Help regarding an Oahu On Island Contact

[Kailua Kid]

I am the owner of four Ko Olina Timeshare villas on Oahu and am searching for an "On Island Contact" for purposes of Hawaii, DOT compliance. If anyone has advice or information to share, I would be most appreciative?

 

[sponger76]

I am the owner of four Ko Olina Timeshare villas on Oahu and am searching for an "On Island Contact" for purposes of Hawaii, DOT compliance. If anyone has advice or information to share, I would be most appreciative?

Hawaii Department of Transportation? https://hidot.hawaii.gov/contact/

If on the off chance you meant Hawaii Department of Taxation see https://tax.hawaii.gov/contact/

 

[HudsHut]

An "on island contact" is a designated local person or phone number located directly in Hawaii who can respond immediately to emergencies, property issues, or rule violations. This person helps manage vacation rentals, commercial properties, or formal applications when the primary owner is off-island.

 

[Kailua Kid]

Hawaii Department of Transportation? https://hidot.hawaii.gov/contact/

If on the off chance you meant Hawaii Department of Taxation see https://tax.hawaii.gov/contact/

Thank you. I did mean Hawaii DOT. I do understand the source and definitions. I am hoping to identify a service provider who will serve as the On Island Contact for the Timeshares. If you know a provider or a source where I may identify one, I would appreciate any information you may have.

Thanks again.

 

[Kailua Kid]

An "on island contact" is a designated local person or phone number located directly in Hawaii who can respond immediately to emergencies, property issues, or rule violations. This person helps manage vacation rentals, commercial properties, or formal applications when the primary owner is off-island.

Thank you. I do understand the definition and requirements.

I am hoping to identify a service provider who will serve as the On Island Contact for the Timeshares I own. If you know a provider or a source where I may identify one, I would appreciate any information you may have. Thanks again.

 

[DeniseM]

You are looking for a vacation rental management company - I'm sure there are many on Oahu.

Google: Oahu vacation rental management company.

However, since Marriott is discouraging owners from renting "commercially," I don't know how cooperative they will be if they have to deal with your rental management company.,

 

[Kailua Kid]

You are looking for a vacation rental management company - I'm sure there are many on Oahu.

Google: Oahu vacation rental management company.

However, since Marriott is discouraging owners from renting "commercially," I don't know how cooperative they will be if they have to deal with your rental management company.,

Thank you, Denise. It's really a weird, catch 22 situation. I am not looking for a property manager, just a service provider located on Oahu for the sole purpose of taking calls for property management questions. Marriott is clearly the property manager and will remain such during any use of the timeshare (leased or otherwise). However, Marriott will not permit timeshare owners that rent their Marriott timeshares to list Marriott as the "on-Island contact." The On-Island contact is a Hawaii Department Of Taxation compliance requirement.

Hence - I am looking for a provider who will serve as the on-island contact (even though any call would result in the service provider contacting Marriott to resolve any property management questions or issues. Most property management companies require a much higher rate for a bundle of services that are really not necessary in this situation.

Regardless, thank you for your response.

 

[DeniseM]

If they are just going to take calls, why don't you do it yourself and save some $$$ ?

 

[Kailua Kid]

If they are just going to take calls, why don't you do it yourself and save some $$$ ?

I wish I could. Unfortunately, I'm not on Island and Hawaii DOT requires the contact to be "on island;" in this case -on Oahu. The contact doesn't need to be a property manager. I wish I could find a realtor or a paralegal who is willing to be retained for "on-call compensation" to be available to take calls for two weeks during June and July next year.

 

[DeniseM]

I don't know anyone that rents a few of their timeshares and has an on-island contact. I think you are over-thinking it.

 

[Kailua Kid]

I don't know anyone that rents a few of their timeshares and has an on-island contact. I think you are over-thinking it.

thank you. I hope I am.

Thanks again.

Don

 

[davidvel]

I wish I could. Unfortunately, I'm not on Island and Hawaii DOT requires the contact to be "on island;" in this case -on Oahu. The contact doesn't need to be a property manager. I wish I could find a realtor or a paralegal who is willing to be retained for "on-call compensation" to be available to take calls for two weeks during June and July next year.

You will be the first owner renting their timeshare that I have ever heard doing this, in hundreds of thousands of rentals or more.

 

[Kailua Kid]

You will be the first owner renting their timeshare that I have ever heard doing this, in hundreds of thousands of rentals or more.

