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Week of Nov. 31 - Dec.6, 2001
" The world's biggest after-hours timeshare
watering hole."
" If you don't want it printed, don't let it happen." -unknown- |
What's going on with you all out there? What would you like to talk about? How are you
dealing with the cutbacks and the serious challenges of selling in the present environment? What juicy gossip have
you got that won't get us and you sued? Start a dialog we'll be happy to provide the forum.
- QUESTION from you:
--" I've heard that some Florida resorts are selling an every-third-year use product. I was wondering
if anyone else had heard of such a product? If so, is the product a success or failure? Also, what resorts are
successfully using such a program? Your input is greatly appreciated!"
- RESPONSE Dec. 2: --" The
Berkeley Group introduced every third year ownership
at the Orlando Vacation Village Resort. The program is being sold as an exit product, replacing the lease program.
It is going great! So many of the " We need to think about it...." Group go down in a flash. Gee I guess
it really was the money."
E-mail street@streettalkblog.com
There are rumors of a big shake-up coming at Mego Financial Corp., perhaps heads rolling
and maybe even a buy-out. We find these rumors of particular interest because of early speculation by The Street
that Mego might be the acquisition target of MPTV. Mego (with headquarters in Las Vegas) is the parent company
of Preferred Equities Corp. (PEC), which has the exclusive right to market their timeshare resorts under
the Ramada brand (owned by Cendant) as Ramada Vacation Suites.
Remember, in December last year MPTV put out a press release mentioning their intention of " Acquiring a
major timeshare company with facilities already in place, a successful marketing team, an established buyers network,
and substantial revenues..." Speculation ran wild for weeks on who that target might be, and our favorite
guess eventually turned out to be Mego (or PEC alone)-- partly because MPTV had formed a new Nevada Corporation
named " Mego Acquisitions" . (When we asked about that name, we were told by Serena Riedel that maybe it
was a typo, and the company has since been renamed.) Mego fits the bill in its other particulars, too, so we've
been keeping an eye on it. Still, it's all just RUMOR at this point so let's not get our knickers in a bunch about
it.
- Sheesh. We said not to get your knickers in a bunch. Nevertheless, according to excellent
sources, MEGO is on the verge of a buyout Mego/Preferred Equities and Ramada Vacation Suites is being acquired
by a group related to one of their investors. Expect details soon.
E-mail street@streettalkblog.com
There's just no pleasing some people. Shake up Fairfield in the west (following
volumes of complaints about management) and what do you get? New complaints. Seems that David LaBelle, the
new VP at Fairfield Las Vegas, is already generating threats of mutiny, and we're wondering if he's happy
to be there himself. We are told that first of all he is rarely there and that when he is there he locks himself
up in his office and never comes out. Folks complain that he doesn't even take the time to get to know people by
their first names. Says one source: --" [He] Won't even say hello to you when he passes you in the hall
for that matter. The guy who really runs that place is Mike Jones." We are told that 6 Sales Managers
have left within the last 30 days: Bob Lord, Bob Kerner, Nick Benza, Jerry Fridley, John Wisner, and Joy Wigham.
We do not know, of course, just WHY they left (if indeed they did) or whether it was voluntary.
- COMMENT from you
Nov. 30: --" How many of those managers had been there for more than six months as a manager?
Now what's that tell you?"
- AND: --" Seems
to me that they keep missing an individual by
the name of Craig VanThuyne. He's been with Fairfield Las Vegas since its birth in Las Vegas, back in the days
of the Royal Vacation Suites conversion. He has everyone's respect and admiration. Just wondering why everyone
keeps turning the cheek when it comes to CVT. He could make things happen. Or-- What about Dean Parker, after all
it was his baby, I understand he was acquired from another company, but I hear he might be back with Fairfield.
Maybe it's time to go back to the way things were." Interesting that Dean Parker's name keeps
coming up. A newer rumor implies that at least one long-time FFD Vegas person left on the mere rumor that Parker
MIGHT be coming back. Others are hoping he will. Strong feelings from both camps.
- AND: --" After
reading Friday's `Street Talk,' and seeing MY
name there as one of the managers that left, I feel I must explain why. First of all, I was a manager there for
6 months. I was in my 7th year with Fairfield and in management since September 1998. I was recruited there by
the prior VP, Greg Liddle, as he and I have worked together very well in the past at both Durango Co. and Williamsburg
Va. I did not leave on my own. My employment was terminated with a " no rehire" put on me. A Harrah's
employee falsely accused me of urinating in our designated smoking area. Because the relationship between Fairfield
and Harrah's is so fragile, I was fired, I guess I was the " sacrificial lamb." The sad part is I was
only 6 months away from being 100% vested in my 401K plan. I wonder if this is how Cendant is doing some cost cutting!
