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Marriott and ILG

Discussion in 'Hyatt Residence Club' started by Tucsonadventurer, Apr 16, 2018 at 12:45 PM.

  1. Tucsonadventurer

    Tucsonadventurer TUG Member

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    So if Marriott does acquire ILG, still rumor but looking more probable, I wonder what that will mean for folks that purchased HPP. Also curious how Marriott will proceed with HPP. Of course that's only one of many questions. Will be interesting to see what evolves.
     
  2. Sapper

    Sapper TUG Member

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    I have not been overly impressed with the Marriott system. I'm sure that the individual properties are nice, but what Marriott management has done to their system has kept me from buying in. Looking at what they have done over the past five to ten years seems to only benefit their bottom line at the expense of the owners.

    I seem to remember something along the lines of Hyatt being allowed to have their names removed from the HRC resorts if another named hotel company took over the system. My guess is the HRC resorts will either be spun off into their own system again (lowest probability) through to integration into the Marriott system and re-branding with current owners loosing access to internal Hyatt trades unless we "buy in" to a merged points system (basically what they did to their own system a few years ago). If the latter happens, HPP may be rolled into the Marriott points system to create some form of merged points system. Expect maintenance fees to increase at what ever the maximum possible rate might be with out causing a group to form a class action lawsuit against Marriott.

    Of course, this is all speculation... speculation on rumors... so, hopefully just a bad dream.
     
    Tucsonadventurer likes this.
  3. lizap

    lizap TUG Member

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    OK, I found the latest news. If it happens, my guess is HPP is history. Current HRC owners will be given a chance to convert to whatever for a nominal fee. I'm for anything that would give us better leadership, or better yet, ANY LEADERSHIP..
     
    Last edited: Apr 16, 2018 at 4:20 PM
    taffy19 and Tucsonadventurer like this.
  4. Sapper

    Sapper TUG Member

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    I'm more concerned the new "leadership" may just see us as fat cows they can lead to a slaughter by increasing our maintenance fees and making ownership less desirable if we are unwilling to buy in to what ever program they have thought up this year. I bought into the Hyatt system because I liked it, so I'm probably not going to be thrilled if it changes into a Marriott system.
     
    DAman likes this.
  5. mjm1

    mjm1 TUG Review Crew: Veteran TUG Member

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    Marriott: Desert Springs Villas I, Ko Olina (EOY), Maui Ocean Club- Lahaina Villas, Destination Club Points;
    Westin Kierland Villas- Annual & EOY
    Even if they leave the systems as they are, it would be a nice benefit if they provide a cross-over system that would allow Hyatt, Vistana and Marriott owners to have internal access to each other's inventory. That would make more locations available without having to go through II. Of course, II would lose out on exchange fees, so there would have to be provisions to offset that.

    This will be interesting to see how it develops. I am glad to see that ILG is not pursuing anything with Diamond at this point.

    Best regards.

    Mike
     
    taffy19 likes this.
  6. WalnutBaron

    WalnutBaron TUG Review Crew: Veteran TUG Member

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    That would be an unmitigated nightmare.
     
  7. Sicnarf

    Sicnarf TUG Member

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    So, what benefit does HPP offers compared to HRC? Ability to book all resorts 12 months out based on availability?
     
  8. Sapper

    Sapper TUG Member

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    You get to pay substantially more for the initial buy in, and pay a higher average maintenance fee... oh, and as we recently discovered, with HPP you are charged more points for the same stay. All major benefits... to Hyatt/II.
     
    Tucsonadventurer likes this.
  9. Sicnarf

    Sicnarf TUG Member

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    These are benefits to Hyatt indeed! But what do I get in exchange? What's the value proposition for converting to HPP?
     
  10. Sapper

    Sapper TUG Member

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    That's the question we have all been asking since they failed to make ANY announcement of this new program. The best we can come up with is a potentially longer booking window which in reality does not mean much because of how HRC works, and being able to stay any number of days as opposed to the fixed 2, 3, 4, 7 HRC has. However, it should be noted that when using HPP for these stays, there is a housekeeping fee added that HRC does not have. In other words, more benefits to Hyatt / II. It also allows any Hyatt location to make sales for all Hyatt locations as opposed to just the local property... sorry, that is just another benefit to Hyatt / II.
     
