Wyndham is closing a handful of legacy resorts - dedicated chart/tracker located in the first post for this unfolding set of events

[robbie0001]

The word unanimous appears twice in the Articles of Incorporation in a section dealing with amending the by-laws.

A. If the proposed change has been approved by thе unanimous approval of the board of directors, then it shall require only 51% vote of the total membership to be adopted.
B. If the proposed change has not been approved by the unanimous vote of the board of directors, then the proposed change must be approved by 3/4ths of the total vote of the membership.

The word unanimous appears in three amendments to the Declaration. In each case, it is the unanimous approval of the board of directors, not the members.

This Declaration has been superseded by the 20% quorum, 2/3 requirement.

 

[robbie0001]

So an unreliable source.

One who was pushing the sale of another Wyndham product

 

[Floridaman76]

For those who originally purchased from the developer, they will receive a long-term capital loss which will reduce their tax liability.

I seriously doubt that. Otherwise every single retail purchaser who gave it back to Wyndham for $0 would get something like that, and I've never heard of that happening.

 

[robbie0001]

Perhaps that is the limiting factor then, perhaps it’s not the membership but rather a unanimous vote of the HOA BOD and Wyndham couldn’t convince the entire BOD to vote in favor of outright selling the resort, and therefore couldn’t meet the 75% required membership voting threshold. The other possibility is we don’t have access to the updated bylaws that may have a clause that requires the membership to vote at an unusually high threshold.


Sent from my iPhone using Tapatalk

The 11th Amendment to the Declarations removed the BOD vote. 20% quorum and 2/3 vote were the only requirements for "any questions". Bankruptcy provides a way to handle deeded owners who do not want to sell in the quickest, least costly way.

 

[robbie0001]

I seriously doubt that. Otherwise every single retail purchaser who gave it back to Wyndham for $0 would get something like that, and I've never heard of that happening.

Givebacks are not a true sale in the eyes of the IRS because the property is surrendered in a giveback, much like abandoned property.

 

[robbie0001]

No one on TUG, and no one in the know, would say timeshares are investments. Only lying salesweasles have claimed that, and at least recently the phrasing was ambiguous and could be argued not to mean a literal investment but a figurative one - a la "An investment in future vacations". Which most people who are at all cognizant of what investments usually are would understand is pretty explicitly not even promising a financial ROI but an opportunity to consume lodging.

I have only bought in the resale markets. I certainly do not believe that timeshares are a financial investment.

The tax hit may actually be a loss for many. Remember, real estate is a capital gain/loss. I wonder how Wyndham will track that capital gain/loss for resale. My account shows what the original owner paid for their unit, not what I paid for it. Something i never thought of until now.

Wyndham/T&L will only report the gross amount of the sale, you will need to establish basis for capital gain or loss based on the price you paid.

 

[robbie0001]

Or the $500. Or maybe the $50.

Some posts don't expect OIRC to be worth much given the location of the resort and the resort itself.

ORIC is sitting on $5.2 million in reserves, and the City has assessed the property at $17.8 million, so $5,000 per ownership week is likely.

 

[robbie0001]

I'd be absolutely shocked if owners get $5000 out of their week. Wyndham is going to milk every cent they can out of it. Consultants (which are fully owned subsidiaries of Wyndham) and layers with connections to the same will take their pounds of flesh

With bankruptcy court involved, any of these concerns can be brought to the court's attention (and may threaten sale of the property).

 

[robbie0001]

First I want to say how much I appreciate so much of the information discussed/shared here. So many of you really understand this stuff and it's truly impressive, there is so much to understand in so many different areas around timeshares. Especially for anyone caught in the crosshairs - what a great forum to ask questions specifically about their situation.

Then I want to say/ask... Why would Wyndham do this all in one fell swoop? Batch 13 resorts together, making generalizations about the whole mass (these may be exiting Wyndham for a laundry list of reasons and we are left to speculate why). Each resort is unique and they will each be handled differently, glumping it all together and basically leaking it out -- I can't even put words to it. Just shake my head, and try to think of different names I would call this 'project'. Like operation Cluster___ - and then I shake my head again.

Supposedly, now that T&L is involved, they want to get rid of under-performing locations and add resorts in Chicago and Boston.

 

[robbie0001]

Well they have to offer me something, whether it is proceeds of the sale or CWA. And for them, me taking on CWA would be a better deal. They keep the proceeds and get someone to take over the MFs they are paying on 154K CWA points. Offer it or not, I am not taking the swap. Like someone else said, I'd be better going to eBay and picking up 154K points for nothing and still taking the proceeds, I'll come out ahead.

Again, I am just upset at losing 154K Fairfield Glade points at $6.50/1000. Those are decently low MFs.

It is interesting that timeshare ownership is moving away from deed property ownership to ownership in an "interest" in points where Wyndham has complete and utter control both cost and use. Count me out as well.

 

[comicbookman]

Supposedly, now that T&L is involved, they want to get rid of under-performing locations and add resorts in Chicago and Boston.

T&L is not "involved". Wyndham bought them out so they could use the name and get access to their customer base. T&L is an old, respected brand. Wyndham Destinations gets confused with Wyndham hotels and also has a poor reputation for their sales tactics. So, they bought T&L and are pretending that that is changing the culture (News Flash it's not)

 

[CO skier]

For those who originally purchased from the developer, they will receive a long-term capital loss which will reduce their tax liability.

