Wyndham is closing a handful of legacy resorts - dedicated chart/tracker located in the first post for this unfolding set of events

[Greg G]

The "reserve study" was mentioned at our Special Meeting but it is not posted on our owner website. I presume this "study" helps define how big the reserve fund needs to be.

This was the Structural Integrity reserve study now required by Florida law.

 

[shawnee83]

I've been looking at some of the materials posted to that OIRC Bankruptcy site. One item I found interesting is that the owners include OIRC (the primary "Debtor" in the filing), Wyndham, the interval owners, and something called PTVO which may be the legal name for Club Wyndham Access. OIRC, PTVO, and Wyndham (or Wyndham Vacation Resorts) own about 60% and the individual timeshare owners the remaining 40% or so. I wonder if a similar situation exists at Shawnee.

Another interesting point (and this has come up previously) is that they have to get unanimous consent, even with Chapter 11 bankruptcy. The filings refer to taking legal action against any owners who do not agree to the sale. They say they don't want to do this and hope it can be avoided.

Since this is in federal bankruptcy court I have to believe that the same rules would apply to all of the proceedings.

 

[shawnee83]

Does anyone know how to find information on Wyndham selling the resorts after bankruptcy?

> (comcbookman) Wyndham is not selling the resorts, the HOA's will be. I would think going to the website of the real estate company, HilCo Real Estate

And I'm pretty sure we are months away from that process getting started.

 

[HitchHiker71]

> (comcbookman) Wyndham is not selling the resorts, the HOA's will be. I would think going to the website of the real estate company, HilCo Real Estate

And I'm pretty sure we are months away from that process getting started.

It remains to be seen when the sale of the property actually starts and transpires, and whether or not this process can start in parallel to the bankruptcy proceedings or if it cannot start in earnest until after the completion of the proceedings. I suspect the former, but I'm neither a legal nor a commercial real estate expert. Perhaps someone with more experience can chime in and confirm either way. I suppose this brings up the question of whether or not the bankruptcy proceedings are part and parcel of accelerating the sale of the commercial property. If this is the case, then perhaps the processes cannot run in parallel until the proceedings make that determination.

 

[bizaro86]

It remains to be seen when the sale of the property actually starts and transpires, and whether or not this process can start in parallel to the bankruptcy proceedings or if it cannot start in earnest until after the completion of the proceedings. I suspect the former, but I'm neither a legal nor a commercial real estate expert. Perhaps someone with more experience can chime in and confirm either way. I suppose this brings up the question of whether or not the bankruptcy proceedings are part and parcel of accelerating the sale of the commercial property. If this is the case, then perhaps the processes cannot run in parallel until the proceedings make that determination.

The judge could authorize the sale of the property as part of the proceedings, and in thst case it would run in parallel. That is what Wyndham is hoping will happen, and they will make a motion for that. I think it's quite likely they succeed, and Hilco has the properties marketed in the new year. I'll be quite interested to see who ends up buying them.

 

[HitchHiker71]

The judge could authorize the sale of the property as part of the proceedings, and in thst case it would run in parallel. That is what Wyndham is hoping will happen, and they will make a motion for that. I think it's quite likely they succeed, and Hilco has the properties marketed in the new year. I'll be quite interested to see who ends up buying them.

Good info. I am up at BB today, and it's cold and rainy. The HOA meeting is being held in the movie room at 1:00pm ET. I've heard it is expected to be one of the more "lively" meetings given the feedback to date. I will try to attend but am not an owner so if it's standing room only out the door I will likely not attend as this meeting is really for the owners not for observers. Perhaps the cold rainy weather may play in my favor if owners decide to skip it, we shall see.

 

[dioxide45]

The judge could authorize the sale of the property as part of the proceedings, and in thst case it would run in parallel. That is what Wyndham is hoping will happen, and they will make a motion for that. I think it's quite likely they succeed, and Hilco has the properties marketed in the new year. I'll be quite interested to see who ends up buying them.

Would they first need to attempt to get the unanimous consent that was mentioned in post #3,753 and take legal action against those that don't agree? Perhaps they can start marketing the property upon approval, but someone is unlikely to buy it unless it is free and clear. Clearing those deeds of owners might take some time if there are holdouts or people that don't respond. I am sure any stipulation to closing will require a free and clear title without the encumbrances of deeded timeshare intervals. It was talked about earlier that it could take years to find buyers for some of these properties unless they take them to auction. Auction may also mean lower sales price.