  11. Sicnarf

    Sicnarf TUG Member

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    So, I converted 6 weeks to 6 Sheraton Flex VOIs (pure points) for a considerable amount of money. In exchange, I get home resort privilege in 6 resorts (up to 1 year advance booking). If HPP provides similar flexibility to several desirable resorts, I certainly would be interested. I got 2 Pinon Pointe resales primarily for exchange and if I get 6 months leg up to book Aspen or Beaver Creek, I'll be happy to join HPP since it would most likely be cheaper than buying directly from Hyatt.
     
  12. Sapper

    Sapper TUG Member

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    Nothing in BC is part of HPP. Your maintenance fees will skyrocket from the low Pinon Pointe fees. Strongly suggest you take a close look at the buy in cost (if I am remembering correctly, $20 per point) and maintenance fee (cant remember the fee), and you can only buy the HPP from Hyatt. Good luck.
     
  13. bdh

    bdh TUG Member

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    There's been a wide variety of comments/opinions here on TUG regarding the HPP booking window - however from everything I've read on the topic in Hyatt literature & rules and from attending an HPP sales presentation, HPP's only booking window advantage over HRC owners is for HPP inventory (HPP has a 6 month jump over HRC owners on HPP Trust inventory). That said, that's not much of an advantage at the moment as every Hyatt property that the HPP Trust owns units at are existing HRC locations - so there is currently no property that HRC owners are excluded from. However there are Hyatt properties that HPP members are excluded from - Hawaii, both Beaver Creeks, High Sierra, Northstar, Siesta Key and Breckenridge.

    Hyatt is building new buildings/units at Wild Oak and Coconut Plantation and those new buildings will be exclusive to HPP members - which I think is great that they'll have their own buildings there (that will mitigate the HRC/HPP competition in the current buildings for units/weeks). Expect HPP would have exclusive access to the rumored new Key West property if that should become reality - again, great as that will relieve the HRC/HPP competition for weeks/units at Sunset Harbor. From my perspective, until HPP starts to add new resort locations, there are very few reasons for an HRC owner to buy HPP.

    Why would the Pinon Pointe maintenance fees skyrocket?
     
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  14. NWTRVLRS

    NWTRVLRS TUG Member

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    Because HPP maintenance fees are a lot higher.
     
  15. Sapper

    Sapper TUG Member

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    Right, as I said, "potentially longer booking window which does not mean much because of how HRC works."

    Sorry, I should have been more clear. The total maintenance fee bill with the HPP included will sky rocket in comparison to what he has been paying on just Piñon Pointe. The fees on the Piñon units will remain unchanged.
     
  16. bdh

    bdh TUG Member

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    Now I understand the comment. Based on what I'm seeing/hearing, if an HRC owner buys into HPP, there are two options on what they can do with their deeded HRC weeks.
    • Option A: HRC owner retains their Pinon Pointe deeded weeks and has the annual option of converting that year's HRC ownership to HPP points. They would pay MF on their 660 HPP points (assuming they bought the minimum) and pay MF on the Pinon Pointe HRC deeded weeks.
    • Option B: HRC owner turns their Pinon Pointe deeded weeks over to HPP to permanently convert the HRC weeks/points into HPP points. They would pay MF based on the number of HPP points owned.
    Not sure why any HRC owner would elect Option B as it has no benefit whatsoever to them, however here's where their MF cost would dramatically jump as HPP MF is solely based on number of points owned. The size of the increase would be a function of the point value of their deeded week/s - 1300 up to 2200 points.
     
