OK, it may be short-notice as the booking window ends this coming Friday; however one of our partners in Breckenridge, Paragon Lodging is offering a promotion which should not be missed.

Paragon’s EXTRA EARLY BIRD SPECIAL!
Now save an EXTRA 15% if you book the following homes by September 30th! That’s 20% OFF winter stays at:

• Morningstar House: 3 Bedrooms/3.5 Bathrooms/ Sleeps 10-12
• Northwoods Lodge: 5 Bedrooms/5.5 Bathrooms/ Sleeps 16
• Bella Manor: 5 Bedrooms/5.5 Bathrooms/ Sleeps 10

Enjoy these luxury Breckenridge ski homes this winter! All reservations must be booked by September 30th, 2009! A 5-night minimum stay is required. Offer good for new reservations only. Not valid with any other discounts or properties. Not valid during holidays and blackout dates.

Contact Paragon Lodging directly at 1-888-306-1505 and please mention The Society.

Yes, it has been all over the news last week, the mountains west of Denver received their first official dump of snow generating buzz for the upcoming 2009/10 ski season. The vast majority of resorts are open by Thanksgiving Weekend with a few resorts holding off until early December. At present, excellent lodging rates are available from opening day to December 25th  (see “early bird deals). Thus, consider a pre-holiday ski outing, avoid the crowds and get those quads in shape.

• Vail/Beaver Creek: November 20/ November 25
• Keystone/Breckenridge: November 6/ November 12
• Steamboat Springs: November 25
• Winter Park: November 18th (70th consecutive season)
• Telluride:  November 26
• Park City/Deer Valley: November 21/ December 5
• Jackson Hole:  November 29
• Heavenly:  November 20

Costa Rica has enjoyed much popularity due to its diversity of vacation opportunities from active to passive and everything in between. A favorite destination of many vacationers is the Pacific Coast at Manuel Antonio. The area is well known for Manuel Antonio National Park, which is the smallest of the nation’s national parks, yet one of the most popular due to the preservation of one of the most beautiful and bio-diverse areas in Costa Rica and the world.

The uniqueness of the area is the combination of lush rain forests, stunning beaches (considered the finest in the country) and living coral reefs (excellent for snorkeling). For eco-tourists, we suggest the trail around Punta Catedral with its spectacular views (and a visit to Cathedral Point which used to be an island now connected via a narrow land bridge). For the beach enthusiasts, Playa Manuel Antonio is not to be missed. It’s a ½ mile white sand crescent with a mix of dense forests and a beautiful cove.

If considering a visit to Manuel Antonio National Park and the Pacific Coast of Costa Rica, may we suggest a private luxury villa within the gated community of Tulemar Gardens, a 33 acre development, intimate yet providing the amenities and services of a luxury resort.

Buena Vista Luxury Villas within Tulemar Gardens slopes down to the signature sandy beach with the most gorgeous sunsets year round. Each villa comes with daily maid service and within the Tulemar Gardens community is a restaurant, bar service and a beautiful Cliffside pool.

All the villas (from Jr. Suite to 3 Bedrooms) are fully air-conditioned, have lovely outdoor space and panoramic views of the rain forests and the Pacific Ocean. For families or a group of friends, we suggest the 3 Bedroom Villa, a truly luxury offering from state of the art electronics to a chef’s kitchen to three large bedrooms and beautiful common areas.

Activities in the area include: Park Tours (a must do), sport fishing, river rafting, jet skiing, horseback riding, surfing, mountain biking, 4-wheeling, dolphin watching and spa. Of course, this is an excellent destination for destination weddings and romantic honeymoons.

When the time-share marketplace came to a halt in the late 1980’s due to issues concerning unscrupulous practices by various developers, Marriott seem to rescue the industry with their foray into the time-share arena and subsequent vacation-club opportunities.

Marriott International Inc’s disclosed it will cease developing new time-share and luxury residential projects. In addition the company will write-down the value of their under construction projects by $760 million. A major shake up in the vacation-home arena.

While not surprising as the major players including Starwood, Wyndham and Marriott has been placing less emphasis and marketing towards their time-share projects, Marriott’s decision to cease development until the market recovers and dropping prices on existing inventory is most troubling for the time-share industry.

At present, Marriott has 21 projects under development in North America, Europe and Asia including time-shares, fractional-ownership projects and luxury-residential projects marketing under the Marriott and Ritz-Carlton labels.

