Hyatt Ka'anapali Resort Presentation

[Kal]

I attended the Maui sales pitch, not an owner's update. I've been to MANY of these sessions and this was by far the most through where I did not catch them on a single untruth. I dealt with very senior and highly experienced people. It actually was a relief even though I was set for a sporting event. I substantially increased my knowledge base on the Maui system functions. Some interesting factoids:
- 70% of the resort are fixed weeks, 30% are float weeks
- the weeks units are 70% sold out
- there are 40 float units per week, those are 60% sold out (all 1 BR units are sold)
- float owners are evenly distributed between the 3 floor bands
- week owners have no access to floaters and vice-versa
- there are provisions were a weeks owner can swap to another week
- pricing of the units is based on Maui real estate sales Island wide (rather than Hyatt supply and demand)
- they are back to special discounts expiring at the end of the presentation day
- they see the HPP system as where Marriott ended up and are sooooo happy to have nothing to do with it; points are "blue sky"
- it is extremely difficult (almost impossible) to get into Maui using CUP points from other HRC resorts
- owners generally rent their units on their own rather turn them into the HRC pool
- they are not familiar with the involvement of the developer (and that's NOT Hyatt)
- rent at the Hyatt Regency next door is $800/nite for a basic room
- a basic room at the Grand Wailea or Ritz Carlton is $1800/nite
- the property is in magnificent condition

 

[alameda94501]

- they see the HPP system as where Marriott ended up and are sooooo happy to have nothing to do with it; points are "blue sky"

Sorry, I'm not familiar with this - how are points "blue sky"?

 

[TravelTime]

I attended the Maui sales pitch, not an owner's update. I've been to MANY of these sessions and this was by far the most through where I did not catch them on a single untruth. I dealt with very senior and highly experienced people. It actually was a relief even though I was set for a sporting event. I substantially increased my knowledge base on the Maui system functions. Some interesting factoids:
- 70% of the resort are fixed weeks, 30% are float weeks
- the weeks units are 70% sold out
- there are 40 float units per week, those are 60% sold out (all 1 BR units are sold)
- float owners are evenly distributed between the 3 floor bands
- week owners have no access to floaters and vice-versa
- there are provisions were a weeks owner can swap to another week
- pricing of the units is based on Maui real estate sales Island wide (rather than Hyatt supply and demand)
- they are back to special discounts expiring at the end of the presentation day
- they see the HPP system as where Marriott ended up and are sooooo happy to have nothing to do with it; points are "blue sky"
- it is extremely difficult (almost impossible) to get into Maui using CUP points from other HRC resorts
- owners generally rent their units on their own rather turn them into the HRC pool
- they are not familiar with the involvement of the developer (and that's NOT Hyatt)
- rent at the Hyatt Regency next door is $800/nite for a basic room
- a basic room at the Grand Wailea or Ritz Carlton is $1800/nite
- the property is in magnificent condition

The Grand Wailea pricing has gotten out of control. In the late 2000s, we stayed there for a week and I recall only paying about $400 a night or something low like that. It even had a partial ocean view. Back then, I thought that was a fortune but now, it is astronomical.

 

[Kal]

People think they are buying a week where they can get anything they want. Then they realize they just own points where nothing is assured. They have to compete with all others


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[alameda94501]

People think they are buying a week where they can get anything they want. Then they realize they just own points where nothing is assured. They have to compete with all others


Sent from my iPhone using Tapatalk

Got it, that makes sense.

 

[Kal]

The Grand Wailea pricing has gotten out of control. In the late 2000s, we stayed there for a week and I recall only paying about $400 a night or something low like that. It even had a partial ocean view. Back then, I thought that was a fortune but now, it is astronomical.

It's actually worse than that. The resort is under SUBSTANTIAL renovation. There is literally nothing open on the main floor. They are offering a food truck for meals. There is only one person at the reception desk. The nightly price I mentioned was for a garden view.

 

[elysium5]

The Grand Wailea pricing has gotten out of control. In the late 2000s, we stayed there for a week and I recall only paying about $400 a night or something low like that. It even had a partial ocean view. Back then, I thought that was a fortune but now, it is astronomical.