Not if it the timeshare was for personal use. Timeshares are a personal asset when it comes to taxes.

Taxed on proceeds from sale of timeshare ?

Sorry if this has already been covered, but I can't seem to find an answer. We are in the process of selling a Marriott Timeshare at a significant loss - sale price is about half of what we paid for it, and with a 40% commission on that sale price (to Marriott!), the resulting proceeds will be...

tugbbs.com

 

[dioxide45]

Supposedly, now that T&L is involved, they want to get rid of under-performing locations and add resorts in Chicago and Boston.

Travel & Leisure is effectively just a name that Wyndham Destinations purchased. There is no one new that is more or less involved than before it became Travel & Leisure.

 

[robbie0001]

Wonder how they will handle our maintenance fees for 2026 with no resort week to use or trade.

If you can't use your week/points, there will be no MF

 

[dioxide45]

If you can't use your week/points, there will be no MF

What would a property do if they didn't have any money though? Just because there is no usage doesn't mean there aren't costs to be covered until the final disposition is complete. I suspect most take on loans and pay the loan off with interest at final disposition, but that may not always be an option. Perhaps some properties have enough in reserves to cover ongoing expenses until disposition occurs?

 

[robbie0001]

Not if it the timeshare was for personal use. Timeshares are a personal asset when it comes to taxes.

Taxed on proceeds from sale of timeshare ?

Sorry if this has already been covered, but I can't seem to find an answer. We are in the process of selling a Marriott Timeshare at a significant loss - sale price is about half of what we paid for it, and with a 40% commission on that sale price (to Marriott!), the resulting proceeds will be...

tugbbs.com

a home is a personal asset as well, and taxed based on income gained (or lost)

 

[robbie0001]

What would a property do if they didn't have any money though? Just because there is no usage doesn't mean there aren't costs to be covered until the final disposition is complete. I suspect most take on loans and pay the loan off with interest at final disposition, but that may not always be an option. Perhaps some properties have enough in reserves to cover ongoing expenses until disposition occurs?

That is why there will be a separate HOA vote on resort operations. If ceased, there is no interval use-->no MF for such use. Reserves will be used for operational costs until resort is sold

 

[robbie0001]

T&L is not "involved". Wyndham bought them out so they could use the name and get access to their customer base. T&L is an old, respected brand. Wyndham Destinations gets confused with Wyndham hotels and also has a poor reputation for their sales tactics. So, they bought T&L and are pretending that that is changing the culture (News Flash it's not)

On the proxy for the bankruptcy vote, it states that the law firm retained to represent OIRC's HOA "represents Travel & Leisure and certain of its subsidiaries or affiliates", but I agree the culture will be the same.

 

[paxsarah]

a home is a personal asset as well, and taxed based on income gained (or lost)

You also can’t take a capital loss on the sale of your home: https://www.irs.gov/faqs/capital-gains-losses-and-sale-of-home

 

[robbie0001]

You also can’t take a capital loss on the sale of your home: https://www.irs.gov/faqs/capital-gains-losses-and-sale-of-home

From your reference:

Is the loss on the sale of my home deductible?​

Answer:​

Maybe. A loss on the sale or exchange of personal use property, including a capital loss on the sale of your home used by you as your personal residence at the time of sale, or loss attributable to the sale of part of your home that is used for personal purposes, isn't deductible. The only deductible losses associated with property (or a portion of property) are losses on property used in a trade or business, losses resulting from a transaction entered into for profit (for example, a loss on the sale of stock), and certain casualty losses. Until 2025, the only deductible casualty losses are those resulting from federally declared disasters.

 

[dioxide45]

That is why there will be a separate HOA vote on resort operations. If ceased, there is no interval use-->no MF for such use. Reserves will be used for operational costs until resort is sold

But you didn't answer the main question. What if there is NO MONEY? Bills still have to get paid until the resort is sold. Though I guess a bankruptcy would protect them in some ways.

 

[robbie0001]

But you didn't answer the main question. What if there is NO MONEY? Bills still have to get paid until the resort is sold. Though I guess a bankruptcy would protect them in some ways.

Likely from a loan, or special assessment on owners, until property is sold, and adjustments are then made to any proceeds from the sale.

 

[HitchHiker71]

But you didn't answer the main question. What if there is NO MONEY? Bills still have to get paid until the resort is sold. Though I guess a bankruptcy would protect them in some ways.

No doubt the bankruptcy filing helps, along with the $5.2m in reserves, which without any usage for the entire site after 12/31/2025 would likely last quite a while.

 

[HitchHiker71]

The 11th Amendment to the Declarations removed the BOD vote. 20% quorum and 2/3 vote were the only requirements for "any questions". Bankruptcy provides a way to handle deeded owners who do not want to sell in the quickest, least costly way.

Do you have a list of the amendments that you can post here?

 

[CO skier]

a home is a personal asset as well, and taxed based on income gained (or lost)

Anyone who thinks a loss on the sale of a timeshare is tax deductible should see IRS Topic 409.

Topic no. 409, Capital gains and losses | Internal Revenue Service

IRS Tax Topic on capital gains tax rates, and additional information on capital gains and losses.

www.irs.gov

"Losses from the sale of personal-use property, such as your home or car (or timeshare), aren't tax deductible."