Resort Availability Update – 16 September

September 16, 2020 | Latest Announcements

 

The COVID-19 pandemic and the restrictions to limit its spread has brought about the forced cancellation of thousands of Club Wyndham South Pacific reservations. Our teams have strived to minimise the impact on owners by making our cancellation policy more flexible, returning credits when there have been forced cancellations or providing vouchers for future use in the case of bookings involving expired credits.

Given that club properties were effectively closed for two months earlier in the year, there have been concerns expressed about availability going forward. We have been very aware of these concerns and a number of steps have been taken to address these.

  • Wyndham Destinations Asia Pacific (the Developer) has written off credits it has received by way of exchanges through Developer Benefits at a cost to it of more than AU$5 million (note: a cost to the Developer, not the Club or funded by Owner levies). These credits are the equivalent of 8,000 weeks of accommodation that have now been freed up for owner use.
  • All maintenance, deep cleans and some refurbishments are being completed or have been completed through COVID-19 shutdowns. Every year, one week of accommodation for each apartment is held back for maintenance and deep cleaning, meaning that almost 1,700 weeks of accommodation will not need to be blocked out in the coming months.
  • Last year, club occupancy included 2,587 weeks that were rented to the public, as owners elected not to utilise their occupancy entitlements during that year. Rentals only take place where inventory is not being used and for the balance of 2020 and through 2021 we expect that these rental nights will be replaced with owner bookings.
  • In 2019, credit usage was approximately 85 per cent – which is not unusual, as owners can “borrow or save” their credits for 12 months. This pattern of credit usage creates some buffer (approximately 13,571 weeks a year) to availability.

There are further measures that we can employ if necessary. Additional South Pacific inventory can be added to the club as required, particularly if border controls and travel restrictions mean that international travel (and access to the club’s international resorts) is limited throughout 2021. Also, when Club Wyndham Denarau Island reopens, there is a strong possibility that WorldMark, The Club, rooms will be made available to Club Wyndham South Pacific owners.

While we expect that available occupancy will tighten once travel restrictions ease, the above factors, particularly the freedom for owners to bring forward or defer their credit usage, means that any tightening of occupancy can be spread over several years.

Thanks for your patience. COVID-19 has been unprecedented and has provided plenty of surprises but your club teams are committed to finding solutions.

 

Warren Cullum
Senior Vice President Operations

Posted by Admin