April 2024 Vote

[sforgues]

Got the proxy for the April 2024 vote for directors just now. None of the candidates mention any association with Wyndham in their statements...seems like a first unless that just has not been disclosed. Does anyone know if any of these candidates are Wyndham affiliated?
Roger Cederholm
John Gettys
George Keeny (incumbent)
Edward Levine
Larry Warner (incumbent)

 

[rcederholm]

Got the proxy for the April 2024 vote for directors just now. None of the candidates mention any association with Wyndham in their statements...seems like a first unless that just has not been disclosed. Does anyone know if any of these candidates are Wyndham affiliated?
Roger Cederholm
John Gettys
George Keeny (incumbent)
Edward Levine
Larry Warner (incumbent)

I can assure you that I am not associated with Wyndham. My goal in applying was to bring an engineering/ KBV viewpoint to the team. My hands on management style should benefit Kauai Beach Villas. My wife and I have been owners for many years and have seen the challenges over the years. The latest structural challenges need intelligent intervention.
My philosophy is failing to plan is planning to fail.
Kind regards
Roger Cederholm

 

[jacknsara]

I can assure you that I am not associated with Wyndham. My goal in applying was to bring an engineering/ KBV viewpoint to the team. My hands on management style should benefit Kauai Beach Villas. My wife and I have been owners for many years and have seen the challenges over the years. The latest structural challenges need intelligent intervention.
My philosophy is failing to plan is planning to fail.
Kind regards
Roger Cederholm

Aloha Roger,
Welcome to TUG.
I suggest you review several of the stickies at the top of the page here: https://tugbbs.com/forums/forums/kauai-beach-villas-ioa-public-square.61/
I also suggest perusing many of the threads discussing conditions at KBV. If you do, at a minimum, you will acquire insights into other owners' perspectives.
I encourage you to become a regular participant in this sub-forum. My position about that is in this thread: https://tugbbs.com/forums/threads/the-evolution-of-a-virtual-primary.289923/
For you and any other new candidate who decides to engage here: Feel free to PM (private message) any time you want my perspective as a former independent BOD member at KBV.
Jack

 

[jacknsara]

Roger (and any other BOD candidate)
It occurred to me that newbies cannot initially use the PM feature. Feel free to post here if you want me to initiate a PM with you.
Jack

 

[MMusselwhite]

Roger (and any other BOD candidate)
It occurred to me that newbies cannot initially use the PM feature. Feel free to post here if you want me to initiate a PM with you.
Jack

My husband and I want to know more information about what is happening with our property at Kauai Beach Villas. Can you provide us any update? I would really like to speak to someone in the know!

 

[tango]

In a nutshell, for sometime now it has been known that major repairs are required to bring all the buildings up to code. The cost being estimated up to 50 million dollars. It is estimated that potential special assessments to timeshare owners could be around $6000 per week. This is in addition to the ocean front buildings that have been declared uninhabitable. You would have received notice of a $600+ per week special assessment recently to begin repairs on those buildings. Also there are some units that are fully owned by residents, and the anticipated assessment for those whole owners could be over $400,000. In order to determine whether or not to proceed with this remediation, there was supposed to be a vote last year by owners. However this was not held due to a lawsuit by the whole owners that still has to be determined. At any rate, it is thought that if the vote is not to rebuild, then the resort would have to be liquidated. Many are pessimistic that a vote to rebuild would succeed, as it is likely that many do not want to pay such large assessments. We do not know when another vote will be scheduled.

 

[DeniseM]

I believe the owners did submit their votes regarding the resort's future (I know I did) but management did not complete the election, due to the lawsuit.

 

[waginger]

Got the proxy for the April 2024 vote for directors just now. None of the candidates mention any association with Wyndham in their statements...seems like a first unless that just has not been disclosed. Does anyone know if any of these candidates are Wyndham affiliated?
Roger Cederholm
John Gettys
George Keeny (incumbent)
Edward Levine
Larry Warner (incumbent)

Did you receive your proxy by email or regular USPS?

 

[sforgues]

USPS

 

[MMusselwhite]

My husband and I want to know more information about what is happening with our property at Kauai Beach Villas. Can you provide us any update? I would really like to speak to someone in the know!

