Festiva takes over resort

[Sou13]

I've been searching the Internet for the history of Don Clayton because of something I read about his history with the Equivest Vacation Club. I found this article http://www.nxtbook.com/ygsreprints/ygs/g13153_ARDA_marchaprl10/index.php?startid=44#/46 which states the Clayton and Patrick philosophy as rather than building properties from the ground up, Festiva's trend is to purchase resorts that may have fallen on hard times and then to improve them for renovations, new amenities, and above all, service.

My issue with Festiva is that deeded owners at the resorts in which Festiva acquires weeks are the ones who are assessed for the renovations, new amenities, etc. and that they have no say in these special assessments.

In 2009 Festiva had to raise the MF for Club members because of a shortfall in funds. In just three years as a Club Festiva is already having difficulty collecting fees. Southcape Resort had not fallen on hard times IMO but has indeed fallen on hard times NOW thanks to the philosophy of Clayton and Patrick.

 

[Sou13]

Letter from Festiva

Does anyone have a copy of the letter from Festiva to Club members? I have a read-only copy that was emailed to me by a former Southcape owner who was misled into converting a summer week to FAC points. Needless to say there's no joy in FestivaLand as members are getting hit in the stomach with this one!

 

[Sou13]

Sock it to'em

Dear Sir or Madam:

2010 has been a great year for the Festiva Adventure Club. The changes made to the club for 2010 have been a success both for the club's financial health as well as improved member usage and satisfaction. There has been a significant decrease in member delinquencies as compared with 2009 as well as a significant increase in rental revenues related to the rental of nreserved inventory that would otherwise go unused. Currently the positive signs and future indications are looking immeasurably better than this same time in 2009.

We are excited to say that Festiva Hospitality Group will add more than 3,000 new members to the Adventure Club through its sales efforts by the end of 2010, bringing the total membership to more than 20,000 members. This net increase in members helps to ensure a healthy and vibrant club.

As we discussed last year, the Festiva Adventure Club has also seen the effects of the economic recession as have many other industries, businesses and individuals. In 2009 there was an increase in delinquencies and defaults from 8% to 14%. As a result the Festiva Adventure Club faced some very large deficits heading into 2010 totaling nearly $900,000. In order to face those deficits head on and to ensure that the Festiva Adventure Club continued to fulfill its mission of providing superior products and services to its members, the maintenance fee structure was adjusted in 2010 to include nearly 15% expected bad debt and defaults by its members. Fortunately we can say with certainty at this point that delinquencies and defaults will not exceed 15% for 2010. We anticipate that your increase from 2010 to 2011 will be nominal. However, 2011 will also be the year in which the Festiva Adventure Club must assess its first (and it is hopefully its last) Special Assessment.

The Festiva Adventure Club owns real estate at the resort locations that your membership entitles you to be able to use. Just as the Festiva Adventure Club has seen a rise in delinquencies and defaults as a result of the dire economic conditions, so too have nearly all of the resort locations. In order to make up for those delinquencies and defaults and to also ensure that timely renovations and improvements may continue to happen, many of the Boards of Directors at the resorts have made the difficult decision to special assess the owners of the resorts to raise the required capital funds.

As a result of, the Festiva Adventure Club has been invoiced approximately $7.8 million by the various resorts. While this news may seem unpleasant, you as a Festiva Adventure Club member are receiving a substantial savings in comparison with an individual resort owner. While the average resort owner will see an average special assessment of more than $700, you as an Adventure Club member will only see a special assessment of $400 that will be payable in two annual installments of $200. This $200 special assessment will ensure that the resort locations where you spend your vacation time will be able to meet and exceed your expectations of quality for years and years to come despite these troubled economic times.

• Page2

September 2, 2010

Festiva Hospitality Group passes this news along with sincere empathy as it has certainly felt the pain firsthand. As we mentioned last year, Festiva Hospitality Group (while under no obligation to do so) has subsidized the Adventure Club's bad debt in an amount approaching $1 million during 2009. We mention the above contribution as we predict that the news of this special assessment could be met by accusations and rumors spread among members through various internet outlets or at the resorts since there was such a large increase in maintenance fees in 2010.

This special assessment will cover many things at many resorts. There will be exterior renovations to beautify certain resorts, complete renovations of the resort accommodations themselves at most resorts, and energy efficient replacements of outdated windows, roofs, cooling systems, hot water heaters, etc. While the timing may be inconvenient, we see this special assessment as an opportunity to take your vacation experience to the next level very quickly and in most cases permanently.

