Have any Royal owners heard AI rumours for renters and exchangers? [merged]

[Ridewithme38]

Yes, that is correct. (Post 62 #8)

You also can rent directly from an owner and not have to do AI. (Post 77)

This is a Great thing for owners then right? If they want to rent out their unit it is now more valuable because you can tell your renters 'you can avoid all the AI fees'

 

[lizhecht]

I'm also concerned about the Royals becoming a AI. I avoid any AI myself and when talking to friends who are vegetarians they mention they would never go to a AI. I am pretty sure that goes for people who have dietary issues, diabetics, celiacs.. The list goes on and on.
Most families I know tend to like to have a kitchen to make breakfast and lunch in and I doubt many families would choose a mandatory AI. The cost alone makes it prohibitive.
One of the things I enjoy most about going to Mexico is trying out the great restaurants and cuisine of the area. AI rules that out.
I would be very interested in petitioning the Resort for the option to allow renters an option to buy out.. kind of like a renters fee similar to what other resorts charge for activities. That might also give them a better idea of what people really want.

 

[jbuzzy11]

This is a Great thing for owners then right? If they want to rent out their unit it is now more valuable because you can tell your renters 'you can avoid all the AI fees'

I guess you can look at it this way, but its not like people were breaking down doors to get into the resort before all this and to be honest as a person who has rented the past 3 visits (from owners) im not going to go back if the price is higher for me to get a 2 bedroom villa from an owner. I have stayed at the Royals about 20x and I think they are BY FAR and I stress by far the best TS resort anywhere for the money, They just have it all, but If I have to try something else like the Westin Lagunamar I guess I will I had a search going on with II for summer of 2013 that I just canceled till there is some answers. Hey maybe the AI will pay off?? I doubt it but I hope so.

 

[Phydeaux]

I guess you can look at it this way, but its not like people were breaking down doors to get into the resort before all this and to be honest as a person who has rented the past 3 visits (from owners) im not going to go back if the price is higher for me to get a 2 bedroom villa from an owner. I have stayed at the Royals about 20x and I think they are BY FAR and I stress by far the best TS resort anywhere for the money, They just have it all, but If I have to try something else like the Westin Lagunamar I guess I will I had a search going on with II for summer of 2013 that I just canceled till there is some answers. Hey maybe the AI will pay off?? I doubt it but I hope so.

Since you're renting directly from members, what's your concern? It's been spelled out, the AI requirement is only in effect when non-members rent from the resorts, not when they rent directly from members. When you rent from a member, you're their friend? Get it?

 

[kenie]

Since you're renting directly from members, what's your concern? It's been spelled out, the AI requirement is only in effect when non-members rent from the resorts, not when they rent directly from members. When you rent from a member, you're their friend? Get it?

I think his concern is that some members might now try to rent their units at a premium BECAUSE the all-inclusive would be optional...

 

[Phydeaux]

I think his concern is that some members might now try to rent their units at a premium BECAUSE the all-inclusive would be optional...

If that's the case, good luck to any members attempting that strategy. Given the economy, airfares to Mexico, and general surplus of units in this region, I think most members will be overjoyed just to rent out their uneeded units at any fair price. I certainly know I would. Our lock off was vacant week 8 at the Royal Mayan this year – such a waste, and a shame. First time that’s happened in 20 years though…

 

[DVB42]

if you already have an exchange for Novembe 2012, will you be required to pay the "all inclusive" fee?

 

[heathpack]

I simply don't see how this could be good in any way for owners. What the heck is going to happen to trade power in Interval if the exchanges are mandatory AI?! It will absolutely plummet. Royal owners have a super nice property but will they basically be able to exchange for Butkus now?

Yes, people like those on TUG will figure out work-arounds- direct exchanges with other owners, renting their units out themselves. But a great many other casual owners are likely to become frustrated- they deposit their unit with II, previously got decent trade, but now between the resort being in Mexico and the AI fee no one wants the deposit, Royal owners in turn get bad trades, then what? What do people tend to do when they no longer find their timeshare useful?!

Don't mean to come across like a chicken little, but this seems just plain bad to me from every angle.

H

 

[Finsky]

Any rumors about what they plan to package as far as the meals/restaurants at the Royal Sands? I can't imagine eating all of my meals for the week at La Veranda!!!

Also, I can't see them keeping up at the pool bar/grill if eveyone ordered sandwiches!! It takes long enough now to get your food at lunchtime.

They would have to offer restaurants at the other Royals (El Conquistador, Captain's Cove, Hacienda Sisal) to make it worth while.

 

[BoaterMike]

They would have to offer restaurants at the other Royals (El Conquistador, Captain's Cove, Hacienda Sisal) to make it worth while.

A pretty important piece of the unanswered question puzzle. The information mentions "specialty" restaurant options. I guess we'll see eventually.

