Gurney's annual meeting bad news

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

I received an email from someone who said that the GM announced some bad news at the resort, and that a special committee is forming to investigate ways to "save" the resort....I don't have any other details, but it seems that there must be some very big changes ahead for Gurney's and owners of the TS. We no longer own at the resort, but if I hear other things, I will post here.

[bigfrank Administrator Find all posts View Profile Close bigfrank]

I was just there and thought the place was getting better since they fixed up the spa.

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

Someone posted OY that all sales had been frozen. I didn't think it was true b/c they still have a sales flyer posted on the site....

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

When I was there in May, they were still selling weeks. I was told that in order for the resort to remain open, major renovations needed to take place. I was warned of very high assessments coming, into the thousands.


I'm guessing that if the owners are opposed to the high assessments, the resort will close.

They can get big bucks for the property like they did for the Panoramic, next door.

[GrayFal Silver Contributor and supermoderator Find all posts View Profile Close GrayFal]

When I was there in May, they were still selling weeks. I was told that in order for the resort to remain open, major renovations needed to take place. I was warned of very high assessments coming, into the thousands.


I'm guessing that if the owners are opposed to the high assessments, the resort will close.

They can get big bucks for the property like they did for the Panoramic, next door.

The whole situation there is 'different'. The property is run like a hotel rather then a TS but the TS owners are footing the bill/costs for this hotel.
Daily Maid service/ multiple restaurants and bars, conferences/ weddings with nightly rental of rooms. Spa/health club memberships to non-owners.... the whole set-up is rather suspect.

On the other hand, the location is to die for - just beautiful...wouldn't u love to own a full ownership condo unit there Angela???
We could add a nice kitchenette.... and a Murphy bed ....realy NICE!

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

Pat,

wouldn't u love to own a full ownership condo unit there Angela???

Yup, I would......That's why I looked into buying one in May. I agree with your assessment of the situation. Run like a hotel, with the bill being footed by the timeshare owners......Not good for the owners.

[GrayFal Silver Contributor and supermoderator Find all posts View Profile Close GrayFal]

Yup, I would......That's why I looked into buying one in May. I agree with your assessment of the situation. Run like a hotel, with the bill being footed by the timeshare owners......Not good for the owners.

I wonder if the Panarama is going to remain a hotel or sell those fabulous units they are building????

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

I wonder if the Panarama is going to remain a hotel or sell those fabulous units they are building????

I doubt it very much. The majority of it is already gone. I'm guessing as the building proceeds, they will knock down whats left of the Panoramic.

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

I don't have details yet. Gurney's was a coop, not a typical timeshare. The coop had a lopsided majority, type A and type B shares (type A being most powerful vote) with the Monte family owning most of it, thus whenever changes were requested, that meant the Board was loaded and Monte always got their way.

The t.s. owners have a minority interest but a majority of costs, I agree. The probability is that since Nick Monte died last year, the Monte family sees an opportunity to pick up some big $$$ thru real estate there....just guessing.

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

As I recall, Gurneys is a rather old timeshare, and thus probably falls under the timeshare law that preceeds the Uniform Condominium Act. All or almost all states law laws before that time based either on the Puerto Rico condominium laws or on the HUD Model Unit Ownership Act. The majority of states, including North Carolina, used the latter. I don't know about New York. If New York's law is based on the HUD Model Unit Ownership Act, then there would be a requirement of unanimous consent to disband a timeshare before its term expires. I think the Puerto Rico statute and those derived from it are the same, but I have never read them to be sure. The Uniform Condominium Act requires a super majority, 80% if memory serves. How being a coop interfaces with this, I have no idea, as coops seem to only exist in a few places like New York. The point is, however, that an owner wanting to crash the place may need a lot more than a majority to do it.

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

The real estate that Gurney's stands on is fabulously, fantastically valuable. If they could arrange some kind of respectable payout for the timeshare owners from the sale of the resort and land, then I think they could probably get an 80 percent majority, especially if the Monte family owns more than 50 percent anyway.

[brother coony Senior Member Find all posts View Profile Close brother coony]

Well Just sold one of my weeks last month and recived my check Last week from Gurneys in house resale dept. sale rep told me that she told buyer that ther is something in the works that could cost a large assessment, but buyer wanted the week bad (week 24) paid all money up front, Gurneys is a co-op with shares that expire 2031 at that time owners will vote weather to continue as is or sell property, but unit owners own shares in total,(meening they own part of property)
there is a projected propesal of $21,431,408 for referbish
They are looking at mortgage, or capital investor, joint venture ect.
Not bad if you own summer week,but sucks if you own winter week

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

How many units are there at Gurney's? I'm trying to do the math. I estimated 60 units...are there more or less?

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

You know, it really is infuriating. The maintenance is sky-high at Gurney's and they have a strong hotel-style rental program with big prices, plus a spa and weddings and parties and restaurants to help bring in money. How the heck could they need more than $21 MILLION in refurbishment and not have significant reserves to help pay for that?

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

Owners have a right to look at the books. If I were an owner there, that is something I would do.

Of course, if it is a developer operation to encourage people to want to sell out, the next shoe to drop is often some problem with the exchange company affiliation. If that happens, you will know what game is afoot.