APRIL – JUNE 201 5 A PUBLICATION OF INTERVAL LEISURE GROUP PROFILES ANANTARA VACATION CLUB | BRECKENRIDGE GRAND VACATIONS | DIVI RESORTS GROUP HOTEL DE L’EAU VIVE | PALACE RESORTS | SIMPSON BAY RESORT & MARINA | WELK RESORTS GROWING GLOBAL REACH The Interval Presence in the Americas, Asia, and Beyond The Allure of the Has Industry Lending New Trends in Urban Vacation Turned the Corner? Kitchen Design APRIL – JUNE 2015 vacation industry review RESORTDEVELOPER.COM CONTENTS page 38 S E L I F O R W P E I V Divi Resorts Group Y E Branching out in New Directions 30 R R E Palace Resorts E N I 30 Years and Growing 34 V U E LOS CABOS S Anantara Vacation Club S N I Rapid Rebound After Odile 8 Ready for Asia’s Middle-Class Boom 38 I TIMESHARE TALK Hotel de L’Eau Vive VIEWPOINT Industry Lending Turns the Corner 14 Struggle and Triumph in New Orleans 4 2 Living in Interesting Times 4 TRENDS Welk Resorts The Allure of Urban Vacations 18 Five Decades of Focus on the Guest 4 4 INSIDER Benefits, News, FROM THE GROUND UP Breckenridge Grand Vacations Updates, and More 6 New Trends in Kitchen Design 22 Best Address for Year-Round Fun 46 PULSE AFFILIATIONS Simpson Bay Resort & Marina People and Global Expansion for Interval 27 A Caribbean Jewel Restored 5 0 Industry News 59 executive editor creative director photo editor advertising y s c Torey Marcus Ailis M. Cabrera Kimberly DeWees Nicole Meck n US$1 €0.89, £0.65 n Interval International o i editor-in-chief senior graphics assistant vice president e s 949.470.8324 r r Betsy Sheldon manager graphics and production r £1 US$1.54, 1.38 e € John Cavaliere Janet L. Orr [email protected] u v staff writer c J.B. Bissell senior graphic production manager For address changes and corrections, n €1 £0.73, US$ 1.12 or to receive a complimentary o designer Claire S. Sayan subscription, please send an email c editorial assistant Maria Garcia-Aguilar Yahaira Cespedes to [email protected] . Valid at time of publication. graphic designers Visit xe.com for other currency conversions. Frank Gonzalez Cristina Mencia George A. Sariego Vacation Industry Review is published by Interval Leisure Group. It is designed to provide accurate and authoritative information regarding the subject matter covered. It is published with the understanding that the publisher is not en gaged in rendering legal, accounting, or other professional ser vice. If legal advice or other expert assistance is required, the services of a competent FIND US ON professional should be sought. ©Interval Leisure Group, 2015. All rights reserved. Reproduction of any part of this publication without written consent is prohibited. VIEWPOINT APRIL – JUNE 2015 vacation industry review RESORTDEVELOPER.COM Living in Interesting Times “M ay you live in interesting times.” A Broader View Sounds like a fortune cookie message, one of those ILG, too, has some interesting developments to cel - vague prophecies, like, “A new challenge is near,” or, ebrate. By the close of last year, we had successfully “Your luck will soon change.” The invocation is popu - set the foundation of many of our strategic goals larly purported to be a Chinese curse — interesting through acquisitions, joint ventures, and organic translated as tumultuous, stressful, even disastrous. programs. Our course of action has diversified our But I prefer to interpret that message through a consolidated business — concordant with an evolv - BY Craig M. Nash positive lens. Interesting times, from my perspective, ing market — and has broadened how ILG serves are stimulating, inspiring, or engaging. And I believe members and clients. Today, we are a leading CHAIRMAN, PRESIDENT, AND CEO INTERVAL LEISURE GROUP there’s plenty of evidence to support my view. provider of nontraditional lodging with a portfolio of Especially in our industry. membership, exchange, vacation rental, and vaca - tion ownership management, sales, and financing Responding to Change businesses. I couldn’t be more While international markets may be defined by The acquisition of Hyatt Vacation Ownership, their own unique challenges and opportunities, which was announced last spring and closed pleased with the the shared ownership community in the U.S. is October 1, is the largest and perhaps most strategic success that ILG has acclimating well to a new-order economy. We’re transaction that ILG has completed to date. HVO had in assembling a reshaping our business model, developing fresh, adds the important areas of vacation ownership relevant products, and reaching out to — and sales and marketing, financing, and the potential for stellar portfolio of interacting with — new audiences through the lat - future resorts under the banner of a world-class businesses. Each est technologies. Financing continues to find firm brand, while contributing to our existing member - footing (see the related story on page 14). Public ship, exchange, and resort management offerings. operation is a pillar markets have warmed up, sales