# HGVC NYC -from Timeshare Beat



## iiderman (Sep 22, 2006)

Hilton Hotels Corporation Announces Plans to Develop Manhattan's First Purpose-Built Timeshare Property
Press Release: Hilton Grand Vacations Company 
September 22, 2006 
BEVERLY HILLS, CA -- Hilton Hotels Corporation through its timeshare division, Hilton Grand Vacations Company (HGVC), announced plans yesterday to develop the first purpose-built timeshare property in New York City, New York. Construction of a 28-story Hilton Grand Vacations Club is projected to start in January, 2007. Located on West 57th Street between the Avenue of the Americas and Seventh Avenue, the project is anticipated to include 161 units, and is targeted for completion in early 2009.

This unprecedented development marks the first time a building designed exclusively for timeshare accommodations has ever been constructed in Manhattan. According to Antoine Dagot, President and CEO of HGVC, "The prominence of the Hilton legacy in New York City is being taken to the next level. After decades of leadership in all hotel segments throughout Manhattan, Hilton has achieved a development milestone that has never before been accomplished in the New York hospitality industry. The ability to build, from the ground-up, a timeshare product tailored exclusively to our meet our customers' distinctive preferences offers extraordinary advantages. Our premium mid-town address and the quality of accommodations and amenities planned for this Hilton Grand Vacations Club property will make it one of the most sought-after timeshare products in our portfolio."

Dagot credits the success of HGVC's Hilton Club product, located on the 37th and 38th floors of the Hilton New York, along with years of diligence and the tremendous collaborative efforts of key Hilton team members nationwide, for the successful acquisition of such a prime real estate parcel. He added, "Securing this ideal location was well worth our patience and persistence. With Carnegie Hall nearby, just down the street from Fifth Avenue and the theater district, this Hilton Grand Vacations Club will offer our Members and guests immediate access to the very best of New York City. We could not ask for a better foundation upon which to build our first Hilton Grand Vacations Club in New York."

Hilton Grand Vacations Company, LLC (HGVC) is a division of Hilton Hotels Corporation (NYSE:HLT). Hilton Hotels Corporation is the leading global hospitality company, with over 2,800 hotels and 490,000 rooms in more than 80 countries, including 150,000 team members worldwide. The company owns, manages or franchises a hotel portfolio of some of the best known and highly regarded brands, including Hilton®, Conrad®, Coral by Hilton®, Doubletree®, Embassy Suites Hotels®, Hampton Inn®, Hampton Inn & Suites®, Hilton Garden Inn®, Hilton Grand Vacations(TM), Homewood Suites by Hilton®, Scandic and The Waldorf=Astoria Collection(TM). For more information, please visit www.hiltonworldwide.com.

Headquartered in Orlando, Florida, HGVC develops, markets and operates a system of brand name, high-quality vacation ownership resorts in select vacation destinations. The company also manages two innovative club membership programs, Hilton Grand Vacations Club® and The Hilton Club®, providing exclusive exchange, leisure travel and reservation services for more than 100,000 Club Members.


---------------------------------- 

Contact:
Hilton Hotels Corporation
Kathy Shepard, 310-205-7676
kathy_shepard@hilton.com
http://www.hiltonworldwide.com
or
Hilton Grand Vacations Company
Elena H. Norman, 407-521-3178
enorman@hgvc.com

Source: Hilton Grand Vacations Company


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## ricoba (Sep 22, 2006)

iiderman said:
			
		

> This unprecedented development marks the first time a building designed exclusively for timeshare accommodations has ever been constructed in Manhattan. According to Antoine Dagot, President and CEO of HGVC, "The prominence of the Hilton legacy in New York City is being taken to the next level. After decades of leadership in all hotel segments throughout Manhattan, Hilton has achieved a development milestone that has never before been accomplished in the New York hospitality industry. The ability to build, from the ground-up, a timeshare product tailored exclusively to our meet our customers' distinctive preferences offers extraordinary advantages. Our premium mid-town address and the quality of accommodations and amenities planned for this Hilton Grand Vacations Club property will make it one of the most sought-after timeshare products in our portfolio."



Thus we can see why, as mentioned here and in Grand Times, there will be an increase in points needed to stay at the newly developed properties.

