# 2023 Point at Poipu Maintenance Fee Statement



## artringwald (Oct 15, 2022)

Take note of what I highlighted in red. Very interesting.

Dear Poipu Point Resort Owners,
Greetings from the board of directors, our management company, and the Team Members at your home away from home in beautiful Hawaii. When Diamond
Resorts was acquired by Hilton Grand Vacations (HGV), we promised to keep you informed about efforts to integrate the two companies. Part of this effort
includes providing transparent communications with you about your annual billing statement.
This year, the hospitality industry has been especially impacted by labor shortages and continued pressure to increase wages to attract qualified workers and
retain essential talent. Above-average inflation has resulted in greater expenses for essential products, supplies and services, while higher fuel costs have affected
shipping and deliveries. With all those challenges, Hilton Grand Vacation management has supported the team, allowing them to focus on resort operations and
the guests.
In 2022, the board settled a construction defect lawsuit with the contractor that completed work on exterior property repairs. As a result, the board has been
able to proceed with determining scope for making those external repairs to the windows, soffits and fascias. Like the original project, this project will be multiphased.
At the same time the exterior repairs are completed, the interior of the suites will be renovated. This includes renovations in all kitchens and bathrooms,
and includes both flooring and furnishings. These projects will be funded primarily by the association. *However, as part of Hilton Grand Vacations’*
*commitment to the Poipu resort and the property’s Owners, HGV has agreed to contribute $5 million to the association to assist with these project costs. The*
*contribution will be paid over a period of five years.*
For 2023, your board has approved a maintenance fee increase of approximately $110-$327, depending on ownership type. The majority of the units are twobedroom,
so that assessment will be $2,068.80, an increase of $216.88 or 11.7%. Approximately half of the increase is due to an increase in the Reserves
assessment. During the last nine years, the Reserve assessment increase has been nominal – far below CPI. As we proceed with the exterior and interior
projects, you may have higher than average increases related to the funding required for the projects. Your association’s board and resort management team
remain committed to keeping costs as low as possible, without compromising our service or the property’s upkeep.
Sincerely,
Board of Directors
Association of Apartment Owners of Poipu Point
Poipu Point Vacation Owners Association


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## BJRSanDiego (Oct 15, 2022)

So, there was a construction defect lawsuit and the MF are going up.  Did P@P lose?


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## artringwald (Oct 15, 2022)

BJRSanDiego said:


> So, there was a construction defect lawsuit and the MF are going up.  Did P@P lose?


It says they settled. The settlement amount may not enough to cover the current cost of repairs. The lawsuit was filed several years ago. At least this time the contractor was still solvent. By the time the 2011 water intrusion problem was discovered, the contractor who built the complex had declared bankruptcy and a lawsuit wasn't possible.


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## CalGalTraveler (Oct 15, 2022)

Considering recent TUG reports, it sounds like this resort will be very nice once complete. Even with the increased MF it still is competitive  To compare, Westin Kaanapali is $2500 to $2800 for a 2 bdrm per week. Westin Princeville about the same.


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## pedro47 (Oct 15, 2022)

This resort is going to be a crown jewel for Hilton.IMHO


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## artringwald (Oct 15, 2022)

pedro47 said:


> This resort is going to be a crown jewel for Hilton.IMHO


Bumper sticker: "If you like The Point at Poipu, send your friends to Maui"
I'm not going to say any more good things about The Point at Poipu.


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## dayooper (Oct 16, 2022)

If you want to own at this resort at any point in the near future, now is the time to find that resale deed to purchase. Prices will most likely skyrocket when this construction is over.


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## CalGalTraveler (Oct 16, 2022)

dayooper said:


> If you want to own at this resort at any point in the near future, now is the time to find that resale deed to purchase. Prices will most likely skyrocket when this construction is over.



or price lower with the rise in MF and the economic downturn.


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## dayooper (Oct 16, 2022)

CalGalTraveler said:


> or price lower with the rise in MF and the economic downturn.



Could be.


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## Alwaystravelling (Oct 18, 2022)

Kauai units don't nearly hold the value that Maui does.   If you want to be in Poipu just buy the Marriott Waiohai.