Mike

 

[mstoyanov]

You are not looking at this from all angles. Here is a different point of view:
For most people using deposit from Royal resorts as an exchanger is not a good value due to relatively higher maintenance fees (there are better traders with less MFs and higher TP, plus Marriott/Starwood have internal priorities). But now imagine an owner that wants to go to a different week (or multiple weeks) in his own resort (or other Royal resort) in peak season. Decreased desirability for external exchangers will mean that there is much broader availability for said Royal resort owner.
Since owner is not subject to AI fees he will exchange his week much easier (and probably even get a unit size upgrade) than before.
Now go a step further (my personal case) - imagine a Royal Resort owner that also have a very economical traders (low MFs) and wishes to stay for more weeks than he owns in Royal Resorts.
Now he will be able to stay there for much less than his own MFs using cheap traders with minimal competition from non owners.
I understand that this can be achieved better with implementing internal resort priority (ala Marriott and Starwood) but such priorities are not easy to negotiate with II nor will developer has the same incentive to offer units for sale to external exchangers (the proverbial carrot).

I simply don't see how this could be good in any way for owners. What the heck is going to happen to trade power in Interval if the exchanges are mandatory AI?! It will absolutely plummet. Royal owners have a super nice property but will they basically be able to exchange for Butkus now?

Yes, people like those on TUG will figure out work-arounds- direct exchanges with other owners, renting their units out themselves. But a great many other casual owners are likely to become frustrated- they deposit their unit with II, previously got decent trade, but now between the resort being in Mexico and the AI fee no one wants the deposit, Royal owners in turn get bad trades, then what? What do people tend to do when they no longer find their timeshare useful?!

Don't mean to come across like a chicken little, but this seems just plain bad to me from every angle.

H

 

[mstoyanov]

Not do disappoint you but exchanging to Westin Lagunamar is not easy dues to Starwood internal priority and the fact that Starwood control all deposits in II. For me even as a Starwood owner using Starwood priority it is not very easy to go during peak times (spring break) due to Starwood simply very rarely depositing these peak weeks. If you do not have a Starwood priority in II you can simply forget getting peak weeks in Westin Lagunamar. Also I can assure you that demand for WLR will get much higher after Royals implement AI policy.
If you can go there off-season then it is much easier (even getting 2BR for 1BR deposit is easy with Starwood trader).

I guess you can look at it this way, but its not like people were breaking down doors to get into the resort before all this and to be honest as a person who has rented the past 3 visits (from owners) im not going to go back if the price is higher for me to get a 2 bedroom villa from an owner. I have stayed at the Royals about 20x and I think they are BY FAR and I stress by far the best TS resort anywhere for the money, They just have it all, but If I have to try something else like the Westin Lagunamar I guess I will I had a search going on with II for summer of 2013 that I just canceled till there is some answers. Hey maybe the AI will pay off?? I doubt it but I hope so.

 

[gemsfw]

Royal Nightmare

Thanks for the heads up from tug members that this situation is occurring. I had three consecutive weeks at Royal Resorts (Jan & Feb 2013) including one week at the Royal Sands. Per my investigation and discussion with Royal Resort and II staff and management, non royal owners who exchange in like I did will be considered non members and will be required to purchase the AI plan at the Royal Sands. Even if you confirmed your exchange prior to the announcement they don't care. They will not grandfather you in or give you a choice. Per a II manager, they recommend that you be prepared to pay the AI fee or immeadately cancel your exchange at all Royal Resorts at no cost or take your chances because they are a third party and have no control over Royal Resorts policies. II is not happy about the situation because it is going to create a major nightmare for them. We canceled and rebooked three consecutive weeks in a Westin studio. If we had waited, we could have been stuck paying the undetermined and ill planned AI fee. I feel sorry for the Royal owners because the II manager said that every time a resort changes to a mandatory AI for exchangers their trading value plummets.

 

[DVB42]

Thanks for the heads up from tug members that this situation is occurring. I had three consecutive weeks at Royal Resorts (Jan & Feb 2013) including one week at the Royal Sands. Per my investigation and discussion with Royal Resort and II staff and management, non royal owners who exchange in like I did will be considered non members and will be required to purchase the AI plan at the Royal Sands. Even if you confirmed your exchange prior to the announcement they don't care. They will not grandfather you in or give you a choice. Per a II manager, they recommend that you be prepared to pay the AI fee or immeadately cancel your exchange at all Royal Resorts at no cost or take your chances because they are a third party and have no control over Royal Resorts policies. II is not happy about the situation because it is going to create a major nightmare for them. We canceled and rebooked three consecutive weeks in a Westin studio. If we had waited, we could have been stuck paying the undetermined and ill planned AI fee. I feel sorry for the Royal owners because the II manager said that every time a resort changes to a mandatory AI for exchangers their trading value plummets.

Not surprising but disappointing information about II exchanges. I have a 2BR unit for November and will cancel it as well. I am not in the least bit interested in an all inclusive resort. We really like the Royal Haciendas and spend considerable money there with the Scuba Dive shop and Spa services. I wonder how much these operations will be affected.