Anyway, that's what happened. Nick Benza"
E-mail street@streettalkblog.com
Question from you: --" who
are the timeshare companies that operate or have
resorts in the eastern provinces of Canada? (Ont. or NS)" Other
than Shell Vacations, selling Carriage Hills Resort in Ontario, and Club Intrawest at Tremblant
in Quebec, who else is in active sales in eastern Canada?
- COMMENT from you
Nov. 27: --" Wig-a-Mog is a new venture in Haliburton On., about a two hour drive north of Toronto." (And
the DOS is Mike Chambers.)
- AND: --" Club
Vacances Toutes Saisons - Quebec, Canada. Located
at Mont. St. Anne - the best ski slope in Eastern Canada (and the US for that matter!)."
- Nov. 29: --" Another timeshare project in eastern Canada is Club Vacances Magog
located in Magog, Quebec situated approximately 1 hour east of Montreal on the shore of Lake Memphremagog."
- Nov. 30: --" The
Geo Group, owned by Alex Burstein,
has been selling from one or two centers in the Toronto area for over a decade. They have a club based product
with inventory in Canada, the US and the Caribbean."
E-mail street@streettalkblog.com
COMMENT from you Nov. 22: --" Barbara Beason has finally left the building!!! After 5 years as in house director at Equivest Ocean Club, Myrtle
Beach, Barbara Beason has resigned(?) The rumor is the in-house dept. didn't like the changes current mgmt has
imposed and the entire dept. walked out last Fri... Word is spirits are high and sales are up. Sometimes change
is a good thing..."
- COMMENT from you
Nov. 30: --" It has been a year and my reserve is due from Equivest in North Myrtle Beach, I
sure hope I don't have to stand out front (like I did to get my comission during the summer) to get it. And Barbara
Beason leaving, was the last shining star that worked there, I sure hope and wish her well ! PS> . Just send
my monies you owe me in the mail, thanking you ahead of time! I need new shoes for my daughter!"
- AHA! Looks like
she hasn't exactly resigned... Comment from you Nov. 30: --" Seems
the REAL SCOOP is she took a leave of absence
to care for her Mother who is very sick. As far as the upper management changes go, thats just another day at the
Ocean Club. She watched 4 PD's and scores of DOS's come and go in the past 11 months, so trust me when I say she's
tough enough to deal with any " new management changes" . We hope her mother
recovers.
E-mail street@streettalkblog.com
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Is it true that Epic's Todd Lynch is making himself even more popular among former
Epic staff in Daytona Beach by driving around in a brand new 2002, SC430 Lexus Convertible? What, is he
making a real bundle off the new Vacation Club he's in charge of selling? While we're on the subject, is Laurie
Boraski still in the deal somewhere?
Also while we are on the subject, we can't find any confirmation that Epic Resorts LLC and Epic Capital
Corp. have converted to Chapter 11. According to the documents available to us, both companies are still listed
as Chapter 7 bankruptcies. HOWEVER, Epic Resorts Management, LLC and Epic Resorts Palm Springs Marquis
are both in Chapter 11 bankruptcy, both cases filed on Nov. 09, 2001. Case numbers 0111182 and 0111183, respectively.
- COMMENT from you
Nov. 31: --" As one of the " larger"
unsecured nonpriority cases that has filed my paperwork with the bankruptcy courts, I have been notified that committees
were to begin to form, concerning our interestest. The courts notified me on Nov. 9th of a Nov 16th meeting to
form a committee to speak for the largest unsecured non-priority claims. I was however unable to attend the meeting,
But... YES, Epic is formally Chapter 11 I believe.
" WOW< about Mr. Lynch. Those cars START at $62,000.00!! He is doing much better than those of us they never
paid!"
E-mail street@streettalkblog.com
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 No Kudos
this week????!!!!
If you've got a verifiable brag you'd like to have in Kudos next week, send it in! E-mail
street@streettalkblog.com
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Word on The Street says that a certain resort in Williamsburg, VA is in deep doodoo.
