A dissolution is a process by which the resort entity is terminated and sold as a new entity.  The net sales proceeds are distributed back to the individual Owners in good standing at the time of final dissolution.  

Yes. The process is complex and involves input from several sources, including legal professionals, title work experts, and real estate advisors. Grand Pacific Resorts will work closely with the Board of Directors and their Association legal counsel throughout this process and will keep Owners informed along the way via email communication and website updates.

Several key factors contributed to this decision including, but not limited to, the following: 

• Delinquency: The loss of a large bulk week Owner in 2023 significantly impacted assessment revenue, resulting in a delinquency rate of approximately 59%.
• Club Opportunities: A potential Club arrangement in December 2023 to acquire 470 intervals was not executed. When the new Board requested a reassessment, the market had changed, and the opportunity was no longer viable.
• Deferred Maintenance: Due to lost revenue and a high delinquency rate, reserve funds are diminished, and needed property upgrades and repairs cannot be completed.

Deferred Maintenance refers to the postponement of necessary repairs or upgrades as the property ages. Similar to postponing home maintenance, these delays occur when resources are limited. The Association’s reserve study outlines life expectancies and future cost estimates, which typically guide proper upkeep. However, with a high delinquency rate, the reserve fund is depleted, causing delays in essential projects.

The high delinquency rate is primarily due to Owners not paying their annual assessments over time. Contributing factors include the departure of a major bulk Owner, financial hardship, aging Owners who no longer use their intervals, medical issues, divorce, and other personal circumstances.

It depends. Title validation for all intervals must be completed, which can be a lengthy process. It is estimated that the entire process could take a minimum of two years.

Proceeds will vary depending on multiple factors including the number of Owners in good standing, the unit type, and the final sale price. The estimated net proceeds per interval may range between $5,000 and $10,000.

Disclaimer: The payout range as estimated by the Board is $5,000 to $10,000; this estimate is only a good faith estimate by the Board and is based on various assumptions, for example, finding a potential purchaser of the Project at a price acceptable to the Board, the purchase price for the Project, and a successful quiet title action; however, it is impossible to accurately predict the results from the Dissolution, and the Board’s assumptions may prove to be incorrect. In addition, such estimate has not been verified or reviewed by any independent third party, and accordingly the Board cannot provide any assurance as to any minimum amounts (or no amount) that will be available for distribution to the Owners.

As an Owner, through the process, you may continue to use your week in the same way you have in the past. However, if the plan is approved, there will come a time when operations at the resort may be limited. We will be sure to communicate these changes well in advance.

The Board has arranged for Owners to use a travel certificate through GPX, allowing vacation at other locations. There is no cost to use this instead of your on-site stay. The Association covers related fees. Grand Pacific Exchange (GPX) is an exclusive exchange and rental benefit only available to Owners with Grand Pacific Resorts. To learn more about this certificate option, please contact Owner Reservations at (800) 568-3515.

The operations portion of Maintenance Fees may increase slightly due to inflation and Consumer Price Index adjustments, as is typical in annual budget cycles.

Your account will enter the collection process, and you will be subject to foreclosure. You may also become ineligible to receive any portion of the dissolution proceeds.

Potentially, yes. Billing will continue until the resort is sold. Once the sale is finalized, billing will stop, and proceeds will be distributed to all Owners in good standing.

Owners must be in good standing, with all assessments paid current and up to date at time of dissolution.

Net proceeds are expected to be distributed during the escrow closing process.

While the property is considered highly desirable, if a buyer is not secured, the timeshare can continue to operate.

Your Ownership interest will be transferred to the Association entity, and then to the new buyer.

We will communicate with you the timelines for ongoing annual fees as they change. The expectation is that all owners will be responsible for ongoing assessments up until the close of escrow.

Yes. Your Ownership will be terminated, and you will receive documentation along with your dissolution proceeds.

Your Board of Directors is managing the process with support from Grand Pacific Resorts. Regular updates will be shared via email and the project website. The Board will seek input from Owners as appropriate.

We are happy to help facilitate a quick and smooth exit. You may transfer your deed back to the Association if you:

• Are current with all dues (including 2025).

• Pay the general deed-back fee of $1,500 (additional fees may apply if attorney involvement is required).

Title work will be prioritized. If you have prepaid maintenance fees, a travel certificate may be provided.

Yes. You may request a deed swap with another Grand Pacific Resorts property.  To initiate this, email your interest toto rkinert@gpresorts.com.

As an Owner you must be in good standing in order to participate in a Title Swap. 

• Association dues paid and current.
• Cover any title transfer costs.
• Title transfer will be discounted at cost to cover title search, filing fees, record updating, and new owner materials.
• Owners will surrender their use at San Diego Country Estates and be offered a travel certificate.
• A list of resorts will be available for owners to consider including maintenance fee, unit dimensions and seasonality.

• Please note, by swapping your San Diego Country Estates ownership, you will not be part of the dissolution or distribution process.

We will keep our Owners updated as we move through this process. If you have any questions, please send your questions to rkinert@gpresorts.com. Responses will be provided as soon as possible, and updates will continue to be shared throughout the process.