Trouble - Marriott Grand Residence Tahoe [Management Agreement in Jeopardy?]

[WBP]

We are not owners at the Grand Residence Club - Lake Tahoe. However, we have stayed at that resort, dating back to its (conceptual stages) Heavenly - Grand Summit Hotel days, forward, to MVC Grand Residence Club - Lake Tahoe.

I have kept an eye on the deliberations and challenges of the HOA and HOA Unit Owners, largely, as reported here, on TUG, over the past several years. I am cautious to draw any conclusions on information that comes from anyone other than its source, and/or is paraphrased.

Having said, all of the above, here are my observations:

I believe that the Grand Residence Club - Lake Tahoe, has benefitted, in the past, and likely, in the current tense, from its Marriott Vacation Club affiliation;

i recognize that that Marriott Vacation Club affiliation comes at a premium cost, and that the HOA Board and HOA Unit Owners need to carefully evaluate that Value Proposition (and the affiliation’s impact on the long-term value of the fractions);

It seems to me, that the Grand Residence Club - Lake Tahoe HOA Board has been met by substantial challenges, and worked very hard (in uncompensated HOA member roles), to make soup from broth;

My greatest concern regarding the future of the Grand Residence Club - Lake Tahoe, stems from our experience, over the past five years, as members of a country club. In the case of our country club, we have been met by a substantial member attrition rate/factor, including members who are/have “aged out.” A substantial number of members are presently struggling with the economics of membership, and as the member-base decreases, exponentially, the ongoing operating costs are being borne by an increasingly smaller number of members. There lies a flawed mathematical equation, that puts the longevity and future of our country club, at significant risk;

Finally, I don’t remember what management companies The Ritz-Carlton Club, Bachelor Gulch moved to, when they separated from The Ritz-Carlton Club/Marriott Vacation Club; I remember thinking that one or two of them did a good job; I’m struck by no mention of them, in the management companies that the Grand Residence Club - Lake Tahoe HOA Board has on their radar screen.

For me, I can only wish the Grand Residence Club - Lake Tahoe owners a happy future, economic stability, and a mutually beneficial relationship with Marriott Vacation Club. It is clear that no matter what we own, that is managed by Marriott Vacation Club, that the Unit Owners must keep a very close watch on Marriott Vacation Club, for which our HOA Boards assume a great deal of responsibility.

 

[Fasttr]

Finally, I don’t remember what management companies The Ritz-Carlton Club, Bachelor Gulch moved to, when they separated from The Ritz-Carlton Club/Marriott Vacation Club;

If memory serves....I believe it was Timbers Resorts.

 

[wuv pooh]

About what I expected. The board was always going to lose on "unprecedented increases in insurance premiums and utility costs" which have no relation to any CPI index. Those are the owner's costs and Marriott is required to pay them and actually very nice to finance them for the board. Can't speak to the foreclosure issue but Marriott apparently thought they were exposed or did not think the defense was worth the effort. Marriott resisted the board getting into their business and used the brand standards clause to enforce it. The board would clearly like to cut ties based on the wording of the questions, but unclear how the majority of the owners feel. Based on their "research" they really did not find any costs that are obviously out of line, but the revenue ideas may help. Time will tell I guess.

 

[BocaBoy]

It is strange to me that so many owners accept Marriott's version of the financial facts, although my comments are not specific to the Tahoe issue, of which I have no knowledge or particular interest. For years Marriott has pushed significant maintenance fee increases (4% or more) when inflation was almost zero. Now with inflation higher they are apparently claiming expenses are even higher above the inflation rate. If their claims of wage increases being so high all of these years were correct, the housekeepers would be wealthy by now, but they are not. Could it be possible that the Board at Tahoe sees ways to reduce cost increases but Marriott is resisting? Based on my experiences as a long-time Marriott owner (for 37 years) and a Board member in a large full ownership luxury condo for several years, I have serious questions that Marriott is concerned with cost control. They earn 10% of the maintenance fees for themselves which coud very well be a motivator). They had MUCH better cost control in the early days when inflation was much higher.

It is this lack of cost control that has caused us to sell 5 weeks of Marriott ownership, while keeping only one EOY week. We are keeping it for now because we can benefit from being members of the Abound points program and the Interval membership that comes with it.