We hear that budget hasn't been met for 7 months, and that the owners of the resort have been dipping into their
own bank accounts to make payroll every week. Is nepotism the problem here? Mind you, there is nothing wrong with
hiring relatives or friends-- as long as they actually know what they're doing. It is our understanding that a
replacement is being sought for the relative who is now running things, and perhaps not a minute too soon. Anyone
have more or contrary information to add?
E-mail street@streettalkblog.com
Just Wondering:
- What's happening at The Legends in northwest New Jersey? Are they still
able to sell after 9-11 or is business non-existent? From what we've been hearing for quite some time the place
is --" a regular `Soap Opera' and is probably worth a laugh each and every week." Who actually has control
of that place now? What's going on?
- COMMENT from you
Nov. 28: --" Big Al W is the brains behind the curtain. Todd is the smart one. They all get direction
from the Man in Miami. Bobbi P. makes all the 1st decisions. Watch out this place is about to make a First Class
Comeback to be the premier place to work in the NE."
- Nov. 29:
--" I wonder how much the big guy paid for
this plug or if he sent this himself?"
- How things are going for Trendwest at its Arizona locations? And how the
current economic and emotional state of affairs is affecting their South Pacific operations? We hear that
they have closed the Scottsdale office in Arizona, and opened a new one in nearby Tempe. We also
hear that they have a new regional office in Southern California, having moved out of the Costa Mesa building
this past week.
- Why Marriott doesn't have anything in Las Vegas or San Francisco
yet? (NOTE: we have some speculation and information on this subject that we'll be presenting pretty soon...)
- Who will be the new Project Director of the Four Seasons Resort in Scottsdale?
And why is the present Project Director leaving?
- Update Dec. 1: --The word is now out. Tom
Courtney, PD of Four Seasons Scottsdale, is leaving
Scottsdale at the end of the year to head up the new Four
Seasons Jackson Hole (WY), Four Seasons first
luxury ski resort property. Courtney has been PD in Scottsdale since 2000, with the Scottsdale team winning three
Gold ARDA awards this year. Four Seasons Jackson Hole will offer 40 high end luxury fractional condominiums in
their new hotel at the base of the Jackson Hole ski resort. The property offers ski-in-ski-out access, and will
open for sales in 2002. Replacing Courtney in Scottsdale is Tony
Dennis, from Toronto, Canada. In 2002
Four Seasons will also open for sales at the new Four
Seasons Sedona fractional golf resort. The PD
for Sedona is Jim Whitteron, previously with Deer
Valley Club and other high end fractional properties.
- Does anyone know if another marketing company is planning to move into Cocoa Beach
for RonJon Resorts or with the resort being built at the port in Cape Canaveral? Any details on the
Cape Canaveral property?
- Besides Westgate sales folks in Orlando (so we are told), how many resorts are
requiring you to show up for work on New Years Day? Tell us truly: How much business does your resort generally
see on New Years Day? Is it worth working on that day? Yes or No?
- COMMENT from you
Nov. 30: --" Hilton Grand Vacations in Orlando is another resort which will be open on New years
Day. Ted Curtis, V.P. of the S.E. division, [says] " If I can get up on Jan 1st so can they." Same thing
happened last year with very mediocre results but last year they blamed the lately departed (but not loved) Marie
Sarno for having already scheduled the tours. What excuse this year we wonder ??? Of course Marie is now doing
her best to destroy morale in Las Vegas. Certainly they will be open."
- AND: --" We
are in the Resort Hospitality Industry and people
travel on Holidays. This is not the business to be in if you can't work holidays."
E-mail street@streettalkblog.com
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Legal issues...
" The quality of the ruthlessness in an
industry is relative to the amount of money that is at stake." --unknown
 For convenience
(and to shorten the length of this page) we have opened a
Legal Issues page here. It contains
information, resources, discussions and personal experiences with the legal system for your edification, as well
as notices and updates of lawsuits, court decisions, questions, etc., as we receive them.
About Defamation
-
Law of Severability: Most contracts, including employment,
IC etc. have a Severability Clause in them and because of that clause a specific condition of the contract can
be and often is challenged in a court of law as to whether said provision (or words) are legal, binding, enforceable
and/or constitutional....