Wile Marriott has commented it will permanently exit the luxury-residential market; they plan to return to building new time-share and fractional-ownership projects when the market demand returns. For the first 6 months of 2009, as the vacation market was in the doldrums, Marriott logged $338 million in time-share sales. Many attribute this to an affordable opportunity for a vacation residence and the excellent reputation of Marriott.

Of interest will be the actions taken by Starwood and Wyndham, the other major players in the management and development of time-shares, fractional and luxury vacation home marketplace.

Bramasole Estate, in Paradise Valley, has a new video.  Contact us if you’re interested in hosting an event or coming on vacation to the Scottsdale/Paradise Valley region.

Last week, The Society Co-Founder Michael McFadden and Account Executive Therese Lewis attended the 14^th Annual Luxury Real Estate Fall Conference held at the exclusive Ritz-Carlton Bachelor Gulch in the Vail Valley of Colorado.

Attendees of the conference, while concerned about the present challenges of the luxury real estate market, continued to express enthusiasm as luxury real estate is always in demand no matter the market conditions. For many, luxury is an aspiration, for those who have become accustomed to the deluxe lifestyle, downgrading is not an option.

While recent media reports may suggest the luxury market has “fallen off a cliff”, attendees suggested the media hype may be due to select high-profile properties not selling due to their inflated price based on conditions of the bull-market circa 2007. Properties from primary residences to vacation homes are selling when priced correctly for today’s market conditions.

Rental of luxury homes and estates continues to increase. For prospective buyers, the opportunity to “try before you buy” as become an attractive alternative to the hyper-inflated market of multiple contracts above asking price just a few years back. Buyers are able to take their time to assess their purchases in a pressure-free environment and in many instances, usually with a vacation home, to “rent before they purchase”.

For sellers, while the market has become more challenging, the luxury buyers are out there and are ready, willing and able. Many prospective buyers are sitting on the sidelines or using the present economic conditions to pick and choose the most appropriate luxury property for their needs and desires, both immediate and for the future. Sellers in the luxury arena while concerned about news reports also are aware the luxury buyer can be a “cash-buyer” and not beholden to the whims of mortgage brokers, suppliers and appraisers.

From the prospective of The Society, we see the overall luxury marketplace moving towards equilibrium. Markets which gain 20% on annum over 5 years is not a sustainable market. Corrections happen and lead to new opportunities for capital investment and appreciation. Many luxury homeowners are considering “vacation rental” as an option to provide cash-flow for their under-utilized vacation residences. Many of our newest Global Bundle affiliates are such owners. As one broker attendee mentioned in passing “Even Sir Richard Branson makes his Necker Island property available for vacation rental”. 

As the economy stabilizes and people again look for diversity concerning their investments and lifestyle, we appreciate the many options associated with vacation home ownership. No matter what type of ownership you consider, the present time may offer a “buying opportunity” which in the future we may remember as an opportunity missed.

For many prospective vacation homeowners, fractional and interval ownership opportunities offer many advantages and access to a vacation residence at a much-lower price point. While the “time-share” industry suffered from bad publicity during the 1970s and 80s, the industry has changed. Major players include Ritz-Carlton, Four Seasons, Marriott, Wyndham and others. In addition, updated real estate safeguards have made interval and fractional ownership as secure as fee-simple ownership.

There are many legal and technical differences concerning leased and deeded interval and fractional ownership. However, the common denominator for most is the luxury of usage. While a weekend home within close proximity to one’s primary residence may receive 100 nights of usage per annum, most vacation homes located beyond150 miles receive on average just 23.5 days of usage per year.

The interval and fractional ownership opportunity should be considered by those who may be using their vacation residence for less than one month per year, desire a maintenance-free property and are looking for ownership at an affordable entry point.

Fractional and interval ownership arrangements have many advantages, yet are not correct for every purchaser. If considering the purchase of a vacation residence, the first and foremost thing to consider is the amount of usage. This includes your immediate family, friends, and associates and of course, we would be remiss if we did not mention possible rental income from nights of non-use.

Fractional and interval ownership may be more complex versus fee-simple ownership. We strongly suggest you consult with local real estate brokers in the vacation community you are considering as well as with your attorney and/or tax advisor as each ownership option has difference tax advantages and consequences.

As the lazy days of summer give way to the fall season, the chill in the night air is already upon us. North of Interstate 70 here in Colorado, the fall foliage is close to peak in the mountains against a backdrop of snow on the higher peaks. The rest of the country will follow soon.

