[ 2012 ] BelAir

[WarriorKnight]

I have just discovered that my time share company, Playa del Sol Grand, in Puerto Vallarta went bankrupt and the properties are now owned by BelAir.
We have been told that our contract with Playa del Sol is void since they declared bankruptcy and all the properties were sold to BelAir during to bankruptcy.
BelAir is offering to honor the contract with many new restrictions. Award weeks only from 15 April to 15 November. Access to only the original two properties in Puerto Vallarta and Cabo San Lucas originally owned by Playa del Sol. No access to other current and future BelAir properties. Increasing maintenance fees with no cap. Only city and interior views. No ocean views. Only Saturday check in and out. No equity, it has vanished. Only bulk banking. We would be at the bottom of the reservation priority---after club members, after hotel guests, after exchange guests, etc.
The other option is to buy a membership in the BelAir vacaction or BelAir VIP vacation club for $6900 or $10,000 plus closing costs, about $700. This would remove all of the restrictions and move us to the top of the reservation priority. The term is changed from perpetuity to 30 years. The maintenance fee is capped at 4%. Tele Banking with II. Access to all present and future BelAir properties. 10% to 15% savings on hotel nights, spa and food and beverages. 3 or 5 bonus weeks at any time and any year.
There might be room for negotiation since the sales boss agreed to let us make a decision by tomorrow and to at least make an offer.
The option to remain as is does not seem like a good deal with all the restrictions and no cap on the maintenance fees. The sales boss said he would be happy to take back our contract since he could sell the two bedroom week for 40 plus thousand dollars. The other two options would make our time share much more useable but it is pretty expensive and I wonder if it is throwing good money after bad??. It seems as though you can buy quite a few weeks from HSI or II for six to ten thousand dollars. Or, from reading on TUG, we could buy some very nice time shares on the secondary market for what BelAir is asking just for an upgrade.
Really I am just asking for advice or suggestions from people more experienced with time shares. Any help would be greatly appreciated. Thanks

Kent

 

[TUGBrian]

if you mean belaire...you might want to read this thread

http://www.tugbbs.com/forums/showthread.php?t=69177

 

[T_R_Oglodyte]

if you mean belaire...you might want to read this thread

http://www.tugbbs.com/forums/showthread.php?t=69177

There's another Bel Air operation that has several locations in Mexico, including Vallarta. It operates as part hotel, part timeshare. I believe that is the operation the OP is referencing. I think the old Belaire is pretty much dead as a name; though the same operation lives on as the "U" hotel.

 

[WarriorKnight]

BelAir

No, the spelling I have is BelAir. This company is new to the time share market. The full logo is The BelAir Collection

Kent

 

[pacodemountainside]

This brings home the difference in RTU and deeded ownership.

Do you have a contract with all of this in writing just the way the salesperson explained?

Gut feeling is to let it go and see what is available on e-bay.

Or, just exchange in to Mexico, using RCI, II, SFX, etc.

Or, just rent for probably less than MF!

 

[T_R_Oglodyte]

No, the spelling I have is BelAir. This company is new to the time share market. The full logo is The BelAir Collection

Kent

Yep - that's the one I was referring to.

 

[T_R_Oglodyte]

This brings home the difference in RTU and deeded ownership.

Do you have a contract with all of this in writing just the way the salesperson explained?

Gut feeling is to let it go and see what is available on e-bay.

Or, just exchange in to Mexico, using RCI, II, SFX, etc.

Or, just rent for probably less than MF!

Actually there are two different types of RTU, and the distinction is important.

One is an RTU that is simply a membership in some sort of developer operated vacation club. The other is a RTU that is an ownership in a club that holds deeds in trust, separate from the developer. The second form can survive bankruptcy of the developer. Seems to me there have been a couple of situations such as that recently.

 

[Bill4728]

Actually there are two different types of RTU, and the distinction is important.

A>One is an RTU that is simply a membership in some sort of developer operated vacation club.

b>The other is a RTU that is an ownership in a club that holds deeds in trust, separate from the developer. The second form can survive bankruptcy of the developer. Seems to me there have been a couple of situations such as that recently.

So if <A>, the developer declares bankruptcy. You done. They don't exist any more and you can walk away free of any future obligations.

BUT with <B> you still would be an owner and when someone quote "BUYS THEM" the new owners must still operate as the first developer operated. they can't change the rules like BelAir seem to be trying to do.

We have been told that our contract with Playa del Sol is void since they declared bankruptcy

So you need to find out which is going on here. If <A> then walk away. If <B> tell them they aren't allowed to change the terms of your deal with the vacation club and that you will NEVER pay more money to them if they do.

Either way, you may just have to walk away from this TS.

 

[T_R_Oglodyte]

Originally Posted by T_R_Oglodyte View Post
Actually there are two different types of RTU, and the distinction is important.

A>One is an RTU that is simply a membership in some sort of developer operated vacation club.

b>The other is a RTU that is an ownership in a club that holds deeds in trust, separate from the developer. The second form can survive bankruptcy of the developer. Seems to me there have been a couple of situations such as that recently.

So if <A>, the developer declares bankruptcy. You done. They don't exist any more and you can walk away free of any future obligations.

BUT with <B> you still would be an owner and when someone quote "BUYS THEM" the new owners must still operate as the first developer operated. they can't change the rules like BelAir seem to be trying to do.

I just remembered. The "B" scenario is similar to the Grand Pacific/Monarch bankruptcy. The units sold by Grand Pacific to buyers are in a trust. That trust lives on even after the developer went through bankruptcy. DRI acquires the developer inventory so they own that. But the trust still has all of the properties it owns in the resorts. So the resorts are still solvent, and the club continues to operate. All that happens, at least in the short run, is that DRI slides into the developers place.

It's different when a vacation club is operated by the developer, with the developer still owning all of the deeds and simply selling memberships in the same way that a fitness club sells memberships. In that case if the developer bellies up, then the vacation club members simply become part of the pool of creditors, and most likely they are unsecured creditors to boot. Which means that in bankruptcy court the most they could expect is two drops from the hind teat.

 

[richardm]

Sorry to hear about your situation but this may be a blessing in disguise.

While the "new" developer is trying to strong-arm the members into emptying their pockets- this may actually give you the opportunity to wash your hands of this resort and pick up another timeshare that offers far more stability. There are plenty of great "freebies" being offered on Tug- so you may end up benefiting from this bullying tactic.

Over the last two years, I've seen numerous owners of the Playa del Sol's desperate to sell plus many that I haven't spoken to have been victims of the Mexican resale scam and paid thousands in fake "taxes and transfer fees" hoping they'd found a buyer.

Mexico is a beautiful place, but it has been the primary target for many timeshare scams both from telemarketers as well as unsavory developers.

 

[Ideeas]

Bel Air and Playa del sol

I am an owner at the La Jolla de Los Cabos A/B building. My friend bought a timeshare from PDS and now Bel Air. To the best of my knowledge PDS did not go bankrupt. For those of you that bought in the A/B Building look at your original contract and you will see a company operating as Dessarillo Touristica or something like that....look at your bills same company. So when an owner buys a company with the same name my assumption is he assumes anything related to that. Also they still operate as Playa del Sol under some of the timeshares. This indicates to me that they bought the company so how could it go bankrupt. I would be happy to talk to anyone who bought a timeshare in this building. I argued the case for my girlfriend and they are currently honoring her weeks. She paid all her dues up front.

 

[DeniseM]

I would be happy to talk to anyone who bought a timeshare in this building. I argued the case for my girlfriend and they are currently honoring her weeks. She paid all her dues up front.

Are you an attorney?