What do you think, the KBV 2024 surprise.

[bnoble]

The problem with that is that their investment will be wiped out, because this is just the beginning. The Big One is estimated to be closer to $450-$550K per 2BR unit. That was almost a year ago and it is surely more now. It also does not include any of the interior work necessary on the units after remediation happens. From where I sit, that's pretty much "just bulldoze it" territory.

 

[ecwinch]

I think I saw something that said the value of the full units are in the $600k to $800k range. I'm pretty sure that the owners of those units will find a way to get $30k so their $600k investment and home doesn't get wiped ou

Keep in mind that where a mortgage/bank is involved it is not even the owners decision.

 

[benoma88]

I think I saw something that said the value of the full units are in the $600k to $800k range. I'm pretty sure that the owners of those units will find a way to get $30k so their $600k investment and home doesn't get wiped out.

Value is determined by utility, if a units' condition is less than usable, there may not be that kind of value.

 

[MOXJO7282]

I think I saw something that said the value of the full units are in the $600k to $800k range. I'm pretty sure that the owners of those units will find a way to get $30k so their $600k investment and home doesn't get wiped out.

I'm sure the full time owners are more realistically concerned that a mass of interval owners will bail and they will be left being assessed more because I agree with what was stated above, that the full time owners will find a way to come up with the $30k to save their major investment.

 

[sforgues]

Value is determined by utility, if a units' condition is less than usable, there may not be that kind of value.

True. It seems like the resort continues to operate and the full owners went to the expense to sue the timeshare owners, so while the value may be impaired, if they do nothing, it will certainly go to near zero. The band aid makes sense for the full owners. Whether timeshare owners decide to pay this relatively small assessment to protect their investment is an entirely different thing.

 

[DeniseM]

@ecwinch - Wow! Long time no see! Almost 2 years since you've been on TUG!

Keep in mind that where a mortgage/bank is involved it is not even the owners decision.

 

[bnoble]

the full owners went to the expense to sue the timeshare owners

Not quite exactly. They are suing both AOAO and IOA Boards along with Wyndham, plus sundry others. Of course the IOA Board represents the interval owners, so it's six of one. I've been meaning to start a new thread on the suit.

 

[schreff]

Just received another strange notice from KBV. Who are the present members of the BOD? Evidently at least one had to resign IMHO serving on this BOD would be oxymoronic and would leave said individual open to legal action for numerous reasons. The present BOD has not met their fiduciary responsibility and has not kept us informed. I feel hiring an attorney on an individual basis is not the answer but a class action suit against the BOD would be cost effective. This may never happen. Is there a government agency in Kauai where a complaint be filed and an investigation requested. If so, a complaint by us would be prudent. I still have a strange feeling that Wyndham who has total control from past posts, is cooking something and the aroma isn't good.
* * * * * N O T I C E * * * * *
Aloha Bali Hai Villas Owners:

Please be advised that there will be an election of Directors for one (1) position on the PAHIO at Bali Hai Villas Interval Owners Association Board of Directors and one (1) position on the Association of Apartment Owners of Bali Hai Villas Board of Directors at the May 23, 2024 Annual Membership Meetings of each Association. As a member of each Association, you have the opportunity to nominate yourself for election to either (or both) Association's Board of Directors.

The Board of Directors of the PAHIO at Bali Hai Villas Interval Owners Association controls the business affairs and administration of one hundred and twenty-nine (129) vacation ownership villas at the resort. Their realm of responsibility is specific to the interiors of the units and the related financial, governance, and repair and maintenance aspects of those interiors.

The Board of Directors of the Association of Apartment Owners of Bali Hai Villas manages and administers the affairs and operations of the resort's common elements including, but not limited to, the clubhouse, roads, grounds, gardens, water features, pools and recreational amenities. They are also responsible for the resort's limited common elements such as the buildings' exteriors, stairs and front entrances of the resort's two hundred and fifty-seven (257) units.

As a member of both Associations, you have the opportunity to nominate yourself for election to one or both of the Associations' Boards of Directors, however, your nomination form and supporting documentation must be submitted no later than February 1, 2024. If you would like to nominate yourself, please send an email to Amanda Rodriguez, Resort Operations Administrative Assistant, at
amanda.rodriguez@wyn.com
as soon as possible, so that a nomination form will be provided!

Mahalo,

Marc Bennor
General Manager
Bali Hai Villas

 

[DeniseM]

I'm confused - that appears to be a Bali Hai letter?

 

[tango]

I think I saw something that said the value of the full units are in the $600k to $800k range. I'm pretty sure that the owners of those units will find a way to get $30k so their $600k investment and home doesn't get wiped out.