numbers are I couldn’t be more pleased with the success that that supports the climbing, and we’re beginning to see some new ILG has had in assembling a stellar portfolio of busi - foundation of our construction. nesses. Each operation is a pillar that supports the There are so many examples of industry leaders foundation of our larger, long-term strategy. As we larger, long-term who have met with great success during these inter - move forward into a future of certain change, we are strategy. esting times. Marriott Vacations Worldwide spun off surely traveling on solid ground. from parent Marriott International in 2011, Diamond Indeed, our industry does face threats: As Resorts International went public in 2013, and both legacy resorts must address both the aging of their companies have seen their market caps soar since member base and their property, resales and trans - then. Starwood Vacation Ownership’s separation fers continue to be troubling issues. And it’s certain from Starwood Hotels is slated for completion by they’ll be key topics of discussion as we gather in the end of 2015. Orlando for the ARDA World 2015 Annual Westgate Resorts returned to Las Vegas, plant - Convention & Expo. While we’re collectively climb - ing its “W” atop the marquee of a landmark 30-story ing out of denial, we have a long way to go before hotel now known as the Westgate Las Vegas Resort we effectively address the problem and develop & Casino. Breckenridge Grand Vacations, upon adequate legitimate outlets for resales activity. opening sales for its new construction, Grand Another maxim attributed to the Chinese: The Colorado on Peak 8, announced that it sold US$7 character for the word crisis consists of two words: million in vacation ownerships on the first day! Welk danger and opportunity , signifying the promise of Resorts, with two upcoming projects on the books, growth, change, and success even in the most trying reports posting an average of more than 18 percent circumstances. Indeed, it’s how we define crisis that revenue growth over the past 10 years. Gold Key shapes the way we respond and influences our ulti - Resorts expanded its Virginia Beach presence to mate success or failure. And ILG companies are North Carolina’s Outer Banks with the acquisition pledged to do everything we can to steer our clients and renovation of its newest property, Beachwoods. toward success in environments both good and bad. These are just a handful of the highlights that have May you live in interesting times : Now, that’s a brightened our economic horizons in recent years. message I’d be happy to find in my fortune cookie. 4 17 TH AN NU AL Fontainebleau September 30 – Miami Beach October 2, 2015 An Outstanding Resource for Knowledge, Insight, and Expertise Who Should Attend: Why You Should Attend: I Resort Developers HEAR the latest about shared ownership I Hospitality Executives trends and opportunities. I Condominium Developers LEARN how projects are financed. I Hoteliers DISCOVER how timeshare sales and I Hospitality Investors marketing practices are evolving. I Real Estate Investment Trusts SHARE insights and make valuable contacts, including developers, hoteliers, I Investment Bankers lenders, and investors. I Shared Ownership Consultants OBTAIN complimentary research studies I Private Equity Firms (combined retail value of $1,100) . $259 per night THROUGH JULY 15 SAVE RATE VALID THROUGH AUGUST 30 $999 Hotel Reservations: visit $1,199 FROM JULY 15 $ SharedOwnershipInvestment.com 200 FOR SPONSORSHIP AND CONFERENCE INFORMATION: SharedOwnershipInvestment.com INSIDER APRIL – JUNE 2015 vacation industry review RESORTDEVELOPER.COM AFFILIATES’ PICK Info-Exchange Hosts Resort Staff In Vegas, Cancún Interval International recently hosted sales, market - the technological tools that Interval is implementing ing, and operations staff from Interval member to improve its communication with clients and part - resorts at Info-Exchange seminars in Las Vegas, ners.” Bermudez attended the seminar in Cancún. Nevada, in the U.S., and Cancún, Mexico. “I believe in great service and this event was an Info-Exchange is designed to familiarize resort example,” says Ernesto Medina, hotel manager at personnel with Interval’s products, support pro - The Westin Lagunamar Ocean Resort Villas & Spa , grams, and services, allowing them to better serve and another attendee of the Cancún event. “It was owners and manage the exchange partnership well-composed, informative, and current. Muchas more efficiently. gracias for all the effort put in this well-organized “I obtained important information about client and fun meeting.” Antonio Enrique Camacho Martinez and Jose Luis trends regarding our industry,” says Piedad Liliana Info-Exchange is accredited by ARDA, which Lopezaguado Carrera, both with Palace Resorts , Bermúdez, director of customer service at Zuana enables attendees to receive credit toward their attended the Info-Exchange in Cancún, Mexico.