It would be interesting to know what Wyndham thinks the timeline will be to full completion on these actions. When would they expect residuals to be paid out? Remember, they are the biggest recipient of any residuals that may come out of the sales.

 

[HitchHiker71]

I've been looking at some of the materials posted to that OIRC Bankruptcy site. One item I found interesting is that the owners include OIRC (the primary "Debtor" in the filing), Wyndham, the interval owners, and something called PTVO which may be the legal name for Club Wyndham Access. OIRC, PTVO, and Wyndham (or Wyndham Vacation Resorts) own about 60% and the individual timeshare owners the remaining 40% or so. I wonder if a similar situation exists at Shawnee.

Another interesting point (and this has come up previously) is that they have to get unanimous consent, even with Chapter 11 bankruptcy. The filings refer to taking legal action against any owners who do not agree to the sale. They say they don't want to do this and hope it can be avoided.

Since this is in federal bankruptcy court I have to believe that the same rules would apply to all of the proceedings.

PTVO is the Property Owners Association for CWA:

The unanimous consent item is specific to OIRC and has been a known issue since the outset specific to this resort- it's embedded in this thread early on - and it's something Wyndham has explicitly mentioned to me in our meetings ongoing. We've said quite a few times now that each resort has specific circumstances that will apply for various reasons, including bylaws, along with applicable state, local and federal laws. Don't assume that requirements posted in one specific bankruptcy filing will apply to all resorts, that would be a false assumption.

 

[comicbookman]

Would they first need to attempt to get the unanimous consent that was mentioned in post #3,753 and take legal action against those that don't agree? Perhaps they can start marketing the property upon approval, but someone is unlikely to buy it unless it is free and clear. Clearing those deeds of owners might take some time if there are holdouts or people that don't respond. I am sure any stipulation to closing will require a free and clear title without the encumbrances of deeded timeshare intervals. It was talked about earlier that it could take years to find buyers for some of these properties unless they take them to auction. Auction may also mean lower sales price.

It would be interesting to know what Wyndham thinks the timeline will be to full completion on these actions. When would they expect residuals to be paid out? Remember, they are the biggest recipient of any residuals that may come out of the sales.

As you say, Wyndham is the biggest recipient of any residual money, so it is clear that they will do everything they can to shorten the process. Hilco talked about finding a stalking horse bidder to set a floor price. I believe that they can start that process before the court authorizes a sale. They would then present there plan to the court for approval before finalizing. This would show the cour, and any creditors, that a sale is a viable option.if approved.

 

[dioxide45]

The unanimous consent item is specific to OIRC and has been a known issue since the outset specific to this resort- it's embedded in this thread early on - and it's something Wyndham has explicitly mentioned to me in our meetings ongoing. We've said quite a few times now that each resort has specific circumstances that will apply for various reasons, including bylaws, along with applicable state, local and federal laws. Don't assume that requirements posted in one specific bankruptcy filing will apply to all resorts, that would be a false assumption.

The unanimous consent is likely coming from the underlying condominium declaration. Every property is going to have some requirement like it written into the declaration. Star Island is going to be a minimum of 80% based on Florida law unless the declaration has a higher threshold. The other properties in other states are going to have something similar, at least some kind of supermajority.

 

[nibble4bits]

With Shawnee Fairway Village - the HOA hasn't met yet, I confirmed that with the Wyndham liaison Angela Sharp today.

I assume they haven't met yet because of the couple of yearlong ownerships? Do those particular owners get 52 votes? Perhaps Wyndham is worried that they don't have the majority of votes there yet?

 

[kenautencio]

I emailed the admin from shawnee hoa who send the invite for zoom few months ago. For shawnee ridgetop owners. See attached

 

[bizaro86]

Would they first need to attempt to get the unanimous consent that was mentioned in post #3,753 and take legal action against those that don't agree? Perhaps they can start marketing the property upon approval, but someone is unlikely to buy it unless it is free and clear. Clearing those deeds of owners might take some time if there are holdouts or people that don't respond. I am sure any stipulation to closing will require a free and clear title without the encumbrances of deeded timeshare intervals. It was talked about earlier that it could take years to find buyers for some of these properties unless they take them to auction. Auction may also mean lower sales price.