 

[LeslieDet]

It is strange to me that so many owners accept Marriott's version of the financial facts, although my comments are not specific to the Tahoe issue, of which I have no knowledge or particular interest. For years Marriott has pushed significant maintenance fee increases (4% or more) when inflation was almost zero. Now with inflation higher they are apparently claiming expenses are even higher above the inflation rate. If their claims of wage increases being so high all of these years were correct, the housekeepers would be wealthy by now, but they are not. Could it be possible that the Board at Tahoe sees ways to reduce cost increases but Marriott is resisting? Based on my experiences as a long-time Marriott owner (for 37 years) and a Board member in a large full ownership luxury condo for several years, I have serious questions that Marriott is concerned with cost control. They earn 10% of the maintenance fees for themselves which coud very well be a motivator). They had MUCH better cost control in the early days when inflation was much higher.

It is this lack of cost control that has caused us to sell 5 weeks of Marriott ownership, while keeping only one EOY week. We are keeping it for now because we can benefit from being members of the Abound points program and the Interval membership that comes with it.

Each property's expenses and financials are audited. If the management company says that insurance costs are "$X", then that is something an auditor would verify. So, owners should accept audited financials. Increases of 4% are not significant. The operating expenses include more than what is used to calculate inflation. Also, it is beneficial to the property to have longer term employees, so those employees are entitled to earn benefits and raises. The Tahoe area is extremely expensive, local staffing is difficult. The wages need to be higher than if the property were in Orlando. I can't tell if you are actually being serious with your statement that the housekeepers would be "wealthy by now". Really? Wealthy? Even if they were each making $70k/year they would not be wealthy with the cost of living in that region. And, unlike Florida, workers aren't flooding the area looking for work because it is an extremely expensive and harsh area to live year round. Also, don't ignore the fact that insurance costs are extremely high in a high fire danger area. And, it sounds like you are unfamiliar with the energy costs in that area. It is extremely expensive to operate a property in that region.

 

[dioxide45]

It is strange to me that so many owners accept Marriott's version of the financial facts, although my comments are not specific to the Tahoe issue, of which I have no knowledge or particular interest. For years Marriott has pushed significant maintenance fee increases (4% or more) when inflation was almost zero. Now with inflation higher they are apparently claiming expenses are even higher above the inflation rate. If their claims of wage increases being so high all of these years were correct, the housekeepers would be wealthy by now, but they are not. Could it be possible that the Board at Tahoe sees ways to reduce cost increases but Marriott is resisting? Based on my experiences as a long-time Marriott owner (for 37 years) and a Board member in a large full ownership luxury condo for several years, I have serious questions that Marriott is concerned with cost control. They earn 10% of the maintenance fees for themselves which coud very well be a motivator). They had MUCH better cost control in the early days when inflation was much higher.

It is this lack of cost control that has caused us to sell 5 weeks of Marriott ownership, while keeping only one EOY week. We are keeping it for now because we can benefit from being members of the Abound points program and the Interval membership that comes with it.

In the past 25 years there have only been three years where "measured" inflation was below 1%. We also know that the government measured inflation numbers are nowhere near what working class people see out in the real world.

It would also seem that as resorts begin to age, they cost more to maintain. A new shiny car doesn't need much maintenance for the first 100K, but then stuff starts to break. Marriott really hasn't built a new resort in the US in 15 years.

 

[travelhacker]

As an owner, I never got this email from the board of directors. I appreciate that the board has kept maintenance fees low, but reading through some of their other communications, I felt that a lot of their stances were just not in line with reality.

I think owners benefit a lot more from the affiliation with Marriott than they seem to think based on the email. By the same token, I do feel that the board was justified in bringing at least part of the lawsuit to Marriott. I just wish the relationship wasn't so antagonistic.

I'd love to submit my opinion, but for whatever reason I'm not on the list (and they haven't responded to any of my emails I've sent to the board either).

When the time comes to vote on a new board, I'll be looking for some new blood.

 

[LeslieDet]

As an owner, I never got this email from the board of directors. I appreciate that the board has kept maintenance fees low, but reading through some of their other communications, I felt that a lot of their stances were just not in line with reality.

Just FYI - as an owner you should have been provided with the details of the settlement, and if you are interested in understanding the terms of the deal, you should reach out and request the info. You not receiving the email is a problem; as all owners should receive the communication.

Also, don't forget that per the info in this feed, the property was projected to have an operating deficit greater than $500k from 2023; so if that email is accurate and the operating budget for 2024 was increased by $944k, it may be interesting to determine how the operating loss from the prior year was dealt with.

