Another way to evaluate the "value" of the extension is to ask yourself if when you originally purchased you'd been given the option of 2042 or 2057 and there was a $15 per point price difference - which would you have chosen?
Our initial purchase was in 1993 at $56 per point. If we had also been offered the option of a 2057 date at $71 per point we would have still purchased at the lower price for the same reasons that we are declining the extension now. Of course, if the offer had been priced at 1993 prices, the additional years would likely have been more like $6 per point - and we probably would have still declined the addtional years. I don't really know what price would have worked for us then or now but "free" jumps into my mind as an acceptable option - and that pricing is not currently on the table.
I wonder why they need money all of a sudden?
I hope they offer something even better than a 3 year extension for SSR. Maybe 2060?
I guess we found out the money will be going to Hawaii
Another way to evaluate the "value" of the extension is to ask yourself if when you originally purchased you'd been given the option of 2042 or 2057 and there was a $15 per point price difference - which would you have chosen?
Our initial purchase was in 1993 at $56 per point. If we had also been offered the option of a 2057 date at $71 per point we would have still purchased at the lower price for the same reasons that we are declining the extension now. Of course, if the offer had been priced at 1993 prices, the additional years would likely have been more like $6 per point - and we probably would have still declined the addtional years. I don't really know what price would have worked for us then or now but "free" jumps into my mind as an acceptable option - and that pricing is not currently on the table.
I'm sure they'd love to offer an extension but they tied their hands to a degree with OKW. If they do, it'll likely be late or tied to something like an additional retail purchase.So, here we are, 11 years from the last post on this thread, and 12 years from when Disney started to offer Extensions on Old Key West?
Disney has never done that again. I doubt that they ever will. Multiple properties are now within 24 years of “The End” (Old Key West was 35 years from expiring when they did that?) and Disney seems very content to let the contracts expire without extension.
Many people talk about Disney offering extensions, like it is inevitable. I don’t think so. I think they want their property back, in 24 more years.
I think the old expiring resorts will become "new" resorts. DVD will take BWV and BCV, renovate extensively(we hope) and then sell new 50 year contracts at increased point charts and for $200+ per point. I don't think they will ever offer another extension.As long as DVD is building new DVC resorts, there is no incentive to extend the existing resorts...they have the cash flow coming in already. Once there are no new resorts, then IMHO you will see DVD reaching out to us "cash cows" with extensions.
Wouldn't you think that they would plan for significant renovations while still under the DVD original contracts? It would only make sense to have the owners foot the bill to renovate/refurbishment vs letting contracts expire and sell new again, maybe with some incentives for original owners. It will be interesting to see but i am glad i am not in the experimental 2042 group and won't have to worry about our contract expiring until we are in our 70's.I think the old expiring resorts will become "new" resorts. DVD will take BWV and BCV, renovate extensively(we hope) and then sell new 50 year contracts at increased point charts and for $200+ per point. I don't think they will ever offer another extension.
On many contracts it doesn’t seem to make a lot of difference. Someone did an analysis and the extended old Key West contracts go for only about $7 to $9 more per point than the non-extended contracts, and sometimes less than that. In other words from a financial point of view with regard to resales, extension was not beneficial. However this says nothing about the benefit the owners got from the increased use over a longer period of time.Do the extended contracts go for a lot more on the resale market?
Do the extended contracts go for a lot more on the resale market?
Someone did an analysis and the extended old Key West contracts go for only about $7 to $9 more per point than the non-extended contracts. In other words from a financial point of view with regard to resales, extension was not beneficial. However this says nothing about the benefit the owners got from the increased use over a longer period of time.
That is interesting. If I were buying OKW on the resale market I would want a longer contract.Iterestingly enough, the market has never valued the extension at anywhere near what Disney charged for it.
It's all about the numbers, one would have to look at the situation and determine a value for each one. Usually an extended contract is a better deal because the years at the back are worth less so the valuation is favorable as a rule. The one issue owning a 2057 contract there is there is going to be a transition and that presents risk and aggravation as the 2042 owners drop out and Disney takes over. How it turns out will depend on what they decide to do with the resort they will then own which will be roughly half the resort at that time.That is interesting. If I were buying OKW on the resale market I would want a longer contract.
. . . one issue owning a 2057 contract there is there is going to be a transition and that presents risk and aggravation as the 2042 owners drop out and Disney takes over. How it turns out will depend on what they decide to do with the resort they will then own which will be roughly half the resort at that time.