Fractional Ownership News

Vote for the 2010 Fractional Life Readers Choice award

The shortlist for the 2010 Fractional Life Awards has been announced, and we are giving you the opportunity to vote in the Readers' Choice category.

Vote here for the fractional real estate development you believe should win this year's FL Readers Choice award. Only one vote per person is allowed, and voting ends on Tuesday 16th February 2010. The winner will be announced at the Fractional Summit in London on 19 February 2010.

The choice is between the following four developments:
Appassionata, Casa Giacomo, Le Marche, Italy
Oceanico Prestige Residence Club
yooPhuket, the Absolute World Group
47 Park Street, London

Read their entries below, and then click here to cast your vote.

Entry 1: Appassionata, Casa Giacomo, Le Marche Italy

The beautiful countryside Estate of Casa Giacomo Leopardi is situated just below Montefiore dell’Aso in Le Marche, Italy. The luxury development will consist of three beautiful properties sitting in five acres with stunning views of the Adriatic Sea and Sibillini Mountains.

The three properties are undergoing a combination of a sympathetic renovation and new build. The original property is a former working farmhouse and outbuildings, over 150 years old. We will create two four-bedroom houses (230 and 210 square metres) and one of three-bedrooms (180 square metres).

Casa Giacomo, completed in October 2009, has been designed to ensure a harmonious blend of traditional and modern materials.  The use of chestnut wood, marble, granite and handmade terracotta floor tiles blend perfectly with the bespoke bathrooms and Italian fitted kitchen. The interiors have been created with a lovely balance of modern and traditional materials, creating a warm feeling of home whatever the season. Original art, antiques, modern furniture and high quality fittings all work together to give you the best of both modern and old Italy. The other houses will be finished to a similar standard but have their own individual design created by interior designer Dawn Cavanagh-Hobbs.

Our Fractional Ownership model has been developed in conjunction with Eric Gummer of Howard Kennedy. The structure utilises a UK Company limited by guarantee, a non trading entity that issues company membership to owners; this clearly details the ownership rights. The deeds of the property are held in a wholly owned UK subsidiary company. The memberships are fully transferable and can be sold at any time. ‘The members own the Company – the Company owns the property.’

We have purposefully developed a very flexible fractional ownership model so that owners can create the fraction that suits them best. We did not want to be constrained by a set model so have come up with a scheme that is driven by complete flexibility. Whether potential owners want to purchase 3 months, 5 weeks, or just 1 week, we have a model that will work for them. Our pricing is competitive:
A single week’s ownership is £20,000 pounds
Three week’s ownership in Casa Giacomo is £55,000 pounds
For any purchase over 3 weeks each additional week is available at £18,000 pounds.
For less than £100,000 (£91,000) you can own 5 weeks residency in Casa Giacomo

Our Rotating Residency Calendar also allows complete flexibility, owners can either take their weeks together or split them as they desire. The most fundamental rule of the Rotating Residency Calendar is that your weeks, single or grouped together will always move each year by one season (the year is split into 3 seasons) and one week. This way owner’s get the chance to experience all seasons of the year and still have the flexibility to exchange weeks with other owners. We think this is key to the emerging European market where the fractional model is still establishing itself.

The facilities have been created for all seasons and truly reflect the wonderful Italian lifestyle. The large swimming pool, all weather tennis court, private terraces, landscaped gardens, olive groves and newly planted organic vineyard will offer something for everyone. Our aim is to create the perfect Italian country hideaway.

Our members will own a vineyard and olive groves, how many people can say that! We will aim to produce organic wine and olive oil that will be distributed to members on the basis of weeks owned. They can be as involved as much as they want and will experience the seasons in a very different way because of it.

When developing the property we have sourced locally produced materials and worked with local artisans in the production of light fittings, iron work, special paint features, chestnut beams and even the production of an Appassionata dinner service by famous local potter Bozzi.
There is under floor heating, open fires on each floor, wifi and high quality entertainment systems, including a Wii fit.

We are a small boutique business that aims to develop a very personal service in line with owner’s requirements. We can arrange private dining, additional cleaning services, taxis, baby sitting , beauty & massage treatments, and excursions as required. We anticipate leaving our owners to their own devices but being there when needed.

Le Marche has so much to offer. Enjoy lying on the beach, skiing in the Sibillini Mountains, long countryside walks or cycling through the rolling hills or national parks, you’ll find plenty to do. This is real Italy!

Our after sales service will include ensuring all members are kept informed of news and activities at the estate and local region.

We will not provide a formal concierge service but will undertake any reasonable request by an owner, at their expense when cost is incurred. We are based just 10 minutes drive from the development so we are on hand and able to provide a very personal, unobtrusive service.
Our office will assist members who wish to exchange weeks with other owners, with service weeks or unsold weeks. We are still investigating an external exchange program and are also in discussion with other similar developments around the world to possibly set up an informal programme.

