the_grinch
Mouseketeer
- Joined
- Jan 22, 2008
just seeing if someone can read the tea leaves on what they think dues will be this year.
There have been DVC layoffs but many from The DVD side, But Remember, DVC gets a percentage to manage so I think some of those layoffs won’t necessarily impact dues as much as it will ensure their profit isn’t affected as much.
The dues will be based on people there, but in terms of things like housekeeping, etc, the cleaning procedures are more intensive and many more common areas being treated differently. Less rooms to clean maybe, but when they do, they have to do extra like wrapping. remotes, etc.
Buses are being run with a lot less guests, so again, not sure there is a reduction in number of them, just running with less people. There may even be more buses running to each resort too. And, again, the sanitizing efforts may cost more.
I am just not convinced that we will see much in terms of credits for 2020, and I just don’t see DVC being conservative on dues since any overages have to be covered by them, so I think 2021 will be run as normal.
The only resort that is also up in the air, which I wasn’t even thinking of is VGC given it is still closed. That one might see a larger 2020 credit.
What are your thoughts re Aulani? It’s opening on Nov 1 (hopefully!), but will have been shut down for 7.5 months of the year.
Dumb question and I think I know the answer but if they give a credit for 2020, and I’m thinking specifically for Aulani and GCV, they would set the dues for 21’ and deduct the credit from what is due?
There should be a very big credit for Aulani and GCV..Disneyland will end up being closed 2/3 of the year! Not to mention, the DVC portion of the resort is not large. Should be be at least, at least 50%, people should be irate if it’s not. Everyone deserves some grace during this time but the money wasn’t spent, period, give it back. World is different, barely four months and other factors that have been mentioned.Correct. Normally, any overage in a year is put into the capital reserves budget. It doesn’t go back to pwners,
This year, DVCM said they would use it as a credit. So, they will set 2021 dues as normal, based on what they believe expenses for 2021 will be,
Then, they will give owners whatever credit was created for 2020. I am not thinking it will amount to much.
There should be a very big credit for Aulani and GCV..Disneyland will end up being closed 2/3 of the year! Not to mention, the DVC portion of the resort is not large. Should be be at least, at least 50%, people should be irate if it’s not. Everyone deserves some grace during this time but the money wasn’t spent, period, give it back. World is different, barely four months and other factors that have been mentioned.
There’s no additional cleaning if you’re not open so they have 0 days so far of additional cleaning. GCV is part of a much larger hotel. There are no standalone amenities, no buses, no lounges etc. Aulani is a different matter obviously.Just remember they paid CMs for at least 6 weeks, if not longer during the beginning of the shut down,
Even on furlough, they are paying all benefits, including the employees share, which they normally do not do.
Also, even with resorts closed, things had to be done to keep the resort from going into disarray, While utilities etc will be less during the closed time, they will still be there,
So, sure, there will be credits and to be honest, those two resorts will be larger than the other for sure,
But, a 50% reduction? I doubt it because there will be expenses now that were not part of original dues like additional cleaning and sanitizing, etc, which we have no idea how that will be determined,
Dues estimates will be out in about a month from now so we shall see,
This makes some sense, the “sanitizing” does not apply.A number of expenses are still ongoing at both VGC and Aulani. Maintenance is about 15% of budgets, and may actually be higher for unoccupied resorts (plumbing is an issue; read up on Legionnaires' Disease for details there). Security is probably stable at about 3%. Insurance is 5-7% of dues. I would assume some of utilities is still a legitimate expense. Management fee is about 11%. Property taxes, which haven't changed despite the resorts being vacant. Contrirbution to cap reserves also is not going to credit, as that is how they pay refurbishment over rtime.
There’s no additional cleaning if you’re not open so they have 0 days so far of additional cleaning. GCV is part of a much larger hotel. There are no standalone amenities, no buses, no lounges etc. Aulani is a different matter obviously.