Bankrupt / Closed Timeshare resorts

[mike130]

You can add the Seawinds II in Dennisport, Ma.

​

 

[pedro47]

HGV Beach Quarters is temporarily closed.

 

[rjwehr]

Inverness at New Braunfels will no longer have timeshare units and is transitioning over to private ownership via LemonJuice Solutions

 

[mike130]

Inverness at New Braunfels will no longer have timeshare units and is transitioning over to private ownership via LemonJuice Solutions

Has anyone here ever dealt with LemonJuice Solutions?

 

[Laurie]

Has anyone here ever dealt with LemonJuice Solutions?

They're associated with the slimy operators Capital Vacations, and handled the dissolution of one of my ownerships last year. I'd already departed with my week, but many owners who hadn't were very unhappy and felt ripped off. Why do you ask?

 

[dioxide45]

Has anyone here ever dealt with LemonJuice Solutions?

I understand they are mostly a consulting type of outfit that also provides services and financing to individual HOAs to help them repurpose timeshare properties. That may be to close down the timeshare, try to rent or resell unsold inventory or convert some parts of a property to whole ownership.

 

[dioxide45]

They're associated with the slimy operators Capital Vacations, and handled the dissolution of one of my ownerships last year. I'd already departed with my week, but many owners who hadn't were very unhappy and felt ripped off. Why do you ask?

People generally feel ripped off because they think what they owned was worth far more than it was. For a timeshare that is closing, there is value in the real estate. The problem is that there are so many fees and legal costs to winding down a timeshare that most of the proceeds from the sale are wiped out. Much of that goes to fees paid to the managemnet company and consultant (in this case LemonJuice).

I think LemonJuice is providing a valuable service to timeshare HOAs. The main problem is the lack of communication from the BOD and management company about what is going on and the transparency behind the whole transaction.

 

[rickandcindy23]

People generally feel ripped off because they think what they owned was worth far more than it was. For a timeshare that is closing, there is value in the real estate. The problem is that there are so many fees and legal costs to winding down a timeshare that most of the proceeds from the sale are wiped out. Much of that goes to fees paid to the managemnet company and consultant (in this case LemonJuice).

I think LemonJuice is providing a valuable service to timeshare HOAs. The main problem is the lack of communication from the BOD and management company about what is going on and the transparency behind the whole transaction.

I hope that is not the case. Timeshares are usually in tourist areas that are highly desirable for owning condos as second homes for the ultra rich. It shouldn't cost a lot to wind down a timeshare, except management and the HOA board need to get cooperation from all of the owners.

Sometimes selling a unit or a few units is preferable to closing the timeshare down completely.

Val Chatelle is a good example. It's a townhouse with garage, 3 stories on the interior counting the loft, and it's in a very large townhouse community. Winding down as a timeshare shouldn't be terribly expensive. We are currently getting owners to accept weeks in different units to sell one of the units for hopefully $1.2 million. This will give us a huge reserve balance.

 

[captrags]

We own deeded weeks at Turtle Cay and Beach Quarters in Virginia Beach. Turtle Cay is Officially permanently closed as of last fall. We received a notice last fall that Beach Quarters is closed for at least a year for structural inspection/repairs of the balconies. This is how turtle Cay started on the repairs to the decks. We shall see but I bet the same results will occur at Beach Quarters. We purchased these on the resale market with Gold Key Resorts 20 years ago. Then came the purchase by Diamond Resorts, then Hilton bought/merged with Diamond. Turtle Cay Owners were given several options. (See other links). Best of luck to all!

 

[dioxide45]

It shouldn't cost a lot to wind down a timeshare, except management and the HOA board need to get cooperation from all of the owners.

I think the cost are significant. Just look at what Wyndham is doing. They have a big law firm and who knows how much they have to pay them. Legal costs, mailing costs, you have to reconcile all ownerships, which there could be hundreds or thousands of owners. You have to mail each one, multiple times. Each mailing probably costs a few dollars per owner per mailing. A lot also depends on how the governing documents are written. Thus you also need a law firm to review the governing documents and provide proper advice to the BOD. If you then have owners that don't cooperate, the HOA may then need to take legal action. Have to clean up units that are in default. Then what about owners who are dead. Most of properties in these situations are old with an aging owner base. Things are often a mess. It isn't cheap.

 

[Laurie]

People generally feel ripped off because they think what they owned was worth far more than it was. For a timeshare that is closing, there is value in the real estate. The problem is that there are so many fees and legal costs to winding down a timeshare that most of the proceeds from the sale are wiped out. Much of that goes to fees paid to the managemnet company and consultant (in this case LemonJuice).

I think LemonJuice is providing a valuable service to timeshare HOAs. The main problem is the lack of communication from the BOD and management company about what is going on and the transparency behind the whole transaction.

It was much more complicated than this at my previous ownership, and tho I don't care to spend time going into much detail here, suffice it to say Capital had been the management company, had taken over the board, yes communication and transparency were almost non-existent, but where it did exist it was chaotic, contradictory and inconsistent. Some who had continued to pay MF's during closed years (which resulted in net losses) received teeny-tiny payouts and some didn't. The whole saga was really a shame.

It sounds on the face like LemonJuice was offering a good and needed solution, I thought so at first, but changed my mind.

 

[pedro47]

We own deeded weeks at Turtle Cay and Beach Quarters in Virginia Beach. Turtle Cay is Officially permanently closed as of last fall. We received a notice last fall that Beach Quarters is closed for at least a year for structural inspection/repairs of the balconies. This is how turtle Cay started on the repairs to the decks. We shall see but I bet the same results will occur at Beach Quarters. We purchased these on the resale market with Gold Key Resorts 20 years ago. Then came the purchase by Diamond Resorts, then Hilton bought/merged with Diamond. Turtle Cay Owners were given several options. (See other links). Best of luck to all!

The same builder and developer built these two (2) resorts in Virginia Beach, Virginia.

 

[T_R_Oglodyte]

People generally feel ripped off because they think what they owned was worth far more than it was. For a timeshare that is closing, there is value in the real estate. The problem is that there are so many fees and legal costs to winding down a timeshare that most of the proceeds from the sale are wiped out. Much of that goes to fees paid to the managemnet company and consultant (in this case LemonJuice).

I think LemonJuice is providing a valuable service to timeshare HOAs. The main problem is the lack of communication from the BOD and management company about what is going on and the transparency behind the whole transaction.

Another part of that inherent difficulty in getting a motley group of owners to commit to a course of action. If there is a viable option to consolidate ownership and sell the resort, there will be a significant fraction of owners who will resist and strenuously second-guess any decisions that are made. And they will adamantly refuse to surrender their deeds. And that will tank the option.

I would say that getting timeshare owners to unite behind a single course of action is like herding cats, except that would be a disservice to all people who have actually tried to herd cats.