It would be interesting to know what Wyndham thinks the timeline will be to full completion on these actions. When would they expect residuals to be paid out? Remember, they are the biggest recipient of any residuals that may come out of the sales.

I think the Federal bankruptcy judge will be able to invalidate the deeds and declare the property able to be sold. Obviously different jurisdiction, but I owned a (deeded) timeshare in Panorama, BC (Canada) where they went through a CCAA process (the Canadian equivalent of chapter 11) to transfer the property. The judge gave all owners an opportunity to object and then transferred free and clear title without signatures from each owner. That is certainly Wyndham's goal here. Unanimous consent is impossible because there will be tons of people who they can't reach or who have clouded title in some way.

 

[hjsweet2002]

BB HOA meeting was canceled due to a blackout. Will be rescheduled within two weeks

 

[paxsarah]

BB HOA meeting was canceled due to a blackout. Will be rescheduled within two weeks

Oh no!

 

[HitchHiker71]

With Shawnee Fairway Village - the HOA hasn't met yet, I confirmed that with the Wyndham liaison Angela Sharp today.

I assume they haven't met yet because of the couple of yearlong ownerships? Do those particular owners get 52 votes? Perhaps Wyndham is worried that they don't have the majority of votes there yet?

Wyndham is giving whole interval owners more time to come to a decision on their path forward and whether or not they wish to participate - what that means specifically I’m not sure at this time.


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[HitchHiker71]

BB HOA meeting was canceled due to a blackout. Will be rescheduled within two weeks

Yup - I was sitting there in the meeting at BB being held in the movie theatre when the entire resort lost power around 1:15pm. The lead attorney from K&L Gates was about 1/3-1/2 of the way through their slide deck when they lost power and the room went black. The entire mountain lost power in fact (VV at the Berkshires and other areas were also out). I had to depart as I was covering at work and therefore had to jet to find power and a decent cellphone signal elsewhere as I only had satellite or an intermittent weak LTE connection via T-Mobile from the resort once power was out.

I was able to capture a couple of data points before we lost power at least:

1. Wyndham owned 55% of all intervals.
2. The HOA proxy vote was 91% affirmative for bankruptcy and resort closure at end of year (this came directly from the HOA Director after the meeting because I asked her).

They were talking about trying to hold the remainder of the meeting live with the two junior attorneys from K&L that were physically there but I had to depart. Sounds like they had to reschedule though which is what I expected.

For those familiar with the area, we are currently having a late lunch at The Roasted Garlic restaurant- it has power and we were hungry LOL.

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[dioxide45]

Yup - I was sitting there in the meeting at BB being held in the movie theatre when the entire resort lost power around 1:15pm. The lead attorney from K&L Gates was about 1/3-1/2 of the way through their slide deck when they lost power and the room went black. The entire mountain lost power in fact (VV at the Berkshires and other areas were also out). I had to depart as I was covering at work and therefore had to jet to find power and a decent cellphone signal elsewhere as I only had satellite or an intermittent weak LTE connection via T-Mobile from the resort once power was out.

I was able to capture a couple of data points before we lost power at least:

1. Wyndham owned 55% of all intervals.
2. The HOA proxy vote was 91% affirmative for bankruptcy and resort closure at end of year (this came directly from the HOA Director after the meeting because I asked her).

They were talking about trying to hold the remainder of the meeting live with the two junior attorneys from K&L that were physically there but I had to depart. Sounds like they had to reschedule though which is what I expected.

For those familiar with the area, we are currently having a late lunch at The Roasted Garlic restaurant- it has power and we were hungry LOL.

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Will they have to provide the required notice for a new meeting? Not sure if that was 10 days, 14 days or something else. Or perhaps because they got the technicalities out of the way (the vote), perhaps just the presentation doesn't require such notice?

It does seem like in the case of BB, that the percentage of owners that didn't consent was higher than reports we've seen from other special meetings.