Thanks for the article.


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## alwysonvac (Sep 22, 2006)

Since it's in NYC, I'm wonder if the units will be built like the traditional timeshare units or like the Hilton Club product (no kitchen & no dining room).

Also I wonder if increase points needed to stay at the newly developed properties = increased open season rates for newly developed properties ?


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## sb1070 (Sep 22, 2006)

Hiltons Greed Is Absolute, You Can Count On it!


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## spike (Sep 22, 2006)

I'll never go to NY as it's not my kind of place, but I'm thankful for HGVC expanding outside of the big 3 locations (Orlando, Las Vegas, Hawaii). Nice move. Please continue the expansion!


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## KenK (Sep 22, 2006)

sb1070 said:
			
		

> Hiltons Greed Is Absolute, You Can Count On it!




How else could they keep Paris in shoes??? 

www.thehiltonclub.com


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## Seth Nock (Sep 22, 2006)

sb1070 said:
			
		

> Hiltons Greed Is Absolute, You Can Count On it!



With Hotel rates in Manhattan at about $500 / night + 18.625% tax for peek season, and the cost for running the property (taxes and maintenance) being close to $200 a night, why would Hilton rent it out for $60/ night open season.  They are running a business, not a charity.  They will charge a very reasonable price for open season, not lose money with every booking.  It will be a nice addition, as currently you would have to use 40,000 HHonors points (1740 Club points) per night to stay at a Hilton in New York.


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## rfb813 (Sep 23, 2006)

I would welcome a HGVC timeshare in New York City.  We go up once a year and this would be vey nice. I never could get into the Manhattan Club and I am sure the HGVC will be a step up. Did the tour of the Hilton Club two years ago but found the problem with the elevators at the New York Hilton to be a pain. 

I think that HGVC is moving in the right direction with additional resorts in Hawaii, Southern CA, Bermuda, Niagara Falls, Ireland and the Club Intrawest partnership. Hopefully they will look at more resorts in Europe and Asia to complement the former HIGVC properties in Scotland.


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## WORLD TRAVELER (Sep 24, 2006)

Does this mean that the "Hilton Club" concept is dead?  It appears that instead of having a separate timeshare product for the urban areas that would cost more to purchase, with a different point structure, etc., Hilton is just going to use the existing regular HGVC point division and add an additional tier of point requirements to be able to stay at these new urban/exotic locations.  It'll be interesting to see what type of point dilution these new resorts will bring.  It probably won't be so bad for the current platinum owners but it will not be great for the bronze or silver season owners.


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## alwysonvac (Sep 24, 2006)

WORLD TRAVELER said:
			
		

> Does this mean that the "Hilton Club" concept is dead?  It appears that instead of having a separate timeshare product for the urban areas that would cost more to purchase, with a different point structure, etc., Hilton is just going to use the existing regular HGVC point division and add an additional tier of point requirements to be able to stay at these new urban/exotic locations.  It'll be interesting to see what type of point dilution these new resorts will bring.  It probably won't be so bad for the current platinum owners but it will not be great for the bronze or silver season owners.



I hope it's true.... "Hilton is just going to use the existing regular HGVC point division and add an additional tier of point requirements to be able to stay at these new urban/exotic locations".  

I'm thinking worst case scenario would be that all existing Premier values become standard values for the new locations.
9600 HGVC = new standard 2 bedroom value for platinum season
7000 HGVC = new standard 2 bedroom value for gold season
4800 HGVC = new standard 2 bedroom value for silver season


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## short (Sep 24, 2006)

alwysonvac said:
			
		

> I hope it's true.... "Hilton is just going to use the existing regular HGVC point division and add an additional tier of point requirements to be able to stay at these new urban/exotic locations".
> 
> I'm thinking worst case scenario would be that all existing Premier values become standard values for the new locations.
> 9600 HGVC = new standard 2 bedroom value for platinum season
> ...



I stayed a the Hilton Club in March of 2005.  HGVC members generally only have studios available.  Larger units are given to owners.  The points were about 2X Hilton points.

Most likely points will be 14,000 points for 2 bedroom plat.