In addition to the various resorts initiating extensive and sustainable renovations and upgrades, Festiva Hospitality Group and its subsidiaries will be reinvesting in the resorts alongside the resort members and Festiva Adventure Club. At no charge to any member, Festiva Hospitality Group and its subsidiaries will be funding special amenity improvements to be shared by all members. One such project will be to fund the installation of Wi-Fi access at every Festiva managed resort. Not only will Festiva Hospitality Group pay for the installation of the Wi-Fi access, it will also deliver it to you the member at no charge. There will also be special projects such as construction of sporting facilities, common area improvements and more.

You will also see a new line item on your budget classified reserve expense totaling $50. This addition to your annual maintenance fee should ensure that the need to have a special assessment in the future will be very unlikely. Regardless of whether or not the resorts pass along assessments in the future, the establishment of this reserve fund will ensure there is always an "emergency fund" in place for the Festiva Adventure Club to meet those obligations without having to special assess you the member again.

As a gesture of appreciation for your continued support, you will also receive a gift from Festiva Hospitality Group in the form of a gift card for a Relaxing Retreat vacation valued at $500 as a thank you. This gift card can be used to reserve a Relaxing Retreat 7 night vacation at one of our resorts in 2011. You can use it yourself, give it as a gift to friends or family or donate it to charity.

We thank you sincerely for helping the Festiva Adventure Club continue to move forward and promise you we will do our absolute best to provide to you the highest quality resort and vacation experiences in the coming months and years!

Sincerely,
Festiva Adventure Club

 

[e.bram]

What or who is Festiva Holiday Group?(money sink)

 

[Sou13]

More on the "money sink"

It's the "Hospitality" Group not the "Holiday" Group but you got the "money sink" part right!

Today I heard from the Southcape-Festiva convert who provided the above letter which TUG users seem to be letting go by unnoticed. Now Festiva is offering members a 3-day/2-night stay at Southcape for $79 if they are willing to meet with the developer and provide feedback on Festiva's plans to upgrade the resorts in the Club. If they also attend a meeting to try to sell them more points, they'll get a $50 gift card, making the stay cost only $29, transportation, and their valuable time. This offer was made over the telephone, which is why I can't reproduce it here.

If anyone else gets such an offer, can you please post it here? Thank you!

 

[Sou13]

Another Festiva ploy

Another Cape Cod timeshare owner found this promo at http://www.myresortnetwork.com/vacation-packages/Massachusetts/Cape-Cod Cape Cod Massachusetts Promotion:

2 Nights $99 or 3 Nights $149 or Includes $25 Visa Gift Card

Enjoy a piece of the Cultural Coast in Cape Cod. 2 night packages starting at $99. Cap Cod includes 15 distinctive towns, arts & culture, quaint shops, wooded bicycle paths, plentiful events & festivals,and endless array of land and sea activities. Visit countless historic sites and landmarks, each telling the proud role that Cape Cod has played in American history. 2 night packages starting at $99.



Hotel 2 Nights
3 Nights

Santuit Inn
$99.00
$149.00

Admiralty Inn
$99.00
$149.00



Santuit Inn
Immerse yourself in the quaint decor and stylish Cape Cod, Massachusetts ambience ever-present in the beautifully appointed accommodations. Enjoy casual comfort and convenience amidst gracious amenities and thoughtful service � just steps away from the waves of the Atlantic Ocean. At the Santuit Inn, having the ability to kick back and set your own pace is the greatest comfort of all. Enjoy your home away from home at the laid-back retreat.

Standard Double
A Standard Double is a newly renovated unit with two full sized beds. Designer pillows and linens make your stay with us comfortable. The furniture consists of a collection of end tables, five drawer bureaus, and an armoire. New air conditioning and heating units have been installed. Off of the bedroom is a bathroom with a stall shower. Wireless internet is available on property free of charge for your convenience.

Santuit Inn Features:

•32 High Definition Flat Screen TVs
•Complimentary Wireless Internet
•New Individually Controlled Heat &Air-Conditioning Units
•Designer Bedding and Mattresses
•100% All Natural Fiber Linens
•Refrigerator Rental ($10/night)
•Hair dryer and Iron/ironing board (available for use at front desk free of charge)
•Complementary Parking
•Convenient location to everything on Cape Cod
•Convenience Store, Ice Cream Parlor, Pizza & Sub Shop, Honeydew Donuts, Perseys Place (Cape Cods largest breakfast menu)and Wine & Liquor Store all in walking distance to the property
See Pictures


Admiralty Inn & Suites
The Admiralty Inn & Suites in Falmouth is a great Cape Cod hotel for your vacation destination and is conveniently located only minutes from both Falmouths busy downtown and beautiful beaches. The Free Continental Breakfast is great for our guests who are eager to quickly head to the beach. You can also check your e-mail fast with our Free High Speed Internet Access before heading out. The perfect spot for those who have opted to use Falmouth as their home base while they explore all that the Cape and Islands have to offer. You will also enjoy our outdoor pool (open from Memorial Day to Columbus Day) as well as the heated indoor pool with whirlpool spa.