In a nutshell, for sometime now it has been known that major repairs are required to bring all the buildings up to code. The cost being estimated up to 50 million dollars. It is estimated that potential special assessments to timeshare owners could be around $6000 per week. This is in addition to the ocean front buildings that have been declared uninhabitable. You would have received notice of a $600+ per week special assessment recently to begin repairs on those buildings. Also there are some units that are fully owned by residents, and the anticipated assessment for those whole owners could be over $400,000. In order to determine whether or not to proceed with this remediation, there was supposed to be a vote last year by owners. However this was not held due to a lawsuit by the whole owners that still has to be determined. At any rate, it is thought that if the vote is not to rebuild, then the resort would have to be liquidated. Many are pessimistic that a vote to rebuild would succeed, as it is likely that many do not want to pay such large assessments. We do not know when another vote will be scheduled.

Thank you for your information. I plan to vote on the new board member once I have gotten more information about their ideas about renovation versus liquidation. And I will attend the Board meeting by Zoom as we will be in Hawaii at that time anyway.

 

[rcederholm]

I can assure you that I am not associated with Wyndham. My goal in applying was to bring an engineering/ KBV viewpoint to the team. My hands on management style should benefit Kauai Beach Villas. My wife and I have been owners for many years and have seen the challenges over the years. The latest structural challenges need intelligent intervention.
My philosophy is failing to plan is planning to fail.
Kind regards
Roger Cederholm

MMusselwhite asked a question , but they must have replies blocked, since it tells me it's closed.

 

[rcederholm]

At this moment in time I am not able to provide any more information than what has been posted. The engineering side of me says gather all the facts minus prejudices before making decisions.

 

[jacknsara]

Aloha rcederholm,
I infer from the following that you attempted to initiate a private message.
Newbies cannot initiate private messages until some participation criteria are met. While inconvenient in the current situation, this block does serve a valid purpose.

rcederholm said:
MMusselwhite asked a question , but they must have replies blocked, since it tells me it's closed.

 

[Geebrr]

We too got the card in the mail for the election and annual meeting. My question is, do I vote for the Board as a whole, is there someone who doesn't support sinking more and more money into KBV to assign my proxy to, or do I check the third option, No One? It is all very confusing! Any thoughts from other owners would be appreciated.

 

[DeniseM]

As jacknsara (former board member) explained recently, since Wyndham owns a controlling interest at KBV, they will control the election, so it doesn't matter how the rest of us vote. Wyndham and the lawsuit will determine the outcome of this whole fiasco.

 

[sforgues]

My understanding is that the first question tells them who you want to vote your proxy. The second question is who you want them to vote for as a board member.

 

[bnoble]

There are two different elections that we might be talking about.

is there someone who doesn't support sinking more and more money into KBV

One is an election of IOA Board members--and that's the current vote before us. From my perspective, this is not a terribly consequential election. That's because while the collection of apartments is an ongoing condo association, the Board is obligated to reasonably maintain it. They can't just decide, by themselves, to e.g. not repair the two ocean front buildings that are not currently habitable.

The much more interesting vote is the vote on whether we should "not proceed" with remediation. That is a vote of "the apartments", of which each interval owner owns a fraction. If that vote succeeds, the condo association will be terminated and the property can then be put up for auction. That vote is currently tabled, pending a resolution of the lawsuit that the whole owners brought almost two years ago. That case continues. It is still currently scheduled for a jury trial this September. The most recent entries suggest that the AOAO and IOA board deposed a couple of the plaintiffs last week.

At some point, that suit will come to a conclusion, and we will re-open the vote to "not proceed." Based on my read of the tea leaves, the Interval owners (including Wyndham) are generally in favor of not proceeding/termination. The whole owners' preferences are less clear---and there are enough of them that if they vote against the motion to "not proceeed" as a block, then that that motion will fail.

 

[CO skier]

At some point, that suit will come to a conclusion, and we will re-open the vote to "not proceed." Based on my read of the tea leaves, the Interval owners (including Wyndham) are generally in favor of not proceeding/termination. The whole owners' preferences are less clear---and there are enough of them that if they vote against the motion to "not proceeed" as a block, then that that motion will fail.

So, KBV owners (not Wyndham) ultimately have the "controlling interest" for the destiny of the resort?

