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  • US Collection Meeting

    I attended the US Collection meeting in Las Vegas last week, and thought that others may be interested in what I learned there. It was the first meeting I have attended. I realize now that I should have taken notes, because I don't remember everything discussed.

    Maintenance fees are going up about a penny per point. I don't remember the exact figures, but I think from 10.4 cents to 11.2 cents. In addition, the bogus Operational Fee is going up from $180 to something like $197. The Club fee was not discussed. The increase was announced as good news, "Only a penny!". I, however, did not take an 8% increase as good news when inflation has been minimal. I was hoping that fees would remain relatively flat for this year, especially given the current economic situation and the huge increases in the past 2 years. There were two primary reasons given for the increase: wages and utilities. The did say that upgrades to units had nothing to do with the increases, as the upgrades were already accounted for.

    On wages, we were told two things that I found a little contradictory. First is that the minimum wage went up in a few states (so they are paying employees minimum wage...I don't think this is unexpected for the hotel industry). The second reason for increased spending on wages was that they were trying to help employee retention, so I guess they are paying more than minimum wage in order to be competitive? If any DRI rep is reading this I can tell you that you must be treating your employees really terribly in order to have a retention problem when the unemployment rate approaches 10%. If the way DRI treats members is indicative of how DRI treats employees, I can see why there is a retention problem. People just want to be treated with respect, which means: don't lie to them, listen to them when they talk to you, and don't talk to them like they are stupid (for instance, telling them that fees are going up "only a penny").

    On utilities, we were told that some places did not have large increases, but other places, such as the "islands" had very large increases. They must be talking about Hilton Head, because last I checked no Hawaiian properties were included in the US Collection.

    Other news included an announcement of yet another affiliate in South Africa - I guess that's good news for those who can afford to fly to South Africa. I think a couple other European affiliates were also announced, maybe Turkey & Greece? Next year focus will be on finding additional affiliates in the US.

    There will be all new small appliances (coffee makers, irons, toasters, etc) at all of the resorts so that there will be consistency between resorts. I guess some members were getting confused on how to operate the coffee maker at one resort, because it was a different coffee maker than they used at another resort. Also, new fancy pool towels for all resorts. The lobbies will be renovated at Lake Tahoe Resort and at Scottsdale Villa Mirage. I do have to comment that I have been to both resorts in the past couple years, and noticed no defects in the lobbies. Lake Tahoe Resort and The Ridge at Sedona will have rooms renovated as well. We will be getting DRI membership cards, which will allow DRI to more easily negotiate discounts for us...for example, we could show our membership card at a local restaurant to receive a 10% discount.

    Like I said, I really wish I had taken notes. I'm sure I remembered more of the negatives than the positives at the meeting. Perhaps someone else who attended can fill in more information, and correct anything I may have remembered incorrectly. I have to say that I was surprised at how few people attended the meeting. There were perhaps 100 people there.

    Back when it was Sunterra, this timeshare seemed to be more middle-class. Focus was on things like... you can save money by cooking meals in the kitchen provided in the rooms, or you will save money because hotel prices will go up so much with inflation... With DRI it is all about the luxurious extras like granite countertops, fancy pool towels, and safaris in South Africa. These things are nice, but they will do me no good when I have to give up my points because I can no longer afford the maintenance fees.

  • #2
    Originally posted by kexueli View Post
    On utilities, we were told that some places did not have large increases, but other places, such as the "islands" had very large increases. They must be talking about Hilton Head, because last I checked no Hawaiian properties were included in the US Collection.
    Actually, St Maarten Resorts are in the DRUSC.
    ... not enough time for all the timeshares ®

    Comment


    • #3
      Originally posted by Spence View Post
      Actually, St Maarten Resorts are in the DRUSC.
      Ah, St Maarten. I had forgotten that there are Caribbean resorts in the US Collection. Energy prices have crept back up this year. Hopefully we will not see prices soar back up to the levels seen in mid-2008.