In 2008, there was probably a guest who remembered paying $100/night in 1992

Hotel price inflation does seem to outpace general inflation

 

[owl]

I attended the Maui sales pitch, not an owner's update. I've been to MANY of these sessions and this was by far the most through where I did not catch them on a single untruth. I dealt with very senior and highly experienced people. It actually was a relief even though I was set for a sporting event. I substantially increased my knowledge base on the Maui system functions. Some interesting factoids:
- 70% of the resort are fixed weeks, 30% are float weeks
- the weeks units are 70% sold out
- there are 40 float units per week, those are 60% sold out (all 1 BR units are sold)
- float owners are evenly distributed between the 3 floor bands
- week owners have no access to floaters and vice-versa
- there are provisions were a weeks owner can swap to another week
- pricing of the units is based on Maui real estate sales Island wide (rather than Hyatt supply and demand)
- they are back to special discounts expiring at the end of the presentation day
- they see the HPP system as where Marriott ended up and are sooooo happy to have nothing to do with it; points are "blue sky"
- it is extremely difficult (almost impossible) to get into Maui using CUP points from other HRC resorts
- owners generally rent their units on their own rather turn them into the HRC pool
- they are not familiar with the involvement of the developer (and that's NOT Hyatt)
- rent at the Hyatt Regency next door is $800/nite for a basic room
- a basic room at the Grand Wailea or Ritz Carlton is $1800/nite
- the property is in magnificent condition

Good info; thanks for sharing.
I am wondering what pricing Hyatt is quoting now that many people are traveling again like - did you happen to see pricing for a 2BR, floating week, EOY or annual, high floor. I’ve been looking at resale units, but there aren’t many and wondering how developer pricing is these days.

 

[Kal]

A 2BR floating week is in high demand. There are lots of fixed week resales which tells me owners are having second thoughts about being tied to a specific week. The best pricing NOW is by attending a presentation. For existing HRC owners, those prices are about $40k EOY, mid-band units. They will provide either a discount of $3K or add on 250,000 WOH points. With some negotiation, I believe you could get 350,000 WOH points. This price-point won't last long as it includes a covid discount. All the 1BR floaters are sold out. The full resort is 75% sold out. I believe float units represent 30% of the property.

 

[owl]

A 2BR floating week is in high demand. There are lots of fixed week resales which tells me owners are having second thoughts about being tied to a specific week. The best pricing NOW is by attending a presentation. For existing HRC owners, those prices are about $40k EOY, mid-band units. They will provide either a discount of $3K or add on 250,000 WOH points. With some negotiation, I believe you could get 350,000 WOH points. This price-point won't last long as it includes a covid discount. All the 1BR floaters are sold out. The full resort is 75% sold out. I believe float units represent 30% of the property.

Thank you for the pricing info.

 

[T-Dot-Traveller]

In 2008, there was probably a guest who remembered paying $100/night in 1992

Hotel price inflation does seem to outpace general inflation

Best motel price I ever paid was $ 5 for the night / Joplin Missouri 1978 / business loop 44 - which was basically old 66 .
Motel was from the 1940''s - linoleum floor - steam heat radiator.

Best motel deal was in Lacrosse Kansas.about 1982-83 at a ten unit motel. Price was $ 14 -(cash only) When I said I was low-ish on cash
the owner said - no problem - you can send a check when you get home. They even had a motel library full of paperbacks.

I traveled Missouri - Kansas- S. Illinois as a sales rep out of St. Louis at the time.
The house we bought in 1981 was only $ 10 K more than a HRC - eoy mid band unit @ $ 40 K

 

[puerquito]

A 2BR floating week is in high demand. There are lots of fixed week resales which tells me owners are having second thoughts about being tied to a specific week. The best pricing NOW is by attending a presentation. For existing HRC owners, those prices are about $40k EOY, mid-band units. They will provide either a discount of $3K or add on 250,000 WOH points. With some negotiation, I believe you could get 350,000 WOH points. This price-point won't last long as it includes a covid discount. All the 1BR floaters are sold out. The full resort is 75% sold out. I believe float units represent 30% of the property.

In your opinion, is it better to own a floating/flex week or a fixed week at Ka'anapali? We have small kids and while a fixed week would be great now, we know in the future it may not work out as easily due to school and their activities. Is it easy to get the week you want when you have a floating week?

 

[ScoopKona]

In your opinion, is it better to own a floating/flex week or a fixed week at Ka'anapali? We have small kids and while a fixed week would be great now, we know in the future it may not work out as easily due to school and their activities. Is it easy to get the week you want when you have a floating week?

Pencil it out -- if you can find a fixed week which works for you more than half the time for the next "X" years, buy it.

Unless they ruin the system, you'll be able to turn your week into points and then use the points elsewhere.

If you're all over the map, I think the best strategy is to buy the least expensive (price plus annual fees) 2200 point week you can, and then trade. You will not get everything you want all the time. But you will get most of what you want, when you want it, that you won't be upset.