Thanks David and Denise. I appreciate your taking the time to respond. I feel much more comfortable not designating an on-island contact and will continue to list my own number.

Thanks again.

 

[Travelingman1]

@Kailua Kid
There may be a Marriott issue here. From your posts, it appears that you own four Ko Olina intervals and intend to rent at least two weeks. That does not establish that you purchased them solely as rental inventory, but repeated profit-oriented rentals could be viewed as a commercial rental pattern. Marriott’s published Abound Exchange Procedures state that accommodations and use periods may not be used for a commercial purpose, including a pattern of rental or leasing that Marriott determines constitutes a commercial enterprise, and Marriott reserves the right to cancel reservations or impose restrictions:


https://content.marriottvacationclub.com/abound/Abound-by-Marriott-Vacations-Exchange-Procedures.pdf


How Marriott acts and what they determine may depend upon whether these are deeded Ko Olina home-week reservations or reservations made through Abound.

Marriott sales personnel may sometimes suggest that owners can rent unused time or recover maintenance fees, but an oral sales representation does not supersede the governing documents or Marriott’s current reservation rules.

You don't want to run into issues, I would suggest reading their policies, talking to people who have done what you are doing, and looking at options and risks.

 

[davidvel]

@Kailua Kid
There may be a Marriott issue here. From your posts, it appears that you own four Ko Olina intervals and intend to rent at least two weeks. That does not establish that you purchased them solely as rental inventory, but repeated profit-oriented rentals could be viewed as a commercial rental pattern. Marriott’s published Abound Exchange Procedures state that accommodations and use periods may not be used for a commercial purpose, including a pattern of rental or leasing that Marriott determines constitutes a commercial enterprise, and Marriott reserves the right to cancel reservations or impose restrictions:


https://content.marriottvacationclub.com/abound/Abound-by-Marriott-Vacations-Exchange-Procedures.pdf


How Marriott acts and what they determine may depend upon whether these are deeded Ko Olina home-week reservations or reservations made through Abound.

Marriott sales personnel may sometimes suggest that owners can rent unused time or recover maintenance fees, but an oral sales representation does not supersede the governing documents or Marriott’s current reservation rules.

You don't want to run into issues, I would suggest reading their policies, talking to people who have done what you are doing, and looking at options and risks.

Abound procedures are for points in their illegal Club. They do not apply to legacy deeded weeks.

 

[Travelingman1]

Abound procedures are for points in their illegal Club. They do not apply to legacy deeded weeks.

By “illegal Club,” are you referring to the litigation challenging the MVC Trust? Those claims did not establish that the Club was illegal. In fact the lawsuit was dismissed, reviewed by an appeals court, and upon review the dismissal was affirmed by the Eleventh Circuit.

The full text of Lennen v. Marriott Ownership Resorts is here: https://law.justia.com/cases/federal/appellate-courts/ca11/19-13215/19-13215-2021-12-09.html

I agree that the Abound Exchange Procedures may not govern an unelected legacy deeded home-week reservation. That is precisely why I stated that the answer depends upon whether these are Ko Olina deeded home weeks or reservations made through Abound.

If they are deeded weeks, the relevant documents would be the Ko Olina declaration and other ownership documents, not the Abound procedures.

Calling Abound “illegal” does not resolve that distinction, nor is it really helpful to OPs question about renting. I also can't find anything in the case law to suggest the program is or has been found to be illegal.

 

[Kailua Kid]

We own four deeded platinum week, Ocean View, 2 Bedroom Villas within Marriott Ko Olina Beach Club. We purchased them on the secondary market at a deep discount. Our plan is to relocate to Oahu as part-time residents in 2-3 years and to use at least two of the Ko Olina weeks each year for ourselves, friends and family, while continuing to lease the other two Ko Olina weeks to offset (at least partially) the annual costs for all four Ko Olina Villas. For now, while we wrap-up the sale of our home in the Midwest, and while we slowly stage the move to Oahui from our second home in southern California, we are renting all four Ko Olina deeded weeks each year.

I don't think Marriott will have an issue with our leasing one or all four of the Villas (every year should we wish) given that we are not engaging in commercial arbitrage or Abound program manipulation and are merely leasing deeded weeks that we permanently own in order to offset the maintenance fees, and to pass through to lessees the GET, OTAT and TAT expense (taxes) that Hawaii/ Oahu impose on all short term rentals (including timeshares) that are transitory accomodations.

Thanks all, for your good experienced and great insight. I very much appreciate you and this forum. Mahalo