      Comment


      • #4
        Originally posted by kexueli View Post
        .........Back when it was Sunterra, this timeshare seemed to be more middle-class. Focus was on things like... you can save money by cooking meals in the kitchen provided in the rooms, or you will save money because hotel prices will go up so much with inflation... With DRI it is all about the luxurious extras like granite countertops, fancy pool towels, and safaris in South Africa. These things are nice, but they will do me no good when I have to give up my points because I can no longer afford the maintenance fees.
        I think people are starting to see what's happening with their old.....failed.....Sunterra. It was middle of the road economy timeshare resorts and that's not what DRI wants. DRI wants to compete more favorably with the top timeshare collections of the world.

        I didn't visit a lot of Sunterra resorts before the takeover and that's because I found them to be lacking. The quality of the furnishings wasn't anything special, they put in cheap plastic blinds rather than curtains in their units. Maintenance was suspect once you looked beyond the surface appearance. Old nasty charcole grills rather than nice, newer propane gas grills. Towels that wouldn't wrap around an average persons waisteline. Bedding that was straight from Bargain Bob's Dicsount Mattress Company et.....

        We've spent more time at The Suite's at Fall Creek than we ever would have when it was a Sunterra resort. We're comfortable there now. Before I'd have avoided it like the plauge based on past experience with Sunterra. But, this all comes at a price.

        The increase in MF's for the trust comes as no surprise to me when I've been reading the complaints about the double digit percentage wise increases in MF's at the resorts. If a trust is the average of all the resorts MF's in the trust and, if all of those resorts MF's have been going up 10 to 25% per year for the last couple of years, it's only logical that the trust MF's would go up. What's surprising to me is that they're only up 7.7%.

        Sunterra may have been a middle-of-the-road type of timeshare company but, I think by now it's obvious that DRI isn't going to go that way.
        Our timeshare and other photo's at http://dougp26364.smugmug.com/

        Comment


        • #5
          They're trying...

          I believe that DRI is trying. Their upgrading of the resorts is welcomed in my book. This is going to take money. Since we are owners, then it is going to cost us. I don't like the big increases that suddenly occurred but I must say I do like going to the resorts and seeing them looking good and having the things I need in them be of quality. Then I feel like I am getting my monies worth. Yes, it is hard and times are difficult for me just like others, but once we get out of this, we may all be happy about our purchase and ablility to travel the world and have nice accommodations.

          DRI has been making an effort to meet our needs. I sent them an email over a year ago and asked that they advertise their upgrades to properties so that owners could know where their money is going. I also recommended that they fix up the resorts and bring them up to date and finally I asked that they look into ways to stop having such high increases in maintenance fees for a few years so we can catch our breaths as owners.

          I received a call from one of their offices thanking me for my suggestions. I must say that I am impressed with what they are doing. I feel like they are doing all that I asked. I am not saying they are doing it because of me. I am no fool to think that I have such power, but I must say they really are trying. I have heard nothing to the contrary about the resorts being upgraded. In fact, I have either visited or stayed in 4 resorts this year and each of them were having some kind of upgrade or refurbishment. On this forum and TUG I have read about several other resorts being renovated. So DRI is making some changes. It is going to cost. The problem is that with people having to cut back, any increases are going to be felt. It just is not the best time for many.

          We just have to look at the long term. We should want our properties to be well maintained and desirable to others so that they will be able to give us better exchanges and they will be places that we as owners desire to stay. I own with Marriott and I get great exchanges, but I have been using my DRI points to exchange into other Marriott's. I did that 4 times this year. I would rather just stay at a DRI property and not pay any exchange fees.

          I hope you all get my point. The granite countertops may be what keeps us competitive with other resorts.

          I must say this. I have not seen as many complaints on this or forum or TUG about DRI over the last year about anything else too much other than maintenance fees. That to me says something in itself. I really am starting to like DRI more and more. If we are fair, I believe that we can see that they are making headway. They have only had the resorts for two or three years, but have been making improvements.