 

[vacationtime1]

Pencil it out -- if you can find a fixed week which works for you more than half the time for the next "X" years, buy it.

Unless they ruin the system, you'll be able to turn your week into points and then use the points elsewhere.

If you're all over the map, I think the best strategy is to buy the least expensive (price plus annual fees) 2200 point week you can, and then trade. You will not get everything you want all the time. But you will get most of what you want, when you want it, that you won't be upset.

Trading into Hyatt Ka'anapali will always be a difficult trade -- especially during summer and school vacation weeks. And if you buy a fixed week and need to change it, you are trading. You will be competing with every Hyatt owner with a 2200 point unit.

 

[ScoopKona]

Trading into Hyatt Ka'anapali will always be a difficult trade -- especially during summer and school vacation weeks.

I predict it will become easier. Demand for Hawaii in general is high. And for that property, probably the highest in the archipelago. But things will ease up -- life will continue to throw curve-balls at all of us, and people will find themselves having to change their vacation plans.

As I've said many times, even if I had 2200 points, I wouldn't spend them on one week at Hyatt Maui. Two or three consecutive weeks through Interval is more to my liking. (Although if someone offered to trade my Interval Maui week for the Hyatt Maui week, I would naturally jump at that.)

It would be a much different story if Hyatt was the only game in town.

 

[Kal]

In your opinion, is it better to own a floating/flex week or a fixed week at Ka'anapali? We have small kids and while a fixed week would be great now, we know in the future it may not work out as easily due to school and their activities. Is it easy to get the week you want when you have a floating week?

In short, ownership of a floating week is the BEST way to go. If you plan 12 months ahead of your stay, the reservation process will provide almost any week you desire.

A floating week option is rare as it is only offered by a very few HRC resorts. Hyatt Ka'anapali is the leader in that category. IMHO, an owner of a fixed week will eventually be disappointed that the original premise to select that specific week no longer works. School vacations and personal vacation schedule are often a primary driving force. Another factor is the owner just doesn't want to take that trip to Maui every year and at the same time.

A very common theme with HRC owners is to exchange into Ka'anapali as desired. The vast majority of HKB units are 2 BR with a relative handful of 1 BR units. Therefore it would be necessary to own 2200 points to even have an opportunity to exchange. Even then it's a "crap shoot" to get in. That makes it very difficult for longer term vacation planning. Another option is to purchase a 2200 point HKB week and then use those points for exchange elsewhere in the HRC system. That would be very unwise as the capital purchase price could easily be $60K where a 2200 point resale week could be found for maybe $10K. The question then becomes "why am I spending my $25/point HKB to stay in a $4/point HRC unit"? The common answer for HKB owners is to rent their unit for easily $9K/week and use that cash to pay for a mainland vacation. That decision makes it even more difficult to exchange into HKB.

 

[socaltimeshare]

The whole allure of HKB is the bulk of the other name-brand resorts on Kaanapali beach are float weeks. Float weeks can lead to disappointment when you don’t get your desired week. Float weeks are sold by the developer for significantly less than prime weeks for this reason. My two cents- The right fixed week (one that can be rented easily if not used) is the way to go if considering HKB. If interested in a float, there are many other options to consider that may provide better value, like the Westin Ocean Front Villas.

 

[Scavanjer]

A 2BR floating week is in high demand. There are lots of fixed week resales which tells me owners are having second thoughts about being tied to a specific week. The best pricing NOW is by attending a presentation. For existing HRC owners, those prices are about $40k EOY, mid-band units. They will provide either a discount of $3K or add on 250,000 WOH points. With some negotiation, I believe you could get 350,000 WOH points. This price-point won't last long as it includes a covid discount. All the 1BR floaters are sold out. The full resort is 75% sold out. I believe float units represent 30% of the property.

Just attended a sales pitch at HKB here is the current deal:
2BR, middle floors 5-8, EOY floating week: $53,640
8% discount down to $49,349
$1500 credit because we are currently guests at the Hyatt Regency next door
$3013 incentive or 250,000 WoH points
Bottom line if subtracting all incentives above : $44,836

We did not sign up but took an offer to pay $1789 for 5 nights to use at the resort in the next 2 years but have to attend a follow up sales pitch. Will also get 25,000 WoH points for doing this.

I still am not comfortable with how float works and and why I shouldn’t just buy on the resale market a fixed week (float week resales seem nonexistent). I get that float is more flexible but I’m not going to sign up for $40k without knowing all the details of the program….

