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bathrooms, and kitchens. In addition, chic and upgraded decor
inspired by area architecture is featured throughout. It’s important that
they still provide the same level of exceptional customer service and
that owners and guests enjoy accommodations that are second to
none — providing more room for an entire family. The guest experience
is always a priority; we want everyone who stays with us to leave feel-
ing great about their vacation and wanting to come back.”
Westgate and Marriott have both found ways to make it work.
Marriott has the aforementioned urban resort in Boston, plus locations
in London and San Francisco. Westgate has a resort in the heart of
South Beach and is considering development opportunities in Los
Angeles and other major markets, including New York City, Chicago,
and San Francisco. “We’re very fortunate to have the luxury to pick and
choose; the opportunity has to match our exact business model,”
Waltrip says. “Still, urban markets are the next logical place for us.”
One solution to the high price of real estate has been to go outside
the city center. “In Europe, we have resorts on the outskirts of cities,
such as London and Paris,” says Darren Ettridge, senior vice president
of resort sales and business development (Europe, Middle East, Africa,
and Asia) for Interval International. “I do believe
these are viable alternatives and that the commute is
acceptable in many cases. The key is to ensure that
the transit options are user-friendly and costs are
reasonable. There should also be options for early
and late trips.”
Where in the World?
The demand for urban resorts is universal. “I believe
the situation is the same the world over,” Ettridge
says. “The demand continues to grow due to peo-
ple’s desire to visit urban locations for short-stay
breaks. The challenge for exchange companies
such as Interval is that there aren’t many urban
resorts. We do have some urban resorts in Europe,
but the amount of inventory available is extremely
limited.”
While European timeshare laws make develop-
ing in the region a formidable challenge, the rest of
the world has plenty of options for urban vacations.
“I’m keeping my fingers crossed that there will
be more urban resorts in the U.S.,” Ten Broek says.
“Chicago is very interesting, as are San Francisco, New Orleans, and
Miami Beach. There are timeshare resorts in these cities, but we have
more demand than supply. With points and split-week options, these
are great destinations for timeshare owners. In those urban areas
where there’s not enough inventory to meet members’ vacation needs,
Interval has rented hotel accommodations to utilize in its Getaway
vacation rental program to satisfy member demand. We’re hoping to
see more urban development as we move forward because members
certainly want to take city vacations.”
Hickman, based in Singapore, wishes there were much greater
supplies in urban destinations. “There’s huge demand; the issue is sat-
isfying that demand,” he says. “When Asians visit Europe and other
countries, they want to see the capital cities they have heard about.
When Americans come here, Singapore is the destination, Hong Kong
is the destination. Each one of these cities offers a completely different
cultural experience. Singapore is as different to Bangkok as New York
City is to Mexico City.”
Australia represents great opportunity,
Hickman says. “Sydney has everything and
certainly holds appeal, and Melbourne is also
very popular.”
When speaking to prospects in Arabian
Falcon’s sales center in Dubai, travelers from
the Gulf States aren’t interested in traditional
European timeshare destinations such as the
Canary Islands. “They want city locations like
Paris or Rome,” Sharafuddin says. He also
cites Barcelona and Madrid in Spain, and
Istanbul, Turkey, as destinations that
prospects mention frequently.
In Latin America, vacationers have typical-
ly been more interested in a traditional resort
product where they can bring their extended
family. “With the new customer profile, however, they’re looking at
those opportunities differently now,” Kinney says. Marriott is evolving
its product, and urban locations will play a big role in that, he says. “You
have to evolve to meet the changing needs of your members.”
There are already urban resorts in Rio de Janeiro, Brazil; Buenos
Aires, Argentina; Bogotá, Colombia; and San Juan, Puerto Rico, says
Marcos Agostini, Interval’s senior vice president of resort sales and
business development for Latin America.
Of course for exchange companies such as Interval, adding resorts
in urban locales won’t necessarily guarantee more urban inventory for
exchanges. “People who buy there don’t want to give it up,” Hickman
says. “They want to use it.”
See page 2 for currency conversions.
Brownsburg, Indiana–based Judy Kenninger heads Kenninger Communications
and has been covering the shared ownership and resort real estate industry
for nearly two decades.
TRENDS
RESORTDEVELOPER.COM
vacation industry review
APRIL – JUNE 2015
20
“We’ve seen a rise in
interest from our owners in
urban destinations. As our
target market continues to
change, we understand
that people want options.
Our owners still love their
beach and ski experiences,
but by adding urban resort
locations, they can have a
whole new timeshare
experience.”
- Alex Chamblin Jr., Shell Vacations LLC
Cultura RF/Image Source