          Comment


          • #6
            Well, I have to say that I am pleased that others are happy about the upgrades and find the increases in maintenance fees justified. I suppose that although I am not the sort to appreciate grantite and stainless steel (doesn't make the food I cook taste any better ), I should at least see the value it has for giving DRI a competitive edge. It makes me hopeful that I will be able to get a few bucks for my points if I am forced to give up them up a couple years. I suppose when the economy turns around we will see if DRI points develop any sort of resale value. I certainly wouldn't expect to get anywhere near what I paid for the points, but it would be nice to not to have to pay DRI $250 to take them back.

            That being said, I do enjoy my vacations at DRI resorts, so I hope that I will be able to afford the maintenance fees in the future. I also tend to get a good value for my points because I take most my vacations mid-week and with short notice, so I can take advantage of the discounts. I also try to visit resorts in the off-peak seasons, so I don't see the availability problems that so many others complain of.

            But no matter how great it is, it comes down to affordability. If I can't afford it, then I can't afford it. For every increase in maintenance fees, DRI will have some number of additional foreclosures and unpaid maintenance fees to deal with. At the meeting, another topic discussed was the expense of foreclosures. It is a long and expensive process for DRI. But if DRI can make up for the foreclosures with additional sales, then I guess it is a smart business move. But I wonder if at some point it will be like cigarette taxes...the government raises taxes to the point where many smokers quit smoking. The revenues actually decrease even though taxes were increased.

            Comment


            • #7
              Originally posted by kexueli View Post
              It makes me hopeful that I will be able to get a few bucks for my points if I am forced to give up them up a couple years. I suppose when the economy turns around we will see if DRI points develop any sort of resale value. I certainly wouldn't expect to get anywhere near what I paid for the points, but it would be nice to not to have to pay DRI $250 to take them back.
              .......
              For every increase in maintenance fees, DRI will have some number of additional foreclosures and unpaid maintenance fees to deal with. At the meeting, another topic discussed was the expense of foreclosures. It is a long and expensive process for DRI. But if DRI can make up for the foreclosures with additional sales, then I guess it is a smart business move.
              pulease, even before the downturn DRI points would average only $0.20/pt. DRI sells then for ~$3 - $4.

              they charge $250 AND your MFs must be up to date AND you can't have used your current points for which you've paid MFs.

              pulease, there is NO "foreclosure" on owners in the Trusts. They have no deed, DRI just takes them away, it costs them NOTHING for points owners, this is one of the principle reasons Sunterra went to the Trusts. Now the older deeds, yes, there is a legal process.

              Comment


              • #8
                Originally posted by kexueli View Post
                .... But I wonder if at some point it will be like cigarette taxes...the government raises taxes to the point where many smokers quit smoking. The revenues actually decrease even though taxes were increased.
                The fees never decrease in timeshares, state law is needed before owners leave the system and the additional cost is passed on to the remaining owners. Where state law has been enacted fees have been stable including gold crown resorts, I've been in discussions with a state senator from Virginia (home of two resorts) and he is anxious to take up the issue because the Trust set up by Sunterra and continued by Diamond is antagonistic to the spirit of H.O.A. statutes. In NC where I currently live the statutes have already been passed so that is the model that is being studied.

                Comment


                • #9
                  Does DRI Timeshare Ownership make any sense??

                  Thank you for your report on the annual meeting. I would go, but unfortunately, I own in the Collective US Trust, can't get a reservation in Las Vegas for the short stay of the meeting. Anyway, I'd have to spend more money flying just to get there. We bought a week in Kaanapoli, Maui in 2006. Then in 2008 we were talked into converting our points buying more to add up to 10,000 points in the US Trust. It sounded like we had more options and the idea that we didn't have to pay airfare to fly to Hawaii regularily, as well as the expensive mfs, the change was appealing. Now I'm wondering why We're holding on to this expensive timeshare! I don't think that it's too expensive to pay $1500 (approximate sum of all fees coming due in January)for a week at a posh resort, however, the additional costs of airfare and car rental make vacationing very expensive. After tabulating how much money DRI has swindled out of us in the past 3 years, I'm extremely disatisfied! When I divide the amount of money we have put into this timeshare (excluding the upcoming mfs) I figure it has cost us over $6,000 dollars in accomodation expenses alone for 6 separate weeks. That doesn't include airfare and car rental. We were told that this timeshare would save us money for vacationing but we could have gone to Alaska 5 times over with the amount of money we have paid already! Has timeshare ownership paid off for anyone out there, or are we all just suckers trying to justify the reason for timeshare ownership? I'm trying to find a reason to justify continuing ownership in this timeshare. Appreciate your thoughts.