Members who wish to sell their fractions, or a proportion of their weeks, will be assisted by our office and the website will have a section for this purpose. The same will apply for renting out the property.

As with all these things we are a small dedicated team so can tailor the service much more towards the needs of the customer rather than creating a large unnecessary program. Where appropriate we will use professional external services.

The Estate of Giacomo Leopardi is beautifully positioned, with sea and mountain views. Located in the wonderful region of Le Marche, there is a tremendous combination of history, culture, agriculture and leisure activities. Owners can live the Italian dream and experience the art, history, culture and culinary delights of real Italy.

The quality of our construction, interior furnishings and facilities reflect a luxurious proposition. The development of a new organic vineyard and olive groves gives you more than just a holiday home; you could be picking grapes and olives, bottling olive oil and drinking your own wine!
Appassionata is not only the developer but the property manager. We will provide on-going management support for as long as members are happy with our service. We are a small boutique business, not a large faceless commercial organisation.

Our pricing structure reflects tremendous value and is hard to find in an equivalent development.
We have investigated many types of fractional developments around the world and think we have come up with something extremely flexible and appealing to potential owners in Europe.
We are a self funded business and as such have taken our time to develop the best model, and when necessary will adapt it to changing circumstances.

We believe that 2010 is going to be another difficult year for the luxury overseas property market, fractional ownership included. We are formally launching our development in Jan 2010, and have planned a series of advertisements, in the press and on-line, combined with editorials to run over the spring.

We feel very positive about the long term future of fractional ownership and will work hard to attract new customers to our business while educating a broader cross section of consumers about fractional ownership and its obvious benefits.

We are working on plans to offer a developer finance package that will launch in the spring to further enhance our offer.

Entry 2: Oceanico Prestige Residence Club

Oceânico Prestige Residence Club (OPRC) is not just fractional ownership but a two part concept - deeded ownership and at the same time, membership of a residence club. Owners share a portfolio of fully furnished, beautiful residences in desirable locations around the world, giving the exclusive access to high quality resorts with a carefree but secure way of owning property abroad.

In addition OPRC provides a comprehensive range of luxury lifestyle services available to each OPRC owner designed to help live life to the full.

Dependent on location, services available will include:
Sunseeker luxury cruiser
Membership of world-class golf courses
Executive car service
Concierge service
Spa & wellness centres
Fitness centres with state of the art equipment
Use of a wide range of leisure and sporting facilities
Golf buggy

Having based our product on a system of occupancy used in the USA for many years which has been tried and tested, we feel that we are offering our clients the best possible styled product. We did a lot of market research on the subject of fractional ownership and residence clubs and feel that we are one of the first to recognise that purchasers are looking for that little bit more than just a fractional ownership or a residence club, hence we combined the two. This is today’s answer to what clients are looking for. Ownership, being able to holiday anywhere in the world and not have exorbitant costs to do so.

OPRC resorts are managed and maintained to a five star standard overviewed by Oceânico Prestige Residence Club´s operational team. The added value for buyers is that in addition to the OPRC lifestyle services, they can also benefit from the resorts´ facilities and amenities such as:
 
o   Amendoeira Golf Resort has two onsite championship golf courses, a majestic Clubhouse with restaurant and bar, The Amendoeira Golf Academy & Callaway Fitting Suite with tuition programmes for all levels, as well as the Amendoeira Sports Club offering bowling greens, tennis courts, football pitches, cricket and gymnasium.
o   Belmar Spa & Beach Resort -which has the ocean on its doorstep -  includes a state of the art health and beauty spa, hydrotherapy pool, sauna, steam room, gymnasium, indoor swimming pool and four outdoor swimming pools, tennis court but also access to various water sports / activities and just 5 minutes from the historical town of Lagos.
o   Each OPRC property owner has also access to the famous Vilamoura championship golf courses (Oceânico Victoria, Oceânico Old Course, Oceânico Pinhal, Oceânico Millennium and Oceânico Laguna)
 Each destination has its unique range of facilities for the OPRC owner to enjoy.
 We have long recognized that client satisfaction is core to our operation and fundamental to our success. To underline this belief and enhance our commitment to client satisfaction, the customer relations department was established back in 2007 and has a simple objective: to make the complete property acquisition process, from contract signature to handover of the keys, a smooth, trouble-free and enjoyable experience.
The customer relations team have established relationships with existing customers providing the all important contact point for any client wishing to enquire about their properties progress and any related issues. 

Our team has been leading the fractional field for some time and won an award for our other product Stepping Stones - a 12th and quarter share option.