Short


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## alwysonvac (Sep 24, 2006)

*Hmmmm….. you might be right*

I pulled out my old 2004 elite book and found the following club point requirements for the Hilton Club – New York

In 2004 there were three seasons

Jan 1 – Jan 22
Jan 23 – Mar 24 & Jul 9 – Sept 2
Mar 5 – Jul 8 & Sept 3 – Jan 6 (2005)

Studio
Season 1: Fri & Sat 800 pts / Sun – Thurs 500 pts 
Season 2: Fri & Sat 1100 pts / Sun – Thurs 600 pts
Season 3: Fri & Sat 1400 pts / Sun – Thurs 800 pts

One Bedroom
Season 1: Fri & Sat 1000 pts / Sun – Thurs 600 pts 
Season 2: Fri & Sat 1400 pts / Sun – Thurs 800 pts
Season 3: Fri & Sat 1800 pts / Sun – Thurs 1000 pts

Two Bedroom
Season 1: Fri & Sat 1500 pts / Sun – Thurs 800 pts 
Season 2: Fri & Sat 2000 pts / Sun – Thurs 1200 pts
Season 3: Fri & Sat 2500 pts / Sun – Thurs 1400 pts


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## WORLD TRAVELER (Sep 24, 2006)

So, based on this chart, the two bedroom platinum could be 14000 points. The above plat season 2 bedroom shows 12000 points.  Accounting for inflation and land aquisition costs, the new resort could be 14000 or more points for a platinum season unit.  It'll be interesting to see what happens.


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## dougp26364 (Sep 24, 2006)

ricoba said:
			
		

> Thus we can see why, as mentioned here and in Grand Times, there will be an increase in points needed to stay at the newly developed properties.
> 
> Thanks for the article.



Glad I decided to increase my Marriott portfolio rather than my Hilton portfolio. That is the one thing I hated about most points systems and loved about Hiltons. Most required ever increasing points for the newer properties while HGVC maintained a constant point for point system. Now that they're getting away from that, I'm sorry I don't own all Marriott properties. 

Of course, Marriott will probably go to a similar point system and make the above statement a moot point.

At least Hilton has decided to actually build something rather than announce affiliate resorts and then ask owners at those resorts of more money just to be a part of Hilton. It's getting to the point where timeshare companies are mining the same field for money a little to much.


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## Seth Nock (Sep 26, 2006)

WORLD TRAVELER said:
			
		

> Does this mean that the "Hilton Club" concept is dead?  It appears that instead of having a separate timeshare product for the urban areas that would cost more to purchase, with a different point structure, etc., Hilton is just going to use the existing regular HGVC point division and add an additional tier of point requirements to be able to stay at these new urban/exotic locations.  It'll be interesting to see what type of point dilution these new resorts will bring.  It probably won't be so bad for the current platinum owners but it will not be great for the bronze or silver season owners.



Open season is supposed to be available to all owners.  Therefore, it will help the bronze, silver and gold members.  I am expecting the levels to be higher than ALWYSONVAC mentioned, as I don't believe that  there will be too many 2 bedroom units.  I welcome this addition, as not all new properties will have new point structures, only the "high end" new properties.  A studio at the New York property (if bought from the developer), may be more expensive than a 2 bedroom at the HGVC Sea World.  The maintenance would also be higher.  That is why a new point level is required for that property.  I am glad Hilton chose that route, rather than the new "Hilton Club" concept.  Atleast this way, HGVC owners have access to the new properties.


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## iiderman (Sep 26, 2006)

Seth Nock said:
			
		

> I am glad Hilton chose that route, rather than the new "Hilton Club" concept.  Atleast this way, HGVC owners have access to the new properties.



Seth,  do you know for sure if the "Hilton Club" concept is being dropped??  I'm wondering if they might combine HGVC and Hilton Club (and maybe they'll also throw in the reosrts under HIGVC as well??  )


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## Seth Nock (Sep 26, 2006)

iiderman said:
			
		

> Seth,  do you know for sure if the "Hilton Club" concept is being dropped??  I'm wondering if they might combine HGVC and Hilton Club (and maybe they'll also throw in the reosrts under HIGVC as well??  )



I think it is being combined, but there is no official word. HIGVC will be a little more difficult to combine due to resort contracts.  There are other high end club partnerships being negotiated.


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