne08]

Looks like most their resorts are in AZ. While that's great for many folks, I'd love to see more acquistions on the East Coast north of FL.

I ditto your remarks fully.

[wilson22447 Member Find all posts View Profile Close wilson22447]

Yes, Ryne08, and I ditto your ditto.

[mace Senior Member Find all posts View Profile Close mace]

Remember when DRI backed out of a deal for Misiones del Cabo Hotel and Resort because it was not up to DRI quality (which very well might have been true), but I'm confused why they would purchase ILX resorts they are on average a lower tier resort group and clustered in the southwest almost exclusively.

[Carolinian Super Moderator Find all posts View Profile Close Carolinian]

Remember when DRI backed out of a deal for Misiones del Cabo Hotel and Resort because it was not up to DRI quality (which very well might have been true), but I'm confused why they would purchase ILX resorts they are on average a lower tier resort group and clustered in the southwest almost exclusively.

Just think of all the special assessments they can levy for upgrades, and they will certainly get a cut of that for themselves.

Just think of all the new sheep that anticipate on conning into their points system.

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

The purchase makes sense to me.. Many developers are focusing now on management and service fees as profit centers rather than sales. The purchase agreement would give Diamond the management contracts. If the properties need refurbishment, a special assessment for renovations and upgrades would be proposed.

Plus, the in-house sales campaigns for point conversions would be very easy and have very little cost to the developer.

And finally- as the economy recovers new sales will start to again increase.

Since it looks like Diamond is basically offering to purchase with very little cash (mostly just assuming ILX debt)- it seems like a great opportunity.

I just wonder if other developers (with existing credit lines) will also jump into the ring and make competing offers?

[Carolinian Super Moderator Find all posts View Profile Close Carolinian]

If these resorts or some of them are totally points based, then they may do what they and their predecessor Sunterra did with acquisitions of other timeshare systems in the UK, and that is sell off resorts. Indeed, it has been said that Sunterra netted more on forcing members out of Club Brittania and selling off the property than they paid for the whole Thurnham resorts system. They kept the other two resorts, although right now they are forcing out some categories at Thurnham Hall. Of course what Sunterra got for Club Britannia is likely small potatoes compared to what DRI got for selling off Carlton Court in central London after they bought Sunterra.

[3Coyotes Junior Member Find all posts View Profile Close 3Coyotes]

Sounds like a done deal!

I have a friend who works at one of the ILX properties and she had a staff meeting yesterday in which the acquisition was announced as a done deal. Change over would be completed apparently by May of this year.

[longtimer Senior Member Find all posts View Profile Close longtimer]

Just think of all the special assessments they can levy for upgrades, and they will certainly get a cut of that for themselves.

Would that also mean that those of us in the Club would see extra assessments also (since we don't own at any particular resort).

[Spence Super Moderator Find all posts View Profile Close Spence]

Would that also mean that those of us in the Club would see extra assessments also (since we don't own at any particular resort).

it depends, if you are a Trust member and they fold it into the Trust then you'll be paying a share of their assessments.

If this comes to pass, it adds little, in my opinion, to THE Club from a members perspective, but beaucoup to the management and sales coffers. They have a new captive audience to sell points upgrades to.

[3Coyotes Junior Member Find all posts View Profile Close 3Coyotes]

Diamond Resorts

Working in the Sedona Timeshare industry I have seen Diamond personally raise maintenance fees as a result of Diamond's extremely high management fees which get passed down to the Owners. So even though you may not see Special Assessments you probably will see an increase in your dues.

[winger Senior Member Find all posts View Profile Close winger]

As a current THE Club member, one thing important to me is whether I see increased availability in newer travel destinations (and of course, those have to keep to the DRI level of quality). I keep hearing about newer affiliates, but I do not see increased availability. As I told one of our salesmen a few months ago, don't show me the map of all the resorts in the DRI network around the world IF I cannot find availability say 8-10 months out from date of travel for times I would like to travel.

What would be bad for members is if fees increase and availability (in quality resorts) stay the same.

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

Diamond's offer pending SEC approval..

The Resort Trades

This article confirms the purchase, and provides some details as to the terms.

[Xolodno Member Find all posts View Profile Close Xolodno]

Was in Sedona at the Summit over New Years....noticed the Red Rock Light Festival was really scaled down. As we were walking around my wife said the resort could use some "love". Also took a look at the resorts online.....

I see assessments in my crystal ball for ILX members...

Personal note, seeing Tuscon is on my bucket list of things to do...sure hope they change the sports theme into more of an old west look.