 

[rpennisi]

Will they have to provide the required notice for a new meeting? Not sure if that was 10 days, 14 days or something else. Or perhaps because they got the technicalities out of the way (the vote), perhaps just the presentation doesn't require such notice?

It does seem like in the case of BB, that the percentage of owners that didn't consent was higher than reports we've seen from other special meetings.

Still, slightly over 50% not held by Wyndham consented.

 

[Floridaman76]

Yeah, BB "lost power"... all those people who made the trip will definitely come back. There definitely wasn't a Wyndham employee standing over a breaker panel. This has conspiracy theory written all over it.

 

[shawneefairwayfull]

Wyndham is giving whole interval owners more time to come to a decision on their path forward and whether or not they wish to participate - what that means specifically I’m not sure at this time.


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I'm a whole owner in Fairway and I have not been contacted by anyone from Wyndham or HOA.

 

[shawneefairwayfull]

Possible. The Kirkwood family also owns the Shawnee Ski resort area. Karl Hope actually acquired the entirety of the property consisting of roughly 2500 acres which includes all of the Shawnee Inn, golf course, restaurants, and all of Wyndham Shawnee in 1972 via a merger with American Landmark Corp in Stroudsburg and in 1974 started building what we now all know as Wyndham Shawnee (originally Club Shawnee), which was the first major timeshare built in PA state. The Shawnee Inn and golf course was built back in the very early 1900s in comparison. Karl Hope then sold the Inn and golf course to Kirkwood in 1977. Kirkwood then created SDI, Shawnee Development Inc., in 1978 and bought out Club Shawnee. Hope held 40% ownership of SDI. His ownership interest was subsequently bought out at a later date. Kirkwood also acquired the ski mountain from Hope in 1979. In 2005, Wyndham purchased Club Shawnee from SDI. A bit of history for those interested.


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I went to the Monroe County GIS to check out the actual ownership. By what I could find, there are 4 units owned by individuals, 38 owned by Shawnee Development Inc, and the rest by 2 different banks/trust co's (United Penn Bank and Security Bank & Trust Co Trust). I'm wondering how that gums up the proceedings. As 1 of the 4 full owners, I have still not been contacted by anyone from HOA or Wyndham (or its reps).

 

[HitchHiker71]

I'm a whole owner in Fairway and I have not been contacted by anyone from Wyndham or HOA.

Does Wyndham have any way to contact you? Does the HOA? If you didn’t receive anything from the HOA I’d surmise they may not have sent anything yet to standard owners since no meeting has been scheduled yet. Just make sure you have proper contact information on file with the HOA. I’m assuming you are a part of the HOA correct?


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[shawnee83]

I went to the Monroe County GIS to check out the actual ownership. By what I could find, there are 4 units owned by individuals, 38 owned by Shawnee Development Inc, and the rest by 2 different banks/trust co's (United Penn Bank and Security Bank & Trust Co Trust). I'm wondering how that gums up the proceedings. As 1 of the 4 full owners, I have still not been contacted by anyone from HOA or Wyndham (or its reps).

I've been poking around there in the Monroe County records as well. United Penn Bank and Security Bank & Trust are also connected with a number of the Shawnee properties and are mentioned in our deed on file at the county. Through various mergers and acquisitions in the retail banking they are now the Citizens Bank on Main St in East Stroudsburg.

Now, I was just up there and walked around and I recall that 20 Palmer Dr is a privately owned unit as indicated by reserved parking. I look that up and I can see the name of the owners and there's no mention of Shawnee. But if I click just outside the polygon for 20 Palmer Dr I get the common area owned by FAIRWAY HOUSE PROPERTY OWNERS ASSOC and that has the same address as the various iterations of Shawnee.

 

[shawnee83]

I'm a whole owner in Fairway and I have not been contacted by anyone from Wyndham or HOA.

I'm a single week interval owner in River Village II and got a letter with the proxy material and Special Meeting notice about 14 days before the Special Meeting (every time I type "Special Meeting" it makes me think of "special military operation" with all the baggage that brings with it). I've seen on here that Wyndham hopes to close Fairway and Ridge Top by 31 March (thanks to @HitchHiker71) so maybe back off that date a bit to completely guess that the special meeting for Fairway and RT should be end of January. So maybe you and the other owners will get notice around mid-January?