E-mail street@streettalkblog.com
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- The Ingleside Resort in Staunton, Virginia has announced that Jim Morrison
has joined Pat and Ben Jeter as a partner in the resort. Formerly with Breeden Resorts, Morrison
is the Executive Vice President and will head up the Timeshare and Marketing division for the resort. Originally
constructed in 1929, this stately resort offers an 18 Hole Championship Golf Course, State of the Art Fitness Center,
Indoor Pool & Hot Tub, Full Size Heated Outdoor Pool, AMF Bowling Alley, Tennis Court, Full Size Sand Volleyball
Court, Arcade, and a new Snow Tubing Park. The resort is launching all new programs on Jan. 18, 2002. Ingleside
is affiliated with RCI and has 1-Bedroom, 2-Bedroom and Efficiency units available. They say they are looking forward
to a great year, and to seeing some old faces in a new place.
- We have heard whispers about CFI / Westgate buying the 1,700-acre River Ranch
Resort in central Florida in a foreclosure auction, but we have not confirmed it. This property is about an
hour south of Orlando, near Yeehaw Junction (we kid you not) and there is not a great deal of information
about it available online-- perhaps because there is not actually a great deal of anything there at this time.
Word is Siegel / CFI paid $5.1 million for it-- cash.
- Brent Ferrin has finally gotten approval from the Summit County Commissioners
(Utah) to build a controversial hotel/timeshare project in the Sun Peak neighborhood, but the commission
stipulated in its motion that the developers of the Canyon Retreat Hotel will be able to build a maximum
of 140 units, and though it wasn't explicit, the building won't have any lockout rooms that would boost the number
of hotel keys. Ferrin said he and his partners wanted the lockouts so they could rent out nightly hotel rooms --
the project will consist mostly of weekly timeshares. The commission's approval marked the end of a long process
for the Canyon Retreat. The Summit County Planning Commission approved the project in 1994. The county drafted
a consent agreement for the project, calling for a 140-unit hotel. In consequent years, the county commission had
trouble interpreting the consent agreement. Deputy County Attorney Dave Thomas remembers 1997 discussions in which
the county commission decided that 140 rooms equaled 140 condominium units like those of a Stein Eriksen Lodge-type
project. At any rate, Canyon Retreat is finally on its way.
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E-mail street@streettalkblog.com
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- The St. George's Club in Bermuda has announced its award of Gold Crown
status from RCI. This is the premier timeshare resort in Bermuda. Situated in the Towne of St. George's, The Club
offers both 1 and 2 bedroom accommodations for 25 year Vacation Membership (or daily rental). It has been around
for a looooong time and has established an excellent reputation through the years.
As an aside, we are not fond of their website, which is entirely " flashed" and quite lovely but won't
let you back out once you get in, and it opens a new window every time you click on something. This is a sophisticated
website that has chosen form over useability, apparently falling prey to the perceived need to be on " the
cutting edge" with all the bells and whistles. In the process they forgot the primary mission of a website:
to provide information in a format that can be easily accessed by the largest number of potential customers without
crashing their browsers or making them wait too long. Personally, we never return to entirely flashed sites unless
we absolutely have to. Besides, most of them look too much like a TV commercial or an animated brochure. Very annoying.
- Club Regina has announced the creation of its Corporate University: " Univeritas
Regina" , an innovative new concept which will enhance the potential of the company's team. The Regina University
educational program is a coordinated effort with the Monterrey Technological Institute of Higher Learning (ITESM),
an strategic partner with the highest quality in academic support. Regina's goal is to perfect service levels by
standardizing the training and development of its personnel, thereby making what is already a leading company in
the Vacation Ownership Industry even better.
E-mail street@streettalkblog.com
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It's Holiday time again, and time to support Christel House by ordering some
of their wonderful holiday cards or note cards. Check it out at this URL and make a difference in the lives of children:
http://www.christelhouse.org/help/
While you're at it, how about organizing something to show disadvantaged children a good time during the
upcoming holidays, all in the name of your timeshare organization/resort/company? A good deed that gets good publicity
for an industry that sorely needs it. For ideas, take a look at what the Time4Sharing
folks are doing, and then run with it. You might surprise yourself by having a really good time in the process.
It doesn't have to be complicated. Find an orphanage or a charity that specializes in helping children and take
charge. Feed the kids pizza and ice cream till they bust, take them to the seashore, teach them to ski or play
miniature golf, take them to a video arcade, take up a collection and buy presents (and deliver them in person),
donate to a program that provides meals or school supplies (or presents) to the needy-- get creative! Do it! And
then tell us about it so we can brag on you!!! |
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