First DVC Resale Contract for The Villas at Disneyland Hotel

[ehh]

I don't think I saw this before but I'm now seeing a VDH resale contract that was listed in Aug 2023 (100+ days old)? Odd, did not see that before. But it looks like with this, there's 3 resale listings (and this one shows pending $190pp 1000 pts).

https://www.dvcresalemarket.com/listings/disneyland-hotel/rrz1002/
https://dvcsearch.com/dvc-resale-listing-details/?ID=6950

I think that first one was a test listing.

 

[AstroBlasters]

Can you imagine how low an Aulani resale would go for if it had resale restrictions…..

 

[intamin]

Can you imagine how low an Aulani resale would go for if it had resale restrictions…..

Cam you imagine how long it’ll take them to sell out if it? They’ll have inventory to sell for all 50 years

When its due up for renewal in 2062, idk if it’ll be renewed as part of DVC or if they’ll even keep the property. Or who knows maybe they’ll just continue to sell the property as cash

 

[Cfabar1]

Cam you imagine how long it’ll take them to sell out if it? They’ll have inventory to sell for all 50 years

When its due up for renewal in 2062, idk if it’ll be renewed as part of DVC or if they’ll even keep the property. Or who knows maybe they’ll just continue to sell the property as cash

If they keep the property they'll certainly allow people to purchase it as DVC.

I think Disney found a winning formula with calling it DVC and selling what they don't sell in DVC for cash.

Though I think the future of DVC is going to result in them eventually going to a trust based system entirely where you buy "points" without a home resort. Its the quickest way to solve the 2042 problem.

 

[AstroBlasters]

If they keep the property they'll certainly allow people to purchase it as DVC.

I think Disney found a winning formula with calling it DVC and selling what they don't sell in DVC for cash.

Though I think the future of DVC is going to result in them eventually going to a trust based system entirely where you buy "points" without a home resort. Its the quickest way to solve the 2042 problem.

Say what now….

 

[HyperspaceMountainPilot]

Say what now….

I don’t think they can do that until the latest of the existing resorts expires. I expect to have home booking advantage at my 3 resorts until the end of the contract life and I imagine the majority of BCV, AUL, and VGF owners feel that way as well (maybe fewer VGF owners after the summer direct fire sale, but I certainly want it)— can you imagine how insane and chaotic it would be to get holiday bookings where you wanted in a “all points are fungible” scenario? You’d have to pick UY based on being able to walk your points 10-11m in advance.

From a legal perspective, I don’t think DVD has the right to change it for existing contract owners, and from a financial perspective, I don’t think it makes sense for Disney or buyers, since people obviously value use at different resorts differently. At minimum, it would require dramatically shifting points charts around (which would also screw people who currently hold BCV/BRV/BWV points, probably many of the monorail resorts and AUL as well).

 

[Royal Consort]

From a legal perspective, I don’t think DVD has the right to change it for existing contract owners, and from a financial perspective, I don’t think it makes sense for Disney or buyers, since people obviously value use at different resorts differently.

Correct. You're not purchasing into a "club", you're purchasing a real estate leasehold interest in a single DVC resort. The points provided by Disney are an internal representation of your share in that property. The separate entity 'Buena Vista Trading Company' has been developed to facilitate trading between separately owned resorts as part of a mutual agreement but not part of your ownership. Essentially the BVTC makes DVC a "club". This is why I want to own at the resorts I love and not for SAP.

Though I think the future of DVC is going to result in them eventually going to a trust based system entirely where you buy "points" without a home resort. Its the quickest way to solve the 2042 problem

For Disney to materially alter their system they would need to build a secondary system entirely different from their currently established one. I can't foresee how they would accomplish this as it wouldn't be Disney Vacation Club.

 

[intamin]

Correct. You're not purchasing into a "club", you're purchasing a real estate leasehold interest in a single DVC resort. The points provided by Disney are an internal representation of your share in that property. The separate entity 'Buena Vista Trading Company' has been developed to facilitate trading between separately owned resorts as part of a mutual agreement but not part of your ownership. Essentially the BVTC makes DVC a "club". This is why I want to own at the resorts I love and not for SAP.

Are they allowed to prohibit trading within the club at any point? I know the only thing you're pretty much guaranteed is access to your home resort but could they select certain resorts to be unable to trade with the rest of the system?

 

[Cfabar1]

Are they allowed to prohibit trading within the club at any point? I know the only thing you're pretty much guaranteed is access to your home resort but could they select certain resorts to be unable to trade with the rest of the system?

My understanding is that they could not do this within the current structure with the existing resorts. I believe all the resorts participate as members of the BVTC Buena Vista Trading Company.

Now, could Disney adopt terms for a specific resort, particularly a new resort that would limit the scope of the partnership, or have the individual properties pull out of the BVTC, I imagine that would be entirely possible.