Admiralty Inn & Suites Features:

•Free high-speed Internet Access
•Outdoor Pool
•Heated Indoor Pool with Whirlpool Spa
•Queen & King Beds
•Refrigerators
•Coffee Maker
•Microwave
•Satellite TV with HBO
See Pictures




Qualifications, Requirements, Terms and Conditions:

The Festiva Adventure Club was launched in the summer of 2006. It is a points-based vacation membership system that gives members increased flexibility in many aspects when making their vacation plans. Based on the number of points purchased, Adventure Club members can make reservations at any of our 27 resorts, stay in any size unit available, vacation any time of year available, take advantage of various stay lengths (3 and 4 night stays or 7 night stay), take multiple weeks of vacation, accelerate points from future usage years, defer unused points to the following year (by December 15 of current year), exchange a week long stay with any one of the thousands of Interval International affiliated resorts, and more.

Guests must meet the following Qualifications:
1) Attend a 90-120 minute presentation.
2) Married or co-habitating couples (no singles). Both partners/spouses are required to attend the presentation together. Co-habitating couples must provide matching IDs (must prove living together).
3) Between the ages 25-68.
4) Minimum combined income of $50,000.
5) Must present a valid drivers license AND major credit card or check book (no debit cards).
6) Must be US citizens and be able to speak and understand English.
7) Guest must have their own vehicle.
8) Guest cannot have toured with the host resort within the past 13 months or a Festiva Resort in the past 6 months or be a Festiva Owner.
9) No group travel. More than one (1) couple is considered group travel.
10) No bankruptcy within the past 3 years.
11) No pets.
*Note: Tours are not available on the day of arrival or departure. No tours Monday or Tuesday. No check-in Sunday or Monday for 2 night packages.

Promotions requiring attendance at a sales presentation are for the purpose of introducing the benefits of vacation ownership. As a result of various state registration requirements, guests may not be eligible to purchase a vacation ownership interest in the project where the sales presentation occurs. Sponsor reserves the right to change this offer prior to purchase without notice. Offer not not valid with any other promotional offer. THIS ADVERTISING MATERIAL IS BEING USED FOR THE PURPOSE OF SOLICITING SALES OF A VACATION OWNERSHIP PLAN (TIMESHARE). THE COMPLETE OFFERING TERMS ARE IN AN OFFERING PLAN AVAILABLE FROM THE SPONSOR. Prices of interests range from $8,000 - $100,000. Prices are subject to change.




Address:
South Cape Resort - 950 Falmouth Rd. Mashpee, MA 02649
Santuit Inn - 6 Falmouth Road (MA Route 28) Mashpee, MA 02649
Admiralty Inn - 51 Teatickety Hwy East Falmouth, MA 02536






Cancellation and Refund Policy Details:
There is a 15% cancellation fee for any cancellations requested up to 7 days prior to scheduled check-in. Any change or cancellation made within 7 days prior to check-in will incur an additional $99. No refunds for any cancellation made within 72 hours prior to scheduled check in and will be subject to full market rate for the package. Cancellations may be made via telephone at 877-376-0094. .



call Toll Free 877-376-0094

 

[Sou13]

Where Festiva is spending the money

To find out how the Club members' money is being spent go to http://www.festiva.travel/FHG-mag/2010-fall-fhgmag/index.html

 

[Sou13]

Takeover inefficiencies

Since Festiva took over Southcape Resort, the financial information is no longer available at the resort, and the maintenance fee bills are being sent from Asheville, NC instead of from Mashpee, MA, for which we are being charged an additional 3% accounting fee. The end result is that here we are in December 2010 and have yet to see our MF bills for 2011! Now that's efficiency and cost-saving for you!

 

[Sou13]

Please see http://www.tugbbs.com/forums/showpost.php?p=1044662&postcount=1380 if you are an unhappy Festiva member who signed away your Southcape or Sandcastle deed.

 

[carl2591]

festiva takes over my resort, how bad can it get..

glad to see you back.. gets kinda lonely out there without your TUG buddies. I know how you feel..

guess the kitchen cooled a bit so now its easy to stick around for a while and try to put out some Festiva fires