$5,893.32 special assessment for Diamond's Point at Poipu

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

https://www.diamondresorts.com/hoa/2...andInserts.pdf


The numbers on these things just keep getting more and more ridiculous.. This one doesn't even seem possible..

I believe there are 219 units at this resort. If they leave two weeks unsold for maintenance that generates 50 ownerships per year per unit, or a total of 10,950 intervals. The special assessment looks like $5,893.32 per interval.


According to my calculator- that ends up being $64,531,854..

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

They could probably build a new resort for that much money.
Good luck to anyone trying to sell their unit.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

We spent a very nice week there, checking in the day we had a lunch tour with the infamous Georgio, who told us only owners can trade in.

Then, we happened to get one of the best units, oceanfront/overview/end.

Ah, the good ole days of RCI.

[catwgirl Contributor - Bronze Find all posts View Profile Close catwgirl]

I can't imagine anyone paying that much of a special assessment.

[odaddy Gold Contributor Find all posts View Profile Close odaddy]

That is brutal! Multiple week owners have to be sick! Somebody is making a lot of money on these repairs.

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

I can't imagine anyone paying that much of a special assessment.

I agree, ouch!

[timeos2 Senior Member Find all posts View Profile Close timeos2]

Wow! Very well explained and yes, any structural work is going to be very expensive. Can you imagine being an owner of such a slice of paradise at a "savings" over rentals & then getting a bill like this? I fear the delinquency rate will skyrocket I threaten the very survival of this resort. 65 million could and has built some fine resorts.

[odaddy Gold Contributor Find all posts View Profile Close odaddy]

It would be interesting to know what it would cost to build a brand new resort.

[rondiware Junior Member Find all posts View Profile Close rondiware]

Assessment $$$$$$$

It would be interesting to know what it would cost to build a brand new resort.

I owned at Poipu since 1996. Just received my assesment...$14,732!!! This does not count my Maintenance fee. They will allow me to pay $4000 Jan.1 +maintenance and put the rest on easy pay! I am so angry and told them my paradise turned into hell. I also said that they should have condemned the place. Was also told that Diamond Resorts was putting in 10 million. Did not make me feel any better. Would be interested in knowing how other owners feel.

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

Hi rondiware, and welcome to TS4M's

Wow, I think that's outrageous! Did the owners vote on this?
Anyway, I feel your pain, and hope that you guys have some recourse.

I owned at Poipu since 1996. Just received my assesment...$14,732!!! This does not count my Maintenance fee. They will allow me to pay $4000 Jan.1 +maintenance and put the rest on easy pay! I am so angry and told them my paradise turned into hell. I also said that they should have condemned the place. Was also told that Diamond Resorts was putting in 10 million. Did not make me feel any better. Would be interested in knowing how other owners feel.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

https://www.diamondresorts.com/hoa/2...andInserts.pdf


The numbers on these things just keep getting more and more ridiculous.. This one doesn't even seem possible..

I believe there are 219 units at this resort. If they leave two weeks unsold for maintenance that generates 50 ownerships per year per unit, or a total of 10,950 intervals. The special assessment looks like $5,893.32 per interval.


According to my calculator- that ends up being $64,531,854..

Actually, it says m/l that in the notice:

Water Intrusion Assessment Cost

The total amount of the water intrusion assessment, which includes all construction costs, legal and consulting fees, permits, Hawaii general excise tax and other items is approximately $65.8 million, or $5,893.32 per interval.
Project Timeline
- - - - - -
Even with the penalties ($20, plus 5%, plus 12% interest) how many of the 11,166 (doing the math), or so, do you think will not pay?

I wouldn't.

&, what is your guess as to the actual amount per owner will wind up being?

If a third don't pay, it will be $8839!!!!

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

I think I forsee the involvement of lawyers and a lot of units on Ebay.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

A smarter move would be to pick up an LBR for a buck:

Lawai Beach Resort Timeshare Kauai Hawaii - No Reserve
Free Closing! Annual 1bed,1bth 1-52 Float Alii Building

Item condition: --

Time left: 17h 9m 12s (Oct 07, 201110:00:26 PDT)

Bid history: 1 bid[Refresh bidhistory]


Current bid: US $1.00

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

Wow. This thread makes my stomach feel sick and I don't even own there.

[T. R. Oglodyte Moderator Find all posts View Profile Close T. R. Oglodyte]

A smarter move would be to pick up an LBR for a buck:

Lawai Beach Resort Timeshare Kauai Hawaii - No Reserve
Free Closing! Annual 1bed,1bth 1-52 Float Alii Building

Item condition: --

Time left: 17h 9m 12s (Oct 07, 201110:00:26 PDT)

Bid history: 1 bid[Refresh bidhistory]


Current bid: US $1.00

Of course, that's assuming that LBR doesn't face a similar assessment in the future. Personally, I think that LBR, being similar construction, is going to face the same issue at some point. Anyone buying in at LBR should consider the possibility that the difference here might be that Point at Poipu is on top of the situation and LBR isn't. And I think there's ample reason to suspect that LBR may be underreserving it's capital accounts.

LBR was actually a resort I was specifically thinking of when I posted a reply OY to a thread started by LizFox about resorts with special assessments. It's really not that useful to know which resorts have imposed SAs. It's more important to know which resorts are unknowingly underfunding reserve accounts.

*****

A bit OT, but that is one of the reasons why I am a fan of VRI as a resort manager. My impression is that VRI knows what it takes to fund a reserve account, and is pretty upfront with HOA Boards about comopleting a good, trustworthy reserve account analysis. I've seen some complaints logged about annual fees increasing after VRI receives the management contract at a resort, but I've always felt there was ample reason to believe that's a case of trying to shoot the messenger.