I believe you are legally entitled to your points at your home resort. That is what your deed is for. The rest of the approach is subject to change is my understanding. Someone like @Sandisw is likely to know the particulars.

 

[Royal Consort]

Are they allowed to prohibit trading within the club at any point? I know the only thing you're pretty much guaranteed is access to your home resort but could they select certain resorts to be unable to trade with the rest of the system?

Yes, DVC resorts can be dissolved from the central reservation system (BVTC). They won't, but essentially we've signed over complete management to Disney.

Contracts have the following verbiage:

Other DVC Resorts. BVTC has reserved the right to associate additional resorts as DVC Resorts or delete existing DVC Resorts from
time to time. PURCHASERS should refer to the Public Offering Statement for details concerning the addition or deletion of DVC Resorts.

In terms of participation in the exchange program:

 

[Sandisw]

Are they allowed to prohibit trading within the club at any point? I know the only thing you're pretty much guaranteed is access to your home resort but could they select certain resorts to be unable to trade with the rest of the system?

The way the current DVC resort agreements are written, any resort can be removed from trading with BVTC, but those reasons are defined as well. The only thing that can legally happen thar could upend everything is if BVTC is dissolved by Disney and a new exchange company created with new rules. Not something I think would ever happen, nor would it be an easy move to accomplish.

They can’t just decide, on a whim, to remove it because they want to. However, the rules foe trading can be changed and do not have to apply to each resort the same way.

As I have mentioned, they can certainly increase home resort priority for one resort which reduces the trading into it for others. They can charge a fee to trade to certain resorts and not others…but, again, I think we will see them stay as consistent as possible.

Now, come close to 2042, I won’t be surprised to see things change for those resorts…

 

[ehh]

Maybe deserves a separate thread, but this talk of a trust has me wondering if anyone knows what Palmetto Trust Association might be?

https://search.sunbiz.org/Inquiry/C...&listNameOrder=DIERCKSENWILLIAM N140000058261

All the officers/directors are DVC leadership...

 

[RoseGold]

There's a whole lot BVTC could do, even within existing rules. Example: VGF charges 10% extra in the chart for non-VGF points. DVC2 could get even crazier. There's no reason future properties have to be DVC, or even Disney at all.

 

[AstroBlasters]

VGC contracts have gone down from 30 to 23… and VDH just sits there…. what’s the point of even listing them if they will never sell at that price….

 

[Sandisw]

VGC contracts have gone down from 30 to 23… and VDH just sits there…. what’s the point of even listing them if they will never sell at that price….

Because you never know when someone will come around to buy it....it doesn't hurt a thing to sit there. And, given that we don't have a market yet...meaning no agreement on a price with buyer/seller....time is on one's side.

Now, I do think that if it has been on the market over a month, its a pretty good indicator that the price is too high...but we don't know the seller's situation in terms of what it can take without being underwater...and if they have to bring money to the table, then its another reason to just let it stay there...doesn't change the seller's situation at all.

 

[Minniemoo15]

There's a whole lot BVTC could do, even within existing rules. Example: VGF charges 10% extra in the chart for non-VGF points. DVC2 could get even crazier. There's no reason future properties have to be DVC, or even Disney at all.

Here’s a tinfoil (OT) hat thought:

What if PVB 2.0 is the start of DVC 2.0 and that’s why they have been so tight lipped and coy?

 

[HyperspaceMountainPilot]

Here’s a tinfoil (OT) hat thought:

What if PVB 2.0 is the start of DVC 2.0 and that’s why they have been so tight lipped and coy?

If they have plans for DVC 2.0, seems like the Cabins at Fort Wilderness would be what they kick it off with. My guess is that Disney is not crazy enough to try to put two different systems at PVB that don’t play nicely with each other. There are a lot of existing owners who only want to buy if its the same association but probably even more owners who would buy either way but won’t buy into an entirely new separate system.

 

[RoseGold]

Here’s a tinfoil (OT) hat thought:

What if PVB 2.0 is the start of DVC 2.0 and that’s why they have been so tight lipped and coy?

They've already announced it within the context of DVC very formally. DVC2 could happen in the future, but Poly2 isn't it.

 

[MartyParty]

They've already announced it within the context of DVC very formally. DVC2 could happen in the future, but Poly2 isn't it.

Can't help myself. Ever time I hear mentioned the possibility of DVC2 or DVC 2.0, my brain extrapolates to less about the structure/benefits and more about Disney charging twice the price!

 

[Genie+]

You’ll break even at some point before the sun goes red giant, I promise!

On the plus side we’ll be merging with Andromeda and DVC should have some spectacular views!

People who love the FL heat will enjoy our red giant touching Earth