Also, I see the effect of inflation on the annual MF as HKB MF went up over 11.5% for 2023. I need to do more research but appreciate this forum to help educate! Thanks

 

[socaltimeshare]

why I shouldn’t just buy on the resale market a fixed week (float week resales seem nonexistent)

There are floats regularly available - for example, this annual for 49.5K - https://www.redweek.com/posting/R866725 compared to 44.8K for an EOY from the developer (although the one I linked is lower level and you quoted a mid level).

If you look at the majority of fixed HKB weeks on resale, they are either a) less prime fixed weeks b) overpriced. I think some owners were sold on the idea they could easily rent out their unit for a profit any time they didn't use it. While this is true for some weeks (summer, spring break, Thanksgiving, Winter Break, etc), you will see that most reasonably priced resale weeks fall outside these prime times. So, either buy one of those non prime times (if you will use it consistently) OR focus your search on the most prime weeks (if you want the ability to consistently rent it out). Or, buy a float and hopes availability continues to work in your favor. Logically, not everyone who buys the float is going to get the prime weeks. But if float is what you want, again, there are lots of other resort options along that stretch of beach.

 

[jstim54]

I'm getting ready to close on a high floor annual 2BR summer week 33 for $40k. It was a bit of a challenge to find a high floor unit during school summer break, but I was able to negotiant this one down from $44k and I figured that was the best I was going to do given the list prices. I'm happy with it because it's right at the end of my kids summer break and we always take our family vacations in August anyway.

 

[socaltimeshare]

week 33 for $40k. It was a bit of a challenge to find a high floor unit during school summer break

Not sure I’d call week 33 during summer break. Many schools nationwide are back in session / demand is less. I would take a float over week 33. Shouldn’t be super hard to reserve and a float would probably retain resale value better.

 

[jstim54]

Not sure I’d call week 33 during summer break. Many schools nationwide are back in session / demand is less. I would take a float over week 33. Shouldn’t be super hard to reserve and a float would probably retain resale value better.

It's during our summer break, which is what matters to us. HKB resale prices are high I fully expect they will drop over time, but what matters to me it that I have guaranteed usage during a week we are available for the next 10 years. I would have liked a floating unit, but there wasn't much available, and I wasn't going to pay more for a low floor. I'm happy to save money and get a high floor unit I'm going to use over the long term.

 

[MabelP]

Very exciting…enjoy!

 

[Scavanjer]

There are floats regularly available - for example, this annual for 49.5K - https://www.redweek.com/posting/R866725 compared to 44.8K for an EOY from the developer (although the one I linked is lower level and you quoted a mid level).

If you look at the majority of fixed HKB weeks on resale, they are either a) less prime fixed weeks b) overpriced. I think some owners were sold on the idea they could easily rent out their unit for a profit any time they didn't use it. While this is true for some weeks (summer, spring break, Thanksgiving, Winter Break, etc), you will see that most reasonably priced resale weeks fall outside these prime times. So, either buy one of those non prime times (if you will use it consistently) OR focus your search on the most prime weeks (if you want the ability to consistently rent it out). Or, buy a float and hopes availability continues to work in your favor. Logically, not everyone who buys the float is going to get the prime weeks. But if float is what you want, again, there are lots of other resort options along that stretch of beach.

I kind of prefer HKB but you are right I should look at other properties in the area that offer float and compare

 

[Kal]

Just attended a sales pitch at HKB here is the current deal:
2BR, middle floors 5-8, EOY floating week: $53,640
8% discount down to $49,349
$1500 credit because we are currently guests at the Hyatt Regency next door
$3013 incentive or 250,000 WoH points
Bottom line if subtracting all incentives above : $44,836

We did not sign up but took an offer to pay $1789 for 5 nights to use at the resort in the next 2 years but have to attend a follow up sales pitch. Will also get 25,000 WoH points for doing this.

I still am not comfortable with how float works and and why I shouldn’t just buy on the resale market a fixed week (float week resales seem nonexistent). I get that float is more flexible but I’m not going to sign up for $40k without knowing all the details of the program….

Also, I see the effect of inflation on the annual MF as HKB MF went up over 11.5% for 2023. I need to do more research but appreciate this forum to help educate! Thanks

It would be helpful for you to describe how you think a float week works. That way we can correct any errors, fill in gaps or confirm your thoughts. In simple terms, you select the week you want then 12 months prior to the first day of occupancy, you request that week. The Xmas/NY weeks are not available as float weeks.