A section of Oak N Spruce timeshare resort in Massachusetts burned to the ground and alarmed quite a few timeshare owners. According to the story from about a year ago: “The Lee Fire Department received a phone call at 6:15 a.m. alerting them to the blaze. When firefighters arrived, the vacant Meadow Street building known as Forest Hall was fully involved in flames. No injuries were reported, but the two-story wood-frame building burned to the ground. The bulk of the blaze was put out by 9 a.m., but plumes of grayish-white smoke could still be scene rising from the site at noon.
Located adjacent to the resort’s member-registration building, the condominium was one of Oak N’ Spruce’s original buildings.”
Several years ago numerous timeshare complexes were damaged or destroyed in Daytona Beach Florida by hurricanes. I visited the impact site a year later to see several timeshare buildings still boarded up and not being used.
While the buildings have insurance to make repairs, they lose revenue from lost occupancy. The normal maintenance fees would not be enough to cover the loss so along come “special assessments”. A timeshare resort’s use of special assessments, while necessary, drops a big bill on the back of timeshare owners. Often, I have seen a special assessment fee push an owner to decide to sell their timeshare or just give up paying all the fees. Then their timeshare goes into foreclosure. And that is bad for both the owner and the timeshare developer.
It seems to me that the Property Owners’ Associations or Resort Developers should have funds set aside or insurance available to cover these kinds of emergencies. Otherwise it turns into a “lose – lose” situation.