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  17. Kal

    Kal TUG Member

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    There is still some uncertainty about HPP maintenance fees. If an HRC owner elects to deposit an HRC unit for a single year, the MF would have been paid to HRC prior to that decision point. It would be a challenge to have to pay the HPP MF again for that same unit. Of course if an HRC owner transfers the unit to HPP on a permanent basis, the HPP MF would be much higher going forward. But this issue still exists for that point of initial transfer.

    With regard to the booking window, an HRC unit can be booked 12 months in advance based upon availability. Same as HPP. The key word is "availability". For HPP, given the absence of units deposited into the system, the demand for high quality units at 12 months would be as high or higher than HRC. Thus that "advantage" is all huckster speak.
     
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  18. bdh

    bdh TUG Member

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    Payment of MF would be based on ownership - whoever's name is on the deed, pays the bill. With HPP, Hyatt's name is on the deed, Hyatt pays the MF and is reimbursed (plus a small "handling fee" - pun intended as HPP buyers are being "handled" IMHO) by the HPP member. With HRC, Joe Fufnick's name is on the deed, Joe pays the MF.

    If Joe Fufnick HRC owner is also an HPP buyer going the above path of Option A (retains HRC deed), Joe would pay two separate MF's - one directly to Hyatt for the deeded week and one indirectly to Hyatt thru HPP for HPP Trust points owned.

    If Joe Fufnick HRC owner is also an HPP buyer going the above path of Option B (giving HRC deed to HPP to permanently convert HRC weeks to HPP points), Joe would pay one MF to HPP for total number of HPP Trust points owned.
     
  19. Kal

    Kal TUG Member

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    The point I'm making is strictly limited to the initial transfer. Let's assume the HRC MF was paid in December. Then during the first 12 weeks of the new year, that HRC unit was transferred to HPP. At that point MF would be due for the minimum 660 HPP points. However, if it was a permanent transfer for say a 2200 point HRC unit, the HPP account in January would total 2860. Then the question is does the HPP member pay MF for the additional 2200 HPP points?
     
  20. bdh

    bdh TUG Member

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    The MF payment on Option B in year one def gets into some "dirty math" as some HRC properties the MF is set up in a "paid ahead" scenario while some HRC properties the MF is set up in a "paid in arrears" scenario. Depending on what HRC property is being permanently converted to HPP points, its possible there could be a double whammy of MF in year one. But after year one, there wouldn't be any double hits on MF as it all straight forward MF on number of HPP points owned.
     
  21. dioxide45

    dioxide45 TUG Review Crew: Veteran TUG Member

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    Really, wouldn't the deeded week MF go to the HOA through Hyatt? For the trust HPP, the MF goes to the trust, there are additional fees included in that MF to cover the costs of operating the trust. Then the trust pays out the MF for the deeded weeks that are owned by the trust to the individual HOAs. In the end the HOA is who gets the MFs and there are management fees that are retained by Hyatt.
     
  22. scsu_hockey_fan

    scsu_hockey_fan TUG Member

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    I believe the number of points required for the same stay is the same. On the example give on the other thread it was easy to discover that the weeks had different start dates by one day, a Sunday check in vs. Saturday check in. Im referring to the ownership week check in, not the reservation check in dates. There is a change from silver to bronze season during the reservation dates given. Please see details on other thread for further clarification. Thanks.
     
    Last edited: Apr 21, 2018 at 12:16 PM
  23. ivywag

    ivywag TUG Member

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    Last edited: Apr 21, 2018 at 12:58 PM
  24. Kal

    Kal TUG Member

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    What's interesting is the breakdown of the MF. Included is the Interval and HRC Club fees. Then for HPP you get hit for the Interval and HRC Club fee plus the HPP Trust fee. If you own two units, everything gets doubled. If you examine the details of the MF the actual operating costs for the unit and property tax are not too bad. All the rest is layer upon layer of Hyatt fees.
     
  25. Sapper

    Sapper TUG Member

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    The image from the other thread has the start date as the same, but the points are different.

    LINK:
    https://tugbbs.com/forums/index.php?attachments/676f44c0-5e27-4b2f-9f50-402c30baf8e9-png.6205/
     

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