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2020 points increase in Cabo!

SmithOp

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I just noticed this alert on the club web site, I wonder if it will spread to other resorts that HGVC feels is undervalued. Owners should see a point increase to lower their fee per point ratio.

After a recent evaluation, Hilton Grand Vacations has adjusted the ClubPoints value for 2020 reservations at Fiesta Americana Villas Los Cabos All Inclusive Golf and Spa Resort. The Points adjustment better reflects Club Member demand for the destination and the quality of the offerings at the resort. The adjustment does not impact existing reservations or new reservations for stays in 2019. The change is effective as of May 8, 2019.

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escanoe

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I had been wondering why 2020 Cabo inventory has not loaded on the website yet. It still does not show January inventory. Maybe it was delayed by a renegotiation or HGVC folks having to do back end implementation work on the website. Last year they loaded inventory for the next January on April 23rd per a TUG post I saw. I have been hoping to book a week 1 reservation, but am growing doubtful I will be able.
 
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hurnik

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Yowza, 4800 increase to 6200 for Platinum?
Eesh.

Wonder if HGV will expand this to other resorts, thus "devaluing" existing contracts.

I think they sorta did this a long time ago for one of the resorts (had a bronze week or something and now it's gone), but I don't remember the exact details.
 

1Kflyerguy

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Yowza, 4800 increase to 6200 for Platinum?
Eesh.

Wonder if HGV will expand this to other resorts, thus "devaluing" existing contracts.

That was my immediate thoughts as well. This might be a one off and partially driven by Fiesta, and the fact that HGV is building out their own resort in Cabo.

Of course it might also be beginning of a point price increase...

Now if this part of a wider price increase, hopefully the resort I own goes up so i get more points....
 

CalGalTraveler

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That's too bad. AI also increased to $100/pp per day. It was $80 in 2018. But still not mandatory which would be a deal-breaker. I don't think we purchased AI last visit because we don't eat or drink enough to justify it. With the exception of the breakfast buffet, seafood night (or possibly mexican night - cannot recall)and the fish taco place by the pool, most of the restaurants are not that good so we buy a-la-carte, eat in or go to town.

RCI AI was $125 last I checked and the points requirements were higher. This probably puts the points more in line with those values.

We are also looking at some of the other non-mandatory AI Cabo TS in RCI and II as there are many nice resorts in the area.
 
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buzglyd

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I’m sure the demand increased after I reported what a nice place it is. ;-)

And of course HGV will be selling it’s own resort in the area now so I’m not surprised at the news.

Hopefully the Cancun area resorts remain the same.
 

CalGalTraveler

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@buzglyd Cancun is on our bucket list. Which is better? Westin Lagunamar, or the FA resorts through HGVC?
 

buzglyd

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@buzglyd Cancun is on our bucket list. Which is better? Westin Lagunamar, or the FA resorts through HGVC?

I haven’t stayed at FA but walked the property. I’ve stayed at Lagunamar and would choose it easily over the FA.

The FA Cancun is not as nice as the Cabo property.
 

GregT

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@buzglyd Cancun is on our bucket list. Which is better? Westin Lagunamar, or the FA resorts through HGVC?
I've not stayed at the FA resort, but we thought Westin Lagunamar was fantastic -- loved the pools and the location was excellent. Good luck!

Best,

Greg
 

brp

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So, just so I'm clear - owners at this resort will get more points in their annual allotment so that their "percentage ownership" remains the same with the increased point total across rooms/seasons, correct?

Basically:
  • The owners stay whole within their resort as nothing has changed in a relative way
  • Owners there now have more points to spend elsewhere in the system based on this
  • Non-owners trading in are hurt by this

Am I seeing that correctly? If so, we should all want the places we own to be adjusted like this.

Cheers.
 

SmithOp

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Thats my take on what is happening BRP, but there is something we don’t know yet. Will the owners have an adjustment to their maint fees come January?

Its clear the change was made now before 2020 inventory is released for club booking affecting the rest of us, owners that already booked home weeks for 2020 would not be affected.