Good luck with finding folks to be on the board.

 

[AlmostRetired]

It is strange to me that so many owners accept Marriott's version of the financial facts, although my comments are not specific to the Tahoe issue, of which I have no knowledge or particular interest. For years Marriott has pushed significant maintenance fee increases (4% or more) when inflation was almost zero. Now with inflation higher they are apparently claiming expenses are even higher above the inflation rate. If their claims of wage increases being so high all of these years were correct, the housekeepers would be wealthy by now, but they are not. Could it be possible that the Board at Tahoe sees ways to reduce cost increases but Marriott is resisting? Based on my experiences as a long-time Marriott owner (for 37 years) and a Board member in a large full ownership luxury condo for several years, I have serious questions that Marriott is concerned with cost control. They earn 10% of the maintenance fees for themselves which coud very well be a motivator). They had MUCH better cost control in the early days when inflation was much higher.

It is this lack of cost control that has caused us to sell 5 weeks of Marriott ownership, while keeping only one EOY week. We are keeping it for now because we can benefit from being members of the Abound points program and the Interval membership that comes with it.

There are a number of reasons I would sell my units. You hits two of them. The MF is not worth the benefit I get from owning a Marriott timeshare or I no longer believe that MVCI as a management company can’t be trusted. While I do not feel the same as you do, I sincerely applaud you for taking action.

This comment does not apply to you since your post doesn’t convey the sentiment, but I can’t understand owners expressing a strong dislike or trust of MVCI as a management company yet continue to own. understand have a dislike

 

[Dean]

It is strange to me that so many owners accept Marriott's version of the financial facts, although my comments are not specific to the Tahoe issue, of which I have no knowledge or particular interest. For years Marriott has pushed significant maintenance fee increases (4% or more) when inflation was almost zero. Now with inflation higher they are apparently claiming expenses are even higher above the inflation rate. If their claims of wage increases being so high all of these years were correct, the housekeepers would be wealthy by now, but they are not. Could it be possible that the Board at Tahoe sees ways to reduce cost increases but Marriott is resisting? Based on my experiences as a long-time Marriott owner (for 37 years) and a Board member in a large full ownership luxury condo for several years, I have serious questions that Marriott is concerned with cost control. They earn 10% of the maintenance fees for themselves which coud very well be a motivator). They had MUCH better cost control in the early days when inflation was much higher.

It is this lack of cost control that has caused us to sell 5 weeks of Marriott ownership, while keeping only one EOY week. We are keeping it for now because we can benefit from being members of the Abound points program and the Interval membership that comes with it.

I think most of us have some stake in this issue given that it is a look into a bigger issue. That said, it appears none of us have sufficient data to determine true blame here other than the appearance that there was some give and take from both sides. What is clear is that the BOD had unrealistic expectations given the actual costs in some areas. One of my thoughts on people getting into timesharing is to have realistic expectations on lack of control, future costs and risk (think Covid).

That's going to be a very large effective increase next year though. Owners didn't pay the full increase this year because of the settlement, if they raise another 10%+ next year and owners pay all of this year's increase as well that's going to be a huge jump.

Certainly owners will pay the costs whatever they are and any further significant increases may price some of those owners out resulting in them selling or defaulting. There has been some pull back in many areas related to costs (deflation) so hopefully that will help here and elsewhere. Unfortunately for many, the costs in other areas may have already put them at a breaking point with the run up in housing, auto prices, interest, etc.

 

[ocdb8r]

I started this thread, but I was in the process of closing the sale of my quartershare (nothing to do with the topic at hand, we had already decided we just didn't need the volume of weeks/points it provided). I have followed the thread though as a past owner as these conversations seem to become more common and prevalent. In many threads, the prevailing management company is the source of ire for "unnecessary" costs and wasteful spend. However, in most I have failed to see actual budget line items that are sufficiently wasteful that they would make a meaningful impact on annual maintenance fees. Yes, sometimes there are pieces of the budget here and there that could be trimmed, but I rarely see an impact of suggested cuts that would equate to more than 5-10% of the total budget. There there is always the debate about the "management fee" - and I while I appreciate that the 10% MVC charges could be a premium over what an independent would offer, it's simply never going to be zero. Someone is going to have to manage the resort and provide the systems and processes necessary for it to operate. So, let's say you can get someone in for half of what MVC charges....there's another 5% of the total budget you may be able to save. That means, at best you're looking at shaving 15% off the budget, and that assumes MVC adds no value in volume contracts across it's portfolio (which would be lost). So for 15% savings you lose the Marriott Brand, the MVC/Abound benefits and everything associated with that (that likely provides some increased resale value and rental benefits). Is that worth it? I don't know, and I'm not saying it's not....but I just wonder if the expectations of the Board are reasonable or not.

