I just finished reading your article “Owner Perspective: The Ritz-Carlton Private Residence”. I do not share the experience that Scott Spears has had in selling an interest in a Private Residence Club. I recently visited both Ritz Private Residence at Aspen and Beaver Creek. Both clubs are very nice as expected for a Ritz product. However, Scotts Spears states concerning the Ritz properties :”Recommending the property, he says “It’s never going to be worth less than you paid for it.” I found resale market on both of these properties is quite agressive and I found resales from $50,000 to $90,000 below the developers price. “Buyer beware”.
I have been an owner for 3 years in a 1 week interest in Four Seasons Residency Club at Aviara San Deigo(which is configured very similar to the Ritz Residence). Four Seasons has similiar residences in the club(Bahamas, Scottsdale, Punta Mita, Jackson Hole). All these sites are very impressive consistent with Four Seasons Quality howver the resale ability is a slippery slope. I have had the week I own(which is the standard two bedroom) for sale on the Internet for 2/3’s less than the developers cost for months with out a single offer of any kind. Four Seasons is presently selling the exact unit for $37,000. You can check these figures out at the Timeshares Users Group website at tug2.com.
I think the destination vactions clubs offer a much more flexible option for the buyer and a better preservation of capital. Sincerely
Bob Koepke