In contrast to the fake news repeated over the last few years:

since Wyndham owns a controlling interest at KBV, they will control the election, so it doesn't matter how the rest of us vote.

 

[bnoble]

Well, Wyndham is also an owner for anything hey have taken back/foreclosed on and not resold. They also retain voting rights to any weeks that are in the CWA trust. I have no idea what fraction of the intervals that represents in total, but it is probably a fair chunk.

 

[CO skier]

The whole owners' preferences are less clear---and there are enough of them that if they vote against the motion to "not proceeed" as a block, then that that motion will fail.

Well, Wyndham is also an owner for anything hey have taken back/foreclosed on and not resold. They also retain voting rights to any weeks that are in the CWA trust. I have no idea what fraction of the intervals that represents in total, but it is probably a fair chunk.

Well ... which is it? The "whole owners" who can "vote against the motion to not proceed as a block", or Wyndham?

 

[bnoble]

The whole owners own about 1/3 of the resort. The vote not to proceed will require at least some of those to vote in favor to pass, because it has a threshold of 75%. Wyndham likely has a substantial share of the intervals in the other 2/3ds so they too could potentially be determinative.

So the answer to your snarky question is “Both, I think.”

If you’d actually paid attention to what I’ve been writing about this all along instead of wanting to show up Denise, you’d know this. She gets under my skin too with the constant invective against Wyndham, but that doesn’t mean she’s wrong about some of the facts.

 

[bnoble]

In fact, Wyndham is likely to control most if not all of the Interval votes because of the way the vote is structured. Namely: Each condo votes as a single entity. Obviously, the whole owners just vote. But the condos that are part of the timeshare plan vote as follows: Each week owner votes their week. If a majority of the total weeks of any condo vote yea or nay, that is the vote for that condo. But, for any condo that does not have 26+ votes in favor or against, the IOA board casts the vote for that condo.

This essentially means that each timeshare condo is very likely to vote the way Wyndham is hoping, because lots of owners will not manage to vote, but Wyndham definitely will. If enough owners plus Wyndham vote the way Wyndham would like, that's the vote for that condo. If the vote is split to the point that neither exceeds 26+ votes, then the IOA will cast the vote for that condo (presumably, in the direction Wyndham would like). The only way any timeshare condo votes contrary to Wyndham's hopes is for 26+ individual owners to actually cast a vote in that direction.

The odds of that don't strike me as particularly high.

The good news is that I assume Wyndham is economically rational. If so, they realize that the cost of remediation approaches the total value of the condos and it would be more profitable to liquidate the condo plan and auction the property. And, that's the outcome I am hoping for too. So, in this case I believe Wyndham's incentives and mine are aligned.

 

[DeniseM]

Jack is a long-time TUG member, moderator, and a former KBV Board member:

Aloha,
I am not worried about anything the non incumbent candidates say since there is negligible chance any will win (partially explained in post https://tugbbs.com/forums/threads/kbv-envisioning-the-future.361679/#post-3031685 ):
A few years back KBV IOA director elections changed from two year terms with 3 directors elected one year and 2 the next to all director positions having three year terms and no more than 2 director positions being up in a single year’s regular election. Given Wyndham’s share of ownership and the change just described, it is hard to imagine how anyone could ever be elected again without Wyndham’s votes.
This long thread “Pahio Kauai Beach Villas board election” spans April 2016 through January 2019: https://tugbbs.com/forums/threads/pahio-kauai-beach-villas-board-election.240675/ It documents most of the story of how I got elected to the KBV IOA BOD. A key numerical detail was that Wyndham had to decide how to spread their voting power among their 3 candidates. Us independents only had to concentrate on coming in third place.

In addition, I have yet to see any indication that any of the 3 new candidates are engaging in any campaign communication beyond their statement in the official NOTICE OF ANNUAL MEETING OF THE MEMBERSHIP AND ELECTION OF DIRECTORS. The only way a non-Wyndham supported candidate can win is to have almost every independent owner vote for the same independent candidate ( https://tugbbs.com/forums/threads/the-evolution-of-a-virtual-primary.289923/ ). With three independent candidates splitting that vote, negligible turns into zero.
The situation is sad. I believe there is virtually nothing us independent owners can do to influence it (other than choosing to pay or default). So I choose to not worry about it.
Jack