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CalGalTraveler

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I hope this is only because this is a negotiation between FA and HGVC and isn't a harbinger for adjustments within the HGVC system. I know that Hyatt adjusted their Key West properties upward to make them commensurate with similar resorts in the system benefiting Key West owners. However the change was rare and not a common occurrence to fix a disparity in the system.
 

echino

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I was looking to possibly buy a resale Fiesta Americana Cabo contact and decided against it. FA owners pay maintenance fees per point, so there is no benefit in increasing the points for owners. Also, not sure what the implications would be for FA owners looking to book HGVC properties, maybe nothing will change. But the deal breaker was that FA owners are officially prohibited from renting out their properties, even home resort reservations. It is for personal use only.
 

brp

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But the deal breaker was that FA owners are officially prohibited from renting out their properties, even home resort reservations. It is for personal use only.

How do they enforce that prohibition?

Cheers.
 

dayooper

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Thats my take on what is happening BRP, but there is something we don’t know yet. Will the owners have an adjustment to their maint fees come January?

Its clear the change was made now before 2020 inventory is released for club booking affecting the rest of us, owners that already booked home weeks for 2020 would not be affected.


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Or, if owners use their week, they use up their points but if they give up their week, they get their original point allotment.

My guess is that’s what the new resort’s points will be and they don’t want to have to compete with the FA resort for sales.
 

brp

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Or, if owners use their week, they use up their points but if they give up their week, they get their original point allotment.

Meaning that if they give up their week and want to book days, they get fewer days since they get original points but nights now cost more? Not sure that that is legal as, as far as I understand, a contract represents a certain percentage of ownership and this would reduce their ownership percentage on the points conversion.

Cheers.
 

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How do they enforce that prohibition?

Cheers.

I don't know. Maybe they don't enforce it. But just a fact that their rules prohibit renting my home resort reservation is a deal breaker. I want to be able to openly offer the week for rent in the years I am not personally using it.
 

dayooper

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Meaning that if they give up their week and want to book days, they get fewer days since they get original points but nights now cost more? Not sure that that is legal as, as far as I understand, a contract represents a certain percentage of ownership and this would reduce their ownership percentage on the points conversion.

Cheers.

But isn’t FA a RTU? We aren’t talking about a deeded resort in the US. We are talking about a Mexican RTU. Also, what would be the jurisdiction for the law suit? Would It fall under US or Mexican law? If it falls under Mexican law, my guess is that the Mexican courts aren’t going to rule against a Mexican based company in FA over a US citizen over how many points they receive in a timeshare points exchange.
 

brp

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But isn’t FA a RTU? We aren’t talking about a deeded resort in the US. We are talking about a Mexican RTU. Also, what would be the jurisdiction for the law suit? Would It fall under US or Mexican law? If it falls under Mexican law, my guess is that the Mexican courts aren’t going to rule against a Mexican based company in FA over a US citizen over how many points they receive in a timeshare points exchange.

Now that is a really good point!

Cheers.
 

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I hope this is only because this is a negotiation between FA and HGVC and isn't a harbinger for adjustments within the HGVC system. I know that Hyatt adjusted their Key West properties upward to make them commensurate with similar resorts in the system benefiting Key West owners. However the change was rare and not a common occurrence to fix a disparity in the system.

I would image FA owners point structure didn't change for their RTU ownership. What we don't know is if an owner of FA trading into HGVC, are they required to use more of their points? This change only appears to impact HGVC owner trading into FA Los Cabo and maybe not vice versa.

This reminds me of when Club Intrawest changed their point structure for HGVC to trade into their resorts. There was no impact to Club Intrawest owners, only to HGVC owners wanting to trade into Club Intrawest.

Since FA and HGVC have an affiliate relationship, we shouldn't be surprised if point structures change for negotiated terms that are several years old.
 

Tamaradarann

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Yowza, 4800 increase to 6200 for Platinum?
Eesh.

Wonder if HGV will expand this to other resorts, thus "devaluing" existing contracts.

I think they sorta did this a long time ago for one of the resorts (had a bronze week or something and now it's gone), but I don't remember the exact details.