                  Comment


                  • #10
                    Hang In There

                    Originally posted by Jano
                    Thank you for your report on the annual meeting. I would go, but unfortunately, I own in the Collective US Trust, can't get a reservation in Las Vegas for the short stay of the meeting. Anyway, I'd have to spend more money flying just to get there. We bought a week in Kaanapoli, Maui in 2006. Then in 2008 we were talked into converting our points buying more to add up to 10,000 points in the US Trust. It sounded like we had more options and the idea that we didn't have to pay airfare to fly to Hawaii regularily, as well as the expensive mfs, the change was appealing. Now I'm wondering why We're holding on to this expensive timeshare! I don't think that it's too expensive to pay $1500 (approximate sum of all fees coming due in January)for a week at a posh resort, however, the additional costs of airfare and car rental make vacationing very expensive. After tabulating how much money DRI has swindled out of us in the past 3 years, I'm extremely disatisfied! When I divide the amount of money we have put into this timeshare (excluding the upcoming mfs) I figure it has cost us over $6,000 dollars in accomodation expenses alone for 6 separate weeks. That doesn't include airfare and car rental. We were told that this timeshare would save us money for vacationing but we could have gone to Alaska 5 times over with the amount of money we have paid already! Has timeshare ownership paid off for anyone out there, or are we all just suckers trying to justify the reason for timeshare ownership? I'm trying to find a reason to justify continuing ownership in this timeshare. Appreciate your thoughts.
                    Hi Jano,

                    Don't feel too bad. Many of us have bought our first timeshares from the developer and it was costly. I own 30,000 points so I feel your pain with the maintenance fees. However, it is important for you to know that the most value for your points will come if you use them for accommodations and not for airfare and the other items DRI offers. Those are good if you cannot use your points at all. For example, when I cannot use all of my points or save them until the next year, then and only then do I deposit them for points for something else like airfare or a cruise.

                    How do you get value for your 10,000 points? Use them and be creative. You can get multiple vacations from your points. 10,000 points can get you into any resort. I don't know if you are traveling with kids or not but you will be able to have two bedrooms and depending on what season you travel. In addition, if you have flexiblility you can wait until 59 days and use half points. That can increase your vacations too. I live in California near several DRI properties and have taken advantage of that. In addition Interval International gives you great exchanges for your points. You have that 59 day deal with them too. Club Select allows you to use your points to book other Club members' timeshares with different companies. For example, there are Sheraton, Marriott and other chain timeshares that can be used with points if you're wanting to vacation there.

                    Depending on where you are staying, the type of accommodations needed and when you book you could possibly stay 4 weeks or more with your 10.000 points. I must tell you that I often barbecue and cook at the resort thus saving me money at restaurants. There are often activities at the resorts.

                    Thus, if you're a traveler, the Club can really work for you. Yes, you will have to rent a car and yes those darn maintenance fees are driving everyone crazy. However, it seems to be worth it as DRI has been improving their resorts.

                    Comment


                    • #11
                      I agree that the spiraling costs of MFs has hit TS owners very hard. Probably the majority of owners got into TSing the old-fashioned way, by buying upfront from the TS. So that makes the cost of ownership that much more expensive. (fortunately, we've learned from that and will only purchase resale in the future) Overall, though, I have to say that I am extremely satisfied with my TS ownership. We own 13,000 points and are part of the Club. I have gotten very shrewd about getting the most value for our points. We can book 59 days out to get a 2BDRM for half the points and have enough points to get a second, or sometimes even a third, unit for friends and family. Everyone looks forward to our vacations. Our daughters are now adults and I make sure they understand how to use the TS because one day it will be theirs. We don't use our points for airfare, MFs or other extras. IMHO - this is definitely not the best use of the points. I would rather save them or given them to friend to take a vacation.

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