HGVC Affiliate Stability

[Msb1102]

Hello All,

I was recently offered 8400 platinum points on a 2 BR at Anderson Ocean from a reputable reseller for under $2,500 plus closing costs. Price seems to be in line with what we've seen. Not sure if this is a permanent thing but time will tell.

I've read old posts about Anderson, seems like they have historically been aggressive in picking up their option on ROFR but these last 12 months have been anything but typically so who knows but my concern is regarding the Affiliate status.

How often does an Affiliate drop from a program? Particularly HGVC. I'm not too keen on the idea of "owning" a property that goes solo or otherwise drops it's affiliated status.

 

[PigsDad]

I've owned for 15 years, and in that time, only one small affiliated resort decided to drop out of HGVC. The number of owners at that resort who joined HGVC (it was not mandatory) was very small. However, even though the resort dropped out of HGVC, HGVC still allowed HGVC owners there to have the option of using their week for HGVC points, but other HGVC members could not book at that resort with points any more.

Bottom line, I wouldn't be too concerned about Anderson dropping from HGVC.

Kurt

 

[Panina]

Hello All,

I was recently offered 8400 platinum points on a 2 BR at Anderson Ocean from a reputable reseller for under $2,500 plus closing costs. Price seems to be in line with what we've seen. Not sure if this is a permanent thing but time will tell.

I've read old posts about Anderson, seems like they have historically been aggressive in picking up their option on ROFR but these last 12 months have been anything but typically so who knows but my concern is regarding the Affiliate status.

How often does an Affiliate drop from a program? Particularly HGVC. I'm not too keen on the idea of "owning" a property that goes solo or otherwise drops it's affiliated status.

I will be shocked if that passes ROFR. It is a great price, unheard of for that many points with a lower MF at Anderson. Have you seen 8400 points for that price at Anderson before being you said price seems to be in line with what we’ve seen? I would think you saw it at real affiliates which have much higher mf. Anderson is not an affiliate where you have the choice to be a member of hgvc or not. Anderson membership is mandatory as it is part of the hgvc system.

 

[natarajanv]

Hello All,

I was recently offered 8400 platinum points on a 2 BR at Anderson Ocean from a reputable reseller for under $2,500 plus closing costs. Price seems to be in line with what we've seen. Not sure if this is a permanent thing but time will tell.

I've read old posts about Anderson, seems like they have historically been aggressive in picking up their option on ROFR but these last 12 months have been anything but typically so who knows but my concern is regarding the Affiliate status.

How often does an Affiliate drop from a program? Particularly HGVC. I'm not too keen on the idea of "owning" a property that goes solo or otherwise drops it's affiliated status.

That is a great price, but I doubt it will pass ROFR. If you check rofr.net you will see most from Myrtle Beach has failed ROFR. The developer Grand Strand properties is involved in the ROFR process instead of HGVC.

 

[Msb1102]

Thanks for the assurances. Regarding the ROFR concern, I did take a look at ROFR site but all of those are for 2019 and earlier. The last 12 months have been an anomoly so I wouldn't be shocked if it passed and wouldn't be shocked if the developer bought it back.

I guess it really depends on how the agent lists it. I have to reimburse the seller for already paid 2021 MF's and if the agent includes that along with closing costs and their fees, it could place that buy back option closer to the $5000 range.

Going to push forward on it and see how it goes.

 

[dayooper]

Thanks for the assurances. Regarding the ROFR concern, I did take a look at ROFR site but all of those are for 2019 and earlier. The last 12 months have been an anomoly so I wouldn't be shocked if it passed and wouldn't be shocked if the developer bought it back.

I guess it really depends on how the agent lists it. I have to reimburse the seller for already paid 2021 MF's and if the agent includes that along with closing costs and their fees, it could place that buy back option closer to the $5000 range.

Going to push forward on it and see how it goes.

Absolutely you should push forward. You have nothing to lose if they exercise ROFR. It Probably won’t pass, but this is the time to try.

 

[BingoBangoBongo]

At that low of an entry point the worst that could happen is this deal not passing ROFR. If it does pass and in the very unlikely event it left HGVC you haven’t lost much. Any idea what the developer has been selling these for up to now?

 

[Msb1102]

You guys seem pretty sure that it won't pass. Has HGVC picked up their ROFR option on anything in the last few months?

