15 Year Extension at OKW for $25 per point

[cmark]

Just got a letter talking about an extension of termination of the OKW ownership. For $25 for point, it would now expire in January 2057. Where did this come from?

 

[TTFN!]

Just got a letter talking about an extension of termination of the OKW ownership. For $25 for point, it would now expire in January 2057. Where did this come from?

Since you said a letter, I would assume the US Postal Service?

Seriously for the last 2 or so weeks, it has been a rumor. On 09/24/2007, the condo association is supposed to vote on it. If (when it passes), a $25.00 per point option will allow OKW Owner's to extend their ownership until 2057.

Rumor also has it that if you extend before 02/28/2008, it will be $15.00 per point.

Can you scan your letter for us?

 

[LisaS]

I'm not sure what DVC's motive is, but there is a lot of good discussion on this topic in the following threads:

This thread includes the text of the letter that is going out to OKW owners: http://www.disboards.com/showthread.php?t=1561589

Here is a thread started on Aug 15th when the rumor first broke: http://www.disboards.com/showthread.php?t=1550829

And here is a poll on this subject: http://www.disboards.com/showthread.php?p=20511392

 

[JimC]

Accompanying the letter is the Notice for the Special meetings of the Board and of the Members on 9/24:

The special assessment, extension fee, will be $25 per point -- no mention of a discount but that could be in the mateial they send out in late September.

Members can satisfy the special assessment by paying the fee OR by executing a deed conveying their DVC interest from 1/31/2042 to 1/31/2057

It appears that you have a one time irrevocable option.

The notice and meetings appear to be governing law formalities because the first meeting begins at 2:00 pm and the second meeting begins at 2:05 pm. Just enough time to meet the requirements of each meeting's agenda.

 

[gmboy95]

Ok this is news to me....will there be similar things done for other resorts????

 

[JimC]

Don't know. It might depend on how this one goes.

 

[Anthony1971]

If this does go through and for the rest as well it would make SSR the first resort to expire Or will the offer a 3 year extension

 

[IndianaMouseLover]

If this does go through and for the rest as well it would make SSR the first resort to expire Or will the offer a 3 year extension

I hope they offer something even better than a 3 year extension for SSR. Maybe 2060?

 

[utahkennedys]

I am excited about this! It seems very fair, only $1/year to extend if they offer the $15 price as an incentive. I am also glad because I was getting SO tired of the DVC-haters on this board and another saying how the older DVC resorts were just about to start plummeting in value...ha!

 

[Towncrier]

Lets see. I would be 102 years old when my contract at OKW expired. I guess it would be a race to see who/what expires first.

I better start buttering up my wife to the idea of forking over the cash to extend our contract. It sounds like a winner to me. I just hope that this rumor is true and that the board decides to go through with it.

 

[Happy Birthday Cat]

I'm not sure what DVC's motive is......

IMHO I tend to think (crediting and agreeing with an earlier post by tjkraz) that the DVC motive is to increase profits NOW. It seems like a great way to tap into people who are already sold on DVC and infuse more cash into the bottom line.

HBC

 

[Towncrier]

IMHO I tend to think (crediting and agreeing with an earlier post by tjkraz) that the DVC motive is to increase profits NOW. It seems like a great way to tap into people who are already sold on DVC and infuse more cash into the bottom line.

HBC

Besides, they can always raise our dues by 15% per year to pay for any necessary repairs after 2042. Yikes.

 

[WebmasterDoc]

After reading our letter today, it's interesting to see how this has been structured. It is not really set up as an "offer to extend" - it has been structured as a formal "Special Assessment" to be levied against each OKW owner - this will be the first assessment for any DVC resort.

Owners can satisfy the terms of the assessment by paying the levy (there is no mention of the $10 incentive in this letter) ... OR ... by signing over their deeded rights from January 31, 2042 thru January 31, 2057 to DVD.

The Association will make this the personal obligation of each member and a lien will be placed on each member's ownership interest to secure this assessment. The special assessment will be due and payable on or before February 29, 2008 unless the debt is met by signing over the ownership rights to DVD for the extension dates.

While I'm sure the Special Meeting will be interesting to attend, having been at a number of Annual Meetings in the past I have no doubt that all of these Resolutions will be unanimously approved with no dissention or discussion.

The first Meeting (Board of Directors Special Meeting) is scheduled for 2:00pm on 9/24/07 and the second meeting (Members Special Meeting) will begin at 2:05pm. Both meetings are tightly scripted and all votes at the Members Special Meeting will ne made by the "authorized Voting Representative" for each unit. "DVD has reviewed the proposed resolutions and cinsiders then to be appropriate for approval. As a consequence, DVD intends to cast each Unit's vote to approve the resolutions at the Members Special Meeting."