Separate but related, I have watched closely the situation at a small resort in Scotland whose Board basically pushed HGVC to walk away from management (for many of the same complaints I have seen in this thread). I own at another HGVC resort it Scotland so I've kept touch with some local owners at this resort that separated from HGVC....and it's not been pretty. They struggled to find another management company to take over and eventually the Board has had to step in to hire staff to run the resort completely independently. It's resulted in a drastic drop in service and quality at the resort and very little savings has materialized. I was told that while their MF went down a bit last year, a look at the budget showed it was mostly due to unstaffed positions for many months that they have now filled or are desperately trying to fill to ensure the resort continues to operate at some level acceptable to owners. At the same time, resale values have plummeted and rental revenue has dried up.

Bottom line, I don't doubt there may be some savings to be realized by ditching MVC, but at what cost and what effort? It's not easy to manage a resort the size of Grand Residence - Tahoe. In addition, I own "branded" timeshares because I want to vacation at a "resort" that provides a certain level of quality. Is it worth losing (or risk losing) that for what is a relatively paltry savings? Maintaining a resort like this simply costs a lot of money and those costs will not always track inflation.

 

[WBP]

If memory serves....I believe it was Timbers Resorts.

My memory is becoming increasingly selective, with age.

I did some research, primarily to refresh my memory, and to satisfy my intellectual intrigue.

You are 100% correct, the management company of the once, Ritz-Carlton Club, Bachelor Gulch, went from RCC/MVC to Timbers Resorts, and then to East - West Partners (the current management company, of what is now known as 100 Bachelor Ridge).

I’ve known East - West Partners for many years, always thought highly of them, but lost track of their tremendous depth, and capacity, today. See:

https://assets.ctfassets.net/q2h4ppn88s1n/5pNQ47Ezf9gXbV55CGuIdc/ae99b3930d29f091bb53b52df58bb0b6/EWP-Annual_Report-compressed.pdf

If I were a member of the HOA Board of the Grand Residence Club - Lake Tahoe, I’d give very serious consideration to East - West Partners, although, I have this sneaking suspicion that other than the suspect, transparent accounting, and business integrity of Marriott Vacation Club, that no matter who manages the Grand Residence Club - Lake Tahoe, the operating expenses of that property are what they are, and the financial model is what it is. My gut tells me that that financial model no longer has the merits that it did when Heavenly Grand Summit Hotel was introduced, and that the financial model for Grand Residence Club - Lake Tahoe may no longer work. I would not be surprised if, in the next 10 years, the owners of Grand Residence Club - Lake Tahoe sell out, and the structure is repurposed.

 

[igopogo]

My gut tells me that that financial model no longer has the merits that it did when Heavenly Grand Summit Hotel was introduced, and that the financial model for Grand Residence Club - Lake Tahoe may no longer work

Honestly I think it has more to do with history and expectations…and understandably not liking a 20% increase all in one year. We don’t have the history, we’ve just bought in about three years ago. We pay MF of less than $1000 per week (13 weeks a year) for a 770 sf 1br at the base of heavenly gondola, in the heart of heavenly village, with an awesome staff from valet to front desk to housekeeping who remember your name if you come regularly . We use it, and what we don’t use we elect, exchange or rent…each one is a good value. Even the mud weeks can be rented at the right price. Looks like we have a built in 20% increase for next year after the settlement, and maybe 5-10% after that. And take into account the opportunity cost of the money tied up, probably another $300 per week. Not thrilled of course, but I still believe it will be a value for those who use it right.

 

[dioxide45]

I do think boards need to take a harder line on certain expenses before they get out of control. These Grand Residences weren't meant to be the same type of resorts as the other Marriott Vacation Club properties. If they could, MVC would quickly turn them into one with abundant activities and excess everything till you couldn't tell the difference between a Grand Residence and a Marriott Vacation Club resort.