 

[BingoBangoBongo]

You guys seem pretty sure that it won't pass. Has HGVC picked up their ROFR option on anything in the last few months?

I just had two deeds pass in November, a 7000 point 1BR Grand Platinum @ Elara and a 12,600 point EOY 1BR Premier Platinum @ Kings Land for roughly $5k each + closing costs. The difference you have is that HGVC waived on mine almost instantly, you have to have the developer pass on it and there doesn’t seem to be any recent history available. What does your “reputable seller” think?

 

[Panina]

You guys seem pretty sure that it won't pass. Has HGVC picked up their ROFR option on anything in the last few months?

If I am recalling correctly it is the developer not Hgvc that can exercise ROFR.

 

[dayooper]

If I am recalling correctly it is the developer not Hgvc that can exercise ROFR.

I believe you are correct. IIRC, Strand Capital developed the four SC resorts and they hold the ROFR. The four SC resorts aren’t considered affiliate resorts, but Fee-for-Service. They were developed by a third party (Strand Capital), but marketed, sold and, with the exception of Anderson, managed by HGVC.

 

[Msb1102]

If I am recalling correctly it is the developer not Hgvc that can exercise ROFR.

Thanks for the info everyone. I kicked off the process. As part of my research, I always check out tax record after signing paperwork using the owner's name listed. Everything checks out and lines up from that perspective so far. Looks like foreclosure process started due to unpaid MF's but was stopped after being brought current.

More interesting than that though, the deed record also lists a specific unit number and week number (28).

This is the first time I've come across a deed that lists a specific week. I did a quick search but couldn't find much about deeded weeks for AOC. Anyone have any insight on this?

 

[1Kflyerguy]

I think all of the deeds for HGVC units, or at least that i have seen include a specific unit /week. Though usually that's just a record keeping item to make sure they don't sell more units / weeks than actually exist.

 

[dayooper]

I think all of the deeds for HGVC units, or at least that i have seen include a specific unit /week. Though usually that's just a record keeping item to make sure they don't sell more units / weeks than actually exist.

My Flamingo and a Boulevard deed I was thinking about taking on don’t mention any weeks. Maybe because Anderson was built by a 3rd party (Strand Capitol)?

 

[Msb1102]

My Flamingo and a Boulevard deed I was thinking about taking on don’t mention any weeks. Maybe because Anderson was built by a 3rd party (Strand Capitol)?

Same. I've pulled records for 3 other HGVC properties and this is the first time I've seen a specific week and unit listed. Its why it stood out to me.

 

[frank808]

Kohala suites, bay club and the district all list unit number and week number on the deeds.

Sent from my SM-N950U using Tapatalk

 

[Panina]

Thanks for the info everyone. I kicked off the process. As part of my research, I always check out tax record after signing paperwork using the owner's name listed. Everything checks out and lines up from that perspective so far. Looks like foreclosure process started due to unpaid MF's but was stopped after being brought current.

More interesting than that though, the deed record also lists a specific unit number and week number (28).

This is the first time I've come across a deed that lists a specific week. I did a quick search but couldn't find much about deeded weeks for AOC. Anyone have any insight on this?

Did it pass?

 

[Msb1102]

Did it pass?

Nope. Posted it to ROFR. Ended up pushing it to 3BR 9600. Failed at around $5300 ( all fees included in purchase price submitted for ROFR).

 

[Panina]

Nope. Posted it to ROFR. Ended up pushing it to 3BR 9600. Failed at around $5300 ( all fees included in purchase price submitted for ROFR).

Thank you for letting me know. Seems they are taking back everything. Trying to figure out a price for my 8400 July 4 week. I hate posting, selling and buyer gets disappointed. I will need to make a few calls to see if they have a direct buy back program which I doubt they do.

 

[Msb1102]

Yeah, I was advised that they were being pretty aggressive there. Is there a reason you were looking to dump a lower MF unit?

 

[Panina]

Yeah, I was advised that they were being pretty aggressive there. Is there a reason you were looking to dump a lower MF unit?

I moved to Florida and do not need as many points as I have. I used many of my points to go to Florida, never used the actual July 4th week. I also have Hgvc Marco Island weeks that are flex that I get 7000 points for if I don’t use the weeks. Even though higher mf for lower points I am more apt to use those week thus Anderson is the one to sell. Just trying to figure out what amount will pass rofr.

 

[DazedandConfused]

I would buy at that price....great deal