Westin Lagunamar Cancun On Sale

[VanMan]

I just received an offer from SVN to purchase a 2-bedroom L/O at the Westin Lagunamar Cancun for $38,950. It's value is 148,100 Staroptions and can be converted into 72,000 Starpoints! The incentive for purchase is 130,000 Starpoints.

 

[tomandrobin]

I just received an offer from SVN to purchase a 2-bedroom L/O at the Westin Lagunamar Cancun for $38,950. It's value is 148,100 Staroptions and can be converted into 72,000 Starpoints! The incentive for purchase is 130,000 Starpoints.

I take it that it was a direct offer from Starwood, not from the resorts staff.

 

[VanMan]

Actually from a salesperson at Sheraton Vistana in Florida, from whom we purchased two weeks in Vistana Villages last year.

 

[nodge]

This (post 8) TUG posting reveals that in April ’07, the price for a platinum 2 bedroom L/O at the Westin Lagunamar in Cancun was $37,950.00. So you’ll be paying $1000 for whatever StarPoints you’ll be getting beyond those offered with the $37.950.00 price in April, which I bet isn’t many.

Remember, Mexico prevents foreigners from owning real estate within 50 kilometers (which is about 31 miles) of its coasts (100 kilometers from its borders). Virtually all Mexican timeshares except the Westin Lagunamar get around this by selling us foreigners Right-To-Use (RTU) deals for a limited term (25 years, 100 years, etc.).

The Westin Lagunamar isn’t a RTU resort. Rather, it offers a relatively new ownership concept called a renewable trust that Mexico allows in an effort to promote foreign investment in Mexico's designated coastal resort communities. Renewable trusts allow a Mexican entity (like a bank) to hold Mexican coastal property in trust for foreigners, but the trust must be renewed every 50 years.

While at first glance these renewable trusts appear to be a good thing, and way better than an RTU deal, they also add layers of complexity that introduce additional avenues for Mexicans to screw foreigners when the property is transferred. For example, what happens when you try to sell a renewable trust timeshare? Do you have to hire a Mexican lawyer to work the system? How much will is cost to work that system? Will my timeshare even be worth that amount when the time comes? If not, how do I get rid of it then?

Given the fact that I couldn’t even rent a car (see post 12) in Cancun without getting totally screwed, I imagine that it will be difficult for a foreigner to survive a Mexican trust transfer transaction with their wallet intact. Accordingly, I elected to buy at Westin Kierland in Scottsdale vs. at Lagunamar.

Don’t even get me started on hurricanes and the fact that Lagunamar is a voluntary resort.

Renewable trusts in Mexico may be a good thing. Since they are so new, I just didn’t want to be the one responsible for finding out.

SVO has priced Lagunamar as if it is a fee simple, mandatory resort located in a legally, politically, and environmentally stable jurisdiction. Well it isn't, so the price should reflect that. Accordingly, unless you really, really, really like Cancun, that money would be better spent on a true fee simple, mandatory resort like VV (Key West) or WKORV-N.

Good Luck
-nodge