 

[Likes to Travel]

New letter from MVC manager of GRC

 

[LeslieDet]

New letter from MVC manager of GRC

That adds some perspective to that email the BOD sent out. For your sake as an owner, I hope that particular board member who has taken such an unreasonable approach to operating costs is not re-elected.

 

[WBP]

New letter from MVC manager of GRC

Wow, that’s a brilliant letter from Brian Miller, and sheds a very different light on strategic facts, most notably, in the context of representations made by the HOA BOD. I suspect that the HOA BOD members have a fiduciary interest in the association and the resort; in my opinion, one has the right to question the extent to which certain members of the HOA BOD have exercised their fiduciary responsibilities.

A 99% increase in insurance and utilities between 2021 and 2024, that is amazing. It speaks to the concerns that I raised above, about the financial model (and local market (e.g. utility expenses, insurance expenses) implications) that supports the Grand Residence Club - Lake Tahoe.

The fact that the GRC - Lake Tahoe’s budget has had income and expenses that were not aligned for several years, is a very big issue. It sounds like the HOA BOD owns this.

I’m not sure that I understand MVW’s “voluntary contribution” to the tune of $850,000.00. That “voluntary contribution” sounds altruistic, which raises my eyebrows.

The reference that Brian Miller makes to the age of the GRC - Lake Tahoe, and the imminent need for capital replacement to a long list of major components at GRC - Lake Tahoe is very concerning to me, particularly since the GRC - Lake Tahoe’s reserves sound spartan. In addition to the inflation in Operating Expenses that the owners have been warned to prepare for, I can’t imagine what it will cost to capitalize GRC - Lake Tahoe, which you can be certain MVW is going to say is a necessity, to maintain Marriott’s brand standards, and which plays directly into the rental rates at GRC - Lake Tahoe, that the market bears. If the GRC - Lake Tahoe is not a first class product, it will not be able to command first class rates (beyond the benefits that GRC - Lake Tahoe’s location brings to rental rates).

Brian Miller could not be any more forthright about MVW’s desire to remain as the GRC - Lake Tahoe’s management company. I appreciate and understand some of the benefits that MVW brings to the table, however, I suspect that a company like East West Partners, to name only one management company, could do a very good job managing the existing GRC - Lake Tahoe.

It sure sounds to me like MVW and the GRC - Lake Tahoe would benefit from a mediator, and a fiscally sound strategic plan, no matter how ugly it may be.

 

[dioxide45]

I’m not sure that I understand MVW’s “voluntary contribution” to the tune of $850,000.00. That “voluntary contribution” sounds altruistic, which raises my eyebrows.

It seems, technically and legally, that MVC has usage rights to certain nights that go unreserved after a certain period of time prior to checkin. This exists at many resorts. Once they take those usage rights they can do with the nights as they wish, rent them or use them for promo packages. It seems that they are giving back at least some percentage of the rental income derived from those nights. Something they aren't legally obligated to do.

 

[vikingsholm]

My memory is becoming increasingly selective, with age.

I did some research, primarily to refresh my memory, and to satisfy my intellectual intrigue.

You are 100% correct, the management company of the once, Ritz-Carlton Club, Bachelor Gulch, went from RCC/MVC to Timbers Resorts, and then to East - West Partners (the current management company, of what is now known as 100 Bachelor Ridge).

I’ve known East - West Partners for many years, always thought highly of them, but lost track of their tremendous depth, and capacity, today. See:

https://assets.ctfassets.net/q2h4ppn88s1n/5pNQ47Ezf9gXbV55CGuIdc/ae99b3930d29f091bb53b52df58bb0b6/EWP-Annual_Report-compressed.pdf

If I were a member of the HOA Board of the Grand Residence Club - Lake Tahoe, I’d give very serious consideration to East - West Partners, although, I have this sneaking suspicion that other than the suspect, transparent accounting, and business integrity of Marriott Vacation Club, that no matter who manages the Grand Residence Club - Lake Tahoe, the operating expenses of that property are what they are, and the financial model is what it is. My gut tells me that that financial model no longer has the merits that it did when Heavenly Grand Summit Hotel was introduced, and that the financial model for Grand Residence Club - Lake Tahoe may no longer work. I would not be surprised if, in the next 10 years, the owners of Grand Residence Club - Lake Tahoe sell out, and the structure is repurposed.

WBP:

Do you know the difference between the East - West Partners, and East West Hospitality?

