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Royal Sands Forced Resales


Jan 20, 2016
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Was reading the below from the Royal Sands Annual Report, anyone know anything about these Forced Resales or the Voluntary Relinquishment
Turnover programs. Sounds like the resort would just take the membership off your hands and use it as a rental. Now that the resort is no longer a private members only timeshare and open to the public the same as a regular hotel with (AL) in Cancun. Members do get a discounted AL rate, but this is not a true AL system. Some items cost a premium above the cost of the AL which members pretty much dislike. Thanks.

The number of members who are delinquent in
their Club Service Fee and membership payments
has risen in recent years and the resort has to make
a provision to cover the cash shortfall from unpaid
annual dues when budgeting. In the past, units in arrears
would go into the Forced Resale program but the
significant growth in rental demand has helped some
members who would otherwise have fallen behind with
payments. As an alternative, the Voluntary Relinquishment
Turnover program was implemented to recover units
from Members who are not in good standing with their
Club Service Fees and villa payments. They receive a
repossession letter that they sign and their unit goes into
company inventory. The Developer pays the Club Service
Fees for company units. As a result of this program, the
Non Cash provision for Uncollectible Accounts is set
at US$65,333 for 2016, which is lower than in 2015.
Nevertheless, Members who are in arrears are urged to
fulfill their financial obligations.