 

[SDMiller]

Encourage TUG Trades!

This should encourage us Tuggers to exchange with each other rather than thru II. There really shouldn't be a problem registerd as a "guest".

Some how we will figure a "work around".

SD

 

[jbuzzy11]

This should encourage us Tuggers to exchange with each other rather than thru II. There really shouldn't be a problem registerd as a "guest".

Some how we will figure a "work around".

SD

the only problem with this is you have to find an exact swap and I just cant see there being many matches.

 

[jbuzzy11]

Not surprising but disappointing information about II exchanges. I have a 2BR unit for November and will cancel it as well. I am not in the least bit interested in an all inclusive resort. We really like the Royal Haciendas and spend considerable money there with the Scuba Dive shop and Spa services. I wonder how much these operations will be affected.

you say you have an exchange for Nov, you can still keep it if its at any royal except the Sands and haciendas, they will not change to AI until 2013 at the other resorts

 

[Ridewithme38]

the only problem with this is you have to find an exact swap and I just cant see there being many matches.

There is no such thing as an exact match, every day on every exchange companies website people trade up and down, the trick is IF you have to trade down, you have to match it out by trading up the next time

 

[pjrose]

There is no such thing as an exact match, every day on every exchange companies website people trade up and down, the trick is IF you have to trade down, you have to match it out by trading up the next time

A better phrase may be a direct exchange or direct match, that is, I trade my xx for your yy. Yes, the trades may be up or down, but the point is, you and I work together directly instead of depositing into and exchange from the II pool. Since we know each other, we are friends, and our friends can use our Royal villa without the AI.

 

[frankhi]

We have an exchange into the Sands for 11/3, so it seems we would have to get the AI, but it might be fun, worth a try, for us anyhow....my only concern is we don't usually go for the whole week, more like Sun-Fri. I hope they have more then just a weekly rate....any thoughts or experience with other AIs?

 

[suzannesimon]

Does anyone have any idea what the charge for AI will be?

 

[pjrose]

We have an exchange into the Sands for 11/3, so it seems we would have to get the AI, but it might be fun, worth a try, for us anyhow....my only concern is we don't usually go for the whole week, more like Sun-Fri. I hope they have more then just a weekly rate....any thoughts or experience with other AIs?

Apparently if you rent through royalresorts.com you can choose less than a week. I don't know about the AI plans or rates; they haven't been announced yet.

Does anyone have any idea what the charge for AI will be?

Not yet; check www.royalresorts.com/packages for updates.

 

[DrRx]

A better phrase may be a direct exchange or direct match, that is, I trade my xx for your yy. Yes, the trades may be up or down, but the point is, you and I work together directly instead of depositing into and exchange from the II pool. Since we know each other, we are friends, and our friends can use our Royal villa without the AI.

Just to clarify, such a direct exchange would only be necessary IF you are trading with a Royal non-member and trying to help them avoid the AI fees. If you are a Royal member, there's still no reason not to use an II exchange to get a different week at a Royal resort, because no matter how a Royal member comes into possession of a Royal reservation, whether thru II, a direct exchange, a personal rental or an ISCO internal exchange, members never have to buy into the AI program.

The only real change wrt the II exchanges is that likely the majority of those exchanges will end up being between Royal members, so II may end up becoming a better option to trade weeks/resorts within the Royal system (but it will suck big time for external trades). Alternatively, the ISCO internal exchange system may become more useful (I've never had good luck there because I think usage by members was rather low) because trades are now more likely to remain between members and thus usage should increase.

I wonder if management has fully thought of the real impact of this proposed AI program. It's going to drive away the very customers that the Royals have counted on in the past to drive their new unit sales - the non-member guests that get exposed to the Royal system through II exchanges and rentals!! That's how we ended up buying - we traded in with our Disney week. Wouldn't do that now if I had to pay AI fees!!

 

[Helene4]

Replied on 3/26/2012 3:15:26 PM Delete
By ROYAL RESORTS MANAGEMENT: Dear Susan: The I.I. reservation was made in your name therefore your son will have optional access to the all-inclusive package, even though you will not be accompanying him during his stay. Furthermore, any reservations made prior to our announcement will be respected regardless of the date that they are for.
I hope that this answers your query.


This was posted by management on their Royal Resorts website for members.

 

[tashamen]

Not surprising but disappointing information about II exchanges. I have a 2BR unit for November and will cancel it as well. I am not in the least bit interested in an all inclusive resort. We really like the Royal Haciendas and spend considerable money there with the Scuba Dive shop and Spa services. I wonder how much these operations will be affected.

I'm really disappointed as well. We've exchanged into RH the last two summers but decided to skip this year, thinking we'd go back next year. Now we probably won't ever go back even if I could rent or do a direct exchange with an owner, because the idea of being at an AI resort is just not appealing.