I am not sure what you mean by "devaluing" existing contracts. The HGVC Resorts and Point Structure is the base of what HGVC owners own and have to exchange for other resorts. My understanding is that Fiesta American has a special exchange relationship with HGVC, but it is NOT part of the club just like the RCI resorts are NOT part of the club. Therefore, raising their points just like if RCI raised it's points is not really HGVC "devaluing" existing contracts for within club reservations.
 

hurnik

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I am not sure what you mean by "devaluing" existing contracts. The HGVC Resorts and Point Structure is the base of what HGVC owners own and have to exchange for other resorts. My understanding is that Fiesta American has a special exchange relationship with HGVC, but it is NOT part of the club just like the RCI resorts are NOT part of the club. Therefore, raising their points just like if RCI raised it's points is not really HGVC "devaluing" existing contracts for within club reservations.

What I meant was:
Let's say you bought a 3400 point (1 BR 1 week "gold") and then later HGV says, well 3400 points no longer gets you 1 week in gold, it's now 4800 points starting in year BLAH for new bookings.

Granted, FA is an odd beast (I don't think you can guy HGVC Fiesta Americana, but I could be wrong).

Although I do recall they did change (or get rid of) a "season" for one of the resorts a long time ago (there was a thread on this and someone looked it up), but I don't know what the impact to owners at that resort was. Like HGVC got rid of the Bronze week or something, thus "increasing" the points (if you wanted that week of course). I have no idea what happened to owners who bought those "weeks".
 
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PigsDad

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Although I do recall they did change (or get rid of) a "season" for one of the resorts a long time ago (there was a thread on this and someone looked it up), but I don't know what the impact to owners at that resort was. Like HGVC got rid of the Bronze week or something, thus "increasing" the points (if you wanted that week of course). I have no idea what happened to owners who bought those "weeks".
It was before I was an owner (bought in 2005), but I believe it was the Flamingo location where they adjusted the season of some of their weeks. What I remember is that owners of those weeks had their points bumped up, in order to make them whole. It wasn't that many weeks, so it probably wasn't a big impact. That is the only HGVC points adjustment that I know of.

Kurt
 

1Kflyerguy

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What I meant was:
Let's say you bought a 3400 point (1 BR 1 week "gold") and then later HGV says, well 3400 points no longer gets you 1 week in gold, it's now 4800 points starting in year BLAH for new bookings.

Granted, FA is an odd beast (I don't think you can guy HGVC Fiesta Americana, but I could be wrong).

Although I do recall they did change (or get rid of) a "season" for one of the resorts a long time ago (there was a thread on this and someone looked it up), but I don't know what the impact to owners at that resort was. Like HGVC got rid of the Bronze week or something, thus "increasing" the points (if you wanted that week of course). I have no idea what happened to owners who bought those "weeks".

I do see FA / HGV listings on eBay periodically. There is one listed right now :

https://www.ebay.com/itm/Fiesta-Americana-Vacation-Club-Points-7-000-HGVC-Timeshare/202672971828?_trkparms=aid=111001&algo=REC.SEED&ao=1&asc=56110&meid=bd24d1eb9aa44ccd9104da294fb26f9f&pid=100675&rk=1&rkt=15&sd=202672971828&itm=202672971828&_trksid=p2481888.c100675.m4236&_trkparms=pageci:b219a6b3-733f-11e9-bfe2-74dbd1806ab5|parentrq:a28cdd9c16a0ad793036bc31ffdbe133|iid:1

But they seem funky, and the ad states its over $300 to exchange using the HGV points, so i would not buy one if my primary goal was HGV.

Also the list of HGV resorts is not complete, not sure if the ad is inaccurate or if these indeed only trade into specific HGV locations.
 
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brp

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It was before I was an owner (bought in 2005), but I believe it was the Flamingo location where they adjusted the season of some of their weeks. What I remember is that owners of those weeks had their points bumped up, in order to make them whole. It wasn't that many weeks, so it probably wasn't a big impact. That is the only HGVC points adjustment that I know of.

Kurt

The thing about that is it decreases the ownership percentage of all the folks who are not in the bumped-up group. So it still seems that increasing overall points is not OK (again, based on the Disney model where this can't be done (aforementioned shady shenanigans aside). They can reapportion across days, rooms, seasons, but the total has to remain the same.

Cheers.
 
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