Having based our product on a system of occupancy used in the USA for many years which has been tried and tested, we feel that we are offering our clients the best possible styled product. We did a lot of market research on the subject of fractional ownership and residence clubs and feel that we are one of the first to recognise that purchasers are looking for that little bit more than just a fractional ownership or a residence club, hence we combined the two. This is today’s answer to what clients are looking for. Ownership, being able to holiday anywhere in the world and not have exorbitant costs to do so but without any compromise on luxury living.

Oceânico is a group made up of three divisions: Developments, Golf and Resorts & Leisure. We have a portfolio of resorts which total approx 1 billion Euros. It is in our interest to look after our clients, our resorts, the properties within the resorts and golf courses and ensure that the standards set, are adhered too. We feel that brand alliances will take away from our product by passing over the responsibility to another company therefore we are keen to look after our own products and clients to the highest standard even with partnered resorts.
 
Our purchase contracts are simply written but comprehensive. They have been viewed by a large number of lawyers both in Portugal and the USA confirming that we have a good set of legal documents which at the same time are very easily understood and straight forward.  Each potential owner has ample time for their lawyer, solicitor or attorney to review them and then help to clarify any concerns, thus giving them a comfort level on moving forward with the purchasing decision

Entry 3: yooPhuket, the Absolute World Group

yoo’s breakthrough innovations in contemporary living styles and quality design are admired around the world, now, in partnership with one of Asia’s leading development and lifestyle brands, Absolute Developments, they are proud to introduce yooPhuket.

yooPhuket is a spectacular collection of 256 apartments and penthouses offering all the services and facilities that you would expect from a world-class development. The perfect base from which to experience Phuket. The collection of studio, two bedroom apartments and penthouses combine design-led architecture, including superior furniture collections exclusively designed for yooPhuket and the high quality specification yoo is renowned for, whilst being centred in a beautiful natural lakeside setting surrounded by Phuket’s best Golf Courses.

Natural local materials are incorporated into the designs. The wraparound balconies of the apartment buildings provide each home with its own private outside space. Penthouses have the option of their own private terrace Jacuzzi. From carefully selected kitchen and bathroom fittings, to the designer finishes, the very best specification has been chosen throughout.

The contemporary design offers open plan living space with dramatic floor to ceiling windows, opening onto spectacular views across the lake, golf courses and lush landscapes. The impressive master bedroom suites have en suite bathrooms and walk in closet space. Stylish kitchens are fitted with integrated appliances. Bathrooms have fully tiled walk in shower enclosures and state of the art home technology includes comfort cooling systems and the latest audio visual equipment.

Stand-out interiors are one of the things yoo do best. Each yooPhuket apartment comes fully furnished with a yoo designed furniture collection the apartment is ready to enjoy, even down to the last teaspoon. In addition clients can choose from a selection of the most sought after designer interior additions and upgrades to create an apartment that is perfectly unique to you.

yooPhuket apartments are available both whole and fractional ownership, under Absolute’s well established and highly successful quartershare ownership initiative. Prices for a three month quartershare fraction are 38sqm Studio £44,000, 70sqm 2 bed £65,000 and 105sqm Penthouse £97,300. This includes all superior furnishings, use of a 31ft fully captiained powerboat and the latest Callaway golf clubs plus the standard 5 star service management company Absolute Resorts & Hotels are renowned for. 

Units are sold as Freehold and come with a 5 year warranty. Annual management charges for a quarter share start at £1010.

Unlike whole freehold ownership, fractional owners do not need to open a Thai bank account, as they receive shares purchased from an overseas company, (Not a Thai company), which has leased a number of condominium units in the project. These are purchased by
a foreign company under a 30 year registered lease with developer approval of 10 renewable leases offering 300 years of occupational rights. The owner of each quartershare will have a share certificate of a British Virgin Island company, which relates exclusively to a fixed unit at the project and offers guaranteed accommodation rights for a certain time period for the period of the lease plus the lease renewals. The scheme has been approved locally and internationally by lawyers as a way of guaranteeing ownership very similar to those a freehold owner would have.
 
The apartments are divided among five interconnected six-storey buildings. The crisp clean lines of the sleek contemporary architecture are an elegant complement to the surrounding landscape. The buildings are set around the stunning pools, indoor to outdoor clubhouse and relaxation areas, which create the natural focal point and social hub of the development. The immaculate grounds are carefully tended by the maintenance team throughout the year. Planted with indigenous and tropical species, the gardens are colourful and fragrant with flowers such as jasmine and orchids.

Multi-level infinity edged swimming pools are surrounded by poolside cabanas and outdoor fireplaces within palm lined relaxation areas. There is a poolside indoor to outdoor clubhouse with fully equipped gym, yoga and well-being spa as well as a business centre, which offers wireless internet, fax and conferencing facilities, and a conference room that can be booked for private use. 24 hour security and concierge services are available with free airport transfers and a shuttle bus service.