OKW owners should receive the "official" notification very quickly , along with detailed information about paying the assessment (and any incentives included) or executing a deed conveying that ownership to DVD.

There is no real mystery regarding the outcome of the "Special" meetings - only the actual details about the net pricing and/or deed conveyance.

Stay tuned!

 

[spiceycat]

boy at $25 a point that is $6,000 for me.

now $15 was fair - but this is just unreasonable.

Think I would rather use the money for a the CRV. at least DVC allows financing and tries to help you with a new purchase.

 

[TTFN!]

boy at $25 a point that is $6,000 for me.

now $15 was fair - but this is just unreasonable.

Think I would rather use the money for a the CRV. at least DVC allows financing and tries to help you with a new purchase.

I'm with you Spicey......

But I am hoping that both the $15.00 early promotion and Disney Financing will be available, when the 'official' and detailed offer is released.....

Or CRV.....

Whichever come first!

 

[DVC Mike]

I don't own at OKW, but I wouldn't see myself paying $25 a point to extend. It seems a bit too much.

 

[jekjones1558]

Since I will be 95 and DH will be 109 in 2042, we would only extend to benefit our beneficiaries. 230 points at OKW and 920 at BWV would end up costing us $28,750 at $25 or $17,250 at $15 (I believe that all 2042 resorts will eventually get the same offer). If we decide not to extend and do decide to sell, I assume that we will take a hit in resale, but we bought assuming we would never get a penny in resale. I think our progeny would as soon have the extra money invested for the next 35 years and then they can decide whether the newest DVC or something totally different best suits their fancy in 2042.

 

[littlestar]

At $25.00 a point, that's too much. If it ends up being $15.00 a point if they offer it to the other resorts, then we'd probably do it. I'd have to talk to our kids first, though, since I'd be almost 99 years old at the expiration.

 

[Dean]

After reading our letter today, it's interesting to see how this has been structured. It is not really set up as an "offer to extend" - it has been structured as a formal "Special Assessment" to be levied against each OKW owner - this will be the first assessment for any DVC resort.

Owners can satisfy the terms of the assessment by paying the levy (there is no mention of the $10 incentive in this letter) ... OR ... by signing over their deeded rights from January 31, 2042 thru January 31, 2057 to DVD.

The Association will make this the personal obligation of each member and a lien will be placed on each member's ownership interest to secure this assessment. The special assessment will be due and payable on or before February 29, 2008 unless the debt is met by signing over the ownership rights to DVD for the extension dates.

While I'm sure the Special Meeting will be interesting to attend, having been at a number of Annual Meetings in the past I have no doubt that all of these Resolutions will be unanimously approved with no dissention or discussion.

The first Meeting (Board of Directors Special Meeting) is scheduled for 2:00pm on 9/24/07 and the second meeting (Members Special Meeting) will begin at 2:05pm. Both meetings are tightly scripted and all votes at the Members Special Meeting will ne made by the "authorized Voting Representative" for each unit. "DVD has reviewed the proposed resolutions and cinsiders then to be appropriate for approval. As a consequence, DVD intends to cast each Unit's vote to approve the resolutions at the Members Special Meeting."

OKW owners should receive the "official" notification very quickly , along with detailed information about paying the assessment (and any incentives included) or executing a deed conveying that ownership to DVD.

There is no real mystery regarding the outcome of the "Special" meetings - only the actual details about the net pricing and/or deed conveyance.

Stay tuned!

Interesting. It goes along with my thoughts that DVC needs a large % to participate to make this work. And while I haven't thought enough about it to formulate specific ideas, on the surface I'd say that I doubt it's within the rules or legal in the state of FL to structure it this way without a formal vote of the membership themselves. I do think it's fair in terms of cost at $15 per point but not at $25 pp. It would be interesting what they offered later if a fairly large group of people opted out. I'd think that would create a pretty good sweat for those in charge as I don't think DVC has a prayer of selling those memberships for that take home amount in the future when you adjust for inflation and consider the extra costs associated with an entire new sales effort. I'll have to let in sink in and re-evaluate the situation.

 

[bababear_50]

Hmmmmm being offered to extend is one thing --

Being now TOLD you have NO choice but that this is an assessment and a lien will be placed upon your contract until you sign back rights for the remaining 15 years or extend for 15 years --AND at 25.00 per point ??
I felt 15.00 was alittle high but if it's true that it's 25.00 no thanks !!!

I'll let the contract run it's course 2042 and buy elsewhere.