Marriott Aruba resale questions...

[chalucky]

This resort is a RTU (right to use) for 60 years, correct?

Is their a specified renewal fee after that time?

IF you buy resale, there is no title insurance, right.............since there is no title. Duh!!

Does one still have to do a title search to ensure there are no liens?
How does ownership transfer differ with a RTU in a foreign country?

Any help definitely appreciated!

 

[m61376]

It is not exactly a RTU in that there is no real expiration date. Aruba does not sell its land but gives a long-term lease (hence the 60 years). At the end of the term, as long as the governement is happy that the property has been kept up, it will likely renew the lease, in which case your ownership extends (unlike ownerships that expire at the end of the RTU). Worst case scenario is the government has to pay the fair market vaule of the property and every owner shares in the proceeds.

I was comfortable with the Marriott Estoppel letter. Not as secure as a title search, but I was comfortable with the deal. Things went very smoothly and the Aruba resorts are fabulous! Good luck!

 

[Docklander]

From talking to a Marriott rep in Orlando last week I gather that Marriott is already in process of negotiating a 30 yr extension on the lease.