While the changing of the leaves can be enjoyed throughout the country, many would argue, the northeastern United States is the destination of choice for fans of the changing of the seasons. The quaint New England towns separated by forests of trees and miles of charming two-lane blacktop, stopping at a country inn for cider or a seaside clam roll stand, the northeast offers the very best of the fall season.

May we suggest the mid-coast of Maine as a destination, specifically our Harbor Breeze Estate within the Town of Camden known for its quaint and charming harbor. Harbor Breeze is a circa 1890 estate home with a 4 bedroom main home and a 2 bedroom guest house. While extensively renovated, the master suite has the 1890 tin ceiling intact (the jetted tub for 2 is a more recent addition).

No matter the season, visitors to Harbor Breeze will enjoy the close proximity to town (1 block) to enjoy a true New England village with its quaint coffee houses, seafood restaurants and waterfront activities. Or, consider Harbor Breeze as a hub for day trips around the area such as a visit to L.L. Bean, open 24 hours.

Of course, just staying in and relaxing is also the charm of Harbor Breeze. For many, lounging on the deck enjoying the tranquil sounds of a New England village from the waterfall to the chime of the church steeple on the hour is a vacation in itself. In the distance, guests view the bay watching schooners sail off or kayakers enjoying the rugged coastline. In the evenings, the large pots on the Viking cook top are an invitation for fresh lobster, or steaks and chops seared to perfection on the outdoor grill. In the evenings, that LL Bean sweater will be most welcome on the deck as you watch the sunset beyond the harbor as the lights of the town glow into the evening.

What does this mean for vacation homeowners and property managers? A lot. According to industry estimates, airlines are expected to offer 12.5 billion seat miles during the fall quarter. For comparison, after the attacks of September 11th, airlines reduced capacity to 12.1 billion seat miles.

For the Vacation Homeowner: If your vacation home is beyond driving distance, there is a strong possibility that capacity to your destination will be reduced. This translates into fewer flight options and higher fares. Our suggestion, book your flights now for fall and winter travel and secure seats for high-season.

For the Property Manager/ Vacation Homeowners Who Rent: Your destination clients will be impacted as mentioned above i.e. fewer seats and higher prices. A few options to consider when communicating with clients:

• Book Now: Advise vacationers to reject the last-minute trend and book flights ASAP.
• Alternate Airports: Suggest alternate airports and advise of transportation options.
• Credit towards Airfare: Provide a credit towards airfare when booking with your company.
• Local Travel Agent: Partner with a local travel agent and provide your clients with the services of the agent who can secure the best fares and schedules.

On the horizon, the good news is, baring any major oil shocks or world events, capacity cuts will not continue as the economy begins a slow rebound. Most airlines will not continue to cut capacity, and assuming demand picks up in early 2010, will add capacity to the system leading to increased choices and attractive fares.

As the economy begins to stabilize, we at The Society have enjoyed an increase in calls concerning our marketing services for vacation home rentals. Yet, before considering a purchase and/or interviewing management companies, it may be best to “Try Before You Buy”.

Let’s face it, we have all been on vacation and while enjoying ourselves, we begin to fantasize about the possibility of a vacation home purchase and start looking in the windows of real estate offices next door to the tee-shirt shop. While ownership can take many different forms from interval-ownership, time-shares, full ownership, partnerships and so forth, we suggest you “rent before you buy”.

1) Learning the Lay of the Land: Recently I enjoyed a vacation in Costa Rica. We stayed at a wonderful resort community and were truly enjoying the exemplary service provided by the management company representing our vacation home rental. We opened a dialogue with the management company assuming they would be most proactive in assisting us with a purchase and management contract in the community. To our surprise, the management company advised us 1) High-season is vastly different than the time we were visiting and 2) they suggested another area of Costa Rica to visit and 3) consider visiting at different times of the year. The management’s suggestions were right on target. We found a neighboring area we were even more impressed with and were assured in-season crowds would be minimal. All of this came about due to my comment “If I have to place a book on my lounge chair at 7AM to reserve it, I will not be a happy camper”.

2) Multiple Visits: From my experience as a real estate broker with experience in resort communities, I suggest visiting 3-4 times before making a purchase. By visiting multiple times, you can assess if the initial “wow-factor” continues on each visit and learn about the different seasons. For example, one of my clients bought in Vail, Colorado for the skiing. Yet, after a summer visit and enjoyment of the many golf courses, the clients now rent their vacation residence during the winter months (through The Society) and enjoy the summers on the golf course and biking the many mountain and paved trails.