First class service is a priority at yooPhuket and  Absolute Resorts & Hotels who will manage the development ensure just that. From arranging transport to pick clients up from the airport, to excursion booking for island activities, the reception concierge is on hand to take care of these things. A shuttle bus service is available to take residents to various locations around the island of Phuket.

The Absolute Resorts & Hotels team takes care of maintenance of the pool, grounds and communal areas, as well as rubbish collection, housekeeping and the laundry service.

Owner can put their full Fractional Period into the Absolute Resorts Management Company 50/50 Rental Program earning 50% of the revenue. Owners can also sell shares through the Absolute Fractional Re-Sale Programme or the owner can sell shares outside of the Fractional Re-Sale Programme. Resales are simple and effective due to a wider demand audience able to afford the price, making it easier and quicker to resell than an outright purchase.

Owners will also enjoy access to Absolute’s affiliation with the renowned Registry Collection, the world’s largest luxury exchange programme, providing members with access to an elite global network of the very finest vacation properties at some of the world’s premier destinations far beyond their Thailand accommodations.

Not only do you invest in a fraction of the purchase cost but the annual management charges are also shared with the other fractional owners. Fractional owners enjoy all the benefits of a sole owner and more. Absolute work to find like minded people to share in the fractional ownership with you. You will receive a share in the owning company and benefit from the capital appreciation. Just as with whole ownership, you can rent out your three-month usage period in whole or in part generating a rental return.

When Absolute combined their Fractional Ownership and Thai housing market know how and experience with world renowned design company yoo, they laid the foundations for one of a kind partnership: designer apartments and penthouses that are superbly built on the beautiful island of Phuket, Thailand, and a first for the yoo brand – available as fractional ownership.  Not only does yooPhuket, promise to deliver desirable and well constructed homes that have interiors created by the exciting and cutting edge yoo designer team but this development is really putting fractional ownership on the map and opening up this exciting purchase option on a global scale.

Entry 4: 47 Park Street, London

47 Park Street is a private and exclusive residence club located in the heart of prestigeous Mayfair. It's membership offers frequent travellers to London an intelligent alternative to traditional property ownership or hotel stays.

The property consists of 49 one-and two-bedroom residences only, which are sold in 13 fractions each. Members can purchase one or multiple fractions and each fraction allows them to use their residence for a minimum of 21 nights per year however they see fit. Additional nights can be purchased on an ad hoc basis at a low per diem rate. Alternatively, Members can rent out some of their allocated time or exchange it for time at one of the Ritz-Carlton Club resorts in the US.

The residences are elegantly furbished to the highest standards of Marriott Vacation Club International and spacious in terms of actual size and space experience, varying from 53-97 sqm.

Marriott Vacationclub International was the first to introduce the urban fractional concept to the London market when they launched for sales back in April 2003. Its highly flexible usage structure and overall value proposition is still unique in the local industry. In that sense 47 Park Street has acted as a true pioneer for the fractional model in the UK and European markets.

Prices currently range from £111,000 to £260,000

The residences truly feel like a private home. As such there are no 'hotel' amenities on site. However, Members are granted privileged access to exclusive partner clubs in Mayfair, including Pasley-Tyler, Morton's, Spa Illuminata and the health club at the Marriott Park Lane, which enhances the Members' lifestyle when in London. In addition, Members enjoy special privileges at The Royal Opera House, The London Golf Club and the Dali Fine Art Gallery. Michelin starred restaurant Le Gavroche is located in the building, with a Members private access door. Hotel services include Clef d'Or Concierge, 24 hour In Room Dining, twice daily maid service, valet and in house florist.

Once Members have joined the club, their booking arrangements are looked after by a dedicated Member Services team, who have a private phone line and direct email address. The team is highly knowledgeable about the Member's personal preferences and specific requirements, to ensure all expectations are met, if not exceeded. In addition, the team will advise the Members on rental opportunities if appropriate and/or any other usage options.

47 Park Street, Grand Residences by Marriott is London’s first property to introduce the innovative concept in private residential club membership, offering Members an intelligent alternative to second home ownership. It not only eliminates the financial commitment and maintenance worries usually associated with traditional property ownership, but Members also enjoy a truly flexible, hassle-free and enhanced way of life in London. Marriott Vacationclub International was the first to introduce the urban fractional concept to the London market when they launched for sales back in April 2003. Its highly flexible usage structure and overall value proposition is still unique in the local industry. In that sense 47 Park Street has acted as a true pioneer for the fractional model in the UK and European markets.

So, you've read the entries, now click here to vote for your favourite.

04/02/10

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