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## T_R_Oglodyte (Oct 18, 2022)

Alwaystravelling said:


> Kauai units don't nearly hold the value that Maui does.   If you want to be in Poipu just buy the Marriott Waiohai.


Or, if you want to be in Poipu, take advantage of that and buy at Point at Poipu for a fraction of what you would pay for Waiohai.


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## echino (Oct 19, 2022)

Stayed at both, there is no contest: Waiohai is in a different league. The prices reflect that.


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## CalGalTraveler (Oct 19, 2022)

echino said:


> Stayed at both, there is no contest: Waiohai is in a different league. The prices reflect that.



Can you elaborate on the differences?


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## echino (Oct 19, 2022)

CalGalTraveler said:


> Can you elaborate on the differences?



Number one difference is Waiohai is on the swimmable beach, while PoP is not.

The hard product - quality of units, appliances, furnishings, inside and outside - is a lot higher at Waiohai. This quality gap may become smaller if Hilton makes substantial upgrades at PoP.


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## pedro47 (Oct 19, 2022)

When is Hilton going to mail 2023 MF ?


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## dougp26364 (Oct 19, 2022)

Let’s see, a huge assessment a few years ago. Defective workmanship/materials are what owners got from that huge assessment. And now an 11.7% MF increase with approx 50% of that figure going to the cash reserve fee. I swear this resort is cursed.

Sunterra owners took a big hit with MF increases when DRI took over to “bring the resorts up to DRI standards.” Looks like history is repeating itself with these resorts.


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## Fisch (Oct 24, 2022)

pedro47 said:


> When is Hilton going to mail 2023 MF ?



They already came out a few weeks ago(Oct 7th).  Check your email for the statement.

1 Bedroom: $1700
2 Bedroom: $2069


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## goaliedave (Oct 25, 2022)

Still love PaP, Shipwreck Beach, hanging out at the Hyatt, walk to the golf course. Glad to see Hilton coming through on those promises about no MF increases to cover upgrades.


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## Duh (Oct 26, 2022)

goaliedave said:


> Still love PaP, Shipwreck Beach, hanging out at the Hyatt, walk to the golf course. Glad to see Hilton coming through on those promises about no MF increases to cover upgrades.



Did you miss the 11.7% maint fee increase listed 2 posts before yours? Not to mention, nothing has been upgraded yet (and may never be). Just where do you think the money will come from for those expected upgrades??


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## magmue (Oct 26, 2022)

> Just where do you think the money will come from for those expected upgrades??


See OP by @artringwald:
“…. the board settled a construction defect lawsuit with the contractor that completed work on exterior property repairs. As a result, the board has been able to proceed with determining scope for making those external repairs to the windows, soffits and fascias. Like the original project, this project will be multiphased.
At the same time the exterior repairs are completed, the interior of the suites will be renovated. This includes renovations in all kitchens and bathrooms,
and includes both flooring and furnishings. These projects will be funded primarily by the association. *However, as part of Hilton Grand Vacations’
commitment to the Poipu resort and the property’s Owners, HGV has agreed to contribute $5 million to the association to assist with these project costs”*

As I read it, the money will come from 3 buckets

The construction defect settlement
The P@P reserves, hence the 11.7% increase in MF this year
$5,000,000 contribution by HGV over the next 5 years.


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## Duh (Oct 27, 2022)

magmue said:


> See OP by @artringwald:
> “…. the board settled a construction defect lawsuit with the contractor that completed work on exterior property repairs. As a result, the board has been able to proceed with determining scope for making those external repairs to the windows, soffits and fascias. Like the original project, this project will be multiphased.
> At the same time the exterior repairs are completed, the interior of the suites will be renovated. This includes renovations in all kitchens and bathrooms,
> and includes both flooring and furnishings. These projects will be funded primarily by the association. *However, as part of Hilton Grand Vacations’
> ...



Right. P@P reserves which is funded by maint fees and HGV money, which is also funded by maint fees unless they have a money tree growing out back. So owners, with their maint fees, are funding some, if not most, of the upgrades.


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