An article in the Denver Post on May 9th about Portofino’s new “appreciation package” caught our attention. According to Post writer Julie Dunn, the package “allows members to share in the financial upside of joining a luxury destination club.”

Destination clubs offer luxurious travel, and and focus on their members’ vacation needs. Real-estate equity is typically not a destination club concern. In trying a new business model, Portofino is adapting an equity option that both Crescendo and BelleHavens have implemented. Private Escapes offers a non-equity “rewards” program for platinum members when club real-estate holdings appreciate.

The equity package offered by Portofino comes at a price – between $6,500 and $35,000 – but the extra money gets you preferred access to some of their homes, according to Dunn. The fee is a 10% premium over the standard membership deposit.

Clubs like Quintess, Exclusive Resorts, and Ultimate Resort, for example, stand by the non-equity model.

Destination clubs and equity have traditionally remained dissociated, in part due to different rules and regulations for clubs that offer the equity option. In an upcoming story, Heilum Report analysts will take a closer look at the math behind their “appreciation package.”

Consider what type of club matches your lifestyle, and whether the equity model is suitable for you. A detailed look at destination clubs is available from Helium Report analysts. Download a copy of the guide here.