Hard for me to see anyone knowingly paying that in the face of a potential $500k assessment for remediation, or liquidation of the property.

 

[geist1223]

I'm confused - that appears to be a Bali Hai letter?

I am also confused. No idea why posted in this thread.

 

[Daisy33]

The board resolution detailing all of this is part of the document and signed by the secretary. So, this seems legit and not some scheme by Wyndham. One thing that concerns me is that the board overseeing the entire complex states in the board resolution that they issued letters to all owners in July 2023 (3 letters) and in October 2023 about the progress on all this and the interval owners board kept us in the dark. It looks like the final decision was made in December but even the complex board didn't notify the owners but decided it was an emergency and committed to the project. Maybe I'm reading it wrong, but that my impression.

It seems that that the board of the entire complex (not just the timeshare owners) decided that they needed to immediately put a band-aid on this problem. As an every other year owner, the cost is manageable. I don't like it, but it is what it is. For me, it's a one time 16.5% increase. I bank my unit every 2 years with RCI points and have concluded I'm getting my value out of it. Maybe not so much this time, but my other timeshare (Shell) increased by 20% on the last bill.

However, there is the possibility that a bigger fix is in the future. Using their estimates, full remediation would cost a 2 bed full share condo owner over $600,000. I really wonder is that will ever happen because no bank is going to give the condo owners that kind of money unless they maybe own their units free and clear. I suspect the long term solution will either be that another storm comes and wipes the place out and insurance will cover part of the loss or the entire property is sold after the band-aid is in place to a developer for a fire sale price that the full share owners can live with. I don't know much about this stuff but that seems like a possible scenario.

my other timeshare (Shell) increased by 20% on the last bill.

I was shocked to see the 20% increase. Wynham rep at owner's presentation informed me that Shell is increasing maintenance fees by over 100% because 93% of Shell owners converted to Wynham and Shell resorts are now maintained by the 7% who refused to convert. I thought when a company acquires another company to save them from financial ruin, the parent treats them as their own, not like orphans which is what I'm feeling. Shell people say the information from Wyndham is inaccurate.

 

[bnoble]

Wynham rep at owner's presentation informed me

They are trying to get you to convert. They are lying.

 

[sforgues]

This is off topic, but as Daisy33 said, it’s a lie what Wyndham sales people are saying. Wyndham points people pay their share in maintenance fees to operate the property just as the Shell owners are doing. What seems to be happening is that there are a growing number of delinquent accounts among Shell owners creating a burden on those who are paying.

 

[benoma88]

I, for one, am not going to pay anything else. If enough of us do that, it will force bankruptcy and we might get some money in return. Or just default and turn in our deeds.

Fascinating strategy. Effectively a de facto vote for No remediation, remanding the KBV issue and decision for judicial partition.
Consequence may save time, reduce endless 'what if' meetings, haggling over banks, loans, assessment, appraisals contractor estimates and moving the KBV closer to its inevitable closing.

 

[CO skier]

I, for one, am not going to pay anything else. If enough of us do that, it will force bankruptcy and we might get some money in return. Or just default and turn in our deeds.

Uhhhh, no. The hoa would foreclose due to lack of payment long before any remote chance to "get some money in return."

 

[Geebrr]

I am trying to understand the letter that was sent with the special assessment billing. On page 4 of the Board Resolution on Special Assessment it says that an amount of $4.1 million has been imposed on the owners to fund the work. If no banks will loan why won't they sell out? Are we going to receive ongoing bills, in our case $325? How often? and will there be larger amounts coming? At this point there is no Deed Buyback from Wyndham and trying to get anyone at KBV to give you any answers is impossible. Very frustrating!

 

[DeniseM]

I recommend that you read the info previously posted in this forum: The full-time owners have filed a lawsuit against Wyndham and the board, and until that is settled, we are in limbo, so the answer to your questions is: no one knows...

 

[R0oK33]

To anyone expecting the vote to fully remediate the resort will fail, consider that this assessment was passed with just the board voting on it. They "heard" from owners, but clearly had their minds made up well ahead of time. I'm not so confident they will do the rational thing...

 

[bianchicycle]

I replete : there are two openings on the BOD.if you are capable, you need to run .

 

[schreff]

I recommend that you read the info previously posted in this forum: The full-time owners have filed a lawsuit against Wyndham and the board, and until that is settled, we are in limbo, so the answer to your questions is: no one knows...

Are you saying that the Court has prohibited this or that our attorneys for our BOD gave a legal opinion that any actions by the BOD including the vote are in a legal state of limbo until the full-time owners case is over? If so, please cite your source,

 

[bnoble]

You keep asking the same questions, and getting the same answers. I don't know what more you want, but whatever it is no one on this forum can give it to you.