East West Hospitality is at this link:

Best Resorts & Property Management Company in CO, HI & CA | East West Hospitality

Legendary skiing and extraordinary hiking all set above a village with shopping, restaurants, and entertainment. While Vail is most notably known for it's

eastwest.com

East West Hospitality is who I thought you were talking about until I looked at the link and pdf you supplied for East-West Partners. They both seem to be based in Colorado, and both seem to manage high end real estate that includes timeshares, but also other residential properties and property management services.

Yet their list of properties is different from each other, and they don't seem to be the same company.

East West Hospitality shows a photo that looks like the Hyatt Aspen to me, which they say they manage, but they don't call it Hyatt. Perhaps they took over management from Hyatt but Hyatt owners still own a fair number of units there?

There seems to be a fair amount of overlap between geographic locations that these two firms named East West manage, but the individual properties they manage look to be different. They both seem to have a mix of timeshares and maybe privately owned residences that they rent out for owners, but I can't tell for sure by reviewing their websites.

The overlap between these two, and how they work as timeshare management vs. rental systems for privately owned residences within small complexes is somewhat confusing to me.

Either way, relating this to the GRC situation, both seem to have a very upscale selection of properties, but limited in number and locations compared to the Marriott system, which allows much more extensive internal trading options in terms of locations and number of properties.

 

[dioxide45]

East West Hospitality shows a photo that looks like the Hyatt Aspen to me, which they say they manage, but they don't call it Hyatt. Perhaps they took over management from Hyatt but Hyatt owners still own a fair number of units there?

The Hyatt in Aspen left the Hyatt Residence Club several years ago. Deeded week owners there no longer have access to the Hyatt Residence Club (Now Hyatt Vacation Club) resorts. The Hyatt Portfolio trust owns a good number of interest at the Aspen property and thus Hyatt Portfolio Points owners and even Hyatt Vacation Club owners can reserve in based on availability but the property no longer has the Hyatt name.

 

[vikingsholm]

The Hyatt in Aspen left the Hyatt Residence Club several years ago. Deeded week owners there no longer have access to the Hyatt Residence Club (Now Hyatt Vacation Club) resorts. The Hyatt Portfolio trust owns a good number of interest at the Aspen property and thus Hyatt Portfolio Points owners and even Hyatt Vacation Club owners can reserve in based on availability but the property no longer has the Hyatt name.

Thanks. I think I recall reading about this recently, but didn't know all the specifics. We stayed there a couple of times via II trades when it was still Hyatt , but that was several years ago.

This Aspen Hyatt was just one property I could latch onto from those East West websites, because I recognized it from the photo. But my bigger question is the difference between those two different companies that seem to be similar but separate companies, and yet are both named a variation of "East West".

 

[Superchief]

Has the Marriott VC Timber Lodge experienced similar increases in MF's the past few years? I would expect that they had similar increases in insurance, HR, and utility costs.

 

[sponger76]

Has the Marriott VC Timber Lodge experienced similar increases in MF's the past few years? I would expect that they had similar increases in insurance, HR, and utility costs.

I would imagine so. But they have a different BOD/HOA, so perhaps they have been more realistic on budgeting/MFs and therefore less drama with MVC.

 

[Fasttr]

Has the Marriott VC Timber Lodge experienced similar increases in MF's the past few years? I would expect that they had similar increases in insurance, HR, and utility costs.

According to this post. 8.6% this past year and 13.1% the year prior.

Marriott 2024 Maintenance Fees

Marriott's OceanWatch Villas at Grande Dunes 2024: Operating Fee: $1192.53 Replacement Reserve: $584.56 Property Tax: $65.94 Total: $1843.03 12.9% increase over 2023! Wow!! Points, when elected, cost $0.473 (for Platinum Oceanside)

tugbbs.com

 

[klkaylor]

As an owner at GR Tahoe I have followed this closely and am trying to have all the facts before responding to both the BOD and MVC Management. I to wondered about this $850K donation - to be honest I dont think it is. I am wondering if this is a PM surcharge added to all week rentals - 5% at present - increasing to 10% per BOD letter. It applies to all weeks rented by either MVC-their owned weeks or those offered up by owners to their system, or weeks directly rented by owners. Saddly this is always collected and remitted by MCV but not always by individual renters.
If anyone can confirm this is where the $850K came from I would appreciate the information.